The Study On The Assets Securitization Under Current Circumstances Of China

As an important financial innovation, assets securitization originated from the securitization of mortgage loan of America in the early 1970s.Through more than 30 years 'development, assets securitization has become a widely-utilized financial technique in the world, and given rise to profound influences to the financial development and practice of different countries and areas because of its peculiarities such us bankruptcy segregation, credit enhancement, etc. With the entry of WTO, the more open economy of our country requires more researches on how to reach the international level and catch up with the developed countries in economy. As for our country, it's necessary to try to implement the assets securitization so as to push the financial deepening and the economics' steady rising since assets securitization can play great role on the enhancement of financing efficiency of our financial market, the improvement of assets liquidity of our commercial banking system and the diversification of the assets risks within our banking system. Though the assets securitization has become one of the focuses discussed in the domestic financial industry especially in the banking sector, there's little material practical acts after a long-term discussion and research on the assets securitization. Why? The domestic commercial banks have their own unique drive on the assets securitization which is different from the normal attractions of risks control and return rising. That is to give the public a good and deep impression that they are innovative and active in business through taking the lead in carrying out the assets securitization. Except for the drive, there are some necessary conditions to insure and support the real assets securitization to go on wheels. After the comparison and analysis of the domestic infrastructures and such of the foreign mature markets, the writer points out that under current circumstances of China, there're many obstacles in the roundly practicing of the assets securitization. These factors which cumbered the practicing of domestic assets securitization include: the absence and the restrictive stipulating of the laws and rules relative to the assets securitization in such aspects as accounting rules, taxes system, assets transfer, bankruptcy segregation and credit enhancement, the limitations on the information publication, risks management and securities pricing and the shortcoming of the social environment of the assets securitization including building and improving the whole social credit basis. Based on the former comparative analysis and criterion description, the conclusion is made, which is that the relevant conditions for the comprehensive implementation of the real assets securitization under present circumstances. To start up the assets securitization market earlier, we should step out the process of market reform and eliminate the obstacles above mentioned from the viewpoints of system, technique and environment. This paper can be divided into three parts: The first part is "the assets securitization and the important meanings of its implementation in China". After simply introducing the origin, development and current conditions, the drive and operational mechanics of the assets securitization, this part analyzes the importance of the carrying out of the assets securitization in China on the sides of the increase of the financial market efficiency and the banking system efficiency. The second part is "the analysis of the conditions needed to put the assets securitization into practice under current circumstances in China". In this part, the writer first lists the required conditions of the assets securitization in the mature market, and then points out some existing problems in the present phase on the base of the comparison to the relevant conditions of developed countries and mature markets. 1 It is the absence of the clear regulations and support of accountings and taxes on the practice of the assets securitization that confine the assets securitization in our country;...