Research On Financial Risk Management Of Central South Holdings

In recent years,with the rapid development of China's economy,the competition of enterprises has become increasingly fierce,and many enterprises have also fallen into the quagmire of financial crisis.As far as their root causes are concerned,enterprises have neglected effective prevention and control of financial risks.With the rapid development of China's social economy and the deepening of urbanization,the role and status of real estate in social and economic development is becoming more and more important.From the perspective of the industry itself,the real estate industry has obvious investment scale,high risks and high returns.Outstanding features,the scale of funds required for operations is large,and often has a high asset-liability ratio.Financial risk is mainly affected by financial leverage.The leverage ratio is an important factor in the process of social finance and economic stability and development.As the leverage ratio increases,it will cause enterprises to accumulate debt risks.Therefore,how can real estate enterprises fully Using financial leverage to increase its own level of income while reducing overall financial risk is an important issue for most real estate companies to achieve sustainable development goals.This paper combs and summarizes the current theoretical results at home and abroad in the field of financial leverage and financial risk management,and focuses on the principle of financial leverage,financial risk theory and the logical relationship between the two,and then explores the principles of financial risk management in detail.And effective counter measures.Moreover,this paper selects ZhongNan Holding Real Estate Co.,Ltd.as a specific research object.Through the comparative analysis of the relevant financial data of the company in the past five years,it focuses on evaluating the capital structure and financing structure of the enterprise,thus exploring the financial leverage effect and its rationality.Sexuality,and the dilemma faced by the enterprise in the process of applying financial leverage and risk management,in order to effectively alleviate this dilemma,propose effective risk prevention and control measures,and give full play to the positive effects of financial leverage,thereby supporting ZhongNan Holdings to continuously realize Its long-term development goals.All in all,ZhongNan Holding has achieved the improvement of its operations,profitability and solvency through financing risk management,investment risk management,operational risk management and dividend distribution risk management,laying a solid foundation for its sustainable development goals.Enterprises in the process of survival and development have always faced the threat of financial risks.Financial risks exist objectively and always exist.This is an indisputable fact.For enterprise managers,they need to have a development awareness that keeps pace with the times,strengthen the identification,analysis,prevention and avoidance of financial risks,and minimize the probability of occurrence or the negative impact.ZhongNan Holdings should pay attention to the determination of its potential development law,and achieve reasonable control and effective avoidance of financial risks by: improving the company's risk prevention awareness,strictly controlling the level of liabilities,multi-channel financing based on investment demand,and paying attention to interest rate changes to confirm the best financing.Opportunities,formulate scientific and feasible cash flow budget indicators,accelerate the upgrading and transformation of risk management,and adapt to market changes.