A Study On The Risk Evaluation Of Comprehensive Operation For Local Financial Holding Companies

The comprehensive operation risk assessment system has been regarded as an effective mean of risk management and improvement of operating efficiency.On July 26,2019,the Central Bank issued the Trial Measures for the Supervision and Administration of Financial Holding Companies(Draft for Solicitation of Comments).Which clearly proposed that the central bank,with other departments,will establish an risk assessment system of financial holding groups.Since 2000,local financial holding companies have developed rapidly.As of January 2019,more than 50 local financial holding companies have been established.However,in the process of development,local financial holding companies have encountered several difficulties such as “resource division,small scale,weak expertise,insufficient innovation capacity,lagging development efficiency,and insufficient value-added service capabilities”.A comprehensive risk assessment system for local financial holding companies that matches the new regulations is in urgent need to evaluate the current operating status of local financial holding companies in China.The research framework of this article is as follows.The first chapter is theoretical research,which is mainly expounded from the aspects of macro background,research significance,research methods and innovation.The second chapter is the literature research,which mainly summarizes the three key points of the article,that is,local financial holding companies,local financial holding companies' comprehensive operating risks and risk assessment indicators and methods.The third chapter mainly summarizes the risk types mentioned in the domestic and foreign risk assessment systems and new regulations,and lays a foundation for subsequent analysis.The fourth chapter is the research on evaluation system construction.It mainly establishes a comprehensive comprehensive operational risk assessment system for the risks mentioned in the new regulations.Then,it uses the fuzzy analytic hierarchy process to use the experience of experts to obtain the index weight.The fifth chapter is cases study,taking case analysis of Hangzhou Jintou and Ningbo Jintou,inviting experts again to evaluate the risk status of the two companies,and make a comparative analysis of the results of the two companies' comprehensive business risk assessment.The last chapter is research conclusions and countermeasures.Which proposes suggestions to reduce the risk of comprehensive operations on the basis of practice,from the perspective of local financial holding companies.The contribution of this paper is as follows.First,this paper is the summary of the existing data of local financial holding companies.Secondly,based on the new regulations and risk exposure of local financial holding companies,a risk evaluation system was constructed.Then used the fuzzy analytic hierarchy process to invite experts to get the weight of each index.Next,using the fuzzy comprehensive evaluation method,experts were invited again to evaluate the risk situation of Hangzhou Jintou and Ningbo Jintou based on the constructed risk assessment system.Finally,suggestions were made for risk management on the perspective of local financial holding companies.