ANALYSIS OF THE CURRENT SITUATION OF BANK FINANCIAL PRODUCTS IN CHINA

Abstract

With the rapid economic development in China, the substantial increase of people's daily income and the improvement of their living standards, the people who are getting affluent began to think about how to manage and use their increased wealth. It has become a hot topic that more and more civilians pay attention to. As people getting rich have more spare money in their hands, financial management has become not only a part of people's daily lives but also the new point of competition for the major banks. Yet the Agricultural Bank is no exception. The Agricultural Bank regards gradually the personal financial management business as the strategic focus of the development of the bank, the reason is that the personal financial management business has many advantages such as less risk, stable income and individuality and so on. It also increases the way of acquiring banking revenue, improves the structure of banking revenue, reduces the capital risk of bank-run, and then enhances the own competitiveness of banks. In order to occupy the market of financing products, Agricultural Bank has successively rolled out financial products suitable for different groups with diverse risk preference of investing. At the beginning of this paper, the concept and characteristics of bank’s financial products and the necessity of studying them are introduced, and then the developmental direction of finance products in Jiangcheng Branch of Agricultural Bank is summarized by combining relevant literature and periodicals.

Based on the regional background of Jiangcheng Agricultural Bank, this paper elucidates the investigated content about the present situation of financial products by conducting an interview with the manager of Jiangcheng Branch. By the sufficient collection and systematic analysis of relevant literature and periodicals, the present situation of financial management products of the Jiangcheng Branch of the Agricultural Bank of China is obtained. Thus it lays the groundwork for the third part about problems and the fourth part about countermeasures. At the same time, some pertinence suggestions are given on the following four problems: serious homogenization of products, lack of professional financial personnel, inadequate propaganda of financial products and unsatisfactory environment of financial services. Consequently, the development of financial products of Jiangcheng Branch has been improved, and the structure of banking income has been increased.It reduces the capital risk of bank operation, and then improves the bank’s own competitiveness .