Professor Li Jianfa from the Accounting Development Research Center/School of Management of Xiamen University and his team members, Dr. Chen Wenchuan from School of Management of Xiamen University, Assistant Professor Li Wenwen from School of Accounting of Nanjing Audit University and Dr. Fan Zhangmei from School of Management of Xiamen University, collaborated on a paper entitled "Can the Financial Experience of Officials Promote the Transformation of Regional Real Economy from Void to Reality", which was published in Economic Management.

In recent years, The "detachment from reality to emptiness" of Chinese physical enterprises is becoming increasingly serious, and the proportion of profits in the pan-financial industry has increased rapidly, and the accumulation of profits in financial channels has gradually become an important profit model for non-financial enterprises. Since the 19th National Congress of the Communist Party of China, China has vigorously promoted the reform of the financial supervision system and attached great importance to preventing systemic financial risks and regional financial risks. The allocation level of financial assets of entity enterprises is closely related to the market development. Due to the consideration of political achievements and the pressure of promotion, local officials have strong motivation to promote the economic development of their jurisdictions, and also have the ability to interfere with bank credit and financial resources, thus affecting borrowing capacity and investment decisions. Based on this, this paper discusses the influence of a personal characteristic of local officials-financial background on the financial investment activities of enterprises within their jurisdiction.

Generally speaking, most executives with financial experience have three characteristics: first, they have the basic characteristics of high education and youthfulness, and have the ability to use their professional advantages to improve the efficiency of financial resource allocation; Second, financial experience can enable officials to understand the spirit of central policy more accurately; Third, such officials have the unique ability to mobilize financial resources to benefit local governments by virtue of their professional ability. Intensive promotion of cadres with financial experience is an inevitable requirement of China's financial deepening reform, and it is also an effective measure for the state to compact local supervision responsibility and strengthen financial supervision accountability. However, a problem that cannot be ignored in the appointment, selection and incentive of officials lies in how officials make decisions on the allocation of regional credit resources under the pressure of promotion achievements.

Based on the branding theory, there are the following paths for officials' financial experience to affect the financialization of the entity enterprises under their jurisdiction: First, officials' educational experience and work experience affect the cognitive branding, which in turn affects the local financial supervision style and financial activity mode. Secondly, officials' financial experience can bring a deep brand of resources to regional financial development and management, and affect the financing channels and information environment of corporate financial investment. Finally, financial experience can leave a brand of economic management ability for officials, make financial officials more capable of maintaining the local financial ecological environment, trigger financial innovation and reform breakthroughs, and also have more convenient financial profit channels and financial resource allocation capabilities.

In this paper, the listed companies in 2009-2020 are selected as samples, and the official data of financial experience are collected by hand to empirically test the mechanism and specific effect of financial experience of officials on the financialization of enterprises in their jurisdiction. It is found that the financial experience of local officials has significantly reduced the speculative financial assets investment of enterprises in their jurisdiction, while the physical investment has significantly increased, which shows that the financial experience of officials has effectively inhibited the enterprises from "deviating from reality". Path analysis shows that officials' financial experience can alleviate financing constraints and thus reduce the degree of financialization of enterprises in their jurisdictions. Heterogeneity analysis shows that the real economic benefits of officials' financial experience are mainly reflected in state-owned enterprises and areas not covered by patrol supervision. In addition, compared with the financial experience of the secretary of the municipal party Committee, the financial experience of the mayor has a more significant impact on the financialization of enterprises in the jurisdiction.

This study confirms that the financial experience of officials has a significant effect on restraining the over-financialization of enterprises under their jurisdiction and preventing the systemic financial risks from spreading to the micro level. It also verifies the forward-looking and scientific nature of the assertion of "building a team of high-quality financial talents with both ability and political integrity to strengthen financial supervision", which provides theoretical support for the coordinated and unified development of "promising government" and "effective market" to promote the high-quality development of the real economy. Policy enlightenment is reflected in several aspects: First, the appointment of officials with financial experience can make up for the shortcomings of the original regulatory positioning and financial system arrangements. Second, on the basis of effectively reducing the financialization of enterprises under their jurisdiction, cadres with financial experience should properly guide enterprises to rationally allocate financial assets, improve the short-sightedness of enterprise management and promote the return to the main business. Third, promoting financial cadres is conducive to deepening reform in China's financial sector and is also an effective measure to strengthen financial supervision. Therefore, it is necessary to formulate targeted regulatory measures for enterprises in some areas and with different property rights, adjust measures to local conditions, guide financial services to the real economy, and promote the healthy development of the capital market.