A particular concern are the multiplying links between China 's commercial and " shadow " banks . Shadow banking now hold assets that exceed 80 % of China 's GDP , says Moody 's , of which most of them are linked to the commercial banking sector in some form ; that poses a systemic threat , warn analysts . Traditional banks often assign their sales teams to sell shadow products. The line between good shadow banks and dodgy ones is increasingly hazy , as is the divide between shadow and the more trusted commercial banking . Wealth management products held as receivables now account for around three trillion yuan ( $ 500bn ) of interbank holdings ; this has increased sixfold in three years . Autonomous Research says as much as 85 % of those assets could have been resold to other shadow banks , creating a web of cross - ownership with disturbing similarities to the US mortgage securities market just prior to the 2008 financial crash . Overall , the big four Chinese state - owned banks hold over $ 2tn in " financial investment " , much of it in trusts and wealth - management products .
A particular concern are the multiplying links between China 's commercial and " shadow " banks . Shadow banking now hold assets that exceed 80 % of China 's GDP , says Moody 's , of which most of them are linked to the commercial banking sector in some form ; that poses a systemic threat , warn analysts . The line between good shadow banks and dodgy ones is increasingly hazy , as is the divide between shadow and the more trusted commercial banking . Wealth management products held as receivables now account for around three trillion yuan ( $ 500bn ) of interbank holdings ; this has increased sixfold in three years . Autonomous Research says as much as 85 % of those assets could have been resold to other shadow banks , creating a web of cross - ownership with disturbing similarities to the US mortgage securities market just prior to the 2008 financial crash . Overall , the big four Chinese state - owned banks hold over $ 2tn in " financial investment " , much of it in trusts and wealth - management products .