The main products of asset securitization in China include

1, classified according to the underlying assets. According to the different basic assets of securitization, asset securitization can be divided into real estate securitization, accounts receivable securitization, credit asset securitization, future income securitization (such as highway toll collection), bond portfolio securitization and so on.

2. According to the geographical classification of asset securitization. Asset securitization can be divided into domestic asset securitization and offshore asset securitization according to the different regions where sponsors, issuers and investors belong.

Domestic financial institutions use foreign special purpose vehicle (SPV) or structured investment vehicle (SIV) to finance foreign investors in the international market in the form of asset securitization, which is called offshore asset securitization. Financing in the domestic market through domestic SPV is called domestic asset securitization.

3. Classification according to the attributes of securitization products. According to the different financial attributes of securitization products, it can be divided into equity securitization, bond securitization and mixed securitization.

Characteristics of Asset Securitization

1, the use of financial asset securitization can improve the capital adequacy ratio of financial institutions.

2. Increase the liquidity of assets and improve the structural imbalance of bank assets and liabilities.

3. Using financial asset securitization to reduce the interest rate risk of bank fixed interest rate assets.

4. Banks can use securitization of financial assets to reduce financing costs.

5. Banks can reduce the lender's capital cost by using financial asset securitization.

6. The product income of financial asset securitization is good and stable.

legal ground

Measures for the Administration of Pilot Projects of Credit Asset Securitization

Article 2 These Measures shall apply to structured financing activities in which banking financial institutions, as promoters, entrust credit assets to trustees, and the trustees issue beneficiary securities to investment institutions in the form of asset-backed securities, and the cash generated from the assets is used to pay the proceeds from asset-backed securities.

The trustee shall, in accordance with these Measures and the trust contract, entrust loan service institutions, fund custody institutions, securities registration custody institutions and other institutions that provide services for securitization transactions to perform corresponding duties.

The trustee is limited to the trust property and undertakes the obligation to pay the income of asset-backed securities to the investment institution.

Article 3 Asset-backed securities are issued by the trustee of a special purpose trust, representing the share of trust beneficial rights of the special purpose trust.

Asset-backed securities are issued and traded in the national inter-bank bond market.