| Since Bank of China launched the first foreign currency wealth management product “Huijubao” in 2003,the wealth management business of Chinese commercial banks has shown a booming trend in the context of interest rate marketization.By the end of 2017,a total of 562 banking financial institutions nationwide had surviving wealth management products.The total number of wealth management products was 93,500,and the balance of deposits was 29.54 trillion yuan.Commercial bank financing has become the leading asset management industry in China.In an increasingly regulated and increasingly competitive environment,wealth management services have become an important channel for the funding and use of many commercial banks,especially small and medium-sized commercial banks.It is really important that their healthy development will affect the business development of commercial banks and the stable operation of the entire financial system.However,while the importance of the wealth management business of commercial banks has continued to increase and the scale of businesses has grown rapidly,financial risk cases caused by the lack of internal control of commercial banks,fraud by employees,and weak awareness of investors’ risks have frequently occurred.In 2017,the Hangtianqiao Branch of China Minsheng Bank broke out fake financial management cases involving more than 150 investors and the amount involved was as high as 3 billion yuan.The outbreak of the case not only caused huge losses to investors,but also caused serious damage to the reputation of China Minsheng Bank.Improving the risk control and prevention mechanism of commercial banks in Personal Financial Services plays an important guiding role in raising the level of risk coping,enhancing the core competitiveness of commercial banks and promoting the level of risk prevention of Personal Financial Services in China’s commercial banks.This paper starts with a massive "Fake Personal Financial Service" case that occurred at Beijing Hangtianqiao Branch of China Minsheng Bank in 2017 and briefly introduces the background,progress and process result of this case Then,this paper takes risk identification as the end result,and starts the analysis from aspects such as seal management,contract management,account management,practitioner management,internal auditing,rotation mechanism and product sales management.Finally,based on the seven risk points of the case analysis,we propose a number of inspirations and suggestions from the perspectives of investors,commercial banks and supervision on how to prevent and control various risks in the personal wealth management business of China Minsheng Bank. |
