An Empirical Study On Asset-backed Securities In China

Asset-backed securitization is a new means of financing tool rising of the20thcentury70’s. After years of development in Europe and the United States, it havebecome more mature. But asset securitisation in our country are still at an early stage,market development is still far from perfect. China’s asset securitization market has a"release heat, circulation of cold" problem for a long time, lack of liquidity in thesecondary market has become an important factor in China’s asset securitization.Articles by selecting the appropriate liquidity index from securitization productplatform and product level on the basis of an empirical analysis of liquidity of assetsecuritization products. Based on the empirical analysis, the article further exploresthe causes of poor product liquidity of asset securitization in China and put forwardsuggestions for improvement.In light of this, the article using quantitative analysis and qualitative analysismethods, in-depth analysis of the characteristics and formation mechanism ofliquidity asset-backed securities, the availability of comprehensive consideration offactors, market maturity and market data, trading mechanisms, with liquidity"four-dimensional" as the core indicators to build the right metrics, and around thecurrent development of the secondary market for asset-backed securities, mainly todiscuss on three issues.The liquidity status quo backed securities assets. Firstly, the level of the baseplatform from start to explore the inter-bank liquidity differences between the statusquo and the bond market and the exchange between the bond market; overall liquiditysituation Second, from a more micro level of our country has been issuedasset-backed securities empirical measure, analyze results of asset-backed securitiessevere liquidity shortage conclusion; the second is the main constraint of asset-backedsecurities liquidity. This article mainly from four aspects of products, systems,marketing and financial environment, our asset-backed securities to limit theformation of liquidity factors are discussed and analyzed, and for every major aspectof the article made a number of specific constraints. Third, improve our liquidityasset-backed securities. Combining the results of the empirical analysis and the main factors of the formation of asset-backed securities liquidity constraints on how toimprove the asset-backed securities in the secondary market liquidity put forwardtheir views, including: First, deregulation of assets to support the business normtechnology; the second is the integration of the market, and gradually form a unifiedregulatory system transactions; three is a special legislation to further improve therelevant legal system of asset securitization; four are vigorously innovation, in linewith China’s actual situation explore asset securitization business model; five is tocultivate the body, encouraging more investors into dollar assets securitizationmarket.