What does the financial control group do?

Financial holding company is an organizational form to realize the comprehensive operation of the financial industry, and it is also a capital operation form to pursue the optimization of capital investment and the maximization of capital profit. In the financial holding group, the holding company can be regarded as a group company, and other financial enterprises can be regarded as member enterprises. Group companies and member enterprises are related to each other through property rights or management relations.

Although each member enterprise is controlled and influenced by the group company, it must bear civil liability independently. The term "financial holding company" originated in the United States. The legal term "financial holding company" was first put forward in the provisions of the American Financial Services Act on the organizational structure of bank holding companies, but there is no clear definition.

Mode characteristics of financial control group

Group holding refers to the existence of holding company as the parent company of the group. The holding company can be a simple investment institution or an operating institution with financial business as the carrier. The former is a financial holding company, while the latter is a bank holding company and an insurance holding company.

Separation of legal persons, risk avoidance and separation of legal persons are the second important characteristics of financial holding groups, that is, different financial businesses are operated by different legal persons. Its function is to prevent the mutual transmission of different financial business risks and curb internal transactions.