Here, The Decision on Implementing the Access Management of Financial Holding Companies (hereinafter referred to as the Access Decision) and the Trial Measures for the Supervision and Management of Financial Holding Companies (hereinafter referred to as the “Financial Control Measures”) The heavyweight document was announced on the same day!
In order to regulate the behavior of financial holding companies, strengthen the supervision and management of the establishment of financial holding companies by non-financial enterprises, etc., and prevent systemic financial risks, September On the evening of the 13th, the State Council issued the”Decision on the Implementation of the Access Management of Financial Holding Companies”, clarifying that non-financial enterprises, natural persons, etc. hold or actually control two or more different types of financial institutions, and the total number of financial institutions that hold or actually control If the scale of assets meets the requirements, an application should be made to establish a financial holding company. To apply for the establishment of a financial holding company, the paid-in registered capital shall not be less than RMB 5 billion, and not less than 50%of the total registered capital of the directly controlled financial institution. The decision will take effect on November 1, 2020.
According to the”Decision”, the People’s Bank of China subsequently issued the”Trial Measures for the Supervision and Management of Financial Holding Companies.”
Three situations must apply for establishment Financial holding company
The definition of a financial holding company refers to holding or actually controlling two or more financial institutions of different types. Limited liability companies or joint stock limited companies that carry out equity investment management and do not directly engage in commercial business activities.
The”Decision” stipulates that non-financial enterprises, natural persons, and recognized legal persons within the territory of the People’s Republic of China hold or actually control two or more different types of financial institutions, with the following three provisions In case of circumstances, an application shall be submitted to the People’s Bank of China to establish a financial holding company upon approval.
First, if the controlling or actual controlling financial institutions include commercial banks, the total assets of the financial institution shall be no less than RMB 500 billion, or the total assets of the financial institution shall be less than RMB 500 billion However, the total assets of other types of financial institutions other than commercial banks are not less than RMB 100 billion or the total assets under entrusted management are not less than RMB 500 billion;
Secondly, holding or actual control If commercial banks are not included in the financial institution, the total assets of the financial institution shall be no less than RMB 100 billion or the total assets under entrusted management shall be no less than RMB 500 billion;
The third is, holding or The total assets of financial institutions under actual control or the total assets under entrusted management do not meet the standards specified in the first and second items above, but the People’s Bank of China believes that a financial holding company needs to be established in accordance with the requirements of macro-prudential supervision.
Unapproved transfer of relevant equity, etc.
In addition, the”Decision” requires, In addition to meeting the requirements of the”Company Law of the People’s Republic of China”, the actual paid-in registered capital shall not be less than RMB 5 billion, and not less than 50%of the total registered capital of the financial institution directly controlled; the reputation of shareholders and actual controllers Good, and in compliance with relevant laws, administrative regulations and the relevant provisions of the People’s Bank of China; have directors, supervisors and senior managers who meet the qualifications for their positions; have the ability to continuously replenish capital for the controlling financial institutions; have a sound organizational structure and effective Risk management, internal control system and other prudential conditions.
It is worth emphasizing that the”Decision” requires that the People’s Bank of China issue a financial holding company license to the market supervision and management department for financial holding companies established upon approval. , Get a business license.
Without the approval of the People’s Bank of China, one may not be registered as a financial holding company, and may not use the words”financial holding” or”financial group” in the company name. At the same time, if a financial holding company should be established in accordance with the provisions of this decision but has not been approved, it shall transfer the equity of the controlled financial institution or transfer the actual shares in accordance with the requirements of the People’s Bank of China, the Banking and Insurance Regulatory Agency of the State Council and the Securities Regulatory Agency of the State Council. Measures such as control rights.
The”Decision” also clarified that prior to the implementation of this decision, there are circumstances under which this decision should apply for the establishment of a financial holding company, and it shall apply to the People’s Bank of China within 12 months from the date of implementation of this decision Set up a financial holding company. Those who fail to apply within the time limit shall follow the requirements of the People’s Bank of China in conjunction with the State Council’s Banking and Insurance Regulatory Agency and the State Council’s Securities Regulatory Agency to take measures such as transferring equity in the financial institution it controls or transferring actual control rights.
If financial assets controlled or actually controlled by non-financial enterprises or recognized legal persons account for more than 85%of their consolidated total assets and meet the requirements of this decision and should apply for the establishment of a financial holding company, it is also You can apply for approval as a financial holding company in accordance with the conditions and procedures for establishing a financial holding company as stipulated in this decision.
The new regulations have a positive impact on the financial market
The relevant person in charge of the central bank is answering a reporter’s question Said that in recent years, some large financial institutions in my country have carried out cross-industry investments and formed financial groups; some non-financial companies have invested and controlled many financial institutions of various types and become de facto financial holding companies. However, there are a small number of companies blindly expanding into the financial industry, lack of isolation mechanisms, and increasing risks.
The person said that financial holding companies are often large-scale, diversified in business, highly connected, and operate across institutions, markets, industries, and regions. It is related to national financial security and social public interests and needs to be regulated by market access. The establishment of a clear administrative license is an important part of the legal supervision of financial holding companies, which is conducive to comprehensively promoting the operation of financial holding companies in compliance with laws and regulations, and preventing cross-contagion of risks.
The person said that overall, the new regulations will have a positive impact on financial institutions, non-financial enterprises and financial markets. A financial holding company with a clear shareholding structure and a sound risk isolation mechanism as the controlling shareholder of financial institutions will help integrate financial resources and enhance operational stability and competitiveness. In the long run, the promulgation of the”Financial Control Measures” is conducive to promoting orderly competition and sound development of various institutions, and preventing systemic financial risks.
Zeng Gang, deputy director of the National Finance and Development Laboratory, believes that in recent years, there have been many practices involving financial holding, some of which are not called financial holding companies. However, the practice of financial holding is actually formed, which may control multiple financial institutions, and may also be in different industries, such as securities, insurance, banking, and trust. Because it is outside the regulatory framework, management is not standardized, and there are certain potential risks, which have a certain impact on financial stability, and should be included in the management of financial holding companies.”Similarly, bank financial holding companies and insurance financial holding companies were originally in the regulatory system, but they were not included in the regulatory system. They are mainly financial control platforms established by various non-financial companies and local governments. They all fall into the central bank’s regulatory system for financial holding companies.” Zeng Gang pointed out.
Pang Fei, editor of Shenyang Daily New Media Center (Shenyang Net)