An Analysis Of The Influencing Factors Of Credit Spreads In China 's City Investment

Chinese bond market is in a golden period of development.85corporate bonds with a total amount of184.68billion were listed in2008. But these two numbers have just changed to870and1202.95billion in2012, which created a new record. The fix income market is growing exponentially and thrivingly. Quasi-municipal Bond is the most attractive kind of bond and it has become the main role in the market.However, investors also worried about the risk of Quasi-municipal Bond during its hot issuing. Quasi-municipal Bond suffered a big slump in the3rd quarter in2012, which shocked the bond market. The main reason is that the debt of local government was higher and higher. Then the risk of bond was exposed and credit spread increased, which made the municipal investment companies have a high financial cost and drove the investors to drop Quasi-municipal Bonds.In this situation, this article mainly studied on theinfluencing factors of credit spread in Quasi-municipal Bond market, which will give the issuers and investors a new view of Quasi-municipal Bonds.First, the paper reviews the history of Quasi-municipal Bond. Second, it introduces some characteristics of existingQuasi-municipal Bonds. Third, we select a few variables from macroeconomics, administrative regions and the bond themselves to conduct a study, theoretically andempirically. At last, this paper gives some feasible suggestions.