Risk Supervision For China's Housing Mortgage-Backed Securitization Market

Housing mortgage-backed securitization(MBS) was originated from the United States of America,which is one of the most important forms of structural financing and the most vigorous financial instrument and financial innovation in the world capital market since the 1970s.With the appearance of the two housing mortgage-backed securities---Jianyuan 2005-1 and Jianyuan 2007-1,initiated by China Construction Bank in succession,MBS in China has come from theoretical research stage into practical operation stage and is becoming mature increasingly.However,the American subprime loan crisis having broken out in April 2007 shows that MBS,as a financial innovative instrument,is a "double-edged sword".On the one hand,it eliminates the restriction in the liquidity for such financial institutes as commercial banks and solves the problem of the shortage of funds in the housing mortgage market.On the other hand,it transfers and amplifies the credit risks in the primary housing mortgage market and threatens the security of financial system.First of all,the thesis expatiates on the relative theories on MBS based on the current developing situation of MBS in China.Secondly,through empirical analysis of the two MBS products---Jianyuan 2005-1 and Jianyuan 2007-1,the thesis points out the shortcomings existing in China's MBS products.Lastly,on the basis of reviewing the history of the American subprime loan crisis and analyzing the causes for its breakout,the thesis probes into the risk supervision system and pattern in the present stage for MBS in China from such aspects as improving the legal supervision rules and regulations for MBS,forming risk supervision system for MBS and strengthening risk supervision over the participants in MBS,to try to provide some theoretical supports and policy suggestions for the development and deepening of MBS in China.