Research On Credit Risk Of Ultra Short Term Financing Vouchers In Chinese Enterprises

On May 23,2005,the People's Bank of China promulgated relevant laws allowing domestic compliance enterprises to issue ultra-short-term securities to qualified institutional investors in the inter-bank bond market in accordance with the requirements of relevant regulations,which marks the formal start of China's short-term securities market.For a long time,the proportion of equity financing and debt financing of Chinese enterprises is not balanced,and the channels for enterprises to obtain the funds needed for development are relatively single.The introduction of ultra-short-term financing bills not only enriches the types of investment in China's money market,but also strengthens the flexibility of short-term financing of enterprises,promotes the market-oriented development of interest rates,and is conducive to achieving the goal of national macro-control.It is of great significance to improve the level of liquidity management of enterprises and broaden the channels of direct financing of enterprises.Shanshui Cement Group,as a large state-owned enterprise and leading enterprise in the industry,is deeply trusted by investors in the financial market.However,under the background of equity disputes and changes in external economic situation,the enterprise has fallen into financial crisis and is unable to meet the due date of the "15 Shanshui SCP001" issued in 2015 [15Shanshui SCP001: the first ultra-short-term financing bond issued by Shanshui Cement Group in 2015.] This is China's first default of ultra-short-term financing securities.Shanshui Cement Group still defaults on bonds under the strong capital strength,which has a very realistic research significance.Firstly,this paper introduces the concept,advantages and disadvantages of ultra-short-term financing bonds and the risks they face.Because of the great influence of credit risk,it focuses on the characteristics,causes and preventive measures of credit risk.Secondly,through describing and analyzing the whole process of the default event of "15Shanshui SCP001" bonds of Shanshui Cement Group,this paper analyses the first ultra-short-term financing bonds in China's inter-bank market.The whole process of securities default and the existing problems during the issuance period;Thirdly,using KMV model and Z value model,the paper evaluates the financial situation of Shanshui Cement Group to predict possible defaults and analyze the causes of credit default,and provides some suggestions on how to avoid the credit risk of issuing bonds for enterprises;Finally,through default cases and empirical research,it evaluates the financial situation ofShanshui Cement Group.How to evade credit risk in China's current ultra-short-term securities market provides policy enlightenment.This paper draws the following conclusions and enlightenments:1.The main reasons for the breach of contract of "15 Shanshui SCP001" are the change of external economic environment and poor self-management.These include:equity disputes,slump in the cement industry,early maturity of foreign bills and accelerated debt expansion.This should alarm the whole financial market,and it is worth rethinking and learning from the relevant experience of underwriters and rating agencies.2.This paper predicts the default probability of "15 landscape SCP001" by Z-value model and KMV model.The results show that the two models are effective,and investors should make correct judgments on the sensitive response to the business situation.3.According to the case and research in this paper,financial market should take measures to prevent the credit risk of corporate debt.It mainly includes: improving the credit risk management system,taking measures to protect the interests of creditors,introducing credit default swaps,strengthening external supervision,and improving the corporate governance structure.