Study on market risk of oversea merger and acquisition of resource-based enterprises

By using historical simulation model and Monte Carlo simulation model, this paper measures the value of the market risk (VaR) of the oversea M&A of Chinese resource-based enterprises. The research indicates that on the one hand Monte Carlo simulation method is superior to the historical simulation method in the accuracy of the measurement of market risk and characterization of extreme risk aspects. And the Monte Carlo simulation method based on the 95% confidence level is the best choice for measuring the market risk of oversea M&A. On the other hand, most cases of oversea M&A market risk are gradually reduced, but there are a few enterprises' market risk tends to increase after M&A. So these enterprises should be in time to find the existing problems, and adjust the strategy of M&A eventually to improve the core competitiveness of enterprises in the market. The conclusion provides rich theoretical and practical basis for the successful operation of resource-based enterprises after oversea M&A.