China's Commercial Banks Non-performing Assets Securitization Research

After 1980s, the financial crisis has been exploding continuously around the whole world. Cleaning the non-performing asset produced by the finance system as well as defending the financial risk has become a worldwide trend. At the same time, our country's finance system has accumulated lots of non-performing assets as well, which have been the biggest barrier in the process of reformation. As a result, how to explore a new efficient way to deal with those non-performing assets is becoming a hot topic in recent academic area.Asset Securitization-one of the most important financial innovations in the lately thirty years, has made the immobile asset exchange to the securities which can be sold and flow, instead of just staying. With its special advantages,Asset Securitization has been testified that it works well in solving the non-performing asset's problem in some countries. As to our country, both of the bank and the Asset Management Company have tried to implement Asset Securitization. However, it is a quite professionally complicated activity. Therefore, we should learn more about Asset Securitization so that we can avoid the financial risk as well as improve our economic and social development.This thesis discusses from the present situation of non-performing asset and Asset Securitization to the difficulties we might come across in the process, and reach a conclusion about how to put it into effect at the end with two real Asset Securitization cases insert in the middle.There are six parts in this thesis.The first part is the preface which tells us the research background of this thesis, the present research situation of both interior and foreign countries, the research innovations and the main idea. The second part is the main theories of Asset Securitization. The definition, essence, process and principles of Asset Securitization are elaborated followed by the reasons of the formation of non-performing assets.The third part includes the necessities and feasibilities of Asset Securitization in our commercial banks. They will be discussed from the position of macrocosmic, microcosmic, demand and supply.The fourth part describes the present situation of the disposition of non-performing assets and Asset Securitization in our commercial banks.The fifth part discusses the barriers we may face with on the road to Asset Securitization. It is divided into two barriers: the technology and the law.The last part is the solution according to the barriers presented above. Several helpful suggestions are included.