Core Insights - The corporate asset-backed securities (ABS) market in China has seen significant growth, with the number of issuances surpassing 1000 for the year, reaching a total of 1006 and corresponding to an issuance amount of 890.26 billion yuan [1] - The acceleration in ABS issuance since 2022 reflects increasing market recognition of ABS financing tools and highlights the efficiency of asset securitization in revitalizing existing assets and optimizing financing structures [1][6] - The diversity of asset types in the ABS market has notably increased, with traditional categories maintaining dominance while emerging sectors, particularly data assets and intellectual property, are expanding rapidly [2][3] Market Dynamics - Traditional asset categories such as financing lease receivables, small loans, and supply chain accounts receivable continue to dominate, accounting for over 70% of total issuances [2] - The emergence of data asset ABS has been a significant highlight, with innovative practices and operational models being developed, indicating a shift towards utilizing data as a valuable asset [2][3] - The issuance of large-scale ABS products has become a defining feature of the market, with 76 products issued at a scale of 2 billion yuan or more, reflecting enhanced capabilities of leading enterprises to utilize ABS tools [3] Future Outlook - The corporate ABS market is projected to grow by approximately 30% in 2025, potentially reaching 1.5 trillion yuan, nearing the peak issuance level of 2021 [4] - Future developments in the ABS market may involve breakthroughs in issuance mechanisms, such as the integration of public REITs and other related products, enhancing liquidity and asset coverage [4] Policy and Market Collaboration - The acceleration in ABS issuance is attributed to the collaborative efforts of policy, market, and enterprises, with regulatory bodies optimizing the ABS market environment and encouraging exploration across various industries [6] - The diversification of market participants, including insurance asset management institutions, has enhanced liquidity and provided a broader acceptance of ABS products [7] - The alignment of ABS tools with corporate financing needs has led to increased utilization, particularly in supply chain finance, where it benefits both core enterprises and their smaller partners [7] Challenges and Considerations - Despite the growth, the ABS market faces challenges related to the quality of underlying assets, which can affect cash flow stability and investor confidence [8] - To ensure sustainable development, it is essential to enhance the asset pool quality, optimize trading mechanisms, and improve information disclosure to attract diverse funding sources [8]

Group 1 - The core viewpoint of the articles highlights the significant growth and recovery of China's asset securitization market in the first half of 2025, with an issuance scale of approximately 0.96 trillion yuan, representing a year-on-year increase of 28.74% [2] - By the end of June 2025, the market's outstanding scale reached approximately 3.77 trillion yuan, up from 3.09 trillion yuan at the end of May 2025 [2] - Several targeted policies have been introduced to support the development of the asset securitization market, including the promotion of credit asset securitization in key sectors [2] - The issuance of asset-backed notes (ABN) surged to 258.28 billion yuan, marking a year-on-year growth of 48.70%, establishing itself as a significant growth driver in the market [3] Group 2 - The first half of 2025 saw the emergence of innovative asset securitization products, including green ABS, data asset ABS, and new energy ABS, driven by supportive policies [2] - The first data asset ABS was issued in Shenzhen Stock Exchange with a scale of 130 million yuan, exploring new paths for the marketization of data elements [2] - The asset securitization forum scheduled for September 25, 2025, in Shanghai will focus on current market trends and feature discussions on cross-border ABS, consumer infrastructure REITs, and digital asset securitization [3] - The forum will also include the "Jiefu Award" ceremony to recognize outstanding achievements in the financial sector [3]

1. Report Industry Investment Rating No relevant information provided. 2. Core Viewpoints of the Report In the first half of 2025, the issuance volume of innovative multi-core enterprise combination mode products and external credit enhancement products increased significantly. Financial institutions such as guarantee companies and commercial banks played the role of a link between fund demanders and providers, expanding the service scope of supply chain asset - backed securities products. The number of core enterprises participating in product issuance increased significantly, and the covered regions and industries also broadened. Meanwhile, against the backdrop of the deep - seated market - oriented operation transformation of local state - owned enterprises, the prominent demand for working capital reduction in the construction industry, and the significant increase in the trading activity of the ABS market, the utility of supply chain asset - backed securities products in asset revitalization became prominent. The market issuance recovered significantly, the product term design tended to be long - term, and the issuance interest rate continued the downward trend [61]. 