What is the limit of foreign shareholding ratio?

Any investment does not mean that there is no risk at all. Risk-free investment can be said to be non-existent. Tell everyone about it. What is the limit of foreign shareholding ratio?

The pace of supervision slowed down and coordination was strengthened. Supply-side reform is conducive to the improvement of non-performing basic assets in the industry, the non-performing rebound of the banking industry slows down, the fundamentals are stable and positive, and the value of plate allocation is enhanced. We maintain a buy rating on the banking sector. Continue to recommend China Merchants Bank and Bank of Ningbo, state-owned banks (Bank of China, China Construction Bank, etc.). The policy risk is small, the debt cost is controllable, and the dividend yield is stable. Pay due attention to Industrial Bank, Nanjing Bank and Ping An Bank. Risk warning: 1, economic growth falls back beyond expectations; 2. The quality of assets has deteriorated significantly; 3. Policy control efforts exceeded expectations.

The impact on China's banking industry mainly includes the following aspects:

1。 In terms of shareholding ratio, foreign capital inflows may increase, and it is expected that small and medium-sized banks are more likely to increase their shareholding than large banks. The main reason is that the big banks in China are large in scale, and foreign-funded institutions have higher capital requirements if they want to increase their shareholding ratio.

Judging from the current situation of foreign-funded institutions holding shares in domestic listed banks, the shareholding targets are mainly small and medium-sized banks. By the end of the third quarter of 20 17, among the 25 A-share listed banks, there were 8 foreign banks, and most of them were city commercial banks (5). Among them, OCBC Bank Limited (including QFII) holds a total of 20% of the shares of Bank of Ningbo, tied for the largest shareholder, with the highest shareholding ratio among listed banks. 2。 In operation, the further relaxation of foreign capital access has advantages and disadvantages for Chinese banks.

(1) With the relaxation of foreign capital access, the competition in China's banking industry will become more intense, or it will force domestic banks to carry out institutional reforms, which will help improve operational efficiency and asset quality, thus enhancing operational stability;

(2) Generally speaking, foreign banks pay more attention to the development of retail business, with outstanding performance. They are experienced in providing services such as credit cards and wealth management, and have obvious advantages in product innovation and technology application. The relaxation of foreign capital access will intensify the competition of banks in retail business. But from another perspective, it will promote the retail service ability of China's banking industry and the application of financial technology, help improve the profitability and stability of China's banks, and make a positive contribution to the improvement of valuation. 3。 In terms of supervision, the current institutional mechanisms of foreign banks in China are not perfect. In order to create a consistent and fair competition environment for foreign-funded institutions, it is expected that the level of financial supervision in China will be further improved.