Study On Non-performing Assets Securitization Of Commercial Banks

In recent years,affected by the slowdown in macroeconomic growth,structural adjustment of micro enterprises and the excess capacity of some industries,non-performing loans and non-performing loan ratio of commercial banks continue to rise.As a new way to deal with non-performing assets,non-performing assets securitization can quickly deal with them in large quantities,help commercial banks to transfer risk and revitalize the stock assets.In order to broaden the disposal of non-performing assets,non-performing assets securitization restarted.In this paper,we selected “ZhongYu 2016-1 Non-Performed Loan Assets Backed Securitization(NPL-ABS)” as a case,to analyze the basic situation of non-performing assets securitization of commercial banks in China.We use comparative analysis and event study to analysis the reason of product distribution,product design and distribution effects.This paper found that the product has some advantages,such as a high degree of preferred file income security;liquidity arrangements with innovation;higher degree of market,but also has a low dispersion degree of basic assets;systemic risk is high and so on.In addition,the issue of this product is conducive to commercial banks to obtain positive financial effects and market effects,and encourage commercial banks to participate in non-performing assets securitization.According to the results of the case analysis,this paper summarizes the enlightenment of non-performing assets securitization: decentralize pool assets,innovate SPV design structure,extend measures to increase trust,timely transfer risk to achieve a balance sheet.Finally,this paper put forward the policy recommendations from the legal level and market level,including establishing appropriate regulatory system for non-performing assets securitization,getting rid of legal barriers to the establishment and operation of SPV,reducing non-performing asset securitization access threshold,and cultivating the professional investors.