Private bank pilot finally get a new breakthrough

Li Jing flaws

Since the second half of last year, much attention has finally been given to new breakthroughs in private bank pilot projects.

On July 25, the CBRC officially approved the preparation of the three pilot private banks. These three privately-owned banks are the sponsors of Tencent, Baoyuanyuan and Founding, respectively. They set up Shenzhen Qianhai Weizhong Bank in Shenzhen City, Guangdong Province. Chint Group and Huafeng-based sponsors set up Wenzhou Commercial Bank in Wenzhou City, Zhejiang Province , As well as North China, wheat-based promoter, set up Tianjin Jincheng Bank in Tianjin.

Ali, Fosun "did not catch up"

In March of this year, among the five pilot private banks selected by the CBRC, Ali, Wanxiang and Junyao, the private banks initiated by Fosun, did not enter into the first batch of pilot lists approved for construction.

"At present, we are actively preparing for the process and fully demonstrate the various complexities. Follow-up further action we will be disclosed to the public at any time." Alisong Micro Finance Services Group Vice President Yu Shengfa responded publicly. At the news briefing on the day, the relevant person in charge of the CBRC also said that it will continue to guide the preparation team of the other two pilot banks to speed up the feasibility study and plan preparation.

"We are also researching and demonstrating issues related to the expansion of pilot projects, especially for the establishment of private banks in the central and western parts of the country where financial services are poor, and this work has been going on in a synchronized manner." The CBRC official said that it will advance in due course Expand the pilot of private banks to further mobilize the enthusiasm of private capital into the banking sector.

"The establishment of private banks has a guiding role for the future entry of private capital into state-owned capital-led industries and an important measure for deepening the reform." According to Guo Tian-yong, director of the China Banking Research Center at the Central University of Finance and Economics, The establishment of banks can increase the supply of small and micro finance, to a certain extent, ease the financing of small and micro enterprises.

Differentiated management

Differentiated positioning is the pilot of a large private bank conditions. Compared with the previous scheme disclosed by China Banking Regulatory Commission, some banks have changed their modes.

Earlier, the banking regulatory released by the China Banking Regulatory Commission released the "small deposits of small loans", Tencent positioning "large deposits of small loans," Tianjin positioning "public deposits of public loans", while the other two are reflected in specific regions, serving local small and micro enterprises, Financial consumers.

At present, the Qianhai-based Bank of the People's Bank initiated by Tencent has changed its model of "depositing small loans to depositing personal loans" and will become a bank that will focus on serving individual consumers and small and micro enterprises. The CBRC said it took into account the economic and financial situation of its location and the advantages of its shareholders, and it also adjusted the specific needs of target customers.

In addition, Wenzhou CMB positioned itself as a provider of inclusive financial services for small and micro enterprises, individual industrial and commercial households and residential quarters in the Wenzhou area, and "three rural" in the county. Tianjin Jincheng Bank will focus on the development of public service in Tianjin.

Guo Tianyong said that although there are many types of banks at present, small and micro enterprises and other groups still face the problem of financing difficulties. However, the financing needs of private banks and small and micro enterprises are coupled, and therefore require the precision and strength of private banks to differentiate service.

"Private banks should stratify their customers and locations with the state-owned banks, stockbrokers, city commercial banks, rural credit cooperatives and small loan companies in the current banking system, which is in line with the establishment of private banks by supervisors and supports the development of small and ' Agriculture, rural areas and other credit resources tilt the direction of the policy. "Ping An Securities related reports said.

According to the report, due to its own size limitations, private banks may have stronger bargaining power compared with traditional medium and large-sized banks because of their asset-pricing ability. However, there are also a lack of outlets and resources, and liabilities End pressure may be relatively large; the lack of general banking risk management ability; contribution of comprehensive income may be lower than the industry and other disadvantages.

"It is indeed a major challenge to go after the economic downturn and to set up banks in the context of a new and unhealthy bankruptcy." Zongliang, deputy director of the Institute of International Finance at the Bank of China, said that private banks should pay attention from the very beginning Perfect, sound corporate governance mechanisms, management needs professionals, especially in risk management.