3. Summary According to the Directory 3.1 Issuance Situation - In the first half of 2025, 137 supply chain - related asset - backed securitization products were issued in the exchange market, with a total issuance scale of 69.801 billion yuan, a year - on - year increase of 35 units and 35.24% in scale. The products accounted for 11.25% of the total issuance scale of enterprise asset - backed securitization products in the exchange market during the same period, a year - on - year increase of 0.22 percentage points [3][4]. - In terms of issuance venues, 104 products were issued on the Shanghai Stock Exchange, with a scale of 57.58 billion yuan, accounting for 82.49%; 33 products were issued on the Shenzhen Stock Exchange, with a scale of 12.221 billion yuan, accounting for 17.51% [6]. - In terms of product issuance scale distribution, 130 products had a single - product issuance scale of 1 billion yuan or less, with a total scale of 59.45 billion yuan, accounting for 85.17% [8]. - In terms of product term distribution, products with an expected term of more than 1 year had a significant increase in issuance volume and scale, with the number of issuance units increasing by 47 and the scale increasing by 132.03% year - on - year [10]. - In terms of initial credit rating distribution, AAAsf - rated securities had a total issuance scale of 54.854 billion yuan, accounting for 78.59%, and AA + sf - rated securities had a scale of 14.63 billion yuan, accounting for 20.96% [11]. - The average issuance interest rate of AAAsf - rated supply chain - related asset - backed securities with a term of about 1 year was 2.20%, and the median was 2.10%, down 49BP and 54BP year - on - year respectively [3][13]. - The average issuance spread based on the 1 - year Treasury bond yield as a benchmark narrowed compared with the same period of the previous year, and the average spread based on the 1 - year corporate bond yield was basically the same as the previous year [18]. 3.2 Core Enterprise Analysis - In the first half of 2025, 122 single - core enterprise products involved 70 core enterprises, with a scale of 63.809 billion yuan, accounting for 91.42%; 15 innovative multi - core enterprise combination products involved 64 core enterprises, with a scale of 5.992 billion yuan, accounting for 8.58%. The number of core enterprises increased significantly year - on - year [24][25]. - In terms of enterprise nature, 122 single - core enterprise products involved 68 state - owned enterprises and 2 private enterprises, with corresponding issuance scales of 55.86 billion yuan and 7.949 billion yuan respectively. The number of state - owned enterprises increased by 21 year - on - year, and the number of private enterprises decreased by 2 [29]. - In terms of regional distribution, single - core enterprise products involved 18 regions, with broader coverage. The top three regions, Beijing, Guangdong, and Shandong, had a total issuance amount of 31.283 billion yuan, accounting for 49.03% [30]. - In terms of industry distribution, single - core enterprise products involved 14 industries, with broader coverage. The infrastructure investment and financing, construction, real estate, and trade industries still led in terms of issuance scale. The issuance scale of the construction industry increased by 30.51% year - on - year, and that of the infrastructure investment and financing industry increased by 104.69% year - on - year [33]. - In terms of public credit ratings, core enterprises of single - core enterprise products were mainly rated AAA and AA +, with a corresponding issuance scale of 61.279 billion yuan, accounting for 96.04% [37]. 3.3 Original Equity Holder Situation - In the first half of 2025, 30 original equity holders or their agents were involved, all of which were factoring companies. The top five original equity holders had a total issuance scale of 47.954 billion yuan, accounting for 68.70% [40]. - 21 factoring companies had no affiliated relationship with the core enterprises of their issued products, with 105 issuance units and a scale of 52.263 billion yuan, accounting for 74.87%; 9 factoring companies had an affiliated relationship, with 32 issuance units and a scale of 17.538 billion yuan, accounting for 25.13% [45]. 