The Legal Problem Research Of China’s Housing Mortgage Loan Securitization

Since China’s reform and opening up in1978, the world was surprised about the speed of china’s economical development.The Shanghai stock exchange was founded at26th in November,1990, and the Shenzhen stock exchange was founded at1st in December,1990, the two major stock exchanges stand that the Chinese financial industry has entered a new period of vigorous development of financial products.Financial derivatives are based on the further development of a hedge tool. Housing mortgage loan securitization is one of many other financial derivatives, but it has played an important role in the2008financial crisis, during that time, the United States commercial banks will lend money to people who had pool salary but also wanted to buy houses, which forming the so-called "subprime", the bank will make the "subprime" asset securitization to "the debt", then sold them to investment banks. The Rating firm to the "subprime" high ratings, mislead investors, and insurance companies provide for "subprime", to mislead investors, investment banks sold these "high ratings, have insurance" of "subprime" to investors around the world, which from the "misleading" into "entrap consumers", finally, the Domino effect happened, triggered a global financial crisis.The law is a tool to promote the economic development and social progress, it plays an important role in protecting the rights and interests of the investors and depositors. Therefore, exploring the housing mortgage loan securitization legal issues and legal supervision has a positive meaning and application value.This paper is divided into two parts, introduction and body, the introduction concludes the origin and development of China’s housing mortgage securitization, the body is divided into four chapters, the first chapter introduces the general theories of the MBS in our country, it talked about the development of asset securitization and he basic legal principle of mortgage-backed securitization in China.The second chapter analyzes the legal problems of SPV in housing mortgage loan securitization, including the legal nature of SPV, the choice of organization etc..The third chapter analyze the legal problem of China’s mortgage securitization. Isolation of risk includes two steps, the first step is true sale, the second step is the isolation of rist.The fourth chapter put forward on China’s legal and regulatory measures of the securitization of housing mortgage loan. At present, China’s financial industry has its supervision pattern, such as the people’s Bank of China, the CBRC, CIRC, CSRC, a team work between this departments is very important.