Abstract
High yield and high risk exits in the rapid development of the financial industry. With the financial assets and financial trading activities increasing, the growth in financial performance is far beyond the growth of the real economy and the growth of capital flows is much higher than the growth in trade. Financial innovation is changing all the time and the financial myths which is in the financial markets promote the degree of virtualization in economy to increase. This situation eventually leads to excessive credit facilities and abuse of the financial right and causes a financial crisis. Financial crisis has exposed shortcomings of the traditional regulatory and the existing financial regulatory system which is based on freely choose and discretion the regulatory regime, prompting us to reflect on different types of regulatory approaches and supervisory system, and then to explore new regulatory philosophy, to seek new modes of regulation, to improve our financial regulatory system.
In this paper, China's financial regulatory system is the study. With the combination of economic and financial knowledge, it reflects our current financial regulatory models and systems on the basis of comparatively analyzing the mode of foreign financial supervision. Accordingly it puts forward reform measures of financial regulation and supervision which are in line with our national conditions and can promote the development of finance. This article discusses the following five parts. The first part describes the purpose of the article, practical significance, and gives a brief summary of the importance of strengthening financial supervision in China. The second part briefly describes the meaning of financial supervision and analyzes the necessity and the best level of financial supervision through the model, meanwhile it gives an overview of the theory of the financial regulatory system. The third part gives a comparative analysis of foreign financial regulation in developed countries like British and American, which provides a reference for the following proposal of building a model of financial regulation suitable for our nation.The fourth part generally discusses the model of financial supervision at this stage, as well as the main problems and shortcomings, which point the way and lay the groundwork for the following to come up with strategies and programs.
The fifth part puts forward financial regulatory model which is suitable for the development of our country and suggestions for the further improvement of the financial regulatory system according to the development of China's economy, politics, and society. The last part is a summary of the full text and gives a prospect of the prosperity and development of our future financial industry.
Key words: Financial regulation Financial regulation system
Patterns of Financial regulation
