Research On Non-performing Asset Securitization And Its Trading Structure For Chinese State-owned Commercial Banks

Asset Securitization is one of the most important & innovative financial instruments developed during the 20th century. At present, the non-performing assets in Chinese commercial banks, mostly in state-owned ones, are very huge. They not only seriously influence the commercialization course of state-owned banks, but also influence the well-balance and sound management between banks and enterprises, forming a key & hidden trouble of financial stabilization. Through the analysis of principles of asset securitization and with the experiences of foreign experiences about non-performing asset disposition, this paper points out that asset securitization is one of the means solving non-performing asset problem in China. The paper also tries to make innovations in the trading structure of Chinese non-performing asset Securitization based on research of traditional ways of Asset Securitization and related investment instruments. Author hopes that the paper can contribute not only in theory but also in reality.The paper is structured as follow:Chapter 1: Brief description of the current situation of Asset Securitization research globally and the theory of Asset Securitization. The description contains analysis of concepts, theoretical foundation and operating principle of Asset Securitization, and analysis of characteristics of Non-performing Asset Securitization;Chapter 2: Analysis of the defects of current means of Asset Securitization in China, from the reality of huge quantities of non-performing assets in Chinese Financial System;Chapter 3: Comparison and summary of the experiences of the trading structure of non-performing assets in Korea and USA, to find out the suitable methods under Chinese environment;Chapter 4: Point out the key obstacles in the process of Non-performing assets Securitization, i.e. the design of trading structure of Non-performing assets Securitization (including establishment of SPV and design of Asset Pool & Credit increase). Feasible suggestions are provided in the Chapter, through the basics of Asset Securitization and design of trading structure of Non-performing asset Securitization (With Financial risk management theory).The paper adopts methods of standard analysis and comparison research.