Research On Risk Management Of Loan Business Of A Trust Company

With the rapid development of domestic trust industry,the proportion of trust assets in China's financial assets has increased.Trust industry has become an important part of China's financial system.Because of the continuous expansion of trust business,the problem of risk management is gradually highlighted.While trust business generates high profits,it inevitably brings risks.Traditional loan business has always occupied a large proportion in the business of financial institutions,and the potential risk of loan business has become the focus of attention in the financial industry.The risk management of trust loan project is a main part of the risk management of trust company,which mainly reflects the pre-loan investigation and post-loan management.In the current financial environment,how to reduce the risk of loan business has always been a necessary issue.This paper takes A Trust Company as the research object.Firstly,it outlines the development status of A Trust Company's trust business,the transaction structure of loan business and the current main practices of A Trust Co mpany in risk management of loan business.Then it excavates A Trust Company's loan business from three perspectives of pre-loan,loan approvaland post-loan according to the business process of trust loan.On the basis of the existing problems in risk management,the causes of the problems are analyzed from the internal and external perspectives of the company.The problems of A trust company are found as follows: inadequate due diligence before loan,incompatible income and expenditure of some trust contracts,inadequate disclosure of periodic management reports after loan,inadequate transmission of risk information and slow disposal of overdue projects;the internal causes of the problem are: insufficient professional competence of due diligence investigators before lending,omissions in the approval process of trust contracts,lack of information transmission platform,lack of unified management of overdue projects and single means of disposal.The external causes are mainly policy changes to the industry.Finally,it puts forward suggestions for improving the professional ability of pre-lending due diligence personnel from the perspective of human resource management;from the perspective of information system construction,it puts forward suggestions for establishing post-lending supervision and baking mechanism.;from the perspective of information system construction,it puts forward suggestions for establishing an internal system information transmission platform.In addition,suggestions for the disposa l of rich overdue projects and advice on placing funds in different industries.