Risk Contagion Analysis of Listed Banks in China Based on Nonlinear Correlation Network

This paper examines the contagion of interbank risks. The correlation network between listed banks in China is constructed by nonlinear measurement method, and the threshold network and minimum spanning tree (MST) are established through nonlinear correlation based on relevant data, the structural characteristics of the association network are studied, and the risk transmission path and dynamic changes are analyzed. Empirical evidence shows that China's listed banks have the characteristics of a small world, and the degree of contact between banks and banks is strengthened in the event of a crisis. China Minsheng Bank, Bank of Communications, Bank of Beijing and Bank of Guiyang are systemically important banks, especially Bank of Guiyang deserves attention. This study shows that in financial supervision, it is necessary to strengthen the monitoring of the potential path and evolution process of bank risk transmission, and prevent and control in advance to prevent the occurrence of systemic risks.