Research On Asset Securitization Business In China's Financial Leasing Industry

China's financial leasing industry developed in the early stage of reform and opening up.Over the past 30 years,it has experienced a period of rapid development,development stagnation,industry rectification period,vitality recovery period and the current slowdown period.The main reason for the slowdown in the development of the financial leasing industry is the funding bottleneck.The development of leasing asset securitization business can broaden the financing channels of financial leasing enterprises and alleviate the pressure of their financial constraints,which can alleviate the funding bottleneck problem of financial leasing enterprises to a certain extent.Securitization of financial leasing assets has become more and more important in the enterprise asset securitization market.The issuance scale has always been at the forefront of the market,but in recent years there has also been a slowdown in growth..On the one hand,the funds of financial leasing companies are limited,and as the business develops,the problem of funding bottlenecks is becoming more and more serious.On the other hand,due to industry characteristics,each financial leasing company holds not many high-quality basic assets.Therefore,it is difficult for financial leasing companies to form a pool of large-scale and good-quality basic assets.Far East Horizon is a leading company in China's financial leasing industry.On October 31,2018,its subsidiary Far East International Leasing Co.,Ltd.and Far East Horizon(Tianjin)Financial Leasing Co.,Ltd.successfully issued the "2018 Far East II" as a joint original equity holder.The Assets Support Special Plan,which is the first asset-based securitization product issued by Far East Hongxin to form the underlying assets by Pre-ABS.By analyzing the motives of the product issuance,the characteristics of the basic asset pool,the risks and limitations,the formation of the basic asset pool can provide reference for other financial leasing companies.The risks and limitations also reflect the leasing assets of the financial leasing industry.A common problem in securitization business.The article firstly studies the domestic and foreign scholars' research on the related issues of financial leasing asset securitization,and then analyzes the status quo of China's financial leasing asset securitization business from three aspects: distribution profile,product characteristics and transaction status.The asset pool characteristics,risks and limitations are analyzed in four aspects,and the conclusions are drawn and the recommendations are put forward.Through analysis,it is found that the formation of the basic asset pool can provide reference for other financial leasing companies.The existence of the original equity bankruptcy risk,interest rate and liquidity risk are also common problems in the securitization of financial leasing assets.SPV does not have The limitations of the legal body,the use of internal credit enhancement methods,and insufficient product liquidity are also common problems in products.Finally,the article puts forward its own suggestions from the perspective of the financial leasing industry itself and the policy perspective,including forming a basic asset pool in various ways,cultivating a special credit enhancement agency,and improving the construction of a financial leasing asset securitization product trading platform.