Research On Risk Assessment Of Chinese Listed Commercial Banks

Along with the increasing openness of China's financial market to the outside world,China's economy is affected by the international economic situation bigger and bigger.At the Nineteenth National Congress,President Xi emphasized that national security is facing new situations under the new economic situation and the occurrence of financial risks should be prevented.Therefore,commercial banks,as one of the important financial institutions,should pay more attention to their own risks.At present,the international economy is facing downward pressure.Especially in the context of interest rate liberalization,the traditional business methods of commercial banks are changing and the risks are becoming diversified.In such a background,this paper conducts a more comprehensive risk assessment of Chinese listed commercial banks.This paper selects the risk evaluation indicators through a certain index selection principle,combines the previous research conclusions and the current regulatory indicators of the China Insurance Regulatory Commission.First,it conducts a single index qualitative evaluation of the risk status of Chinese listed commercial banks,and then,factor analysis and cluster analysis are used to comprehensively and quantitatively evaluate the risk of Chinese listed commercial banks.The research results show that the capital adequacy ratio and average return on total assets of state-owned banks are significantly better than those of other banks,the concentration of credit assets of joint-stock banks is better,the non-performing loan ratio of city commercial banks is generally lower than that of state-owned banks and joint-stock banks.Among the three principal divisors,the greatest impact on bank risk is the capital risk factor,then is the asset quality structure factor,and finally is the operational factor.As a whole,the risk of state-owned banks is the smallest,and the risk of joint-stock banks is the biggest,the risk of rural commercial banks and city commercial banks is moderate.Due to the different business models of each bank,the risk situation is also quite different.Clustering analysis results categorize banks with similar risk status,which facilitate comparative analysis among banks.Also,new ideas for risk supervision for regulatory authorities are provided by the new classification of banks.