The asset management business of China Commercial Bank is a financial innovation business gradually developed under the environment of interest rate control, financial disintermediation and separate supervision. From a macro point of view, asset management business can promote the transformation of economic structure, accelerate the reform of financial system and improve the social financing structure; From the middle point of view, asset management business can promote the transformation of banking business model, build a new profit model of banking industry and enhance the stability of banking business; From the microscopic point of view, on the one hand, asset management business can meet the needs of customers for investment and wealth management, on the other hand, it can ensure that banks can provide diversified financing services for customers and improve the efficiency of social capital flow. Therefore, asset management business has completely different functional orientation, operating rules and risk management methods from traditional banking business. Five reasons for the vigorous development of asset management business in commercial banks: the start and development of asset management business in China's banks have distinct local characteristics and characteristics of the times. The economic growth brought by the reform and opening up for more than 30 years has made residents' wealth increase and their awareness of investment and financial management increase, which is the driving force for the development of bank asset management business. The deepening of financial reform provides a good opportunity for the development of bank asset management business. Commercial banks' business transformation and maintaining profit growth have become the direct driving force to promote the development of bank asset management business. As an important participant in the domestic asset management market, the asset management business of commercial banks has become the business type with the largest business scale, the largest number of customers, the richest product types and the strongest brand trust in the domestic asset management market. The author believes that the main reasons for the large-scale development of bank asset management business are as follows: First, the distribution of residents' wealth has gradually shifted from real estate to financial assets. Under the dividend of more than 30 years of reform and opening up, the per capita disposable income has been increasing and wealth has been accumulating. Due to the relatively conservative family asset allocation structure, there is a huge demand for maintaining and increasing the value of financial products through asset management after the inflection point in the real estate market. Reason 2: In order to avoid regulatory restrictions, bank asset management business is gradually moving off-balance-sheet. Driven by interest rate marketization and financial disintermediation, under the background of financial repression and regulatory game, in order to avoid the restrictions of regulatory red lines such as deposit reserve, loan scale control, loan-to-deposit ratio requirements, capital adequacy ratio and deposit and loan interest rates, banks shifted their asset management business off-balance-sheet, issued wealth management products with higher yield than bank deposits to absorb the funds of residents and enterprises, and invested in fixed-income projects such as non-standard debt assets according to the return requirements higher than loan interest rates. The replacement of deposits and loans in the balance sheet of banks has been realized, and the docking of investment and financing has been completed through channels such as bank letter, bank certificate and bank base, which not only makes the asset management business of banks achieve rapid growth, but also supports the development of the real economy that is difficult to obtain loan financing support from banks. Reason 3: Capital constraint urges banks to transform to "light capital" business. At present, China's economy has entered a three-phase superposition period, that is, the growth rate has entered a shift period, the structural adjustment is facing a painful period, and the previous stimulus policy is in a digestive period. With the economic downturn, overcapacity, rising macro-debt level, and the advancement of interest rate marketization, the deposit-loan spread of banks has been shrinking, and commercial banks are facing tremendous transformation pressure. There is an urgent need to shift from the traditional deposit and loan business to the expansion of intermediate business and to the business that does not occupy or occupies less capital. It is precisely because of its "light capital" characteristics that asset management business has become an important way for banks to change their growth model from extensive asset scale expansion to intensive capital conservation. With the implementation of the new capital management measures, the pressure on commercial banks to replenish capital is increasing. Under the circumstance that the speed of replenishing capital by relying on internal profit growth is slowing down and it is becoming more and more difficult to refinance through the capital market, developing asset management business has become an important focus for commercial banks to actively adjust their business strategies. Reason 4: Commercial banks have incomparable advantages in capital, resources and channels compared with other financial formats. First of all, banks have unique advantages in customer resources, not only absorbing deposits from institutions and individuals, but also bank loans are the main source of financing for institutions and individuals, which is unmatched by other types of financial institutions. Judging from the current sales channels of various asset management products, banks are still the most important channels, accounting for more than 60%-70% of sales, and the vast majority of customers are also from banks; Secondly, compared with other financial institutions, banks have a reputation advantage over other non-bank financial institutions in developing asset management business because of the support of national reputation; Third, banks also have more resources than other non-bank financial institutions in obtaining funds and project reserves. It can be said that with its huge customer base and strong credit risk management ability at both ends of investment and financing, banks have developed asset management business through the creation of financial products and new business models, which conforms to the general trend of financial disintermediation and promotes banks to gradually shift from indirect financing mode to direct financing and indirect financing, which will bring important changes to their future business model and profit model. Reason 5: Asset management business is of great significance to enhance the comprehensive