A Study on the Effect of Non-interest Income and Its Components on the Performance of Listed Banks in China

Based on the panel data of 13 listed banks from 2007 to 2014, this paper analyzes the effect of non-interest income and its components on banks from the aspect of earnings. The empirical results show that, for state-owned banks, the development of non-interest business has a positive but not significant impact on return on assets and for share-holding banks, the development of non-interest income has a significantly negative impact on risk-adjusted returns.