total issuance amount: rmb 16,795,364,059
TRANSCRIPT
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Total Issuance Amount: RMB 16,795,364,059.35
Jianyuan 2018-21 Residential Mortgage-Backed Securities
China Construction Bank Corporation
(a joint-stock company established in accordance with PRC laws)
Originator/Servicer
CCB Trust Co., Ltd.
(a limited liability company established in accordance with PRC laws)
Trustee/Issuer
Tranche Rating
CBR/CCXI
Issuance Amount
(RMB) Percentage
Coupon
Rate
Repayment
Method
Expected
Maturity
Date*
Legal
Maturity
Date
Class A-1
Notes AAAsf/AAAsf 3,000,000,000.00 17.86% Fixed rate
Scheduled
Amortization 26/12/2020 26/11/2041
Class A-2
Notes AAAsf/AAAsf 3,800,000,000.00 22.63% Fixed rate
Scheduled
Amortization 26/01/2022 26/11/2041
Class A-3
Notes AAAsf/AAAsf 7,820,000,000.00 46.56%
Floating
rate Pass-through 26/08/2024 26/11/2041
Subordinated
Notes - 2,175,364,059.35 12.95% - - 26/11/2038 26/11/2041
Total 16,795,364,059.35 100.00%
*The given Expected Maturity Date is under the assumption that CPR = 10%/year. If CPR = 0%/year and there is
no default, the Expected Maturity Date of Class A-1 Notes, Class A-2 Notes, Class A-3 Notes and Subordinated
Notes are 26/12/2020, 26/04/2023, 26/04/2029 and 26/11/2038, respectively.
The Securities are issued by the Issuer on the China Interbank Bond Market (“CIBM”) through a book
building process. The dedicated book building room is located at 7F Financial Street Center, 9A Financial
Street, Xicheng District, Beijing, People’s Republic of China. The Originator will hold all the
Subordinated Notes, accounting for 12.95% of the issuance size. The holding term is no shorter than the
term of the Subordinated Notes.
Investing in these Securities may involve various risks. Please refer to the section called “RISK
DISCLOSURE TO INVESTORS” in this Offering Circular for more information.
Interest on Securities shall accrue starting on the date 13/12/2018. The Issuer shall pay the interest and
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principal on each Payment Date which shall accrue on the beginning balance of the Outstanding Principal
Amount of each of the Class A-1 Notes, Class A-2 Notes and the Class A-3 Notes in the period. The first
Payment Date is 26/02/2019 (if such date is not a Working Day, the Payment Date shall be the first
“Working Day” after that date). More information concerning the Interest Rate of the Securities is
included in the Fifth Chapter of this Offering Circular titled “Summary of the Securities”.
China Central Depository and Clearing Co., Ltd. (“CCDC”) will credit the Securities to the custody
accounts of the Noteholders no later than the Working Day following the Trust Effective Date. After the
Issuer completes the establishment of a Debtor-creditor relationship and after completing registration,
the Securities can then be traded on the CIBM.
Abstracts of opinions of the intermediary agencies in this Offering Circular, including the rating reports,
legal opinion, accounting opinion and tax opinion etc., have been verified by relevant intermediary
agencies, and the Issuer shall ensure the authenticity and accuracy of its references.
China Bond Rating Co., Ltd. and China Chengxin International Credit Rating Co., Ltd. offer rating
services for the Securities. An abstract of the rating reports for Class A Notes is included in Chapter Six
of this Offering Circular titled “Opinions of the Intermediary Agencies”.
Investors purchasing the Securities should carefully read this Offering Circular and relevant disclosure
documents and make independent investment judgments. The approval of this issuance by the People’s
Bank of China, China Banking and Insurance Regulatory Commission and other government agencies,
does not suggest any opinion over the investment value of the Securities, nor does it show any judgment
over the investment risks of the Securities.
The disclosure date of this Offering Circular is 3/12/2018.
China Merchants Securities Co., Ltd.
Lead Underwriter/Book Runner
China International Capital Corporation Limited
Joint Lead Underwriter
HSBC Bank (China) Company Limited
Joint Lead Underwriter
Standard Chartered Bank (China) Limited
Joint Lead Underwriter
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Contents
IMPORTANT NOTICE .............................................................................................. 1
PARTICIPATING INSTITUTIONS .......................................................................... 2
A. Originator/Servicer: China Construction Bank Corporation (“CCB”) .................... 2
B. Trustee/Issuer: CCB Trust Co., Ltd. (“CCB Trust”) ................................................... 2
C. Financial Advisor: CCB Principal Capital Management Co., Ltd. (“CCBPCM”) .. 2
D. Fund Custodian: Industrial Commercial Bank of China Ltd. Beijing Branch
(“ICBC Beijing”) ................................................................................................................. 3
E. Securities Custodian/Paying Agent: China Central Depository and Clearing Co.,
Ltd. (“CCDC”) ..................................................................................................................... 3
F. Lead Underwriter/Book Runner: China Merchants Securities Co., Ltd. (“CMS”).. 3
G. Joint Lead Underwriters: .............................................................................................. 4
H. Rating Agencies: ............................................................................................................. 5
I. Auditor/Tax Advisor: Ernst & Yong Hua Ming LLP. (“EY”) ...................................... 6
J. Transaction Counsel: Zhong Lun Law Firm (“Zhong Lun”)................................... 6
Chapter I RISK DISCLOSURE AND STATEMENT OF INFORMATION
CHANGES 7
A. Risk Disclosure for Investors ......................................................................................... 7
B. Statement of Information Changes ............................................................................. 13
Chapter II TRANSACTION BASICS .................................................................. 18
A. Transaction Parties Diagram ....................................................................................... 18
B. Overview of the Participating Institutions ................................................................. 19
C. Abstract of Transaction Documents and Main Rights and Obligations of the Parties
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30
D. Priority of Payments ..................................................................................................... 46
E. Credit Enhancement Measures ................................................................................... 52
F. Organizational Structure and Rights of Meetings of the Noteholders ..................... 54
G. Cash Flow Table ........................................................................................................... 57
H. Taxes and Fees, Payment and Priority Required for Trust Property Cash Flow ... 69
Chapter III GENERAL INFORMATION OF THE UNDERLYING ASSETS
73
A. The Number of Loan Contracts and the Features of Principal Amounts ............ 73
B. Features of Loan Term .............................................................................................. 73
C. Features of Interest Rates ......................................................................................... 74
D. Features of Mortgaged Assets ................................................................................... 74
E. Features of Borrowers ............................................................................................... 75
Chapter IV DISTRIBUTION INFORMATION OF THE UNDERLYING
ASSETS 76
A. Distribution Information of the Loans ....................................................................... 76
B. Distribution Information of the Borrowers ................................................................ 81
C. Distribution Information of the Mortgaged Assets .................................................... 86
Chapter V GENERAL INFORMATION OF THE SECURITIES .................... 96
A. Fees................................................................................................................................. 96
B. Date Information .......................................................................................................... 98
C. Summary of the Securities ......................................................................................... 100
D. Risk Retention Information ........................................................................................ 110
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Chapter VI OPINION OF THE INTERMEDIARY AGENCIES .................. 111
A. Abstract of the Due Diligence and Legal Opinion .................................................... 111
B. Summary of the Transaction and Accounting Treatment Opinion ........................ 121
C. Summary of Credit Rating Reports .......................................................................... 122
Chapter VII FOLLOW-UP ARRANGEMENTS FOR SECURITIES ............ 134
A. Arrangement of Follow-up Ratings ........................................................................... 134
B. Arrangements of Information Disclosure for Securities.......................................... 135
C. Rights of Trust Beneficiaries ...................................................................................... 137
D. Method for Accessing Information About the Underlying Assets .......................... 137
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IMPORTANT NOTICE
The issuance of Class A-1 Notes, Class A-2 Notes, Class A-3 Notes and Subordinated Notes (The “Issue”)
has been approved by the People’s Bank of China under the Decision of the People’s Bank of China to
Grant Administrative Permission (ref. Yin Shi Chang Xu Zhun Yu Zi 2018 No.216) and filed under the
Filing Notice of the China Banking and Insurance Regulatory Commission’s Innovation Department on
Jianyuan 2018-21 Residential Mortgage Backed Securitization with the China Banking and Insurance
Regulatory Commission.
