In China, trust, wealth management and other businesses are completely under the supervision of the CBRC, which is inconsistent with the definition of shadow banking by the Financial Stability Board, so it cannot be regarded as shadow banking. However, there is no clear definition of the concept of "shadow banking" in China. "As long as it involves lending relationships and off-balance-sheet business, it belongs to' shadow banking'."
Commercial banks are the most commonly used banks for individuals, enterprises, governments and institutions. There are many kinds of banks, such as central banks, commercial banks, investment banks, policy banks, savings offices, credit cooperatives and so on. The purpose, function, operation, business scope, business subjects, customers and risk tolerance of different banks are very different, even completely different, so it is impossible to generalize. The main business scope of commercial banks includes absorbing deposits from the public, enterprises and institutions, issuing loans, discounting bills and intermediary business. It is a savings institution, not an investment institution.
Investment bank (corporate finance) is a non-bank financial institution mainly engaged in securities issuance, underwriting, trading, enterprise restructuring, mergers and acquisitions, investment analysis, venture capital and project financing, and is the main financial intermediary in the capital market. In China, the main representatives of investment banks are China International Capital Corporation and CITIC Securities. What people usually say about financial investment mainly refers to securities investment. There are three main analysis methods of securities investment: basic analysis, technical analysis and evolution analysis, in which the basic analysis is mainly applied to the selection of investment objects, while the technical analysis and evolution analysis are mainly applied to the temporal and spatial judgment of specific investment operations as an important supplement to improve the effectiveness and reliability of investment analysis.
Funds that use hedging transactions are called hedge funds, also known as hedge funds or arbitrage funds. There are many methods and tools for hedging transactions, such as short selling, swap trading, hedging between spot and futures, hedging between basic securities and derivative securities, etc. Hedge funds avoid or reduce risks by hedging, but the result is often counterproductive. Because of the huge potential risks, hedge funds are defined as a kind of private equity funds, not Public Offering of Fund.
Hedge funds use various trading methods to hedge, transpose, hedge and hedge to make huge profits. These concepts have gone beyond the traditional operation scope of preventing risks and ensuring benefits. In addition, the legal threshold for launching and establishing hedge funds is much lower than that of mutual funds, which further increases their risks. In order to protect investors, North American securities regulators listed it as a high-risk investment product and strictly restricted the involvement of ordinary investors. For example, it is stipulated that each hedge fund should have fewer than 65,438+000 investors, and the minimum investment is 654,380+000 million dollars.
People call financial futures and financial options financial derivatives, and they are usually used as a means to hedge and avoid risks in financial markets. With the passage of time, in the financial market, some fund organizations use financial derivatives to adopt various profit-oriented investment strategies. These fund organizations are called hedge funds. At present, hedge funds have long lost the connotation of risk hedging. On the contrary, it is generally believed that hedge funds are actually based on the latest investment theory and extremely complex financial market operation skills, making full use of the leverage of various financial derivatives to undertake high-risk and high-yield investment models.
After decades of evolution, hedge funds have lost the original connotation of risk hedging. Based on the latest investment theory and extremely complex financial market operation skills, they make full use of the leverage of various financial derivatives, take high risks and pursue high returns.
Hedge funds obtain the differential income caused by price fluctuation through trading according to an established procedure. It is sold and bought at the same time. If you buy short positions for three months and long positions for one month at the same time, you can hedge at the same price, and there will be profits after hedging.