Relevant person in charge of the above-mentioned CBRC also disclosed that when making plans, Shenzhen Qianhai Micro Public Bank set the Internet characteristics. As for whether the physical outlets will be set up, the scope of business to be finally approved at the time of opening should prevail.

Guo Tianyong said that as far as the current situation is concerned, the establishment of pure online banking by private banks is not very realistic. The most likely one is to reduce the number of physical stores and turn to network-based ones, while the physical stores may be mainly self-service equipment. " Entity self-service bank + direct bank "or a viable model.

The approval of the CBRC for the preparation of the three private banks also raised the proportion of single-sponsor ownership from 20% previously raised to 30%. For example, Shenzhen Qianhai Weizhong Bank, the main sponsor of the total share capital of Tencent accounted for 30%, 100 Yayuan Investment Co., Ltd. accounted for 20% of the total share capital, Holdings Group Co., Ltd. accounted for 20% of the total share capital.

Optional "Living Testament"

"At Your Own Risk" has always been a clear label for pilot private banks. The CBRC requires that all pilot banks adhere to the principle of launching purely private capital, determine the relevant arrangements at their own risk, and shareholders promise to voluntarily accept extended supervision and will formulate bank recovery and disposal plans before opening.

"It is also necessary for a private bank to set up a system of designing the proprietors' own residual risks in the early stage, and if the central bank deposit insurance system is introduced in the next six months or so, the design is somewhat redundant," said Guo Tian-yong.

In fact, at present, China's banking industry has not compulsorily formulated the "living testament" of the relevant provisions. Relevant person in charge of the above CBRC also said that in order to conform with the current relevant laws and regulations, the regulatory authorities did not make mandatory commitments to non-state-owned banks for unlimited continuous responsibility. Instead, they encouraged the promoters to voluntarily promise to bear the remaining risks of business failures. As for the extent to which promoters bear the residual risk, the arrangement of the three banks is different.

"If the deposit insurance system is not yet established, and the banks are exposed to the risk of bankruptcy liquidations, and the bank's net assets are not enough to cover the bank depositors' deposits, the promoters of these pilot banks promised to use net assets or actual controls People's net worth, deposit the depositor in whole or in part. "The official said.

Zongliang believes that in the future, with the accelerating marketization of interest rates, it is necessary to design a market-based system to ensure the sound development of banks. The deposit insurance system is necessary. And encouragement like the "living testament" mechanism of private banks is a kind of special system design. In the future, the deposit insurance system needs to be changed in the future.

Prevent related party transactions

For the next step, the CBRC said that in improving the regulatory arrangements for private banks, we are now studying the drafting of guidelines for the supervision of private banks. In the meantime, in the process of supervision, specialized agencies and specialists will be made clear and the pilot private banks will be supervised according to prudent standards.

"We will also strengthen the supervision of related party transactions on pilot private banks according to the characteristics of private banks." Relevant officials of the CBRC said that the experience of some private banks in the past has proved that private banks are more prone to related party transactions.

For the prevention and control of connected transactions by private banks, the CBRC also proposed to encourage bank shareholders and their affiliates to voluntarily relinquish the rights to obtain related loans and reduce the connected transactions of the pilot banks. Other related party transactions, but also to take itemized pre-reporting ways to reduce the risk may be related party transactions.

"Next, the China Banking Regulatory Commission will guide the three pilot banks to build a working group to do all the preparatory work for building a reasonable corporate governance structure, drafting the bank charter, selecting qualified directors, senior management, drafting operational guidelines and plans to establish the bank's main Management system and risk prevention system framework. "China Banking Regulatory Commission Shang Fulin on the day of the first half of 2014 banking supervision and management work and economic and financial situation analysis conference.

Xu Zhiwu, vice president of Chint Group, said the next step will be detailed plans and plans to build in accordance with the preparatory work, refine outlets, places, systems, personnel and other work for the early opening of the conditions to submit to the CBRC opening application.

According to the CBRC's approval documents, the three pilot private banks need to be completed within 6 months, or they can apply for an extension of one month in advance if they are not completed on schedule. There is only one time to set up the extension, the maximum period is 3 months. This means that the construction of private banks up to the longest must be completed within 9 months, otherwise the preparation of the approval document will lapse.