The Issuer guarantees that there are no false records, misleading statements or material omissions in this
Offering Circular by the disclosure date.
The Securities in this Issue only represents corresponding shares of the “Trust Beneficiary Interest” of
the special purpose trust and do not constitute liabilities of the Originator, the Trustee or any other
organization towards the investors. The recourse of the Securities’ obligations in this Issue is limited to
the Trust Property. The Originator assumes no obligation or liability for any losses that may arise
throughout the course of the credit asset securitization other than the duties it may be required to assume
as the Settlor under the Trust Agreement and as the Servicer under the Servicing Agreement. The Issuer’s
obligation to investors for payment of the principal of and benefits from the Securities is limited to the
Trust Property. The Servicer assumes no obligation or liability for any losses that may arise throughout
the course of the credit asset securitization other than the duties required by the Servicing Agreement.
For offshore investors participating in the subscription of the securities through the “Northbound Trading”
channel of "Bond Connect", the specific arrangements concerning registration, custody, settlement,
remittance and conversion of funds will follow the "Interim Measures for the Connection and
Cooperation between the Mainland and the Hong Kong Bond Market" issued by the People's Bank of
China and other relevant laws and regulations. China Central Depository & Clearing Co., Ltd.(“CCDC”)
provides services concerning registration, custody and remittance for the offering of securities. Hong
Kong Monetary Authority- Central Money markets Unit (HKMA-CMU) provides the corresponding
services for offshore investors.
Investors purchasing the Asset Backed Securities should carefully read this Offering Circular and
relevant disclosure documents and make independent investment judgments. The approval of this Issue
by relevant administrations does not suggest any opinion of the investment value of the Issue, nor does
it show any judgment to the investment risks of the Issue.
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PARTICIPATING INSTITUTIONS
A. Originator/Servicer: China Construction Bank Corporation (“CCB”)
Registered address: No. 25, Financial Street, Xicheng District, Beijing, PRC.
Legal representative: Guoli Tian
Contacts: Hongyuan Zhang, Min Li, Bo Wang, Dejian Chang, Tianya Hui, Xuefei
Chen
Phone umbers: +8610-67596282/67596283/67596333/67596340/67596307
Zip code: 100032
Website: www.ccb.com
B. Trustee/Issuer: CCB Trust Co., Ltd. (“CCB Trust”)
Registered address: No. 45 JiuShiQiao Road, Hefei City, Anhui Province, PRC.
Legal representative: Baokui Wang
Contacts: Xiaofei Yan, Xinyu Zhi, Cheng Wang
Phone number: +8610-67594377
Zip code: 100031
Website: www.ccbtrst.com.cn
C. Financial Advisor: CCB Principal Capital Management Co., Ltd. (“CCBPCM”)
Registered address: #2-232, No. 738 Guangji Road, Hongkou District, Shanghai, PRC
Legal representative: Yong Ma
Contacts: Sheng Li, Decheng Chen, Lu Shi
Phone number: +8610-58527770
Zip code: 100031
Website: www.ccbapital.cn
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D. Fund Custodian: Industrial Commercial Bank of China Ltd. Beijing Branch (“ICBC
Beijing”)
Registered address: Block B, Tianyin Building, No. 2 Fuxingmen South Street, Xicheng
District, Beijing, PRC
Legal representative: Zhenjun Wang
Contact: Yuan Wei
Phone number: +8610-63950873
Zip code: 100045
Website: www.bj.icbc.com.cn
E. Securities Custodian/Paying Agent: China Central Depository and Clearing Co., Ltd.
(“CCDC”)
Registered address: No. 10, Financial Street, Xicheng District, Beijing, PRC
Legal representative: Ruqing Shui
Contact: Chengxiang Liu
Phone number: +8610-88170738
Zip code: 100033
Website: www.chinabond.com.cn
F. Lead Underwriter/Book Runner: China Merchants Securities Co., Ltd. (“CMS”)
Registered address: 38F-45F, Block A, Jiangsu Building, Yitian Road, Futian District,
Shenzhen, Guangdong, PRC
Legal representative: Da Huo
Contacts: David Cao, Qian Zheng, Kaiyu Yang, Qicheng Deng, Yijia Ren
Phone number: +8610-60840885
Zip code: 100033
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Website: www.newone.com.cn
G. Joint Lead Underwriters:
1. China International Capital Corporation Limited(“CICC”)
Registered address: 27th and 28th Floor, China World Office 2, No.1 Jianguomenwai
Avenue, Chaoyang District, Beijing
Legal representative: Mingjian, Bi
Contacts: Zhouqi Jia, Yingxue Li, Xinyang Tian, Ji Li, Yue Fei
Phone number: +8610-65051166
Zip code: 100004
Website: www.cicc.com
2. HSBC Bank (China) Company Limited (“HSBC China”)
Registered address: Unit 01-05, 07-09 of 20/F, Unit 01-03 of 22/F, 23/F, Unit 01- 04, 12-16 of
25/F, Unit 01-12, 15, 16 of 26/F, Unit 01-11 of 27/F, Unit 01-09, 12-16
of28/F, 29/F, Unit 04-08 of 30/F, Unit 01, 03-16 of 31/F, 32/F, Unit 01-03,
15, 16 of 33/F,35/F, Unit 01-02, 04-16 of 36/F, 37/F and Unit 01-08, 10-
16 of 38/F, HSBC Building, Shanghai IFC, 8 Century Avenue, China
(Shanghai) Pilot Free Trade Zone
Legal representative: Yijian Liao
Contacts: Chao Ye, Zhao Yang, Jiawen Zhang, Zheyi Zhu
Phone number: +8621-38881248/3888 2847
Zip code: 200120
Website: www.hsbc.com.cn
3. Standard Chartered Bank (China) Limited (“SCB China”)
Registered address: 16F (actually 15F), 17F/Room 1, 2, 4 (actually 16F/Room 1, 2, 4),
18F/Room 1, 2, 3 (actually 17F/Room 1, 2, 3), 19F (actually 18F),
22F/Room1, 2 (actually 21F/Room 1, 2), 23F/Room 1 (actually
22F/Room 1), 25F/Room 1 (actually 23F/Room 1), and 28F (actually
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26F), Standard Chartered Tower, 201 Century Blvd., Pu Dong New Area,
Shanghai, People’s Republic of China
Legal representative: Zhang Xiaolei (张晓蕾)
Contacts: LAI, Haisu (来海粟), SI, Yiqing (斯逸卿), LIANG, Jiamin (梁嘉敏)
Phone number: +8621-38518896/38518923/38518637
Zip code: 200120
Website: www.sc.com
H. Rating Agencies:
1. China Chengxin International Credit Rating Co., Ltd. (“CCXI”)
2. China Bond Rating Co., Ltd. (“China Bond Ratings” or “CBR”)
Registered address: Tower 6, Galaxy SOHO, Nanzhugan Hutong, Chaoyangmennei Street,
Dongcheng District, Beijing
Legal representative: Yan Yan
Contacts: Xuan Liu, Yi Kang, Li Wang, Tianwei Wang, Bo Lv
Phone number: +8610-66428877
Zip code: 100010
Website: www.ccxi.com.cn
Registered address: 6/F, Tower 2, 28 Financial Street, Xicheng District, Beijing, PRC
Legal representative: Guanghua Feng
Contacts: Bo Liu
Phone number: +8610-88090164
Zip code: 100032
Website: www.chinaratings.com.cn
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I. Auditor/Tax Advisor: Ernst & Yong Hua Ming LLP. (“EY”)
Registered address: Unit 01-02, 17th Floor, EY Tower, Oriental Plaza, 1 East Chang An
Avenue, Beijing, China
Legal representative: Anning Mao
Contacts: Suoteng Feng, Yi Ma, Jian Lou, Shuyan Gao, Mingyan Wei
Phone numbers: +8610-58153103/58184411/58185459
Zip code: 100738
Website: www.ey.com
J. Transaction Counsel: Zhong Lun Law Firm (“Zhong Lun”)
Registered address: 28, 31, 33, 36, 37/F, SK Tower, 6A Jianguomenwai Ave., Chaoyang
Dist., Beijing, PRC
Legal representative: Xuebing Zhang
Contacts: Borong Liu, Xiaoli Liu, Jingyi Lu, Wei Xu, Honglei Zhao, Liang Shi,
Wenting Yuan, Yuxi Zhang, Yifan Tong
Phone number: +8610-59572288
Zip code: 100022
Website: www.zhonglun.com
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Chapter I RISK DISCLOSURE AND STATEMENT OF
INFORMATION CHANGES
The Securities in this Issue only represent corresponding shares of the “Trust Beneficiary Interest”
of the special purpose trust and do not constitute liabilities of the Originator, the Trustee or any
other organization towards the investors. The recourse of investors under the Securities in this
Issue is limited to the Trust Property.
