Shenzhen Finance Institute Established

China’s financial research institutions have added a new member. Shenzhen municipal government, in partnership with The Chinese University of Hong Kong, Shenzhen ((“University”), established Shenzhen Finance Institute (“Institute”) at the Civic Center on January 12. Chairperson of the Council of the Institute is Professor Lawrence J. Lau, a renowned economist, former Vice Chancellor of The Chinese University of Hong Kong (“CUHK”), Vice Chairman of Subcommittee of Economics of National Committee of Chinese People’s Consultative Conference. Its first Dean is XIONG Wei, Academic Dean of the School of Management and Economics of the University and Professor of Finance at Princeton University.

Attending the plaque-unveiling ceremony were executive vice mayor ZHANG Hu, vice mayor AI Xuefeng, Professor LIU Mingkang, former Chairperson of China Banking Regulatory Commission, Professor XU Yangsheng, President of the University and Academician of Chinese Academy of Engineering.

Transform Finance Scenarios and Nurture Top and Innovative Talent

Finance is a pillar of the local economy. From 2009 to 2012, the amount of IPO transactions conducted at Shenzhen Stock Exchange surpassed those of New York Stock Exchange, London Stock Exchange, and Hong Kong Stock Exchange, ranking the fist in the world. In 2015, the total assets of and value added by the finance industry ranked the third among the nation’s major and middle-sized cities. In 2016, Global Financial Center Index showed that Shenzhen ranked 19th among the world’s 86 financial centers, trailing behind Hong Kong and Shanghai in light of all the domestic cities.

Shenzhen Finance Industry has been developing rapidly; however, it faces challenges posed by changes in the macro-economic situation. One of the key elements to respond to such opportunities and challenges is to stock up on top talent.

This is the reason Shenzhen municipal government has formed the Institute in partnership with the University. This is an effort to satisfy the needs of the Belt and Road strategy, in-depth cooperation between Guangdong, Hong Kong and Shenzhen, and the social and economic development of Shenzhen. World academics and industries also call for an exchange platform that combines global vision and local knowledge.

The Institute is committed to becoming a top talent-nurturing base with a significant global impact on financial or economic areas, an excellent research platform, an international high-end academic exchange platform, and a decision-making think tank. The Dean heading the Institute reports to a Council composed of renowned academic and industry icons. The Council of the Institute is composed of a number of high profile figures, including MA Weihua, former President of China Merchants Bank, FANG Hanming, Professor of Economics at University of Pennsylvania, HUI Chuan, General Manager of China Ping An Group, LIU Yuan, Chief Supervisor of China Merchants Bank, LIU Mingkang, Professor at CUHK and former Chairman of China Banking Regulatory Commission, ZOU Zhizhuang, Professor of Economics at Princeton University, XU Yangsheng, President of the University and Academician of Chinese Academy of Engineering, Tom Luo, Vice President of the University and Member of the Academy of Science of the Royal Society of Canada, TANG Jie, former vice mayor of Shenzhen municipal government and party secretary of Harbin Institute of Technology (Shenzhen), XIONG Wei, Dean of the Institute, LIU Pak Wai, former Pro-Vice-Chancellor of CUHK, WEI Shangjin, Professor of Economics at Columbia University and former Chief Economist of Asian Development Bank.

Professor LAU Juen-yee, Council Chairman, delineated the future of the Institute in his plague-unveiling speech, “Shenzhen Finance Institute will evolve into an institution for finance education and research with a significant global impact. It will engage in nurturing high-end talent, expanding international exchanges, stabilizing financial stability, and promoting innovation and entrepreneurship to contribute to the social and economic development of the region and the country.”

Professor Lawrence J. Lau, a renowned economist, former Vice Chancellor of The Chinese University of Hong Kong

XIONG Wei, Academic Dean of the School of Management and Economics of the University and Professor of Finance at Princeton University

Five Responsibilities

The Institute will assume five key responsibilities: nurturing high-end innovative talent; conducting high-level research; building an international exchange platform; serving as a high-end think tank; carrying out broad cooperation with financial institutions.

The Institute, in partnership with the University, bridges academics and industries through research and exchange activities. So far, the University has launched a variety of international academic activities, including IMF-Princeton-CUHK (SZ) Forum on “Housing and Financial Stability in China”, NBER-CUHK (SZ) “China Economic Summit”, and Federal Reserve Bank of San Francisco-CUHK (SZ) “International Finance Conference”. 

Meanwhile, the Institute will also nurture innovative top talent. The University admitted its first batch of MSc Finance students in 2016. These students receive comprehensive training on principles of finance, qualitative analysis and application, which prepares them for jobs in securities, banks, financial management and other areas related to finance. In addition, MSc Economics and MSc Professional Accountancy will open soon. From 2017 on, the University will initiate more programs in economic and finance to nurture Masters or Ph.D. students.

The Institute plans to set up several research centers to lure domestic and international scholars to work on theoretical or policy-related issues arising out of Shenzhen-Hong Kong economic and financial development. As early as in the preparatory state, the Institute formed a workshop on China Stock Exchange Scheme with Princeton University and Shenzhen Stock Exchange to share information on a regular basis.

The Institute will build up local and national abilities in finance education, research, exchange and innovation to respond to opportunities and challenges ahead. It will also provide valuable experience to the nation by its pioneering endeavors in the finance area without disrupting local financial stability.