operation depth of banks and give full play to economies of scale and scope. The significance of comprehensive management lies in diversifying income sources and improving comprehensive competitiveness. The core of comprehensive management should be to provide customers with innovative comprehensive financial products and improve the comprehensive competitiveness of commercial banks. In short, it is to improve the service ability to customers through integrated management. In order to cope with the fierce market competition and the rapid development of internet finance, it has become the consensus of commercial banks to provide customers with comprehensive financial services by having a full financial license. However, judging from the current situation, the existing domestic mixed financial holding groups are far from realizing the comprehensive and systematic integrated operation within the groups. Due to the requirements of separate supervision, banking, securities, insurance, trust, funds and other businesses are carried out in different subsidiaries under a group, and customer information, customer marketing, customer maintenance, product development and so on are basically in a state of separation, with less business overlap and low degree of business synergy. Of course, in the case that all financial institutions under the Group have their own core customers and main businesses, and they are independent of each other, the realistic approach is to take the businesses that need a high degree of integration as the starting point, and promote the relevant integration with the development of these businesses, and gradually rise from a single business level to the overall strategic level of financial institutions. Asset management business is a business that meets this requirement. First, because of its comprehensiveness, it not only involves many links within the bank, from branches to the head office, from liabilities to assets. It also involves cooperation with other institutions outside the bank, which is a better integration path. Second, because it is a new business, it involves fewer stocks and is relatively easy to adjust. The development of bank asset management business presents a trend of "five modernizations". At the same time, the large-scale development of commercial banks' asset management business also shows five major trends: the origin of business positioning, the net value of product types, the diversification of investment varieties, the non-spread of profit models and the independence of organizational structure. Trend 1: Localization of business positioning. The traditional wealth management business is that banks carry out "anti-financial disintermediation" innovation in the transitional stage of interest rate marketization, with the aim of saving deposits and releasing credit scale. To this end, investors generally believe that "bank deposits only earn money, not lose money", and then regard wealth management products as deposit substitutes under the background of interest rate marketization. Regardless of the capital preservation or not, the expected rate of return of wealth management products provided by banks is risk-free, and banks have already undertaken implicit guarantees. No matter what happens, the bank will pay hard. In practice, based on this fundamental reason, banks basically pay customers' income according to the expected rate of return. Even if the expected rate of return is not reached, banks often use their own funds to supplement customers' income. This implicit guarantee of wealth management products by banks not only violates the principle of matching risks with benefits, but also misleads the market. Its harmfulness lies in: first, the process that causes the industry to pay little attention to investment management; Secondly, the industry only pays attention to the ability of product sales and does not pay attention to the cultivation of investment ability; Third, it distorts the principal-agent relationship between banks and customers, and rigid payment actually increases the cost of the market; Finally, under the rigid payment, the bank's risk management ability is completely lagging behind, and it is only a simple and extensive exchange, which not only distorts and weakens the market restraint mechanism, but also is not conducive to dispersing the systemic risks of the financial system. At present, the asset management scale is equivalent to the amount of bank deposits. If the problem of rigid redemption is not solved, once the risks accumulated in the asset management industry break out, systematic and regional financial risks may appear, which may even affect social stability in the end. The traditional bank financial management should return to the essence of "entrusted by people, managing money on their behalf", emphasize the principle of "the buyer is responsible", and clarify the service content centered on customer wealth management. Banks will invest in the market on behalf of customers and do their duty for the preservation and appreciation of customer property. In this sense, asset management business is a subversion of the traditional business philosophy of commercial banks. Therefore, in order to develop asset management business, we must first establish a brand-new concept of asset management business and understand and master the operating rules of asset management business. Trend 2: Net value of product type. Under the "rigid redemption", traditional bank wealth management products mostly adopt the expected rate of return. With the radical reform of bank asset management business, under the guidance of regulatory policies, bank asset management business has further transformed into fund-based net worth products on the product side. Many banks have simplified their product systems and gradually replaced regular products with open products. At the same time, the innovation and distribution of net worth products have increased. According to "20 14 China Banking Financial Business Development Report" issued by China Banking Association, China Merchants Bank's net worth products account for more than 30%. ICBC focuses on promoting net worth product lines such as increasing profits, respecting profits and stabilizing profits. The proportion of traditional products decreased from 865,438+0% at the beginning of 2065,438+04 to 365,438+0%. Judging from the product model of international asset management business, net worth product is a widely used product management method, and has now become the development direction of wealth management market unanimously recognized by domestic commercial banks. Under the background of accelerating interest rate marketization reform, wealth management products are developing in the direction of openness and fund. The advantages of operating wealth management products according to the net value model are: after the fund is operated, investors get income according to the net value or valuation, which reduces