Research On The Securitization Of Individual Housing Mortgage Loan In Rural Commercial Banks

With the continuous development and perfection of our country's economic market,more trading methods of financial instruments derive.Mortgage-backed securitization business is sought after by commercial banks because of its high-quality assets and low investment risk.At present,there are some problems of single asset structure and large demand for capital liquidity in rural commercial banks in China.As an important means of financial innovation,mortgage securitization helps rural commercial banks transform illiquid credit assets into capital market trading products,release credit scale,activate credit assets and enhance their competitiveness.If we can make good use of asset securitization as a financial tool,we can help rural commercial banks to realize another transformation.This paper takes the RMBS which is carried out by H rural commercial bank,one of the first batch of 28 rural commercial banks in China,as the research object.It takes the relevant research results from home and abroad,analyzes the key links of MBS scheme which is carried out by H rural commercial bank with the methods of literature research,field investigation,case analysis.This paper firstly introduces the background of the scheme,the participants,relevant institutions and the whole operation process.Then it gives the analyzation and evaluations to the key links which include asset pool,credit enhancement mode,operation mode and pricing model,etc.The analysis results show off the following problems in the process of MBS scheme,such as lack of external guarantee agencies,improper handling of credit enhancement,unscientific assumption of early repayment risk,and poor pricing model.Based on the problems above,this paper puts forward the countermeasures and suggestions to improve the development of housing mortgage securitization in H rural commercial banks: strictly control the quality of basic assets,increase the external guarantee of credit increase,set up professional SPV institutions and perfect the pricing mechanism,etc.Finally,this paper is summarized and the industry enlightenment is obtained.