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A forum on Internet finance and inclusive finance with the theme "risk control of Internet finance and eco-remodeling of small and micro finance" took place in Beijing on Jan 30.
Renowned experts and business leaders from home and abroad shared their experience and discussed how to come up with innovativeideas in the field of Internet finance during the forum.
In the fields of P2P, crowdfunding, third-party payment and financial portals, the Internet finance has alleviated the long plagued problem- that is, small and medium-sized enterprises in China find it difficult and expensive to raise capital since 2012.
Despite the benefits, the Internet finance faces such problems as illegal fund-raising and runaway after bankruptcy. The main reason for these problems is the lack of awareness of risk control, techniques, personnel and methods.
"On the issue of risk control, we should learn from international experience," suggested Jia Kang, the head of the Zhongguancun Internet Finance Institute.
Internet finance needs to pay greater attention to the risk management and control concerning operational risks, market risks, legal compliance risks, and liquidity risks in the initial stage.
Moreover, systematic risk can be avoided if regulatory authorities could control the overall level of risk and prompt market entities to continuously improve risk management, according to Jia.
