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The Banks Jump into Shadow Banking

  • Andrew Collier
Chapter

Abstract

The chapter describes the growing involvement of the formal banks in the sale of Shadow Banking products. It analyzes the impact on bank profits of the sale of Wealth Management Products (WMPs). It mentions a brief history of China’s banking system including the separation of the lending banks from the central bank (PBOC). It analyzes the competitive pressures placed on banks by the growing Shadow Banking system, the impact of regulatory arbitrage on the formal banks, and the relationship between Trusts and banks in Shadow Banking. It then describes the growth of investment products on bank balance sheets as a means of evading lending restrictions.

Keywords

Banking System Balance Sheet Investment Portfolio China Security Regulatory Commission Debt Security 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Bibliography

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Copyright information

© The Author(s) 2017

Authors and Affiliations

  • Andrew Collier
    • 1
  1. 1.Orient Capital ResearchHong KongHong Kong

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