CCB's Asset Securitization Projects Case Analysis And Inspiration

Asset Securitization, as one of the most important financial innovative instruments in 20th century, is very significant for the commercial bank to improve capital adequacy ratio, the quality of assets and liquidity. At the same time, it provides a kind of new financial vehicle for commercial bank.Since the beginning of 21 centuries, the overall systematic reform, which leads to Chinese commercial bank adopting the principle of market-orientated and enterprises', has been launched in our country's financial realm. The new Basel Capital Accord makes a more strictly request for the capital adequacy ratio of commercial bank. Also, the commercial bank in our country has been facing the problem of great quantities of credit assets lacking liquidity for a long time. Therefore, all banks have to find a more effective financial instrument to improve their operations and the quality of capital. Then, Asset Securitization, as an innovative financial instrument, was introduced to China in the 1990s and was used in some fields.In 2005, with the promulgation of the regulations relating to credit asset securitization, the financial instrument had been favored and tried by various commercial banks. December 15, 2005, the China Construction Bank and the China Development Bank launched their respective credit asset-backed securities at same time. This is the first asset-backed securities under the policies and regulations of asset securitization. As one of the most important financial innovations of 2005, these two asset securitization products launched indicate that China has entered the implementation phase on asset securitization.Firstly, this thesis introduces the basic theory and operation of the asset securitization principle, summarizes and compares the international advanced experience and its inadequacies. Then, the thesis analyzes the case of the CCB's JianYuan 2005-1 MBS product with the standardizing method combining empirical study. Lastly, thesis gives a preliminary study and some innovative proposals.