The first wealth management product "Sunshine Wealth Management Plan A" was rolled out by China Everbright Bank in 2004. Over the past decade, wealth management products business has gone through massive and rapid development. Total balance had been more than CNY-20 trillion in 2015, and investment returns to investors are also more than 400 billion, it becomes an important part of Chinese commercial banks and investors' portfolio. Banks create competitive products to broaden their funding source instead of deposits, while the yield of wealth management products is market-oriented pricing, without constraint of the deposit interest rate ceiling. How should we think of the determinants of the yield of financial products? This thesis studies the development of these products and finds out main market and institutional factors affecting their yields. My study adds to literature by understanding the development of financial products in China and its relation with interest rates and regional institutional development.