Legal Research On Special Purpose Vehicle Of China’s Asset Securitization

Asset securitization is a new type of financial derivatives. Asset securitization began in the1970s of the United States, and then it is accepted by all countries in the world with its strong financing ability. Asset securitization in our country started in2005, faded out from the financial markets during the financial crisis, and came back into people’s horizon in2012. Special purpose vehicle is the bridge in asset securitization. Chinese special purpose vehicle has always been using the trust model of SPV. But with the continuous development of asset securitization in our country, single SPV cannot satisfy the asset securitization process. Moreover, the trust model of SPV also exposed many problems after repeated practice. This article will describe the SPV from five parts and make some relevant proposals.The first part is the introduction. In this part, it mainly introduces the necessity of researching the legal issues of special purpose vehicle.The second part describes the concept of asset securitization and its operational processes. Besides, it also describes the participants in the asset securitization and their legal relationship, and two common modes.The third part describes the development process of asset securitization and law about SPV in America and Japan. And from their legislation, we can get some inspiration to improve our legislation of special purpose vehicle.The fourth part introduces the status of legislation of special purpose vehicle in our country and analyzes the relevant legislation of trust mode SPV. There are some major problems such as:the nature of trust beneficiary securities is unclear, the trust beneficiary securities lack liquidity, the right of clients of SPV is too large, lacking the beneficiary protection system in asset securitization and also lacking the legislation of company SPV.The fifth part makes some suggestions in perfecting the issuance system of beneficial securities in trust mode SPV, weakening the right of client in trust mode SPV, establishing the beneficiary protection system in trust mode SPV and putting forward the idea of uniting the legislation of special purpose vehicle.