Research On The Development Of Investment Banking In China Under The Trend Of RMB Internationalization

Investment banking,as the "Pearl of the crown" in the financial industry in western developed countries,has always been the core of a country's financial capital.However,the current situation of China's investment banking business is being of small scale,single business,extensive management,lack of core competitiveness.The formation of this situation is partly due to its shorter development time,and the other part is due to the constraints of the regulatory system.China and the United States are the only two countries with GDP total amount more than ?10 trillion.China,the world's second largest economy,with foreign exchange reserves ranking the first,export the first,import the second in the world,is undoubtedly the economic power either from the total economy,or from the total amount of trade.However,the role of RMB on the international stage has been overshadowed compared with China's economic development,and the process of the internationalization of the RMB has been more than ten years,but it is still in the process of capital account convertibility.There is still a big gap from becoming a major international currency.In the current economic situation of being not optimistic in China,RMB internationalization efforts should be supposed to enhance China's"financial capital",promote China's status in the international financial market,and focus on the development of investment banking.Firstly,through the comparison with foreign investment banks,the paper will analyze the current situation of the development of investment banking business in China,and find the shortcomings and defects of investment banking in China.Then by the analysis of the RMB internationalization situation and according to the basic conditions of currency internationalization,it will analyze RMB internationalization path.And finally,by thorough study of the relationship and mutual influence between internationalization of RMB and China's investment banking business,it puts forward the development countermeasures for Chinese investment banking that the relevant financial institutions engaged in the business of investment bank in China should seize the historical opportunity of the current domestic financial deepening reform,vigorously carry out business innovation,promote the merger and reorganization of the domestic securities industry,and change China's current financial supervision mode and the system in a certain degree in order to adapt to the new situation of the development of economic globalization and the changing of financial system,to meet the needs of the development of investment banking business.The next period of time,to attract foreign investment to improve the balance of payments is still the main direction.China will further open up the market to join the international bond and stock index;in addition China will also relax the access restrictions to attract foreign direct investment funds and continue to promote interoperability mechanism.At the same time,based on the current financial supervision mode and the system,China should establish a unified,multi-level,wide-coverage risk management system,strengthen the control of the risk of a new business,and improve the quality of service;so as to create the environment which is conducive to the development of Chinese investment banking.