Asset Securitization And The Improvement Of Chinese Financial Structure

This article discusses the characteristics of the asset securitization using the basic concepts of the asset securitization definitions, species and operation flows combined with development history and status of the asset securitization. And then, the article reviews the course of the financial structure theory and points out that the ancient viewpoints exist some difficulties in analyzing the real financial structure and giving the advices of improving the financial structure. But the Merton's viewpoints of financial structure from the perspective of the financial functions expanded our eyeshots, so the article put forwards some standards of the financial structure reformation with the research productions of the financial functions and financial structure. These standards includes: the financial institutions must be absorbed in the exertion of its financial function through the operation innovations; it should improve the efficiency of the capital using and management achievements in that process; the financial market should provide more flexible space for the operations, products innovations and the management of the assets and owes, besides that, the financial market would help the financial institutions to establish the comprehensive links between them; the financial market should appease the demands of the sufficient arrangements direct financing and exchange of the financial products.Asset securitization has some functions such as improving the assets fluidness, reducing the degrees of informational dissymmetries and the deal cost, getting through the bank credit market and direct financing market and optimizing resource collocation. Because of the peculiarities of specializing and decentralizing the financial activities and contacting the financial activities comprehensively, asset securitization has the natural advantages in the field of financial structure optimization.The most important problems of Chinese financial structure include: the illogicality of the structure of financial institutions. The problems such as the lower degrees of the competitions between financial institutions, the illogicality of the operation structure, the lower level of the management, these issues prohibit the financial institutions to exert the core functions sufficiently. The financial industry structure is not harmonious and the development of the financial industries is lack of balance. The financial market structure is irrational and the whole financial market is lack of arrangement. The sub-markets are out of line and the market effectiveness is insufficient, and besides that, the financial tools structure is also irrational.The effects that the asset securitization will exert in the process of improving the Chinese financial structure mainly are embodied in following ways: 1) force the banks and insurance companies implement sufficient competition and reduce the degrees of monopolization, and then make the securities institutions with more predominance become better and better; 2) be in favor of the financial institutions to extend approaches of investment and financing, optimize their operation structure, increase the incomes and strengthen the core competitiveness of the financial institutions; 3) increase the means of assets and owes management of financial institutions, enhance the liberties of risk management; 4) be in favor of the financial institutions to implode new financial products and provide more diversificated investment tools for investors; 5) be in favor of changing the lop side situation of the Chinese financial industry and accelerating the non-banks financial institutions' development, depress the financial risks; 6) be in favor of the development of the financial market especially the capital market, promote the construction of the multilayer financial market and strengthen the harmony of the sub-markets; 7) enrich the financial tools, provide more diversificated investment and financing products, risk management means and exchanging measures; 8) enhance the relations between financial institutions and the financial market.In the process of promoting the asset securitization, the supervising departments should create better environment from the system of laws, revenue and accountant to ensure the asset securitization exert the function of optimizing the financial structure.