The Analysis Of Performance And Influence Of Local Financial Holding Company

In this thesis,an empirical study is performed on Suzhou International Development Group Co.,Ltd.,the local financial platform under the guidance of Suzhou government.Established on 1995,Suzhou International Development Group Co.,Ltd.is a local financial platform combined with bank,security,insurance,trust,guarantee,and venture capital.It has been running steady and prosperous for the past two decades,gaining benefits from both economic and social fields.The significance of this study is demonstrated as below.Not only does it enriches the theories of local financial holding company,but also gives possible solution to the supervision and risk control of Chinese financial holding company.The study is carried out through the investment of Suzhou International Development Group Co.,Ltd.,aiming at performance and the influence of the investments.On the basis of quantitative and qualitative analysis,the targeted study sets focus on the local condition in Suzhou.Logistic regression model is applied to the research.In particular,whether autonomous investment guided by the market outperforms the investment guided by the government or not is elaborated in the research.Furthermore,advice on risk control and synergetic effect is given;the balance between economic benefit and social benefit is discussed;a path for the Mixed Ownership Reform of State-owned Enterprises is pointed out.According to the test result,investment method,investment period and profit-liability ratio attach huge influence to the benefit of local financial holding company.In particular,autonomous investment guided by the market outperforms the investment guided by the government;investment on mature method has a better chance of success;the bigger profit-liability ratio is,the better the investment performs.As far as the study is concerned,the efficient ways for performance improvement lie in risk control and Mixed Ownership Reform.Policy and Suggestions towards the development of local financial holding company is elaborated at the end of the study,mainly focusing on the balance of economic benefit and social benefit,risk control and synergy effect.In the field of local financial holding company research,previous studies mainly focused on the theory of foreign financial holding company,as well as the current situation,the development barrier,the future plans of Chinese financial holding company.Seldom research has been done on specific investment.The innovation of this thesis is to conduct a research on the performance of local financial holding company based on specific investments,with the combination of quantitative and qualitative analysis.Logistic regression model with convincing data is applied on the empirical study.According to the actual development of Suzhou,the study is distinguished by local characteristics and practical usage.From points to surfaces,a preliminary summary of the development of local financial holding company industrial law is given in the end.