Investors purchasing the Asset-Backed Securities (Securities) should carefully read this Offering
Circular and relevant disclosure documents and make independent investment judgments. The
approval of this Issue by relevant administrations does not suggest any opinion of the investment
value of the Issue, nor does it show any judgment to the investment risks of Issue.
The following context summarizes potential risks within the Securities, each of which might causes
significant adverse effects to all or part of the Noteholders. Therefore, investors purchasing the Securities
should carefully consider the following risk factors.
A. Risk Disclosure for Investors
1. Credit Risk
If any borrowers under the Trust Property fail to fulfill their obligations of repaying the principal and
interest fully or on time, the cash flows of Trust Property may fall below the expectation, impairing the
ability of the Securities to pay interest or repay the principal amount when they come due, and
consequently Investors could suffer losses.
In response to these risks, the Rating Agencies has considered the situation such as default events occur
in advance and collateral value depreciation etc., while conducting the cash flow stress test. The
Originator has also set the Eligibility Criteria for the underlying asset, and has made an asset guarantee
for each loan transferred. If any loan is found non-conformity to the Eligibility Criteria on the cut-off
date or the Trust Effective Date, then the Originator is obliged to repurchase such asset from the Trustee,
such arrangement will relieve the credit risk of the borrowers to a certain extent.
2. Structural Risk
The transaction structure of the Issue involves various parties, including but not limited to the
Originator/Settlor, Issuer/Trustee, Servicer, Fund Custodian, Financial Advisor, Lead Underwriter, Joint
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Lead Underwriters, Auditor/Tax Advisor, Legal Advisor, Rating Agencies, Notes Custodian/Paying
Agent, etc. This complex structure might have flaws due to potentially inadequate communications.
In response to these risks, the Transaction Documents clearly stipulate the rights and obligations of the
Originator / Settlor, the Trustee / Issuer, Servicer, Fund Custodian, etc., and stipulate the responsibility
of default and the responsibility of compensation of the losses caused by the misconduct or breach of
contract from each institution, etc. In addition, the participants in this transaction have relatively adequate
experience in asset-backed securitization, which to some extent, reduces the risk of transaction structure.
3. Risk Concerning the Collateral of the Underlying Assets
Concentration Risk
The collateral of the underlying assets are real estate properties concentrated in several regions, which
makes them vulnerable to the regional real estate market fluctuation. Any fluctuations in the real estate
price or value may cause an adverse effect to the LTV and consequently influence the investment return
of the Securities. Specifically, the collaterals of the underlying assets are concentrated in Guangdong
Province, Jiangsu Province, Fujian Province, Zhejiang Province and Shandong Province, accounting for
51.32% of the total Outstanding Principal Balance. In case of large fluctuations in the real estate markets
of these regions, the credit performance of underlying assets would be adversely affected.
Value Fluctuation Risk of the Collateral
The underlying assets of the Securities are residential mortgage loans. Due to the features of the
underlying assets, the Securities have a relatively long term to maturity, which might span multiple
economic cycles. As a result, the value of the collateral could be influenced by multiple factors and the
value could fluctuate.
Risk of the Trustee’s Failure to Claim the Mortgage in Special Situations
On the Trust Effective Date, instead of directly transferring the Right to Mortgage of the underlying
assets to the Trustee, the Originator choose to make an agreement with the Trustee that the Right to
Mortgage of the underlying assets will not be transferred to the Trustee until Individual Notification
Event occurs.
When a borrower defaults and the Trustee needs to exercise the mortgage, such a situation might prevent
the Trustee from exercising the mortgage in time since the process of transferring the Right to Mortgage
differs in every region of PRC. Furthermore.
The above factors, causing the Trustee to be unable to exercise their claim on the mortgage in time, would
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influence the loan recovery progress and recovery amount, and the Trust Property may suffer losses
consequently.
In response to these risks, the Trustee will continually pay attention to the real estate market in these
areas. Meanwhile, in order to reflect the downside risk due to macro market, the Rating Agencies will
consider the situation such as default events occur in advance and collateral value depreciation etc., while
conducting the cash flow stress test. According to the transaction structure, once any of the Individual
Notification Event occur, CCB is required to submit all compulsory documents of application that are
relative to the residential mortgage transfer registration to the relevant government authorities within 30
Business Days; and complete the mortgage transfer registration within 9 months, to ensure the Right to
Mortgage is registered under the name of the Trustee.
4. Liquidity Risk
The Securities are still innovative financial products in China; investors are unfamiliar with such
products. So the transfer of securities might entail liquidity risk since it might be difficult to find trading
counterparties.
In line with market development, the scale of asset securitization product offerings will further increase,
the trade platform will become richer, the courage of repurchase transactions, etc. will cause the liquidity
of asset securitization products to improve. With the development of securitization on trial, the investors
are more familiar with the securitization products, more and more qualified investors will bring ABS
products into the scope of investment and liquidity of which will be improved.
5. Interest Rate Risk
All underlying assets bear interest at floating rates. Class A-1 Notes and Class A-2 Notes are floating rate
(the coupon rate is equal to the sum of the Benchmark Interest Rate and the Spread). Underlying assets
and Senior Notes are different in the time and range of interest rate adjustments. As a result, interest rate
risk might occur due to interest rate fluctuations and time mismatch. As the Securities have a long term
to maturity, changes in residential mortgage policies and interest rate policy may happen. Interest rate
risk might rise when Benchmark Interest Rate policies and residential mortgage interest rate policies
change asynchronously.
Interest rate risk of fixed income securities cannot be avoided, the investors should use their own analysis
of market trends, combined with interest rate risk management tools and hedging tools to reduce the
possibility of losses. Class A-1 and Class A-2 asset backed securities use fixed interest rate, which could
reduce the impact of interest rate fluctuation on the price of these securities.
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6. National Real Estate Policy Risk
The PRC is a developing country, and the market mechanism is gradually improving. At this stage, the
macro-control of the government has played a significant role in preventing market failure and promoting
the economy in a healthy and rapid direction. At different stages of the economic cycle, the macro-control
measures generally taken by the PRC include monetary policy, fiscal policy, legal policy and
administrative measures.
First, from the perspective of the buyers, because the investment channels are relatively narrow and real
estate has value-adding characteristics, many people regard the purchase of real estate as an effective
means of maintaining and increasing personal wealth. Therefore, the speculative demand for real estate
far exceeds the actual demand, and excessive speculative demand further causes real estate prices to rise.
Majority of the funds utilized by the speculative buyers are from commercial banks, which increases the
risk borne by the banks. According to this situation, the government could regulate this risk by using two
methods. First, by increasing the proportion of down payment, the government would add restrictions on
the requirements of purchasing real estate. Second, the government could formulate various policies to
allow buyers to form expectations of the changes in real estate prices in order to regulate their purchasing
behaviors.
