Research On The Development Of Financial Products Of Commercial Banks During The Market-oriented Reform Of Interest Rates In China

After the reform and opening up, China has been exploring the market-oriented reform of interest rates. In recent years, this process continues to accelerate, and because the difference in interest rates between deposit and loan spreads decrease, commercial banks can not get stable high profits from deposit and loan spreads. Some banks began to be forced out of the situation. If commercial banks want to continue maintaining the momentum of development in the past, they must make a change.In this situation, financial products have become a weapon of increasing the intermediate business income, raising the deposits and enhancing competitiveness of commercial banks. Innovation and development of financial services will push banks to fully integrated financial services platform from a single business platform. The bank relying on a wealth of channel advantages can cooperate deeply with the interbank, pitch in resources, build a complete, integrated unified financial service platform and provide customers with high-quality, diversified financial products and services.On the basis of introducing the research background and significance and domestic and foreign research literature, we talk about the development of financial products of commercial banks in China in five aspects. First, the article describes the theoretical basis of the interest rate market and financial products meaning and classification, as well as the development of both. Second, the paper described the development status of the market-oriented reform of interest rates and financial products of commercial banks, and the influence of the former on the latter. The market-oriented reform of interest rates is conducive to the development of innovative financial products. And as the reform to accelerate, some savings would be diverted to the financial products. However, the reform also could result in more intense competition in financial markets. So commercial banks develop financial services with facing more risks and challenges. In this final part, this paper makes empirical analysis about financial products diversion of savings deposits. Third, the article did the data analysis, about the overall trend on financial products, the issuing bank structure, investment currency and investment direction. Then, this paper analyzed the advantages and disadvantages of commercial banks in the financial products competition and P2P. Fourth, took a summary and outlook of the future development of commercial banks financial products.Domestic commercial banks financial products though started late, but growing rapidly. Rapid development has also brought a lot of problems. For example, product homogeneity, product detail design is unreasonable, insufficient information disclosure and risk disclosure, insufficient comprehensive service ability, etc. These problems require commercial banks to pay more attention to product innovation, staff training and risk control when developing the financial services in the future.This paper proposes that, in the development of financial services, commercial banks should strengthen the market analysis, accurate customer segments, improve product innovation capabilities. While under the influence of Internet banking, commercial banks should use the Internet as a carrier to play to their strengths actively in order to promote the development of financial services.