Shadow banking refers to bank-like businesses such as asset management business, inter-bank business and asset securitization operated by banks and other financial institutions including trust companies, asset management companies and insurance companies.
Shadow banking business conducts credit transformation or maturity transformation on assets, which is similar to banking business in nature, but the capital adequacy ratio and other indicators of shadow banks are not as strictly regulated as those of banks, so more attention should be paid to the risks of shadow banking.