Second, from the perspective of real estate developers, with the macro regulation and control of the
government, the approval process for real estate developers to obtain loans from commercial banks has
become stricter and purchasers lack the motivation to buy houses; thus, developers face a more severe
situation.
Third, from the commercial bank’s point of view, as the main source of funds for real estate developers
and buyers, they regard residential mortgage loans as high quality assets and provide long-term loans to
real estate developers. They serve as a very important link in the real estate capital chain.
The impact of macroeconomic regulation and control on real estate credit risk in commercial banks is
reflected in two aspects. Firstly, the loans provided by banks are mostly mid-term and long-term loans,
which are more difficult to adjust quickly according to the state’s macro-control policies. Secondly, with
further and strengthened macroeconomic regulation and control of the real estate market, previous loan
risks are gradually revealed and the risk of residential mortgage loans is more pronounced.
Policy risk cannot be avoided through pre-set trading mechanisms due to its unpredictability and
irresistibility. But the Trustee will promptly communicate with investors in face of unfavorable policy
changes and initiate the Noteholders conference to set up a response plan if necessary.
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7. Prepayment Risk
In addition to the factors such as delinquency, default and recovery, borrower's prepayment behavior and
loan modification under the negotiation between borrower and sponsor are more likely to cause the
changing of initial underlying cash flow planning, which will result in cash flow changes of trust property
and also will make the actual underlying cash flow different from the expected cash flow announced in
the Offering Circular. Interest rate, political, economic, social, demographic and other factors may have
an impact on the mortgage prepayment. Because of many uncertain factors, it is difficult to accurately
predict the time and amount of borrower’s prepayment. On the premise that all other factors being equal,
if a large number of mortgages are repaid in advance, the weighted average life and maturity of Asset
Backed Notes will be shortened. At the same time, the return of the note holders may be affected by the
level of reinvestment yield of the market at that time. If the actual mortgages prepayment exceeds
expectations, it may result in the actual maturity of Asset Backed Notes shorter than expected and the
actual weighted average life shorter than expected; if the actual mortgages prepayment fails to meet
expectation, it may result in the actual maturity of Asset Backed Notes longer than expected and the
actual weighted life longer than expected, which may adversely affect the fund planning of the note
holders.
Prepayment risk cannot be avoided as to RMBS. Investors should anticipate the fluctuation of cash flow
of underlying assets according to their own statistical analysis. With the development and innovation of
China's asset securitization market, innovative financial instruments or trading structures may emerge in
the future to mitigate the risks associated with such risk. In case that, there is any significant adverse
impact on the holders of the asset-backed securities, the investor will be notified immediately.
8. The Risk that Actual Maturity Date and Actual Principal Amortization Schedule of the
Senior Asset Backed Notes Differ From those of the Expected Values
The actual maturity date and weighted average life of individual Residential Mortgage Asset Backed
Notes are closely related to the actual performance of the underlying asset pool. The related factors
include, but are not limited to, underlying’s prepayment, delinquency, default and recovery. The actual
performance of asset pool may be affected by many factors, such as the national real estate policy
regulation, national macroeconomic changes, residents' consumption level and financial management
concepts, which make the trust property’s actual cash flow hard to predict. Through statistics and analysis
of the static data of CCB’s residential mortgage and the actual performance of the underlying asset pool
of Jianyuan Series RMBS deals, this Offer Circular uses the cashflow under the assumption of zero
default rate and annualized conditional prepayment rate equals to 5%, to derive Senior Class A-1 Notes
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and Senior Class A-2 Notes’ principal amortization schedule. It also uses the cashflow under the
assumption of zero default rate and annualized conditional prepayment rate equals to 10% and the
cashflow under the assumption of zero default rate and zero prepayment rate, to derive the expected
maturity dates for information disclosure respectively. Due to the difference between the actual
underlying cash flow and expected underlying cash flow, the actual maturity date of each Asset Backed
Notes may be different from expected, and the actual principal amortization schedule may be different
from the planned principal amortization schedule, which will have a negative impact on the note holders.
9. Operational Risk
Operational risk refers to the risk of losses due to inappropriate or failed internal procedures, employees
and system, or external events. As the post-issuance management work is complex, delays in making
payments could occur.
Operation risk may originate from investors' own operational risks and from the agencies involved,
resulting in the defects in the design of asset-backed securities. For the latter, this securitization
transaction adopts the following measures to reduce operational risks faced by investors: (1)Strictly
establish the legal rights and obligations of all parties to the transaction, and ensure the legitimacy,
integrity and strictness of the transaction; (2)Information disclosure shall be carried out in strict
accordance with relevant laws, regulations and policies; (3) Public issuance documents to investors with
a full range of information disclosure; (4) During the lifetime of Asset-backed Securities, the Trustee will
regularly issue Trustee Report and disclose major events that may affect the interests of investors from
time to time. (5) Rating Agencies will conduct initial ratings and follow-up ratings for the Notes. In
addition, the participants in this transaction have relatively mature experience in asset securitization
business, which could reduce operation risks to certain extent.
10. Legal Risk
Legal risk refers to the risk that the contracts would not be implemented due to certain defects of financial
regulations, misunderstanding of provisions by relevant parties, lack of enforcement or ambiguity of
provisions etc., as well as other risks in connection with litigation, adverse judgment and deficiency of
legal instruments. Legal risk exists throughout the life of a contract, including the signing of the contract,
the performance of the contract and any dispute resolution proceedings in relation to the contract.
In the view of the above risk, in conjunction with the problems encountered during the previously issued
Jianyuan series of RMBS, the relevant parties of this securitization transaction have fully discussed and
communicated the contents of the transaction documents, and will make their best to to avoid
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misunderstanding or poor execution or even non-execution events due to poor quality of the transaction
documents.
11. The Default Risk and the Risk of Material Adverse Change of the Counterparty
The transaction structure of the Issue involves various parties. Though the Rights and Obligations of
each party are regulated in the Transaction Documents, the Issuer cannot guarantee that there will not be
a default or a material adverse change in any party.
In the view of such risk, the relevant transaction documents of this project clearly stipulated the rights
and obligations of the Trustee, the Servicer and the Fund Custodian, and agreed on the default or
compensation responsibility for the loss due to their improper conduct or breach of contract. In addition,
in this transaction, accelerated payment event, termination event and selection criteria/ process of
replacement agent etc. are linked to the performance of the Servicer, Fund Custodian, Trustee and their
natural endowment, in order to minimize the adverse impact on asset-backed securities and investors
when a counterparty defaults or a material adverse change occurs.
B. Statement of Information Changes
Compared to the information of registrations report for applying the“Jianyuan”series RMBS, extra
credit enhancement measures including Liquidity reserve account and offset reserve account are
introduced. The Trust Reserve Account (Offset): is used to pay the deficiency at the time of cash flow
transfer payment of the trust when the borrower claims offsetting rights. Trust Reserve Account
(Liquidity): is used to make up the deficiencies in paying the agency service charge and interest of senior
notes which are caused by default of underlying asset or fluctuations of repayment. Definition of event
of default are adjusted for this issue of securities by adding triggering condition of offset reserve
withdrawal event. Transaction process stated above will enhance the credits of the senior notes. Details
are as followings:
1. Trust account setup
As on or before the Cut-Off Date, the Trustee should set up an independent Trust Account in the Fund
Custodian in its full name, “CCB Trust LLC”, pursuant to the Fund Custody Agreement. The Trust
Account includes Collection Accounts (Interest Sub-Account and Principal Sub-Account), Trust
Payment Account (Allocation Principal Account, Allocation Interest Account and Allocation Expenses
Account), Service Transfer Reserve Account, Tax Reserve Account, Offset Reserve Account, and
Liquidity Reserve Account;
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The Trustee set a series of Reserve Account in order to prevent risk of trading structure:
• The Trust Reserve Account (Service Transfer and Notice), is used to pay special expenses occurred
because of change of servicer or sending the Right Completion Notice.
