Risk Management Research Problem Of Evergrande Group's Perpetual Bond

In recent years,there is a phenomenon that it is difficult to broaden it's financial sources for the company,especially for the real estate enterprises,which limits the development of these enterprises heavily.The reasons are as follows:Firstly,in the external environment,it is very hard the financing environment.The rigorous economic environment in near years make the bad loan ratio raised up sustainably,which leads to the bank's credit scale decline passively,and at the same time,there are many factors to affect financing channels of a company,such as the stock market fluctuate frequently?the bond market not mature and so on.Secondly,the capital structure is not rationalin the internal aspect.Because of impellent of benefit,the managers deviate from the financial management goal gradually--maximum corporation value,and they increase the leverage constantly,increase financial risk,which makes the asset-liability ratio very high and limited the refinanced heavily.In order to deal with the difficulty,the enterprises broaden the financing channel consistently,thus the perpetual bond appears.As a new financing tool in our finance market in these years,although the perpetual bond is in a short time,it has a lot of benefits,so it is very popular to every real estate enterprises.In this rigorous economic environment,the foundation of perpetual bond not only can resolve the question of out of fund and optimize the capital structure by not improving the asset-liability ratio,but also can guide the banks to broaden their business positively and make more profit by not occupying the credit scale,which can kill two birds with one stone perfectly.But just as a saying goes,"one coin has two sides",the foundation of perpetual bond also increase the potential risks of a company.This papers is aimed at warning people,especially the real estate enterprises,that the perpetual bond is in high risk through analysis and identify the potential risk in using the perpetual bond as the financing channel,and meanwhile,giving some suggestions on how to avoid this high risk.