Research On Risk Control Of Asset Securitization Of Commercial Banks In China

With the improvement and development of the Chinese financial market,credit asset securitization is again launched and entered the stage of rapid development.Asset securitization has benefited commercial banks,which helps them broaden their asset liquidity channels while also reducing the use of inherent capital without changing the bank liability structure.In terms of commercial banks,carrying out asset securitization services can promote their liquidity risk management capabilities,promote profitability,bring credit risks to banks,and even trigger systemic risks.In order to ensure the healthy development of the asset securitization business,commercial banks should pay attention to strengthening risk management.Based on this,this study focused on the development practice of commercial bank asset securitization business and explored the impact of commercial banks carrying out asset securitization business on their business risks in the context of China.This paper takes an empirical research method to explore commercial bank asset securitization issues.Specifically,we use the annual data of China Commercial Bank from 2011-to 2019 from Wind,Bank Focus,National Bureau of Statistics to explore the risk impacted bring in commercial banks and the affected path.It also distinguishes state-owned and non-state-owned banks,listed and non-listed banks,and heterogeneity.Empirical studies have shown that asset securitization’s risk transfer function will help banks deal with internal and external risks by optimizing asset liquidity structure and mitigation period mismatch,further reducing bank fluidity risks.However,it will increase the risk preference of the bank,increasing its risk loan enhancing its credit risk.In addition,for different commercial banks,their business risk is different from asset Securitate,such as stateowned commercial banks and listed commercial banks with more impact.The impact is also different from non-listed commercial banks.Finally,through theoretical combing and empirical testing,this study believes that the asset securitization market continues to develop and should adhere to the regulatory constraints and strengthen risk prevention and control.To this end,risk prevention and control should be strengthened in all links and curb the risk from the source,promote the supervision system optimization,and improve the standardization and rating of asset securitization business—system,promoting business scale development and transaction model innovation.