• The Tax Reserve Account, is used to pay taxes to tax authorities and other competent authorities.
• The Trust Reserve Account (Offset), is used to pay the deficiency at the time of cash flow transfer
payment of the trust when the borrower claims offsetting rights.
• The Trust Reserve Account (Liquidity), is used to make up the deficiencies in paying the agency
service charge and interest of senior notes which are caused by default of underlying asset or
fluctuations of repayment.
(1) Trust Reserve Account (Liquidity) setup and fund application
Before the occurrence of any Event of Default and the completion of the payment of the principal and
interest of senior notes，the Trustee should allocate the Collections, On each Trust Allocation Date, the
Trustee should transfer the entirety of the funds from the Trust Reserve Account (Liquidity) to the
Principal Sub-Account, and the funds will be allocated according to the Trust Agreement. After the
occurrence of any Event of Default and the completion of the payment of the principal and interest of
senior notes, the Trustee should transfer the balance of the Trust Reserve Account (Liquidity) to the
Principal Sub-Account.
Necessary (liquidity) refers to the reserve amount allocated day, became a trust before (a) in the event of
default occurs and in all the priority file before complete payment of the principal and interest of asset-
backed securities, for the distribution of the trust, in accordance with the trust contract item 9.2 (a) (I) to
the first item (vi) all payments (not included are payments for trustee, and the agencies can reimburse
the total amount of spending cap to be the priority for computing) two more in a year to cope with a
trustee of the sum of the total compensation;(b) zero after the event of default or after the completion of
principal and interest payments on all underlying asset-backed securities
On Trust Allocation Date, the Required（liquidity）reserve amount indicates:（1）Before the occurrence
of any Event of Default and the completion of the payment of the principal and interest of senior notes，
twice the mount according to the Trust Agreement item (i) to item (vi) of clause 9.2(a) (income of Trustee
excluded and ceiling at total amount of reimbursable expenses of each organization calculated on the
basis of the priority expenditure ) plus total annual remuneration payable to the trustee; （2）zero, after
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the occurrence of any Event of Default and the completion of the payment of the principal and interest
of senior notes.
(2) Trust Reserve Account (Offset) setup and fund application
In case of offset reserve withdrawal event, the Trustee should transfer the fund equal to the amount
withdrawn from the Trust Reserve Account (Offset) to the Trust Account. In any of the following
circumstances: (1) Settlor has the rating recovered to its necessary grade and the Trustee has reasonable
justification that the deterioration in credit conditions of the Settlor disappeared and the Settlor is
informed;(2) Both principal and interest of senior notes are paid off; or (3) On Trust Termination Date,
the Trustee should follow instructions of the Fund Custodian to transfer the amount in Trust Reserve
Account (Offset) to the account indicated by the special beneficiary of trust.
According to statistical results of the Originator complied to the Trust Agreement, the amount in the Trust
Reserve Account (Offset) exceeds required (offset) reserve amount, the Originator could apply to the
Fund Custodian to withdraw the excess amount on the Servicer Report Performance Date. The Fund
Custodian should transfer the amount to the account indicated by the special beneficiary of trust.
(offset) reserve amount indicates, on the next Trust Allocation Date after the offset reserve withdrawal
event, the amount by which any borrower exercises offsetting rights with respect to the amounts owned
by the Trustee (including but not limited to deposits) and the loans in the asset pool.
Required (offset) reserve amount indicates: (1) when the Settlor loses the necessary rating grade or the
Trustee has reasonable grounds to think that the Settlor's credit status has significantly deteriorated and
has notified the Settlor, the sum of the amount ( Including, but not limited to, current deposit, fixed time
deposits, etc., but subject to the outstanding principal balance of the pooled loan of the corresponding
borrower at that time) of all borrower deposited at the Settlor at the time when the Notice of rights
perfection is sent by the Settlor or the Trustee; (2) under circumstance after (1) and before (2), the
required (offset) reserve amount shall be adjusted once after each collection period finished, required
(offset) reserve amount is the sum of the Offsetting amount of each borrower at the end of the collections
period, i.e., the lowest of the following three items: (i) the amount that the borrower deposited at the
Settlor at the time when the Notice of rights perfection is sent by the Settlor or the Trustee, (ii)
Outstanding Principal Balance of the borrower by the end of the collection period, (iii) the sum of the
amount ( Including, current deposit and fixed time deposits) that borrower deposited at the Settlor; (4)
when the Settlor has the rating recovered to its necessary grade and the Trustee has reasonable
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justification that the deterioration in credit conditions of the Settlor disappeared and the Settlor is
informed or the principal and interest of the senior notes are paid/the Trustee Determination date, the
required (offset) reserve amount equals to zero.
2. Additional Triggering Mechanism
Comparing to the trading provisions set in the Application Report for Registration, there are
modifications to the definition of Event of Default, and additional Fund Custodian Termination Event
and Withdrawal of Reserve (Offset) Event are designed in this transaction. The modifications goes below:
(1). Event of Default
It shall trigger the Event of Default if,
a) The Trustee fails to pay the interests of the highest level of the Senior Class Notes, of which the
principals shall be reimbursed but not yet paid at that time, in 10 business days (or in the grace period
granted by the Controlling Noteholders Meeting) after the Date of Payment, provided that the outstanding
balance of the highest class of the Senior Class Notes shall remain and the Trustee cannot pay the interests
of other classes of the Senior Class Notes nor the benefits of the Subordinated Class Notes due to the
lack of funds,
b) The Trustee fails to reimburse the principals of the Senior Class Notes in 10 business days (or in
the grace period granted by the Controlling Noteholders Meeting) after the Legal Maturity Date,
c) The Trustee breaches the material duties, conditions or provisions regulated in the Provisions and
Conditions of the Securities, the Trust Agreement or the transaction documents in which the Trustee signs
as a party, and the Controlling Noteholders Meeting reasonably believes that such breach of duties (i)
cannot be cured , or (ii) can be cured but the Trustee fails to recover in 30 business days after the
Controlling Noteholders Meeting send a written notice to recover, or (iii) can be cured by means of
replacing the Trustee according to the transaction documents but it fails to replace the Trustee in 90
business days after the occurrence of the Event of Default, or
d) The Controlling Noteholders Meeting reasonably believes that the Trustee makes significantly
untruthful and misleading statements and guarantees in the Trust Agreement or other transaction
documents in which the Trustee signs as a party, and the Controlling Noteholders Meeting reasonably
believes that such significantly untruthful and misleading statements and guarantees (i) cannot be cured ,
or (ii) can be cured but the Trustee fails to recover in 30 business days after the Controlling Noteholders
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Meeting send a written notice to recover, or (iii) can be cured by means of replacing the Trustee according
to the transaction documents but it fails to replace the Trustee in 90 business days after the occurrence
of the Event of Default.
e) When any of the events listed in (a) to (b) above occurs, the Event of Default is deemed to have
occurred on the date of that event. When any of the events listed in (c) to (d) above occurs, the Controlling
Noteholders Meeting shall determine whether to announce the occurrence of the Event of Default and to
notify the Trustee to inform the Servicer, the Fund Custodian, the Securities Custodian, the Paying Agent,
and the Rating Agents such occurrence by written notice or not. Before the Controlling Noteholders
Meeting making such decision, the Trustee shall allocate the Collections pursuant to the order in § 9.2 of
the Trust Agreement as the Accelerated Payment Event having occurred. After the Controlling
Noteholders Meeting announcing the Event of Default occurs, the Trustee shall allocate the Collections
pursuant to the order in § 9.3 of the Trust Agreement.
f) Upon the Event of Default, the Noteholders enjoy the rights regulated in § 10 of Provisions and
Conditions of the Securities.
