A Empirical Study On The Chinese Mortgage-Backed Securitization

Asset-Backed Securitization was a great financial innovation in the late 1960s of United States, it makes "short-long loan deposit" in the banks has been greatly improved as well as the Liquidity and the Capital Adequacy ratio of banks, which directly contribute to the economic prosperity of the US in the later 30 years。Although the outbreak of "subprime crisis" in 2007 finished the prosperity, for another side,it will hugely prompted the U.S. financial legal and regulatory system's improvements just as the previous "economic crisis" does, which push all this to another new milestone for each time. For our Chinese, the crisis teaches us more.Finance is not only a way of thinking, but also a approach of resource allocation, the core is the exchange in value by cross time and space. To be an innovation-oriented country, China must accelerate the financial innovation.Through a case study,this paper propose that the China's securitization market exists some special features and deficiency compared with the U.S, Japan, Hong Kong and other Securitization developed countries. Then the paper drawns some conclusions as follows:Chinese Government authority vacancy in the Securitization:Firstly, legislative guarantee, up to now, Securitization in China is undertaken in a series of departmental rules and regulations, but not the Law; Secondly, Chinese Government did not play a credit support role in Securitization as it should be.Through the above analyses, this paper concludes that:The Securitization can only fully play its due role in China, by reducing the government's administrative interference in economic activities as much as possible, and restoring the right to free choice of civil market players. Meanwhile, the completion of the transition of government functions,playing well in "server" and "supervisor", in order for China from a large economic country to an economic power.