The Study On Asset-backed Securitization Of Auto Finance Company In China

With the advancing process of urbanization and the growing purchasing power,the auto finance company of China has got an unprecedented development opportunity.However,to compete in the expanding financial markets with many other auto finance enterprise,the auto finance companies need more financial support, and the traditional way of financing was difficult to meet China auto finance company’s capital needs.As a kind of innovative financing way,asset securitization is very suitable for auto finance company.To ease the company’s financing pressure,some domestic auto finance companies have already promoted some credit asset securitization products. But,to truly realize the promotion of credit asset securitization in the auto finance industry,many problems need to be solved.Therefore, the paper selected the "Rong Teng 2015" the first issue of auto loan assetbacked securities as the typical case,made a brief introduction of asset securitization-related principles and operation of the process,lists the development and status nowadays of domestic asset securitization,explained the significance of the development of auto loan securitization.Through the analysis of the basic situation of the case,the paper found some disadvantages of the case,includes:(1)The case didn’t use the “Continuous buying”structure.(2)The case was lacked of flexibility.(3)The transfer of the right of mortage has not registered.(4)The organizer has retained all of the subordinated securities.For the above shortcomings, this paper puts forward some relevant suggestions:(1) Constructing the dynamic asset pool by revolving by purchasing auto loan into the asset pool after the SPV was set up.(2)Accelerates the construction of the abs market(3) Completes the construction of relevant laws and regulations.(4)Determines the risk retention ratio more flexibly.