(2). Withdrawal of Reserve (Offset) Event
It shall trigger the Withdrawal of Reserve (Offset) Event if any of the Borrowers claims to exercise the
right to offset the Originator’s debts to the Borrower (including but not limited to the Borrowers deposits
in the Originator) and loans in the Assets Pool, when the Originator fails to meet any Required Rating
Levels or the Trustee reasonably believes and informs the Originator that the credit level of the Originator
significantly deteriorates.
Besides of the above, no other information change has occurred.
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Chapter II TRANSACTION BASICS
A. Transaction Parties Diagram
The following diagram shows the role of each transaction party and provides a brief summary of each
principal transaction document in the Issue.
Transaction Process is summarized as follows:
According to the Trust Agreement, CCB, as the Originator, transfers certain residential mortgage loans
as the Trust Property to CCB Trust, as the Trustee, to establish the Special Purpose Trust for the Issue.
The Trustee issues the Securities to Investors and pays the principal and interest of the Securities subject
to the cash flow generated by the Trust Property. The amount of principal and interest of each Note and
Trust Asset Transfer
Statutory agreement signed by relevant parties
Capital
Sales of ABS
CCB
(Originator / client)
Borrower Loan
contract
Repay
Principal
Trust
Agreement
Trust
Asset
Issuance
Proceeds
CCBPCM
(Financial Advisor)
Financial Advisor
Agreement
Underwriting
Notes
CMS, CICC, HSBC(China),
SCB(China)
(Lead Underwriters)
Inter-bank Bond Investors
(including qualified Offshore
Investors)
Subscription
Funds
CCB
(Servicer)
CCB TRUST
(Trustee / Issuer)
CCDC
(Notes Custodian / Paying
Agency)
Lead Underwriting Agreement
Notes Principal
and Interest ICBC Beijing Branch
(Fund Custodian)
Service
Agreemen
t
Transfer
Collections
Fund Custodian
Agreement
Notes Custody
Agreement
Fund
Notes
Principal and
Interest Registration and
Depositary
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the payment order are regulated by the Trust Agreement.
The Issuer signs the Underwriting Agreement with the Originator and Lead Underwriters, and the Lead
Underwriters sign the Syndication Agreement with other syndicate members to establish a syndication
in relation to the underwriting of the Securities (except for Subordinated Notes retained by the
Originator).
CCBPCM is responsible for financial advisory services for the whole trust.
Through the valid period of the Trust, the Trustee appoints the Servicer for the collection of Trust Property.
For the cash flow generated by the Trust Property, the Trustee appoints a Fund Custodian for fund storage
services.
All the Notes except for Subordinated Notes held by the Originator are traded on the CIBM.
CCDC or other agencies appointed by the administration as the Securities Custodian/paying agent of the
Issue are responsible for providing registration services, custody and transfer according to the Agency
Agreement.
B. Overview of the Participating Institutions
1. Servicer: China Construction Bank Corporation
China Construction Bank Corporation, headquartered in Beijing, is a large-scale joint stock commercial
bank in China. It was established in October 1954 and listed on Hong Kong Stock Exchange in October
2005 (stock code: 939) and the Shanghai Stock Exchange in September 2007 (stock code: 601939).
At the end of 2017, CCB had 14,890 domestic banking stores, including its head office, 37 tier-one
branches, 341tier-two branches, 13,297 sub-branches, 1,213 outlets and a specialized credit card center
at the head office. In 2017, CCB speeded up the layout of key regions and increased 94 outlets in
economic hotspots concerning the Belt and Road initiative, Beijing-Tianjin-Hebei integration, the
Yangtze River Economic Belt and the “Made in China 2025”. CCB implemented the national strategy of
inclusive finance and set up new outlets at the county level and entered 50 new counties. By of the end
of 2017, CCB opened a total of 306 private bank franchised institutions with 1,840 employees,
accumulatively established 288 small business centers, and built more than 1,500 individual loan centers.
The overall layout has become increasingly sophisticated, business processes continue to be optimized,
and the brand effect has become increasingly prominent.
CCB has overseas branches in Hong Kong, Macau, Singapore, Frankfurt, Johannesburg, Tokyo, Osaka,
Seoul, New York, Ho Chi Minh City, Sydney, Melbourne, Taipei, Luxembourg, Brisbane and Toronto as
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well as subsidiaries including CCB Asia, CCB International, CCB London, CCB Russia, CCB Dubai,
CCB Europe, CCB New Zealand CCB Principal Asset Management, CCB Financial Leasing, CCB Trust,
CCB Life, CCB Futures, Sino-German Bausparkasse, etc., which enables it to provide comprehensive
financial services for clients.
CCB aims to uphold customer-oriented and market-oriented operation philosophy as well as accelerate
its transformation towards integration, multi-functionality, intensive management, innovation and
intelligence. It provides excellent and comprehensive financial services to its clients through innovation
on products, channels and its service model. CCB works to be a bank that is aimed to serve the public,
promote the people’s livelihood, and to be environment-friendly and develop sustainably. CCB leads the
market in many core operating indicators and develops emerging businesses such as investment banking,
credit card, electronic banking, private banking, consumer finance, etc., while maintaining the traditional
advantages present in infrastructure, residential mortgage, etc. CCB optimizes business and management
flow, increases investment across various infrastructures, and promotes effective risk management and
competition in markets.
At the end of 2017, the total assets of CCB reached RMB 22.12 trillion. Its gross balance of loans and
advances to customers was RMB 12.90 trillion, its total liabilities were RMB 20.33 trillion, and the total
deposits from customers reached RMB 16.36 trillion. By the five-category loan classification, NPLs of
CCB were RMB 0.19 trillion and NPL ratio stood at 1.49%, a decrease of 0.03% from the end of 2016.
Provision coverage was 171.08% which was an increase of 20.72% over 2016 and loan-to-deposit ratio
was 70.73%, an increase of 2.56% over 2016. In accordance with the requirements of the Administrative
Measures for Liquidity Risk Management of Commercial Banks (Provisional), total capital ratio, tier-
one ratio and common equity tier-one ratio were 15.50%, 13.71% and 13.09%, respectively. 0.56, 0.56
and 0.11 percentage points higher than those as at the end of 2016, respectively.
In order to support demand concerning people’s livelihood such as housing demand, CCB has been
focusing on supporting people to buy their principal residence. By the end of 2017, its balance of
residential mortgage loans was RMB 4.21 trillion, an increase of RMB 0.63 trillion over 2016 and
remains the largest among its peers in PRC.
In 2017, the total profit and net profit of CCB were RMB 299.79 billion and RMB 243.62 billion, an
increase of 1.55% and 4.83% from 2016, respectively. Average ROA and Weighted Average ROE were
1.13% and 14.80%. In 2017, CCB achieved operating income of RMB 621.66 billion, up by /2.74% from
2016. Specifically, net interest income amounted to RMB 452.46 billion, net interest margin was 2.21%.
Fee and commission income was RMB 117.80 billion and cost-to-income ratio stood at 26.95%, a
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decrease of 0.60% and 0.54 percentage points compared to those as at the end of 2016, respectively.
2. Financial Advisor: CCB Principal Capital Management Co., Ltd.
Approved by China Securities Regulatory Commission (“CSRC”) (ref. Zheng Jian Xu Ke 2013 No. 693),
CCB Principal Capital Management Co., Ltd. was established on 26/6/2013 with a registered capital of
RMB 50 million. CCBPCM was funded by CCB Principal Asset Management Co., Ltd. (“CCBPAM”)
and CCB International (China) Co., Ltd., holding 51% and 49% of the shares respectively. On January
2, 2018, CCBPCM successfully increased its registered capital to RMB 1,350 million, with the
proportion of shareholders unchanged. On July 5, 2013, CSRC granted the Qualification Certificate for
the Specific Client Asset Management Business to CCBPCM, allowing the scope of business to include
the specific client asset management and other business approved by CSRC.
