Systemic risk, financial security and the financial holding companies of China

Abstract

In the context of China's implementation of the mixed operation of financial industry, the financial risks also accumulate and gradually increase. The stability of the banking system play important role in the financial security. We employ the systematic marginal expected loss method to calculate the risk accumulation degree and the contribution rate of each bank in the international financial crisis based on the open market data. We also analyze the systematic risk conduction path and the optimum model of the financial holding companies in China.