March 13th,Ping An BankChairman Xie Yonglin pointed out in an exclusive interview with China Securities Journal reporter that Ping AnbankFinancial managementThe subsidiary is actively applying. Ping An Bank began to drop pressure from October 2016Equity pledgeFinancing and other businesses will be able to smoothly “return the non-guaranteed wealth management business” after the end of the 2020 transition period without degrading the quality of bank assets.
Standby application for financial management subsidiary
China Securities Journal: How is the establishment of Ping An Bank's financial management subsidiary?
Xie Yonglin: The financial management subsidiary of our bank is actively applying. We maintain good communication with the Banking Regulatory Commission. When the time is right, we will submit relevant application materials as required.
According to the requirements of the “New Regulations for Asset Management”, the transition period will be set according to the principle of “new and old cut”, and the transition period will be from the date of the release of the new regulations for assets to the end of 2020. During the transition period, the Bank will maintain close communication with the supervision and manage the inventory non-guaranteed wealth management business according to regulatory requirements. After the establishment of the financial subsidiary, the Bank will carry out related business by the financial subsidiary in accordance with the regulatory requirements.
After careful calculation, after the end of the transition period, there will be about 30 billion yuan of non-standard assets and other long-term assets. We will transfer this part to the bank.Financial StatementsInside, it is "back to the table." Since Ping An Bank has gradually reduced its shareholding since October 2016PledgeFinancing and other related businesses, so when the time comes back, it will not bring capital pressure to the banks.
China Securities Journal: Has Ping An’s NPL ratio peaked?
Xie Yonglin: According to the new regulatory requirements of the China Insurance Regulatory Commission, before June 30, 2018, state-owned banks and joint-stock banks must account for all loans overdue for more than 90 days. Banks with a non-performing loan deviation of more than 100% will have a certain impact on the current profit. Some listed banks with a non-performing loan deviation of more than 130% will be under great pressure on the current profit growth.
The deviation of non-performing assets of Ping An Bank has reached 97% at the end of 2018, which means that there is no problem in determining the asset quality of Ping An Bank.
Deep farming business
China Securities Journal: Is Ping An Bank currently a "retail bank"?
Xie Yonglin: There is no special standard for "retail banks" in the world. But I think that Ping An Bank can now be said to be a distinctive retail bank.
First of all, Ping An Bank's retail business accounted for more than 50% of revenue and profit. Moreover, this proportion of income will continue to increase, with profits accounting for nearly 70%. It is estimated that by the first half of next year, the number of our retail customers is expected to reach 100 million.
Second, the development of the retail business, the more backward the need for asset support. The development of retail business also needs the development of public business. It needs the bank to understand the industry, deepen the industry, find assets in this industry, and provide good asset allocation for retail customers. In this regard, Ping An Bank has an advantage.
At the same time, Ping An Bank's retail business attaches great importance to technology applications. The task of 2019 is to fully develop and turn itself into an AI Bank, which can be solved with technology, and it is resolutely not to be solved manually, unless the supervision requires it.
China Securities Journal: This year's government work report sets specific targets for small and micro enterprise loans. What specific measures does Ping An Bank have in this regard?
Xie Yonglin: Private enterprise loans currently account for 57% of Ping An Bank's total loans. Ping An Bank has been doing unsecured credit loans for nearly 15 years and has accumulated a large number of data and risk models. It is not the government that allows me to do what I do, but to do it from our commercial interests. I feel that supporting small and medium-sized enterprises and supporting the private economy is not a slogan. It is the survival of the banks themselves that requires banks to do so.
At present, our inclusive finance establishes an online lending platform according to the scene according to the industry. The former Small Business Division has now been renamed the Pratt & Whitney Financial Division, which is a small business loan around the upstream and downstream of core enterprises. The upstream and downstream supporting enterprises of a core enterprise are basically private enterprises.
(Article source: China Securities Journal)