Infrastructure Asset Securitization Of Financing Research

Infrastructure, which needs huge investment, is traditionally regarded as a kind of "public goods". So the government should be responsible for it. But, in practice, it leads to deficiency in resources allocation and great burden on the government. In order to reduce the financial burden and meet to the increasing demand of infrastructure, the governments all over the world begin to search for new financial sources.It is practical for us to research on how to market the multimedia source of investments of infrastructure, how to make use of new financial instruments, based on the advanced theory and experience abroad, especially under the background of Western Development and Financial Globalization.After analyzing the economic features of infrastructure, the thesis emphasizes that it is necessary to divide infrastructure into profitable and non-profitable so as to let more private capital in. Then emphasizes the former can be financed by Asset Securitization, which is one of the most important financial innovations in the international finance field in recent several decades, and gives the practical method.The thesis consists of four parts:Part One analyses the economical features of infrastructure beginning with the public economy, distinguishing the feature of "public goods" and "private goods". Considering more and more infrastructure with "quasi-public goods" feature can be operated in market, with the advancement of technology and management.Part two indicates different infrastructures can be run in different ways. The infrastructure is divided into two kinds: profitable and non-profitable, according to in-flow cash. Then analyse the development of direct financing and capital market in china, and introduce the direct financing methods of profitable infrastructure, such as security-market-finance and project finance.Part Three introduces Asset Securitization in details, such as the definition, the basic operation process, the structure and nature, the rights and obligations of parties, and the classification of ABS. Focus on the Pass-Through Security and the Pay-Through Security, especially the difference in the cash flow of them. Moreover, it discusses the realistic significance of promoting Asset Securitization to China in the two sides of supply and demand.Part Four researches on the specific practical process. Firstly, the financial assets of the infrastructure and its fund are regular Basic Assets, according to the criterion of Asset Pool in Asset Securitization. Then it suggest the possible method of SPV, and discusses the development of institutional investor in capital market of China, and the possibility for them to take part in the transaction of ABS. Finally, it give some suggestious about the role of the government and the legal environment, based on the practical experience of the west.