3.4 Product Structure Design - In terms of sub - level securities setting, 121 products had a sub - level scale ratio between 0% (excluding) and 2% (including), with a corresponding issuance scale of 65.157 billion yuan, accounting for 93.35% [48]. - In terms of credit enhancement arrangements, 128 products were fully credit - enhanced, with a scale of 64.632 billion yuan; 4 products were single - debtor non - credit - enhanced, with a scale of 1.953 billion yuan; 5 products were multi - debtor non - credit - enhanced or partially credit - enhanced, with a scale of 3.216 billion yuan. The scale of fully credit - enhanced products increased by 42.89% year - on - year [50]. - 113 products had core enterprises or their affiliated companies as credit enhancement subjects, with a scale of 61.281 billion yuan, a year - on - year increase of 30.19%; 19 products had external guarantee companies and/or banks as credit enhancement subjects, with a scale of 5.951 billion yuan, a year - on - year increase of 244.39% [53]. 3.5 Filing, Secondary Market Trading, and Maturity Situation - In the first half of 2025, 139 supply chain - related asset - backed special plans were filed with the Asset Management Association of China, with a total scale of 77.576 billion yuan, a year - on - year increase of 34 units and 37.73% in scale [55]. - In the secondary market, supply chain - related asset - backed securities had 2,528 transactions, with a total scale of 49.509 billion yuan, accounting for 9.93% of the total trading scale of enterprise asset - backed securities in the current year. The number of transactions increased by 1,070, and the scale increased by 75.31% year - on - year [57]. - In the second half of 2025, 242 outstanding supply chain - related asset - backed securities were expected to mature, with a total maturity scale of 57.688 billion yuan, accounting for 18.66% of the total scale of all maturing asset - backed securities during the same period [58].

Group 1 - The listing of the CMBS product marks its official entry into the public market, providing innovative financing paths for enterprises and optimizing their capital structure [1] - The CMBS issued by the municipal real estate group is the first of its kind from a state-owned enterprise in Chongqing, with a total scale of 2.06 billion and a term of 24 years at a coupon rate of 2.08%, the lowest in the central and western regions [1] - The project utilizes commercial properties as underlying assets, transforming the operation of existing commercial properties from "holding operation" to "capital operation," thereby enhancing asset allocation and efficiency [1] Group 2 - A special exchange meeting was held to discuss asset revitalization and securitization, with officials from the municipal state-owned assets supervision and administration commission and the housing and urban-rural development committee sharing policies and strategies [2] - There was a consensus among participants to maintain close communication and deepen cooperation in asset securitization, aiming to optimize capital structure and accelerate asset value release [2]

1. Report Industry Investment Rating No information provided in the document. 2. Core Viewpoints of the Report - In the first half of 2025, the issuance volume and scale of personal consumer finance - related asset - backed securities increased year - on - year, while those of micro - loan asset - backed securities decreased year - on - year due to reduced issuance by major platforms. The primary originators of these products are trust companies and small - loan companies, and the underlying asset generation platforms are mainly leading Internet finance platforms, showing a significant head - concentration effect. These products mostly adopt the non - subject credit enhancement model, and the issuance interest rates have declined, with significantly increased secondary - market trading activity [5][7][87]. 3. Summary by Relevant Catalogs 3.1 General Situation - In H1 2025, the exchange market issued 212 personal consumer finance and micro - loan asset - backed securities, with a total issuance scale of 159.791 billion yuan, a 32.99% year - on - year increase in scale and a 0.08 - percentage - point increase in the proportion of the total issuance scale of enterprise asset - backed securities in the exchange market [6]. - Personal consumer finance products dominated, with 170 issues and a scale of 129.059 billion yuan, a 45.51% year - on - year increase in scale. Micro - loan products had 42 issues and a scale of 30.732 billion yuan, a 2.32% year - on - year decrease in scale [7]. 3.2 Personal Consumer Finance - Related Asset - Backed Securities 3.2.1 Issuance - In terms of issuance venues, the Shanghai Stock Exchange issued 100 products worth 70.383 billion yuan (54.54% by amount), and the Shenzhen Stock Exchange issued 70 products worth 58.676 billion yuan (45.46% by amount) [9]. - The top five originators accounted for 69.53% of the issuance scale, and the top ten accounted for 91.38%. The top five platforms accounted for 84.24% of the issuance scale [10][12]. - The top five managers accounted for 65.64% of the newly - added management scale, and the top ten accounted for 92.32% [15]. - Most products used the priority/secondary structured layering credit enhancement method. 