The Research On Market Liquidity Of Asset-Backed Securities In China

Assets securitization is one of the greatest financial innovation products over the past 30 years. In recent years, assets securitization has been adopted to adopt as a means of financial innovation in lots of countries. The assets securitization also has obtained a great development in our country, which has become a hot topic of the theory and practice of domestic financ ial circles at present. Assets securitization products are favorably regarded by investors in the primary market, but bad in secondary market. The product severely lack of liquidity in the market. The lack of liquidity has become a major obstacle to the healthy development of China's securities business.This paper analyzes the overall development of Chinese assets securitization, based on the introduction of the related theories of assets securitization and the development and experience of asset securitization business in developed countries. This paper studies the present situation assets securitization's product market liquidity in our country through the statistical analysis of the data of our country's assets securitization's product market, and draws the conclusion that our country's assets securitization products lack of liquidity. This paper tries to find out that the main influencing factor leading to lack of Chinese assets securitization's market liquidity according to the basic theory of liquidity and the method of statistical analysis based on the data of Chinese assets securitization product market.Finally according to the main reasons for the lack of our country's assets securitization product' liquidity, such as the absence of law, the weakness of marketization degree and participants, small market size, simple trading mechanism, lack of basic data and the ability of intermediaries, this paper explores the improvement countermeasures to solve these problems that are providing a good policy and legal system, perfecting market regulatory conditions, protecting the rights and interests of investors, improving intermediary service level, etc.