Research On SPT Legal Risks And Prevention Of Credit Asset Securitization In China

Facilitated by financial liberalization,the global financial market has gained tremendous development over the last few decades.The economic benefits are accompanied with latent hazards.The subprime mortgage crisis,spreading from the United States to the global financial markets since 2007,has exposed many legal risks,which were originally hidden in the complex transactions of asset securitization.Among which,SPV,being the kernel of transactions of asset securitization,is very complex in its design and diverse in form,and has become the target of risk prevention and control in asset securitization.China's credit asset securitization market has gained considerable development after the third pilot was conducted,but it is still in its embryonic stage.This paper endeavors to sum up some experience from subprime mortgage crisis,further the research on legal issues in asset securitization.And the author believes it would gain significant meaning to prompt a healthy development of the asset securitization in new market circumstances through ways of risk prevention.After having conducted certain literature research,laid out evidence of facts and compared the experience of history,this paper firstly points out that the nature of asset securitization is a way of financing by asset credit.Secondly this paper probes into the special purpose trust model(SPT)of credit asset securitization in China,and puts forward the significance of SPT risk prevention and control in the securitization of credit assets.After which,this paper states that the SPT in China's credit asset securitization is divided into three parts:SPT legal risk,SPT trust property transfer and information disclosure.Based on the experience of foreign legislation and the existing legal structure of our country,asset type and standard,this paper targets to give some advice on how to improve the corresponding legal risk prevention in our country.