149 products (91.53% by scale) adopted the non - subject credit enhancement model [17]. - The highest single - product issuance scale was 2 billion yuan, and the lowest was 1.33 billion yuan. Products with a single - scale in the (5, 10] billion yuan range had the most issuance volume, accounting for 75% of the scale [20]. - The shortest product term was 0.60 years, and the longest was 3.25 years. Products with a term in the (1, 3] - year range had the most issuance volume, accounting for 87.04% of the scale [21]. - AAAsf - rated securities accounted for 89.80% of the issuance scale [22]. - The interest - rate center of 1 - year - around AAAsf - rated securities was approximately between 1.78% and 2.28%, with the median decreasing by about 9BP year - on - year [24]. 3.2.2 Issuance Spread - Compared with the same - term treasury bonds, the average issuance spread of 1 - year AAAsf - rated personal consumer finance asset - backed securities narrowed in H1 2025, while that of 3 - year securities widened [31]. - Compared with the same - term AAA - rated corporate bonds, the average issuance spread of 1 - year and 3 - year AAAsf - rated personal consumer finance asset - backed securities both narrowed [35]. - The average issuance interest rate of 1 - year AAAsf - rated personal consumer finance asset - backed securities decreased by 41BP year - on - year [38]. 3.2.3 Filing - In H1 2025, 142 personal consumer finance asset - backed special plans were filed with the Asset Management Association of China, with a total scale of 101.031 billion yuan, a 12.06% year - on - year increase in scale [39]. 3.2.4 Secondary - Market Trading - In H1 2025, there were 3,595 secondary - market transactions, an increase of 1,386 year - on - year, with a total transaction scale of 62.625 billion yuan, a 51.20% year - on - year increase [41]. 3.2.5 Maturity in H2 2025 - As of the end of June 2025, 243 personal consumer finance asset - backed securities were expected to mature in H2 2025, with a scale of 49.846 billion yuan [43]. 3.3 Micro - Loan Asset - Backed Securities 3.3.1 Issuance - In terms of issuance venues, the Shanghai Stock Exchange issued 34 products worth 23.632 billion yuan (76.90% by amount), and the Shenzhen Stock Exchange issued 8 products worth 7.1 billion yuan (23.10% by amount) [46]. - The top five originators accounted for 73.24% of the issuance scale, and the top ten accounted for 98.70%. The top five platforms accounted for 89.48% of the issuance scale [46][48]. - The top five managers accounted for 75.19% of the newly - added management scale [49]. - Most products used the priority/secondary structured layering credit enhancement method. 37 products (87.88% by scale) adopted the non - subject credit enhancement model [51]. - The highest single - product issuance scale was 1.5 billion yuan, and the lowest was 1.07 billion yuan. Products with a single - scale in the (5, 10] billion yuan range had the most issuance volume, accounting for 68.33% of the scale [54]. - The shortest product term was 0.96 years, and the longest was 3.05 years. Products with a term in the (1, 3] - year range had the most issuance volume, accounting for 85.33% of the scale [56]. - AAAsf - rated securities accounted for 85.95% of the issuance scale [58]. - The interest - rate center of 1 - year - around AAAsf - rated securities was approximately between 1.78% and 2.28%, with the median decreasing by about 25BP year - on - year [60]. 3.3.2 Issuance Spread - Compared with the same - term treasury bonds and AAA - rated corporate bonds, the average issuance spread of 1 - year AAAsf - rated micro - loan asset - backed securities narrowed in H1 2025 [68][72]. - The average issuance interest rate of 1 - year AAAsf - rated micro - loan asset - backed securities decreased by 36BP year - on - year [73]. 3.3.3 Filing - In H1 2025, 40 micro - loan asset - backed special plans were filed with the Asset Management Association of China, with a total scale of 27.832 billion yuan, a 2.35% year - on - year increase in scale [74]. 3.3.4 Secondary - Market Trading - In H1 2025, there were 1,360 secondary - market transactions, an increase of 559 year - on - year, with a total transaction scale of 22.505 billion yuan, a 101.70% year - on - year increase [76]. 3.3.5 Maturity in H2 2025 - As of the end of June 2025, 57 micro - loan asset - backed securities were expected to mature in H2 2025, with a scale of 8.412 billion yuan [77]. 3.4 Industry Dynamic Review - In January 2025, the State Financial Regulatory Administration issued the Interim Measures for the Supervision and Administration of Small - Loan Companies, which refined and standardized the business processes of small - loan companies and raised the access threshold for asset - backed securities issuance [81]. - In March 2025, the Asset Management Association of China issued the Work Details for Due Diligence in Bond - Based Asset - Securitization Business, including small - loan claims in the due - diligence framework [82]. - In June 2025, six departments including the People's Bank of China jointly issued the Guiding Opinions on Financial Support for Boosting and Expanding Consumption, incorporating consumer rights protection into the ABS regulatory rating system [83].

