China Development Strategy Research Securitization Assets

Asset securitization from the last century since the60s, was born in the UnitedStates has been widely used in the capital market financing, has now become a capitalmarket one of the main financing tool in developed countries. At the same time, theasset securitization in a unique way to trade away from the traditional way to traderisk of confusion, in improving the liquidity and profitability of Banks’ assets,improving the structure of the assets and liabilities, etc, won a major breakthrough, soby the theoretical circle is regarded as the best way to solve the bad bank financialassets. For now the world economy within the scope of asset securitization is afinancing tool widely used, the prospect of Asian assets securitization will no doubtmore broad.In fact our country since2005, started from a pilot asset securitization, and itsdevelopment has been a slow and tortuous process undulator, during which the mostserious development crisis is affecting the U.S. sub-prime mortgage crisis experiencedby the pilot and a longer period of interrupted. So the root cause of the developmentof asset securitization so slow, what is it? The same time as asset securitization hasmany advantages, can solve many of the problems of China’s current economicdevelopment, we must unswervingly develop asset securitization, then how can ourcountry to the best way to develop the asset securitization it?Thus, by studying and collecting data on a large number of documents andrelated information, this paper analyzes the roots of the original depth and its U.S.asset securitization process exposed the U.S. sub-prime crisis generated problem. Thestudy found that ultimately the U.S. sub-prime mortgage crisis broke out in the longpolicy support, economic situation, unscrupulous lending institutions and regulatoryauthorities in the case of the missing asset securitization caused by overuse, whichproduces the root cause is the accumulation of high credit risk, and not as the world istalking about asset securitization sub-prime crisis triggered the culprit. The outbreak of the sub-prime crisis has exposed the U.S. asset securitization process loopholes inthe regulatory system, introduced on the basis of the U.S. sub-prime crisis on assetsecuritization to make improvements, and finally to the United States the developmentof asset securitization successes and lessons learned are summarized.Finally, this paper analyzes the development of China’s asset securitization rootcause of slow, I believe that the reason why the development of asset securitizationwould straitjacket imposed because of the lack of a perfect first legal systemenvironment to support the development of asset securitization; secondly basic typesof asset securitization pilot during the practice of alternative assets over a single,which is due to the inevitable product of the country pay more attention to thefinancial security of the premises; addition is our lack of appropriate mechanisms andauthority of the SPV ’s credit rating, enhancement institutions, which are greatlyhindered the development of asset securitization; addition, as China’s capital marketis not perfect, can not support a large-scale asset securitization transactions andcirculation, and the lack of proper supervision and management system andinformation disclosure mechanism. These are values about the development of assetsecuritization important factor. Therefore, on the basis of drawing on the experienceand lessons learned on the United States, author of the above problems were putforward reasonable proposals: one of the first to perfect the relevant laws andregulations;2on the selection of the underlying asset, you can first focus ondeveloping quality. excellent MBS, another SME loan securitization should focus onfostering and other needs of the industry or the industry as a key current development;3may be considered appropriate by the government or government agencies to comeforward to the creation of SPV, while focusing on cultivating one to two credit rating,increasing level institutions;4perfect China’s capital market, the main focus onnurturing the market and establish a comprehensive monitoring and informationdisclosure system.The above content is the core of this paper, I hope these suggestions can promoteour asset securitization healthy and stable development in the financial reform tide.Due to my limited level, so the article might still have many shortcomings, but also the reader to be criticism and correction.