On the background of the comprehensive operation of financial institutions,the financial holding company seems to dominate the financial market.There are many financial holding companies in practice in China,though the relative legislation delayed behind the financial development.In this paper,the author discussed the motive and current situation of China's Local financial holding companies on the basis of the retrospection of the financial holding company,and then expounded the financial holding company on the aspect of legislation and policy,finally put forward the proposals of China's local financial holding companies specially.