On the current China's commercial banks problems Personal Financial Services and Solutions

[Abstract] commercial bank Personal Financial Services is a commercial bank's traditional business is an important part, as China's rising income, the residents and further enhance the financial awareness of the price level continued to rise in recent years, the personal finance business development with to an important opportunity, however, due to historical and practical reasons, China's commercial banks in the personal finance business development there are some problems, this paper aims to do in-depth analysis of this issue and a brief description, and gives the author of some of this problem recommendations.

[Keywords] commercial bank personal finance

China's commercial banks in the personal finance market has a late start, rapid development, the characteristics of strong power in the personal financial services, expanding the total market demand, while the mass of financial services is also undergoing profound changes in the hierarchy of needs, from the past simply by Interest earned on bank deposits and protect the security, has grown to the current payment and settlement, foreign exchange, temporary overdraft, loan financing, investment management and comprehensive wealth management comprehensive, multi-level financial services assets of those who have wealth and stable high-income groups of individuals, in particular, need a professional to provide a full range of banking institutions, professional, personalized asset management services to ensure that private equity hedge appreciation, personal finance for commercial banks to expand business to provide a broad market prospect. Overall , domestic commercial banks have been given on the Personal Financial Services, adequate attention, and another in the product design, service system, the financial advisor team building, cooperation with industry, information technology, etc. With some planning and investment in many places there are many areas worthy of improvement.

First, the current problems
While the domestic commercial banks already booming personal financial services to carry out together, but must be clearly seen, and veteran foreign commercial banks, domestic banks' wealth management business in the service and product design, marketing concepts, the depth and breadth of customer service, financial performance evaluation, there are still many deficiencies. The main problems can be summarized as follows:
1. Financial products is not enough rich
Not rich because of financial products, mainly policy and regulatory constraints still more level, such as the direction for the financial constraints on investment products, financial constraints and other mixed areas, although the banks in order to seize market opportunities, to spare no effort to introduce the numerous financial products, but in fact is just a simple combination of money market products, personal business, international business or banking business with the industry were classified packaged, labeled and then sculpted the popular and easy to remember name, but the real innovation financial products has not increased, compared with the other banks are not much different result is the product on the market though dazzling, but the real choice of products did not increase. interbank often homogeneous product competition, not the customer orientation, and the fierce market competition led to lower yields.

(2) the lack of a large number of China's banking expertise and financial aspects of client manager.

From product development perspective, the current financial market financial products on the foreign exchange from foreign banks, most of the original design, the commercial banking products R & D capabilities is weak and many grass-roots network account manager also needs to further improve their professional level. Currently, many Although the financial center of the financial staff of the name known financial experts, but many tend to have only the status of the business, the business is not relevant industry professional associations. high-quality compound is currently a lack of talent.

3. A lot of potential business risks, the banks control the financial risks of weak business
With <<Commercial Bank Interim Measures for Personal Financial Services>> The introduction, in order to prevent "a place on the chaotic" situation, the CBRC also announced a <<commercial bank Personal Financial Services risk management Guidelines>>, to encourage business innovation but also stressed the risks of commercial banks of China's new personal finance market, the ability to control risk is relatively weak. Financial Services Financial Services, a comprehensive decision involving multiple levels of product and easy, hidden forms of potential risks. Bank Personal Financial Services business is a comprehensive financial advisory services in financial management on the basis of acceptance of a client and authorization , according to prior agreement with the customer's investment plans and ways of investment and asset management operations, so in addition to integrated financial services market, operational risk and add more risk. Rapid growth of bank Personal Financial Services, Bank of China raised new requirements, internal moral hazard and the external market risk control, and if irregularities occur, the risk of a loss, to take remedial measures which would be the banks will have to carefully consider.

Second, the short-term commercial bank personal finance market, the recommended strategy for improving
1 personal financial needs of the market segments to further nurture and Links to free download http://www.hi138.com
China thousands of years of history and culture of a people has long been the habit of thrift. People in the importance of frugality at the same time, pay more attention to the use of money and arrangements in the clever use of funds arrangements, detailed plan on this point, China and the West are not in up and down, but the concept of personal finance is far behind the Western countries, financial management is very backward. conservative financial approach to single people, and even a considerable number of people in what is money management is unheard of. Currently, most residents are mainly personal savings as the primary means of personal property preservation, and the current era of China is in the negative interest rates in the risk and return considerations, and the savings of the most similar to the number of financial management of the savings in absolute value and want to are high, for financial management is an opportunity and a challenge of China's banking customers until further enhance the financial management concepts, it will breed a new piece of financial markets.

(2) financial capacity building team
Ability referred to here, is the financial services team of the overall service capacity building, not only refers to financial advisors personal financial planning capacity. In general, the financial advisor's personal expertise include: financial planning capacity, tax-planning capacity, retirement planning capacity, insurance, planning capacity, trust planning capacity, etc. In addition to team building can also maintain a customer base of stability in the corporate banking business, because businesses often do not handle personnel changes churn. Compared with under the prospects of financial services industry, mainly by the financial advisor with clients one on one contact, if the loss of financial advisers, often loss of customers is extremely easy, and as banks are not at this time, first-hand with customers to maintain contact with financial advisors The one-way customer service, while as a financial team should more closely with customers to maintain relationships with a service style attracted customers, which will be the team overall service capacity and service style test.

3. To establish uniform standards of practice
China's banks in a short time established many financial center financial professionals tend to be referred to as financial planner, financial planner, but the domestic standards of practice in a more complicated situation. Dazzling variety of the English abbreviation of the certification for investors loss. Lack of professional training and certification standards, lack of uniform standards of practice seems to have become the bottleneck of the development of the banking financial business face of financial services to individuals and families show the growing demand of domestic banks, securities, trust, insurance and other types of financial institutions have started to promote personal financial planning services. this is necessary to formulate a unified financial planning through certification standards, to establish practice standards of the ruler, standard financial planner professional training and certification, testing and standards through the recognition level to promote improved financial planner professional standards, and through industry self-regulation and other means to enhance professional ethics, to gain social and public recognition and trust.

References:
[1] Yangxin Chen Han Jiandong: "Commercial Bank Personal Financial Services business building strategy" <<China's financial computer>>
[2] Chennai Hua: "Our Personal Financial Services", <<Contemporary Manager>>
[3] Ge Zhaoqiang high Yuhui: "China's commercial banks to finance business development assessment," "Banker>>
[4] Xu-Guang Liu: "Commercial bank risk management, personal financial services", "China's financial>>

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