The Age of Banks Adjustment of Watch: How to Pressure the Interbank, Control Non-standard and Loan

category:Finance
 The Age of Banks Adjustment of Watch: How to Pressure the Interbank, Control Non-standard and Loan


This is a statement made by Liu Xiaochun, former president of Zhejiang Commercial Bank in June last year. This year, the industry is discussing a view that from the central bank to commercial banks, are adjusting the table.

In the process of supervision pressure and interest rate marketization, commercial banks are increasing efforts to adjust their balance sheets, or even restructure.

Joint-stock banks have basically completed the adjustment of their balance sheets, and the growth rate and proportion of loans have exceeded those of investment assets. However, the city commercial banks are still facing the pressure of adjusting their balance sheets. Many city commercial banks have more investment assets than loan assets. Among them, the investment assets of Zhengzhou Bank accounted for 51.83%.

In recent years, under a series of supervision such as industry consolidation and new regulations on capital management, bank assets have returned from off-balance sheet to in-balance sheet and from non-standard and in-line non-credit assets to credit assets.

One is that among the assets of banks, there are three main types: credit assets, i.e. corporate loans, personal loans and credit cards of banks; investment assets, including bonds, Trust Income rights, asset management products and other non-standard assets; and interbank assets, including depositing interbank assets, dismantling funds, buying and selling back. Traditional interbank assets and accounts receivable investments.

Inter-industry assets continued to depress, accounting for about 5.6% of total assets; in the case of strengthened supervision of the business and fluctuations in the capital market, the size of the industry fell by about 3% compared with March.

In addition, investment assets accounted for 28.6% of the total assets. Among them, non-standard assets continued to shrink, with a scale of about 6.6 trillion yuan, which was 250 billion yuan lower than that at the end of 2018. However, standard assets such as bonds have grown steadily, with the proportion of debt assets reaching 23%.

Among them, credit assets account for the majority of the balance sheets of state-owned banks, and this trend is constantly strengthening. By the end of June 2019, the credit assets of the five major state-owned banks accounted for more than 50%, and the highest amount of credit issued by CCB was 14.09 trillion yuan, accounting for 57.77% of the total assets.

Industry insiders pointed out that big banks started early on asset allocation. Taking LPR as an example, some people in the bank disclosed that about 48% of the new loans in the first half of the year were priced by LPR, and the other ones that did not use LPR were personal mortgage loans.

Chen Shujin, chief financial analyst at Huatai Securities in Hong Kong, said that the impetus for banks to adjust asset allocation comes from three aspects: first, to implement the requirements of supervision and support for the real economy and increase credit input; second, under the measures of the central banks benchmarking, the loan interest rate is higher than that of bond investment and the same market, and the loan is expected to be obtained. Higher returns; third, after the contractors bank was taken over, the interbank has just broken down gradually and is no longer entirely risk-free.

Different Tables Adjustment Strategies

Small and medium-sized banks, including joint-stock banks and city commercial banks, have made greater efforts to adjust their watches.

Among the joint-stock banks, Societe Generale Bank has made the most efforts to adjust its balance sheet, and its former assets of the same industry and investment account for a relatively high proportion. After adjusting the balance sheet, the banks loan proportion increased rapidly from less than 1/3 in 2016 to over 45% at the end of June this year. In the first half of 2019, Societe Generale Banks loan proportion was 45.22%, 2.93 percentage points higher than that at the end of last year, and the proportion of investment assets was 40.53%, 2.56 percentage points lower than that at the end of last year.

At the analystsperformance meeting, executives of the bank said that while the asset scale was not reduced, the growth rate of deposits and loans was double 11%, faster than the growth rate of assets scale of 4%. In the aspect of adjusting the balance sheet, Xingye has realized two 3000 and two 30000, the former refers to deposit increment of 360 billion yuan and loan increment of 310 billion yuan, the latter refers to the deposit scale of statutory interest rate exceeding 3 trillion yuan and the loan scale exceeding 3 trillion yuan.

The 21st Century Economic Report exclusively reported in April this year that senior executives of Societe Generale Bank said, Many people in the market doubt the restructuring of the balance sheet of Societe Generale Bank. Since 2017, under the macro environment of supervising the 3340 and the sharp rise of market interest rates, Societe Generale has been under great pressure, so it proposes to take the initiative to reduce asset growth. Speed. At that time, several equity banks responded by reducing their balance sheets, but Societe Generale came to the conclusion that they restructured their balance sheets without reducing their balance sheets.

