Research On Legal Matters Of Risk-remote Mechanism Under Asset Securitization

Why has the asset securitization been a very important financial tool in the international finance market now? The reason lies in its advantage—the risk-remote mechanism. By setting up an independent SPV to remote the securitization assets from the whole assets of the originators, it can not only guarantee the investment safety of the investors but also bring more profits to them.The mechnism is also the essencial character of the asset securitization.This article analyses the mechanism from the aspect of law to reveal its construction process and its risk prevention of legal issues, and focus on how to use legal means to prevent its negative effects.The first chapter is an overview of the asset securitization. The asset securitization in the country or a new phenomenon, which most people still know little about. Therefore, in section I the dissertation first explored the concept of asset securitization to convey to its readers a preliminary understanding. Then, it introduced their background and their flourishing from abroad. It enables users to cultivate a more intuitive understanding of the rapid pace of its development as well as its enormous contribution to the economy.Section II is the presentation of asset securitization on legal proceedings. It introduces a relatively simple asset securitization operation proceedings; which aims to convey to the readers a general idea about the proceeding. Section III is a brief introduction on risk-remote mechanism ,the aim of which is to facilitate the discussion below.Chapters II and III of the dissertation details the specific legal matters of the risk-remote mechanism.In the real practice, the design of the risk-remote mechnism includs the struction of a risk-remote SPV and the achievment of real sales".The second chapter addresses how to...