1. Related business models of asset management companies

From the specific practice of the four major asset management companies, the simplest way is to buy out. After the banks package the non-performing assets, they will transfer them to asset management companies in batches. According to the size of the asset package, asset management companies can adopt a one-time or phased buyout method, which can alleviate the financial pressure of asset management companies to some extent.

the second mode is cooperative disposal. In the stage of policy acceptance of non-performing assets of state-owned banks, asset management companies have a preliminary understanding of debtors, but they can't go deep into the industry. At this stage, they can combine high-quality enterprises in the same industry to reorganize non-performing assets and finally realize the benefit sharing.

the third mode is anti-entrustment disposal. After the asset management company buys out the bank's non-performing assets, it sells the income right of the assets to the trust plan or the brokerage asset management plan. The ownership of the assets still belongs to the four major asset management companies, and the asset management companies continue to be responsible for the disposal of non-performing assets. In this model, the asset management company can recover the capital cost in advance and lift the capital occupation, and the risk is borne by the investors themselves.

the fourth is the securitization of non-performing assets. After the asset management company buys out the bad asset package from the bank, it takes the trust plan as SPV by calculating the cash flow, and then issues the restructured asset-backed securities for sale to investors. As for the later management of non-performing assets, it can still be entrusted to an asset management company for management. During the period from 26 to 28, there were four cases of securitization of non-performing assets in China, and the total amount of issuance was about 13.4 billion yuan. However, after 28, with the outbreak of the financial crisis, this business was also stopped. In 215, the call for restarting asset-asset securitization is getting louder and louder, and it is expected that this kind of business will be released soon.

unlike the four major asset management companies, the disposal scope of local asset management companies is limited to this province. In addition to the traditional disposal methods, local asset management companies are gradually innovating the disposal mode.

(1) transfusion recombination. Local asset management companies can transfuse some projects that can come back to life, help enterprises get on the right track, realize a premium and then quit.

(2) Paying debts in kind. For some high-quality mortgage assets, try not to take a long litigation route, and realize a win-win situation for local asset management companies and enterprises by paying debts in kind.

(3) Publicly solicit reorganizers or investors. On the basis of acting as the first-class wholesaler of non-performing assets, attract more professional social investors to participate in the investment of non-performing assets and enjoy the profits of the industry.

(4) set up non-performing assets disposal funds or subsidiaries in conjunction with local governments. Make full use of local government resources, deepen the disposal of non-performing assets, and help local governments divest non-performing assets.

It should be pointed out that under the background of the rapid increase of non-performing assets, although asset management companies are facing unlimited business opportunities, they are also facing great pressure of "de-capitalization" due to the framework and mechanism of asset management companies. For the non-performing assets that have been traded, asset management companies should manage them by classification in order to gain more profit space. For creditor's rights non-performing assets, based on the "popsicle effect", because the principal part will not change, the source of income is interest or penalty interest, and the profit space is limited, so it should be resolved quickly; For non-performing assets of property rights, based on the "root carving theory", asset management companies can choose to hold them for a long time and carve them carefully, so as to obtain higher returns by exchanging time for space.

II. Banking-related business models

At present, domestic banks mostly dispose of non-performing assets through debt collection, internal account management, bad debt write-off, incremental dilution of loans, debt extension or restructuring, bidding and auction, debt-to-equity swap, and physical asset reuse. Restricted by the disposal efficiency, commercial banks have begun to innovate their disposal methods in the context of the sharp increase of non-performing assets.

under the pressure of strict assessment, many banks use inter-bank funds or wealth management funds to dock non-performing assets at key time nodes such as the end of the quarter or the end of the year, so as to realize the non-performing assets off the table and reduce the non-performing rate. Therefore, the pricing of non-performing statements is generally determined by the write-off amount of the bank in the current year. Specifically, there are several operating modes for non-performing loans:

(1) Asset management company's holding mode. Banks provide credit to asset management companies, or subscribe for bonds issued by asset management companies, and inject funds into asset management companies. Then asset management companies use the funds obtained from banks to receive non-performing assets of banks, so as to achieve the purpose of banks' off-balance-sheet, and banks promise to buy back the non-performing assets received by asset management companies in the future. In this model, asset management companies play the role of channels.

(2) Silver-silver mutual holding mode. After the asset management company buys out the bank's non-performing asset package, it sells the income right of the asset to the trust plan or the brokerage asset management plan, and then the bank connects with the bank through inter-bank credit or wealth management funds. In this model, asset management companies, trust companies or securities companies are all channel roles.

