Empirical Study On The Performance Of Listed Banks In China Based On Factor Analysis

The historical challenges of declining growth of real economy,the multi-level capital market,the internet finance and interest rate marketization make it necessary to evaluate the performance and the position for the listed banks.The financial system is an important pillar of the development of society to the state and society,and the commercial bank is the main part of financial system,and listed banks are an important part of commercial banks,so the evaluation of listed banks performance is an important examination of the safety and effectiveness of the financial system.There are a variety of methods on evaluate the performance of commercial banks,such as financial analysis,factor analysis method,data envelopment analysis(DEA)and economic value added(EVA),and balanced score card(BSC).By comparing the advantages and disadvantages of these methods,we think factor analysis method is more suitable for the performance evaluation of listed banks.Analyzing the data of 16 listed banks in China in 2013-2015 with factor analysis method,we get scores of the listed banks in profitability,safety,liquidity,growth and obtained the comprehensive performance scores.Comparing the scores,5 basic conclusions are obtained:(1)The overall comprehensive performance declines,especially for the Agricultural Bank and the majority of the national joint-stock banks.(2)The problem that the overall profitability performance is clear declining is more serious,especially for the national joint-stock banks.(3)On Growth performance,urban commercial banks overall higher than the national joint-stock banks,and national joint-stock banks overall higher than state-owned banks.(4)The overall progress of the security performance is better,but the number of the banks whose performance score declined has increased,and most of the national joint-stock banks rank behind.(5)The liquidity performance scores decreased significantly,but the liquidity is still relatively abundant and the performance of various types of banks have a greater degree of differentiation.The the fluctuation of real economy,the pressure of financial disintermediation and the short-term impact of interest rate marketization main influence the performance of listed banks.In order to improve the performance of the listed banks,on the macro and intermediate perspective,China should vigorously promote coordination of financial and real economy and appropriately promote the transition to the mixed management,and on the micro perspective,the listed banks should do disintermediation and adjust non interest income.