Great Wall Co Non-performing Financial Assets Valuation Research

The nature of the financial unperformed asset is the misallocation of resources. The unperformed asset could result great loss for bank, however, it offers lots of investment opportunities for the investors. How to develop the value of the the unperformed asset, how to deal with them at an expedited pace and how to enforce the fluidity of financial asset should be considered by the participants such as creditor, debtor, investment and intermediary. Different market participant have distinct positions on the value judgment of these asset because of the serious information asymmetry, however, the transaction value which would be accepted by the market should be unique. After the discovery and the development of the market, all participants would focus on the estimation of unperformed asset’s value. How to understand the estimation theory, select the appropriate estimation methods, establishment of scientific and practical data model, calculates the most close to the value of the market, provide a basis price for participates in the market trading are the main studying directions of this essay.In this paper, literature analysis and case analysis, the Great Wall Asset Management Corporation financial bad asset valuation services were studied. Total research process and is divided into six parts:The first part of this chapter is the introduction, explain the background and significance of the paper, the paper intends to study for a brief description of the method used in the study, ideas, frame structure introduction, the paper pointed out that the main contribution; second chapter studies reviewed section introduces the domestic and foreign financial status quo theory non-performing assets and the valuation of the main valuation methods, and a brief review; research results and the classical theory introduced and made brief comments; third part is the valuation of the status quo of the Great Wall Corporation. Introduces the Great Wall Corporation’s business structure and valuation basis, business processes, commonly used valuation methods, classification of assets, valuation of statistical analysis and other projects; fourth part is the study of asset management companies exist in business valuation problems and causes. Pointed out that the business valuation theory behind the practice, large differences influence the choice of a larger disposal between the results of the valuation results of the valuation and disposal of the transaction price, the relative lack of specialized personnel and other practical problems valuations and between the results of the valuation and disposal of the fifth part price valuation of the company to improve asset management business proposal, this part of the reason for the problem and found the fourth part of the transaction from the establishment of a shared database, respectively, narrowing; thoroughly investigate the causes of the problem proposed gap and build a valuation model and other aspects of proposals and proven through case analysis; sixth chapter is the conclusion of the main points of the paper summarized, while at the deficiencies of paper and still need to conduct further research the description of the problem.The contribution of this essay reflects in three aspects:first of all it offer an different definition of financial unperformed asset; the second one is suggesting the asset management corporate breaking the barriers and establishing resource sharing transaction database. The third one is putting forward on the basis of classifying assets respectively set up creditor’s rights shares physical asset estimation model.