He said that from 2017 to 2018, Xingye has achieved three changes, one is two 9000, with 900 billion yuan of new loans in the Xingye Form and 900 billion yuan of reduction in non-standard investment in the same industry. Among them, personal loans exceeded 1 trillion yuan; second, customer deposits increased by 600 billion yuan, standardized bond investments increased by 600 billion yuan; third, two 9.5 percent, loans increased by 9.5 percent, and interbank liabilities decreased by 9.5 percent, which was less than 25 percent by the end of last year according to regulatory standards.

Among other joint-stock banks, peoples livelihood, Pufa and Everbright have also made greater efforts to adjust their watches. According to Wind statistics, from 2016 to the end of June 2019, Everbrights credit assets increased by 10 percentage points to 54.46%. In the first half of this year alone, Everbrights investment securities and other financial assets accounted for 28.76% of the total assets, down 1.45 percentage points from the end of last year. During the same period, the proportion of peoples livelihood and Pudong Developments credit assets increased by more than 8 percentage points.

However, the peoples livelihood and Pudong Development Schedule have been repeated in the first half of this year. The net loans and advances issued by the peoples livelihood increased from 46.25% at the end of 2017 to 50.18% at the end of 2018, then slightly decreased to 49.36% at the end of June this year; the net investment in bank transactions and books increased by 1.5 percentage points in the first half of this year.

It is worth noting that joint-stock banks often coordinate with the transformation of big retail, replacing their counterparts through retail efforts.

For example, retail deposits of Pudong Development Bank exceeded 800 billion yuan in the first half of the year, but the average cost rate increased slightly compared with the same period last year. Liu Xinyi, president of the bank, pointed out that although retail costs have increased, the growth of retail deposits has replaced higher-cost liabilities, with interbank liabilities falling by 3%, which is equivalent to an increase in size and a reduction in total costs.

Pressure of Meter Adjustment of City Commercial Bank

It is noteworthy that the pressure of adjusting the meter of city commercial banks.

However, the proportion of interbank assets of commercial banks in various cities is generally low, all of which are single digits, but the proportion of investment assets is relatively high.

According to Guosheng Securities Statistics, the investment assets of Nanjing Bank, Ningbo Bank, Guiyang Bank, Hangzhou Bank, Chengdu Bank, Zhengzhou Bank and Changsha Bank all account for more than the loan assets. Among them, the investment assets of Zhengzhou Bank accounted for 51.83%, far exceeding the loan proportion of 35.75%.

The investment assets of Zhengzhou Bank are mainly non-standard assets. The bank invested 249.34 billion yuan in Securities and equity instruments, an increase of 5.58% over the end of last year. Among them, investment products under trust plan and investment products managed by securities companies accounted for 37.09% and 22.74% respectively, while other debt financing plans, re-factoring and other investments accounted for 10.90%.

The loan growth rate of city commercial banks has begun to exceed financial assets. In the first half of 2019, the total principal amount of loans and advances of Guiyang Bank was 193.733 billion yuan, an increase of 13.76% over the beginning of the year; its financial assets were 269.975 billion yuan, an increase of 4.30% over the end of last year.

During the same period, the total amount of loans and advances from Ningbo Bank was 470.458 billion yuan, an increase of 9.64% over the beginning of the year, and the investment in securities was 564.610 billion yuan, an increase of 3.53% over the end of last year.

Inter-industry business of city commercial banks is being regulated. On September 2, the head of the relevant departments of the Banking Insurance Regulatory Commission said that at present, the supervision of the interbank business of city commercial banks should be carried out in accordance with the current unified regulation of commercial banks. Daily monitoring of relevant indicators belongs to the routine work of off-site supervision.

Earlier, on August 29, the 21st Century Economic Report exclusively reported that the assets and liabilities of some urban commercial banksinterbank business were too large and the supervision was intended to monitor the size of the industry and gradually reduce it.

Specifically, in some regions, the Banking Insurance Regulatory Bureau has imposed restrictions on banks with different regulatory ratings, requiring that the ratio of all interbank assets to net primary capital should not exceed 300%, 400% and 500% respectively according to different ratings; correspondingly, the ratio of all interbank liabilities to net primary capital should not exceed 200%, 300% and 400% respectively. %.

Source: Yang Qian_NF4425, Responsible Editor of Economic Report in the 21st Century