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The Pilot Study Of Corporate Asset Securitization And The Optimal Capital Structure

Posted on:2005-08-12Degree:DoctorType:Dissertation
Country:ChinaCandidate:R B SongFull Text:PDF
GTID:1116360125467534Subject:History of Economic Thought
Abstract/Summary:PDF Full Text Request
From the visual angle of asset securitization being a dominant instrument of corporate financing, the thesis mainly researches the motivations of asset securitization and the optimization influence on the corporate capital structure. Based on the conceptual definition of asset securitization, the thesis takes review on the domestic and overseas academic study about asset securitization, expounds the basic theory of corporate asset securitization, and sets forth an informational asymmetries model of corporate asset securitization, then comparatively analyzes the different characters and advantages among asset securitization financing, equity financing and debt financing, and the applicable conditions. After that, the thesis explains the motivations of asset securitization, demonstrates the influence effect on corporate capital structure by qualitative and quantitative analysis of cost-benefit of corporate asset securitization, and discusses the role of asset securitization to solve corporate financing puzzle in our economic transitions and the select of breakthrough pattern of asset securitization in china finally.The financing basis of corporate asset securitization is the isolated asset which can stably generate cash in the future, and the credit is based on the securitized asset, not the whole asset of corporate. Asset securitization can not only optimally collocate the existing stock asset, but also provide incremental funds without increasing the total asset or debt. Meanwhile, the special transaction structure and techniques can realize the bankruptcy -remote between the investor and the corporate, meet the demand of financing and investing largely, and realize the optimal collocate of resource. Therefore, there is distinct difference among asset securitization financing, equity financing and debt financing in credit basis, financing cost and risk, financing efficiency, the benefit source of investor, restriction to corporate and applied conditions. Also, asset securitization financing has been the third prevalent corporate financing manner in the world capital market. According to above analysis, the thesis reclassifies the traditional financing instruments.The motivation of asset securitization is mainly addressed in the thesis. Because of the short history and the rapid development of asset securitization, the complicated transaction structure, and the numerous participants in transaction, the theoretic system on asset securitization has not been built. The internal mechanism of asset securitization is the base to develop and deepen the theory. After systematically inducing the external and internal motivations of asset securitization, and modern corporate finance theory, the thesis expounds the internal motivations of assetABSTRACTsecuritization with informational asymmetries model, As an effort to academic study on asset securitization, the thesis puts forward the economics explanation in opening up the source of funding, increasing the shareholder wealth, improving the managerial incentive plan, reducing the transaction cost, providing positive market signal.The purpose of corporate financing is to increase the corporate market value and optimize the capital structure. Based on the modern corporate finance theory, being a corporate financing instrument, asset securitization financing would bring some influence on the capital structure. Seeing about the benefit of originator and other transaction participants, the thesis tests the reduced cost from asset securitization financing and the influence effect on corporate capital structure by qualitative analysis and quantitative analysis of concrete example. The analysis result shows that corporate asset securitization increases the free cash flow and is helpful to implement the invest project of net present value, reduces the asset-debt ratio, enhance the asset liquidity and efficiency of funds, improves the finance index and capital structure, provides the supply mechanism of asset liquidity, and reduces the risk of stock asset.With the resea...
Keywords/Search Tags:asset securitization, corporate financing, motivation, the optimal capital structure.
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