Research On The Default Of Corporate Bonds In China

Corporate bond is a kind of bonds issued by the company.It is an important tool for companies to obtain direct financing in the capital market.China's corporate bond market has experienced very rapid development in the past decade,with a growing variety of bonds and a growing market size.At the same time,the tradition of guaranteeing the rigid payment of corporate bonds by the government has gradually faded in the process of marketization,and corporate bond defaults have become the norm.The effective management of corporate bond default risk and the reasonable disposal of corporate bond defaults have gradually become the focus of both theoretical and practical circles.This paper is divided into four parts: The first part is to sort out the current laws and regulations of China's corporate bond market,clarify the different types of corporate bonds in China and the corresponding division of supervisory authority,clarify the scope of this study,and then analyze the development status of the corporate bond market in China.The second part,based on the substantial breach of corporate bonds,statistics on the status of default in China's corporate bond market and changes in recent years.Through the horizontal comparison with the international bond market,the default rate of corporate bonds in China and the average recovery rate after default were studied.From the perspective of legal research,this paper analyzes the related influencing factors of corporate bond default formation,including the overall institutional environment of the corporate bond market,the internal governance structure of bond issuers and important financial indicators.In the third part,based on the status quo of China's corporate bond market default and the factors affecting default,this paper further analyzes the outstanding problems in China's corporate bond market.Including the lack of high-quality credit ratings and strict continuous information disclosure,the market-based,rule-of-law corporate bond default disposal mechanism has not been fully constructed.In the last part,we try to start from the most prominent problems in the corporate bond market in China,and put forward some suggestions from the perspective of legal research.Including the adjustment of the current system of credit rating and information disclosure,more strict regulation of the behavior of key market participants,promotion of cross-protection clauses,trial of corporate bond insurance to enhance the preventive nature of bond default disposal mechanism,and unified bond market supervision and enforcement.