CCBPCM closely relies on the advantages of shareholders and CCB, the actual controller, in terms of
brand, channel, management and project resources. With the mission of “serving the real economy and
building a wealthy life”, CCB adheres to the principles of “Honesty, Professionalism, Standardization
and Innovation”. Utilizing its effective corporate governance, strict risk control, standardized business
process, professional staff and open company culture, CCBPCM takes comprehensive use of equity, debt,
benefits and other business mechanisms of shareholders and investors to provide comprehensive and
professional financial services.
3. Lead Underwriter/Book Runner: China Merchants Securities Co., Ltd.
As part of the China Merchants Group whose history can be traced back to the early 1900s, CMS has
grown to become a leading full-service investment bank after 20 years of entrepreneurial development.
CMS successfully went public on the Shanghai Stock Exchange in November 2011 (Ticker: 600999).
CMS has now been selected as a constituent stock for CSI 100, SSE 180, SHSE-SZSE 300 Index and
FTSE Xinhua China A50 Index, etc.
CMS maintains sustainable and stable profitability, a scientific and reasonable risk management structure
and a comprehensive array of professional services. CMS has multi-layer servicing channels for the
clients and operates almost 200 domestic securities business offices and branches in Mainland China and
Hong Kong. Leveraging its ownership of CMS International, China Merchants Futures, China Merchants
Capital, Bosera Asset Management, and China Merchants Asset Management, CMS has truly developed
into a securities service platform that aims to comprehensively integrate international and domestic
financial services.
CMS is devoted to comprehensively enhance the core competency and create the best-in-class investment
22
bank of China. CMS delivers remarkable financial services to achieve the growth of value of clients, to
lead the advancement of the securities industry, and is determined to be an international financial
institution with enriched products, top-level services, outstanding competency and remarkable branding
and an excellent enterprise that is embodied with trust from clients, respect from the society, satisfaction
from shareholders, pride of employees. CMS has been rated Class A AA level by the Securities
Association of China as a securities company for the past eleven years.
As an experienced market participant in credit asset securitization, by the end of September 2018, CMS
has participated in the issuance of 165 credit asset-backed securities as Lead Underwriter, consisting of
7 in 2014, 23 in 2015, 37 in 2016, 61 in 2017 and 57 in 2018.
At the end of 2017, total assets of CMS reached RMB 285.6bn with total liabilities at RMB 206.3bn.
The revenue, profit and net income in 2017 were RMB 13.4bn, RMB 7.10bn and RMB 5.81bn,
respectively.
4. Joint Lead Underwriter
(1) China International Capital Corporation Limited.
Set up in July 1995, China International Capital Corporation Limited (CICC) is China’s first joint-
venture investment bank founded on basis of strategic partnership among reputable financial institutions
and companies throughout the world. CICC had a registered capital of 4,192,667,868 RMB by the end
of June 2018. CICC’s largest shareholder is Central Huijin Investment Limited. Since its inception, CICC
has always been committed to providing high quality value-added financial services to clients. CICC has
established a full-service business model consisting of investment banking, equities, FICC, wealth
management and investment management on the basis of strong research coverage.
Headquartered in Beijing, CICC has established subsidiaries in Mainland China, branch companies in
major cities including Shanghai and Shenzhen, and over 200 securities branches in 28 provinces and
municipalities across China. CICC has also actively ventured into the overseas markets and has
established subsidiaries in Hong Kong, New York, Singapore, London and Germany. Leveraging the
extensive network and outstanding cross-border capabilities, CICC is well-positioned to provide all-
round financial services to clients.
By the end of 2017, CICC’s total assets amounted to 237.81 billion RMB, the total liabilities amounted
to 200.92 billion RMB, and the total equity amounted to 36.71 billion RMB. In 2016 and 2017, CICC
reached a total revenue of 8.94 billion RMB and 15.26 billion RMB, profit before income tax of 2.33
billion RMB and 3.60 billion RMB, and profit of 1.82 billion RMB and 2.77 billion RMB, respectively.
23
CICC is experienced with long-term preparations in the asset-backed securitization business. By the end
of June 2018, CICC has finished 54 issuances of Credit Asset-backed Securities as the role of Lead
Underwriter.
(2) HSBC Bank (China) Company Limited
As of December 31, 2017, HSBC Bank (China) Company Limited (“HSBC China”) had total assets of
RMB 467.936 billion, net assets of RMB 46.871 billion; and operating income for the 2017 financial
year was RMB 10.738 billion, with net profit of RMB 3.824 billion. The registered capital of HSBC
China was RMB 15.4 billion. As of December 31, 2017, The Hongkong and Shanghai Banking
Corporation Limited holds 100% shares of HSBC China.
HSBC China has been involved in the underwriting of ABS in the China Interbank Bond Market
(“CIBM”) since 2014. As of September 30, 2018, a total of 35 ABS have been underwritten by HSBC
China. HSBC China's strong underwriting ability has been proven and reinforced by the successful
issuance of each of the ABS in which HSBC China acted as an underwriter. In BaSky China 2015-2 Auto
Mortgage Loan Asset Backed Securities originated by BMW Automotive Finance (China) Limited in
Nov 2015, HSBC China acted as the Joint Lead Underwriter and became the first foreign bank to lead
underwrite China onshore ABS. Since then, HSBC China has joint lead underwritten Fuyuan 2016-1
Auto Mortgage Loan Asset Backed Securities, VINZ 2016-1 Auto Mortgage Loan Asset Backed
Securities, Driver China Four Auto Mortgage Loan Asset Backed Securities, Silver Arrow China 2016-
2 Auto Mortgage Loan Asset Backed Securities, Driver China Five Auto Mortgage Loan Asset Backed
Securities, Fuyuan 2017-1 Auto Mortgage Loan Asset Backed Securities, Autopia China 2017-1 Auto
Mortgage Loan Asset Backed Securities, Fuyuan 2017-2 Auto Mortgage Loan Asset Backed Securities,
Rongfa 2017-1 Auto Mortgage Loan Asset Backed Securities, Huitong 2017-1 Retail Auto Mortgage
Loan Asset Backed Securities, Huitong 2018-1 Retail Auto Mortgage Loan Asset Backed Securities,
Jianyuan 2018-11 Residential Mortgage Backed Securities and Fuyuan 2018-2 Auto Mortgage Loan
Asset Backed Securities. HSBC China does not have any historical default record related to ABS
underwriting in the CIBM.
(3) Standard Chartered Bank (China) Limited
Standard Chartered Bank is a leading international banking group with more than 86,000 employees and
a 150-year history in some of the world’s most dynamic markets. Standard Chartered Bank provides
financial services for people and companies in relation to investment, trade and creation of wealth across
Asia, Africa and the Middle East, where it earns around 90 per cent of income and profits. Its heritage
24
and values are expressed in its brand promise, Here for good. Standard Chartered PLC is listed on the
London and Hong Kong Stock Exchanges as well as the Bombay and National Stock Exchanges in India.
In China, Standard Chartered Bank set up its first branch in Shanghai in 1858 and has remained in
operation. SCB is one of the first foreign banks to locally incorporate in China in April 2007. This
demonstrates the Bank’s commitment to the Chinese market, and its leading position as a foreign bank
in the banking industry. SCB has 28 branches, 77 sub-branches and 1 Village Bank, totally 106 outlets,
including the China (Shanghai) Pilot Free Trade Zone Sub-Branch opened in March 2014.
