Research On Risk Control Of Equity Investment Project In D Company

In 1999,the International Finance Corporation(IFC)entered the Bank of Shanghai for the first time in the form of equity investment,marking the beginning of a new era of equity investment in China.Since 2015,China's economy has entered a period of medium-low speed growth,state-owned enterprises have continued to deepen reform,and equity investment has participated in the wave of the substantial economy's reform and development.The Chinese enterprises have obtained a large amount of operation and development funds through equity financing and other means,which provides flowing "blood" for the rapid development of enterprises.The capital strength of state-owned institutions is strong and gradually marketed.By the end of 2019,the total investment of state-owned LP accounted for more than 70%.Equity investment needs systematic risk management in the whole stage from project approval to capital withdrawal.This paper makes a detailed analysis of the state-owned enterprises' equity investment in mineral resources.It divides the whole investment process into four stages,including: the initial stage of project approval,the decision-making stage of project investment,the post investment management stage and the exit stage.In each stage of equity investment project,we should pay attention to the identification,analysis,evaluation and control of risks,accurately assess the frequency of risks and losses,reduce or avoid risks through effective means,so as to achieve the purpose of risk control.This paper aims to analyze the possible risks in the mineral resources investment project of D Oilfield Company through the theoretical research on the risk control of equity investment,and put forward effective control measures for these risks.This paper is divided into six chapters.The first chapter is the introduction,which mainly elaborates the research background and significance,research ideas and methods,research innovation and deficiencies.The second chapter reviews the previous research both at home and abroad,mainly starting from the basic theory of equity investment,the research on risk and the research on risk control.Theoretical analysis and comprehensive review of the research status are included.The third chapter introduces the specific equity investment case,that is,the decision of equity investment made in early stage by the state-owned enterprises in mineral resources need to be highly focused on.This chapter includes project background introduction,target market analysis and project SWOT analysis.The fourth chapter is the risk analysis of this case.In this paper,the risk of equity investment project is divided into four parts according to the investment stage,which are the risk in the initial review and establishment stage,the risk in the investment decision-making stage,the risk in the post investment management stage and the risk in the exit stage.These risks include resource risk,market risk,legal risk,operation risk and financial risk.The risks in this chapter cover most of the risks of mineral resources equity investment,which can be used as a reference for other similar projects.The fifth chapter is the core chapter of this paper,corresponding to the four stages of equity investment risk division mentioned above,respectively puts forward the reasonable suggestions of risk control in each stage.The suggestions listed in this chapter have theoretical research value and practical operation for the risk points proposed in the previous chapters.The sixth chapter is the conclusion and prospect,it mainly summarizes the equity investment risk management measures proposed in this paper,and forecasts the research and development trend of equity investment risk control in the future.