the pressure of rigid redemption; After the open operation, customers can purchase and redeem wealth management products according to their own cash flow needs, and decide the investment period independently, which reduces the sharp fluctuation of product scale and is conducive to improving the liquidity management level of bank wealth management; After the operation of the fund, it will reduce the product management cost of the bank's wealth management terminal, reduce the occupation of limited human resources and reduce operational risks. In recent years, Chinese banks have continuously strengthened innovation in the form and structure design of net worth products. Commercial banks represented by ICBC give full play to the advantages of customers, funds and channels, deepen the integration of information technology and banking management, actively respond to challenges from all sides, and innovate to launch non-fixed-term non-guaranteed net worth products. Many banks, such as China Everbright Bank, rely on the experience of large asset management and transparent investment declaration system to launch entrusted asset management business, set corresponding investment targets according to investors' risk tolerance and expected return requirements, formulate the best investment strategy and asset allocation scheme according to investors' personalized requirements such as liquidity and investment period, and dynamically adjust and continuously monitor the portfolio asset operation according to macro and micro changes in the product operation process, so as to obtain sustained and stable investment returns for investors. Agricultural Bank, China Everbright Bank, Ping An Bank and many other banks have launched structured wealth management products. These products are linked to specific investment targets, and before the products are sold, the corresponding investment income can be obtained by agreeing on the change law of investment targets and the expected rate of return of products. Trend 3: Classification of investment varieties. Economic reform and development and the continuous enrichment of investment market tools have brought opportunities for bank asset management business investment. The investment object of bank asset management is no longer limited to credit assets and ordinary bonds, but extends to all kinds of assets including equity, various beneficial rights and futures. Bank asset management not only participated in the reform of state-owned enterprises, employee stock ownership plan, treasury bond futures and other markets, but also actively carried out emerging businesses such as investment in priority beneficiary rights of stocks in the secondary market, private equity allocation, stock market value management, financial allocation and quantitative hedging business. Three representative new investments include: stock market value management business, treasury bond futures products and MOM (manager's manager) products. Among them, the stock market value management business is that banks manage the market value on behalf of customers with the help of third-party investment consultants. 2065438+April 2004, China Petrochemical Co., Ltd. reorganized its oil sales business with its wholly-owned subsidiary China Petrochemical Sales Co., Ltd., and the reorganized sales company intends to introduce social and private capital by increasing capital and shares. In response to this reform, Industrial and Commercial Bank of China and Bank of Beijing respectively launched the first financial products to invest in the reform of mixed ownership, which provided a convenient way for individual customers to participate in the reform of mixed ownership of state-owned enterprises. Everbright Bank has also launched the stock market value management business of listed companies such as non-reduction or employee stock ownership plan. The product structure design and stop-loss conditions depend on the liquidity and valuation level of the secondary stock market. The business model is similar to the traditional stock preferential business in the secondary market, which realizes the risk sharing and benefit sharing between employees and enterprises, and at the same time enables executives, employees and important franchisees to fully share the development achievements of enterprises like small and medium-sized investors. Treasury bond futures products are financial products developed by commercial banks to invest in treasury bond futures on the basis of fully identifying and managing the risks of treasury bond futures. This wealth management product not only invests in bond assets, but also invests some funds in the treasury bond futures market, effectively hedging the interest rate risk faced by wealth management products, reducing the fluctuation of portfolio market value caused by the change of market interest rate, and providing an efficient and low-cost risk management tool for promoting the transformation of wealth management products from expected income type to net value type and enhancing innovation ability. MOM product is the manager's fund, which means that the fund manager does not directly manage the investment, but chooses managers to concentrate on the same product in the market and various strategies and entrusts them with management. 20 14, many banks vigorously promoted MOM products. MOM products are characterized by "multi-assets, multi-styles and multi-investment managers", and the investment scope includes bonds, stocks, futures, funds, index LOF, ETF and so on. This kind of product has experienced extensive investment operation and market test since it came out, and has been recognized by investors. At present, the net worth products managed by ICBC through this model have exceeded 654.38+030 billion yuan. Trend 4: the profit model does not spread. At the stage of focusing on expected income products, the income of bank wealth management business is mainly the spread between assets and liabilities, as well as custody fees and management fees. On the basis of promoting the net value of product types and investment varieties, combined with the improvement of risk management ability, the conditions for optimizing the profit model of bank asset management are relatively mature. In this context, some banks have changed the traditional profit model of interest margin, reduced their dependence on the interest margin of assets and liabilities, and built a profit model with "fixed expenses+performance share" as the main source of income. Specifically, it includes two aspects: on the one hand, according to the scale of product distribution, a fixed proportion of management fees are charged; On the other hand, according to the performance comparison benchmark generated by the asset measurement and product valuation system, the excess income beyond the performance comparison benchmark is divided by the bank and the customer according to the agreed proportion, and the performance share is obtained. From