Case Study On The Risk Of Leasing-Backed Securitization In China

In 2010,the China Securities Regulatory Commission formally issued the "Guidelines for piloting securities company corporate asset securitization business(for trial implementation)",which clearly stipulates that leased assets are allowed to be allocated to special asset management plans.Since then,under the background of the flourishing financial leasing industry,the securitization of financial leasing assets has also maintained a strong momentum of development.For 2016,the cumulative issuance scale of financial leasing asset securitization products reached 107.48 billion yuan,an increase of 110.8% year-onyear.The financial leasing asset securitization products have become one of the mainstream products in the corporate asset securitization market in China.While the rapid development of financial leasing asset securitization,the risk issue has gradually exposed.In recent years,the market default event often occurs.For example,the first-phase asset support special plan of Qinghui Leasing was confirmed as breach of contract on April 10,2018.Therefore,it is of great practical significance and urgent for us to conduct risk research on the securitization of financial leasing assets.This paper mainly uses the case analysis method to systematically study the risks involved in the securitization of financial leasing assets.After a detailed introduction of the case,the full text uses asset reorganization theory,risk isolation theory,credit enhancement theory,information asymmetry theory and risk management theory to systematically and deeply analyze the main risks of the case along the main lines of the risk classification of financial leasing asset securitization.The use of the KMV model for product credit risk was used to measure risk,and a default scenario analysis was conducted on the cash flow of the product.The measurement results showed that the credit risk of the product was low.Through the above analysis,this article summarizes the product's effective risk management measures are as follows: strict screening of pool assets,great participation agencies,the use of credit stratification and time-separated product design and layered protection of credit enhancement measures.Finally,related suggestions are made: to unify the conditions for issuance of financial leasing asset securitization products,to ensure the effective inspection of each participant's performance capacity,to introduce the scientific risk measurement methods and to accelere the building of financial leasing asset securitization product services system.