The Study Of Improving China's Mortgage-Backed Securitization

Mortgage-Backed Securitization is considered to have the deepest influence on the process of securitization. Since 1970s, lots of developed countries and districts have begun to explore this project. It is proved by international experience that the development of Mortgage-Backed Securitization benefits commercial banks to improve their assets and liabilities structure and aim at financial hedging. It is obvious shown in the practice in various countries that the operation process of Mortgage-Backed Securitization enjoys a prominent role in its supporting the successful issue of stock. This essay makes a research on the problems shown in operation process of Mortgage-Backed Securitization, and explores a suitable operation process of Mortgage-Backed Securitization which fits China's recent situation.The operation process of Mortgage-Backed Securitization is the main theme in this essay. On the basis of previous research, there are three focuses. To begin with, the author sorts out the basic links of the operation process in Mortgage-Backed Securitization and points out the key processes, which provides the theoretical foundation of the following research. Furthermore, the author takes fully use of the practical experience of Mortgage-Backed Securitization in developed countries. From the operation process angle, the author analyses the advanced operation processes and makes a comparison on each process to conclude the useful way for reference for the development of Mortgage-Backed Securitization in China. Finally, the author focuses on researching Mortgage-Backed Securitization in China and takes JianYuan 2005-1 as an example. From the process of bankruptcy remote, true sale, taxation and credit enhancement, flaws are found and analyzed. According to the problems pointed out by the author, there are ways provided to cope with them and perfect the process of Mortgage-Backed Securitization. In the author's view, under the limited standard of securitization in China, the development of Mortgage-Backed Securitization still requires perfection from the operation process angle to achieve its standardization.