Policy Initiatives - The central government has issued guidelines to enhance financial support for new industrialization, focusing on manufacturing and digital infrastructure[2] - The guidelines propose 18 measures across various financial tools, including loans, bonds, and asset securitization, to improve financial service adaptability[2] Asset Securitization Insights - The current stock of financing lease ABS products is approximately 440 billion yuan, with potential expansion under policy support[3] - The first batch of data center REITs launched in August, with issuance sizes of 2.4 billion yuan and 4.5 billion yuan, achieving a market participation increase of 30% on the first trading day[3] Market Trends - In July 2025, the total issuance of asset securitization products was 200.48 billion yuan, a decrease of 5% from the previous period[6] - The average issuance cost for policy pledge loan products remains the highest among various categories, indicating ongoing high financing costs[6] Performance Metrics - The interbank ABS market saw a significant growth of 33%, with 32.93 billion yuan issued in July 2025[17] - The exchange ABS market remained stable, with 128.5 billion yuan issued, showing little change from the previous month[20] Risk Considerations - Future cash flow will be critical for the success of asset securitization, necessitating ongoing monitoring of cash flow recovery from underlying assets[3] - The secondary market for ABS products has seen a decline in trading activity, with total transactions in the interbank market dropping significantly[27]

Policy and Regulatory Framework - The revised "Regulations on the Payment of Funds to Small and Medium-sized Enterprises" aims to address issues such as "difficulties in receivables recovery and prolonged cycles" for SMEs, enhancing legal protections for their rights[1] - The "Self-regulatory Rules on Due Diligence for Debt Asset Securitization" provide clear guidelines for due diligence, improving efficiency and protecting investors' rights[2] - The "Notice on Regulating Supply Chain Financial Services" focuses on standardizing supply chain financial services to better support SME financing[3] Market Performance and Trends - From January to July 2025, the accounts receivable ABS market saw 158 issuances, a 37.39% increase year-on-year, with a total issuance scale of CNY 1410.60 billion, up 25.71%[5] - The issuance scale of accounts receivable ABS accounted for 11.98% of the total asset securitization market, indicating a slight increase in market capacity[5] - The main issuance venue was the exchange market, which accounted for 80.53% of the total issuance scale[6] Asset Quality and Characteristics - Construction-related receivables dominate the underlying assets, making up 80.16% of the total[8] - The actual cash flow recovery for construction receivables may be affected by project progress and payment cycles, leading to potential delays[37] - Trade receivables show varied recovery characteristics, with stable cash flows from large state-owned enterprises, while consumer-related receivables may have higher risks due to weaker debtor profiles[38] Issuance Structure and Credit Enhancement - 39.11% of the accounts receivable ABS involved a revolving purchase structure, helping to address maturity mismatches[18] - 84.07% of the issuances included credit enhancement, primarily from high-rated entities, maintaining a low overall credit risk level[24] - The proportion of non-enhanced accounts receivable ABS increased to 15.93%, indicating a shift towards more self-reliant structures[27] Secondary Market Activity - The secondary market for accounts receivable ABS saw a transaction volume of CNY 2700.50 billion, a significant increase of 118.57% year-on-year, making it the largest trading category in the asset-backed securities market[32] - The turnover rate in the interbank market was 35.62%, reflecting higher trading activity compared to the exchange market's 17.96%[33]