a higher perspective, the non-spread profit model of asset management is helpful to promote the transformation of traditional banks into transactional banks. This requires banks to balance the multiple objectives of wealth management business, improve the profitability of asset management business, build asset management business into a profit center, provide personalized asset management services to customers, and effectively enhance customer stickiness. The transformation of profit model ultimately depends on the improvement of innovation ability. Since 20 12, the wave of business innovation initiated by securities and insurance regulatory authorities has been constantly emerging, and dozens of systems and measures to promote the development of securities firms, funds and insurance institutions have been introduced one after another. Brokers, funds, insurance, trusts and other institutions that have entered the era of big asset management have invested unprecedented enthusiasm in asset management business, which has profoundly affected the competitive pattern of domestic asset management market and posed a severe challenge to the leading position of bank asset management business. The innovative measures of these non-bank financial institutions in asset management business not only enhance their own market competitiveness, but also provide new channels for bank financing investment, a new platform for bank financing product sales and a new source of funds for bank financing. Bank wealth management should focus on the whole asset management and wealth management industry, think and position from a global perspective, give play to the unique advantages of relying on banks, give play to the competitive advantages of banking groups, actively learn from the practices of international asset management institutions, especially the international leading bank asset management institutions in business models, organizational structures, process division, staffing, product systems, etc., explore the management system and organizational structure suitable for China's bank wealth management business, and clarify the road map and timetable for the transformation and development of bank wealth management business. Trend 5: Independent organizational structure. In order to improve the comprehensive management level of commercial banks' asset management business, under the guidance of CBRC and industry self-regulatory organizations, the organizational structure of bank asset management business is constantly being explored and adjusted, and it is gradually groping forward according to the path of "secondary departments-primary departments-business departments-subsidiaries". In 20 14, China Banking Regulatory Commission issued the Notice on Improving the Organization and Management System of Bank Wealth Management, which stipulated that commercial banks should actively promote the reform of the wealth management division in accordance with four basic requirements and five separation principles. On the one hand, in accordance with the basic requirements of separate accounting, risk isolation, code of conduct and centralized management, we will reform the wealth management business in the division system and set up a special wealth management business department to be responsible for the centralized and unified management of the wealth management business of the whole bank. On the other hand, the wealth management business is separated from other businesses such as credit, and an independent line risk control system is established in line with the characteristics of wealth management business; At the same time, the self-operated business is separated from the valet business, the bank wealth management products are separated from the wealth management products of third-party institutions entrusted by banks, the bank wealth management products are separated from each other, and the wealth management business is separated from other business operations of banks. Through the closed-loop management of wealth management business on behalf of customers, we can achieve real risk isolation, solve the independence of wealth management business, and let the wealth management business return to the essence of "entrusted by people to manage wealth on their behalf", so that the seller is responsible and the buyer is responsible. The reform of business division system has effectively solved the problem of multi-head management of banking internal wealth management business, realized the unified and centralized management of wealth management business, further optimized the R&D design, portfolio management, product sales, risk management and internal control of wealth management products, and promoted the standardized, professional and refined development of wealth management business. According to the statistics of China Banking Association, by the end of 20 14, 453 banking financial institutions had completed the reform of financial division system. At present, the reform of the wealth management department adopts the following four modes: (1) the head office sets up the asset management department (the first-level department), and the branches set up branches, such as state-owned banks. (2) The head office has set up an asset management department (tier-1 department), and branches do not set up branches, but only undertake marketing functions, such as some joint-stock banks. (3) The Head Office has set up asset management departments (secondary departments), such as some rural commercial banks. Due to the small scale of wealth management business, a secondary asset management department has been set up in the financial market department to manage wealth management business in a unified way, and retail is responsible for consignment business. (4) The Head Office has set up a coordination committee for wealth management business. For example, this mode is mainly adopted by foreign banks. Many joint-stock banks such as China Everbright Bank and Shanghai Pudong Development Bank even proposed to split the wealth management business into asset management subsidiaries. It should be emphasized that there are differences among banks and there is no optimal organizational structure. Bank asset management needs the cooperation of internal investment banking department, private banking department (wealth management department), financial market department and branches. In practice, problems such as the supremacy of departmental interests, overlapping processes, high coordination cost and poor information communication occur from time to time, and coordination is quite difficult. If we simply adopt the subsidiary model, it may be more difficult to coordinate and share resources between departments. Therefore, at this stage, banks should consider whether to set up an asset management division or an asset management subsidiary according to their own internal actual situation from how to improve their comprehensive service capabilities.