China　maintained　a　rapid　growth　momentum　for　china＇s　foreign　exchange　reserves　in　recent　years　China＇s　foreign　exchange　reserves　amounted　to　20088　8　trillion　U　S　dollars([1])　as　of　April　2009　It　has　become　the　focus　of　attention　of　How　to　prevent　the　risk　of　the　huge　foreign　exchange　reserves　effectively　Given　China＇s　background　of　excessive　foreign　reserves,　it　has　become　an　important　issue　for　foreign　exchange　reserves　management　of　how　to　adjust　foreign　exchange　reserve　structure　and　improve　the　operational　efficiency　of　foreign　exchange　reserves　This　paper　will　focus　on　the　analysis　of　the　structure　of　foreign　exchange　reserve　through　combination　of　China＇s　current　economic　situation　which　is　excessive　foreign　reserves,　aimed　at　maximizing　risk　diversification　and　risk　reducing　We　find　it　is　rational　for　china　which　euro　accounts　for　17　5%,　U　S　dollar　accounts　for　60%,　British　Pound　accounts　for　60%,　Japanese　yen　accounts　for　14%