Core Insights - In April 2021, the China Securities Investment Fund Association reported that a total of 101 enterprise asset securitization products were registered, with a new registration scale of 119.592 billion yuan [1] Summary by Categories Registration Situation - In April, the newly registered scale of debt-based products was 113.947 billion yuan, while the scale for operational income products was 5.645 billion yuan, with no new registrations for REITs or other categories [1] - Among the newly registered products, accounts receivable, commercial mortgage-backed securities (CMBS), financing lease receivables, and small loan receivables accounted for 87.59% of the total new registration scale [1] Existing Products - As of the end of April 2021, there were 2,180 existing enterprise asset securitization products with a total scale of 2.12 trillion yuan [1] - The existing scale of accounts receivable, small loan receivables, commercial mortgage-backed securities (CMBS), financing lease receivables, REITs, and infrastructure-related fees accounted for 86.25% of the total existing scale, totaling 1.83 trillion yuan [1] - Other categories, including housing purchase tail payments, affordable housing, and trust beneficiary rights, had an existing scale of 291.285 billion yuan, representing 13.75% of the total existing scale [1] - The distribution and proportion of existing asset types did not show significant changes compared to the previous month [1]

Core Viewpoint - The core feature of auto loan ABS is the presence of collateral, with underlying assets characterized by high homogeneity, a large number of transactions, and short durations, resulting in very low credit risk. However, current investor concerns about asset quality have significantly impacted the issuance scale of auto loan ABS. Despite this, the default risk remains low, and the existing tiered structure provides strong support for priority levels. In the medium to long term, the automotive industry, including humanoid robots, has a promising outlook and could potentially replace real estate in the economy, making auto loan ABS a leading securitization product [2]. Group 1 - The issuance scale of auto loan ABS has been significantly affected by investor concerns regarding asset quality [2] - The default risk of auto loan ABS remains low, supported by a robust tiered structure [2] - The automotive industry, including humanoid robots, has a broad outlook and may replace real estate's position in the economy [2] Group 2 - An online seminar titled "Deconstructing Asset Securitization Series: Standing Tall Against the Wind - Credit Risk Outlook for Auto Loan ABS in the Second Half of 2025" is scheduled for August 12, 2025 [2] - The seminar will cover forecasts for the second half of the year, analysis of the automotive industry, the status of auto loans, and key points for credit analysis of auto loan ABS [2] - The event will be broadcasted live on multiple platforms, welcoming participation from issuers, investors, intermediaries, and media [2]

Core Viewpoint - The successful issuance of the Wuxi Economic Development Zone National Sensor Information Industry Park asset-backed securities (ABS) project marks a significant milestone as the first successful establishment of a holding-type real estate ABS project in an industrial park in China, providing a new pathway for the securitization of high-quality industrial park projects nationwide [1][2]. Group 1: Project Overview - The Wuxi Economic Development Zone project has a scale of 660 million yuan and is focused on the Internet of Things, intelligent transportation, and related industries, with a good overall occupancy rate [1][2]. - The project includes a diverse range of tenants, primarily in scientific research and technology sectors, including one listed company and over 60 large-scale enterprises, demonstrating significant industrial clustering effects [2]. Group 2: Financial and Strategic Value - The project allows the enterprise to effectively reduce its asset-liability ratio by achieving off-balance-sheet treatment of existing assets through real estate securitization [3][4]. - It injects new momentum into the enterprise's asset operation platform, facilitating a virtuous cycle of investment, financing, construction, and management, thereby better serving the industrial layout of the Wuxi Economic Development Zone [4]. Group 3: Market Impact and Participation - The project attracted significant interest from various long-term capital sources, with total subscriptions exceeding five times the issuance amount, laying a solid foundation for future liquidity in the secondary market [4]. - The Shanghai Stock Exchange has seen a total of 24 applications for holding-type real estate ABS, with 9 successfully issued, totaling 15.6 billion yuan, indicating early success in the construction of a multi-level real estate securitization market [6]. Group 4: Regulatory and Institutional Support - The Shanghai Stock Exchange efficiently completed the review process for the project in just over a month, showcasing its commitment to promoting the establishment of industrial park projects [5]. - The exchange plans to continue supporting the development of the holding-type real estate ABS market, focusing on high-quality development of central enterprises and asset revitalization of local state-owned enterprises [6].