(3) The bank and the external institution * * * jointly set up a subsidiary to directly acquire the non-performing assets of the parent company, and further carry out the disposal of non-performing assets, and the proceeds from the disposal shall be divided among the partners.

It should be pointed out that the two modes of holding on behalf of each other and holding each other are essentially the operations of banks to exchange time for space. Although both of them have realized the staged reporting of non-performing assets of banks, the risks still remain in the banking system. On the one hand, the staged statement has won a certain space for banks, and non-performing assets need not be disposed of quickly, but can be slowly digested in the next few years; On the other hand, banks are still responsible for the bad disposal while paying the capital cost, and the cash recovered from the disposal in the next few years may not be enough to cover the capital cost and personnel operating expenses, and finally they have to reduce the price and make another buyout sale, which leads to the delay of the best sale time and may not be worth the loss.

III. Related business models of trust companies

1. Capital intermediary mainly focusing on channel business

Trust companies have cooperated with banks for a long time, and can cooperate with some city commercial banks, especially those in remote areas. Because these banks are located in high non-performing rates, they are afraid to invest in assets in their own regions, but they are very willing to invest in the assets of large banks with good credit in safe areas. Trust companies can play the role of capital intermediary to realize the capital and capital of small and medium-sized banks.

2. Cooperate with asset service agencies to turn non-performing assets into products

On the asset side, the bank-trust cooperation business has accumulated bank resources for trust companies, which can ensure the supply of non-performing assets. From the traditional business of trust companies, although non-performing assets are not the areas that trust is good at, trust companies have always been good at productizing assets in real estate, infrastructure, government platforms and capital markets. Because the asset service institutions have the ability to dispose of assets, trust companies can set up funds in conjunction with specialized asset service institutions to respond to investors with different risk preferences through structured hierarchical design and credit enhancement measures. This model can make trust companies move closer to asset securitization, and at the same time cultivate trust companies' active management ability.

3. Big investment bank model: SPV+ non-performing asset wholesaler

Through channel business, trust companies cultivate the ability to identify and judge the value of non-performing assets. On this basis, trust companies can obtain a large number of non-performing asset packages, and entrust the disposal and management of non-performing assets to professional asset service institutions to achieve * * * win. In this model, the trust company is a kind of "big investment bank", which can be both an intermediate SPV and a wholesaler of non-performing assets.

iv. related business models of insurance companies

from the perspective of large-scale asset allocation, insurance funds are large, and there is also a demand for allocation of non-performing assets. At present, insurance companies have participated in local asset management companies. Specifically, insurance companies participate in local asset management companies by issuing insurance asset management plans, and sign repurchase agreements. Because local asset management companies have the background of SASAC, the risk is low. However, in this mode, business opportunities are limited, which is not enough to support the demand of long-term allocation of insurance funds.

In addition, under the conditions of the liberalization of the policies of the CIRC, insurance asset management companies can cooperate with institutions with the ability to dispose of non-performing assets to set up limited partnership funds, and as the limited partners (LP) of the funds, they can deeply participate in the business of the non-performing assets market.

insurance funds can even be used as a single LP to intervene in specific high-quality projects, and then the fund share can be used as the basic assets to issue project asset support plans to further connect the funds entrusted to be managed within the insurance company system. In this model, insurance companies can leverage fund shares to incite the entire insurance system.

v. relevant business models of non-licensed institutions

1. Non-performing project investment in sub-sectors

In sub-sectors such as real estate and small and micro loans, there are already some professional investment institutions in the market. For example, some real estate M&A funds set up by private capital or foreign capital focus on investing in real estate projects with default risk, and obtain the benefits brought by default consolidation, transformation and operation improvement of the target projects through the selection of lots and actuarial skills of the projects. There are also private investment institutions that focus on the disposal of non-performing assets of individuals and small and micro enterprises with real estate as collateral. Because there are many targets, the risks of individuals are greatly dispersed, and the defense ability of individuals and small and micro enterprises is poor. The investment institutions are in a relatively strong position in the judiciary, which is relatively easy to dispose of, so the average disposal period can be controlled at about two years, and higher returns can be obtained.

2. Product operation mode of non-performing assets

At present, some asset service institutions have set up non-performing debt investment funds, and the investors are mainly high-net-worth customers. Because the disposal cycle of non-performing assets is generally more than two years, asset service institutions need to strengthen liquidity management and even provide liquidity support with their own funds. In terms of product design, you can directly design products with a term of two years, or you can set products with different terms to meet investors with different needs.

p>———— Reprinted by Dianjin People

Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.