Standard Chartered Bank is the leading player in Asian securitization market and has successfully helped
many Asian countries for the closing of their first securitization deals, such as China, Thailand, Indonesia,
Philippines, etc. Standard Chartered Bank was awarded the Asian Best Securitization House ten times
over the past 12 years, including the latest 2016 Asian Best Securitization House awarded by the Asset
magazine in February 2017. In 2015, Standard Chartered Bank finished 20 securitization deals in Asia,
the scale of which was over 14 million dollars. Since 2002, Standard Chartered Bank has actively
participated in the development of the Chinese securitization market. Standard Chartered Bank, acting
as the financial consultant, assisted the public offering of China’s first ever housing mortgage loans
backed notes (i.e. the 2005 CCB’s Housing Mortgage Loans Backed Notes, the amount of which is RMB
3 billion), and then successfully assisted 9 securitization deals for other well-known Chinese financial
institutions (these deals including housing mortgage loans backed notes, enterprise credit asset backed
notes, lease receivables backed notes and auto loans backed notes, etc.). In December 2015, SCB, acting
as the lead underwriter and joint bookrunner, has successfully assisted Ford Automotive Finance (China)
Ltd to issue “Fuyuan 2015-2 Retail Auto Mortgage Loan Securitization Trust” product in the National
Interbank Bond Market. Furthermore, in February 2016, SCB, acting as the lead underwriter, bookrunner
and sole financial consultant, has successfully assisted Beijing Hyundai Auto Finance Co., Ltd. to issue
its first credit securitization product—“Autopia China 2016-1 Retail Auto Mortgage Loan
Securitization”. After that, Standard Chartered Bank, acting as joint lead underwriter, arranged “Autopia
China 2016-2 Retail Auto Mortgage Loan Securitization” for Beijing Hyundai Auto Finance Co., Ltd
and “Fuyuan 2016-2 Retail Auto Mortgage Loan Securitization” for Ford Automotive Finance Company
in August 2016. In November 2016 and March 2017, Standard Chartered Bank, acting as Joint Lead
Underwriter and Financial Advisor, arranged “Shanghai 2016-1 Retail Auto Mortgage Loan
Securitization” and “Shanghe2017-1 Retail Auto Mortgage Loan Securitization” for Shanghai
Automotive Group Finance Company Co., Ltd, respectively. In March 2017 and May 2017, as Joint Lead
Underwriter and Financial Advisor, Standard Chartered Bank arranged “Rongteng 2017-1 Retail Auto
25
Mortgage Loan Securitization” and “Rongteng 2017-2 Retail Auto Mortgage Loan Securitization” for
SAIC-GMAC Automotive Finance Co., Ltd. As joint lead underwriter and financial advisor, Standard
Chartered Bank arranged “Driver China six Retail Auto Mortgage Loan Securitization” in May 2017 and
“Driver China seven Retail Auto Mortgage Loan Securitization” in September 2017 for Volkswagen
Finance (China) Co., Ltd. In August 2017, as lead underwriter and financial advisor, Standard Chartered
Bank arrange “Bavarian Sky 2017-2 Asset Backed-Notes” for BMW Automotive Finance (China) Co.,
Ltd. As lead underwriter, Standard Chartered Bank arranged “Fuyuan 2017-2 Retail Auto Mortgage Loan
Asset-backed Securities” in August 2017 and “Fuyuan 2018-1 Retail Auto Mortgage Loan Asset-backed
Securities” in January 2018. In September 2017, Standard Chartered Bank arranged “Autopia China
2017-2 Retail Auto Loan Asset-backed Securities” for Beijing Hyundai Auto Finance Co., Ltd. as lead
underwriter and financial advisor, and “Silver ArrowChina 2017-2 Retail Auto Loan Asset-backed
Securities” for Mercedes-Benz Financial Services as lead underwriter and financial advisor. In August
2018, SCB arranged “Generation 2018-1 Retail Auto Mortgage Loan Securitization” as joint lead
underwriter and financial advisor.
Moreover, in February 2015, SCB as the originator, has successfully issued its first credit securitization
trust in China—“Zhen Cheng Credit Asset Securitization 2015-1 Asset-back Securities” and became the
first batch of foreign banks to participate in the credit asset securitization pilot program in China.
5. Fund Custodian: Industrial Commercial Bank of China Ltd., Beijing Branch
The Industrial and Commercial Bank of China was established on 1/1/1984. On 28/10/2005, the Bank
was wholly restructured to a joint-stock limited company. On 27/10/2006, the Bank was successfully
listed on both the Shanghai Stock Exchange and the Hong Kong Stock Exchange. Through steady
expansion and stable development, the Bank has developed into one of the top banks in the world,
possessing an excellent customer base, a diversified business structure, strong innovational capabilities
and market competitiveness and providing comprehensive financial products and services to 5,784
thousand corporate customers and 530 million personal customers. With serving the real economy as the
foundation of its operation and management, the Bank has adhered to new ideas, new financing and new
services to support China’s supply-side structural reform, economic transformation, and upgrading as
well as to achieve its own healthy and sustainable development. The Bank has further promoted reform
and innovation as well as business transformation, developing retail finance, asset management, financial
market and other businesses into important engines of profit growth. The pattern of internationalized and
diversified operation was further improved, covering 42 countries and territories, and contributed more
to the Bank’s profit-making. In 2016, the Bank ranked 1st place on The Banker’s Top 1000 World Banks,
26
Forbes’ Global 2000 and Fortune Global’s 500 Sub-list of Commercial Banks for the fourth consecutive
year.
ICBC was one of the earliest fund custodians to participate in the trial of China's asset-backed
securitization business. Since then, ICBC has successively provided funds custody services for 51 ABS
projects. ICBC has established good cooperative relations with various intermediary agencies and
accumulated rich experience in capital custody. Currently, ICBC has the largest number of cooperating
institutions, and manages the most comprehensive types of securitised assets among the fund custodians
in the market.
6. Rating Agencies
(1) China Chengxin International Credit Rating Co., Ltd.
China Chengxin International Credit Rating Co., Ltd. is a pioneer of domestic rating business and a
leading independent credit rating services provider.
CCXI was established in October 1992 as the rating business division of China Chengxin Securities
Evaluation Co., Ltd. (now renamed as "China Credit Management Co., Ltd."). China Credit Management
Co., Ltd. is a national credit rating agency approved by the People's Bank of China.
In 2006, CCXI was invested by Moody’s Investors Services, combing advanced international rating
techniques with domestic rating practices of more than ten years, successfully localizing advanced
international rating techniques.
CCXI has servicing qualifications promulgated by People’s Bank of China, National Development and
Reform Commission, China Insurance Regulation Committee, National Economics and Trade
Commission, etc., and has great reputations in the market.
(2) China Bond Rating Co., Ltd.
China Bond Rating Co., Ltd. was founded in 2010 by National Association of Financial Market
Institutional Investors (NAFMII) on behalf of all membership, and the registered capital was RMB 50
million. CBR is not only the first credit rating company adopting the business model that investors make
payment, while other business models reinforce each other simultaneously, but also the only credit rating
agency authorized by PBOC to adopt this business model. Following the principles of independence,
objectivity and impartiality, CBR will provide investors with services such as re-rating and double rating.
An array of analysts with abundant experience of credit rating and of industry research joined CBR in
the early years; at the same time, talented graduates from top universities were selected as candidates
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through campus recruiting. Currently, CBR, by industrial categories, has established 6 departments and
40 specialized industry research and analysis teams. Based on the staff structure, CBR has built a team
supported by senior analysts with abundant industrial experience as well as backed up by outstanding
graduates specializing in economics, finance, laws, and etc. The credit rating team structure is rational
and the division is clear. In terms of the company scale, CBR is running the team of more than 200
professional analysts, and has become one of the largest professional credit rating companies in the bond
market.
CBR values the establishment of credit rating system. On the basis of comprehensive investigation of
domestic and foreign credit rating system, it took CBR 4 months to develop and complete the research
of rating definitions, rating principles, rating symbol system, rating methods, rating policy-making, rating
model-building, rating report styles, and rating quality control; then CBR organized external experts to
prepare thematic certification, and to, preliminarily, specify the rating technical standards, management
standards, and orientation of information system establishment. Later on, CBR completed the rating
methods reasoning, industrial rating methods, debt rating methods, as well as the research and
formulation of innovative products’ rating models and methods. Currently, CBR has developed a set of
advanced rating technology system and methods that is suitable to China’s national conditions.
After the establishment of CBR, through a series of recruitment and selection, CBR selected a team of
senior analysts with more than 5 years’ experience in innovative financial products research and
development. After the talent team was built up, it took CBR 1 year to complete the development of
rating models of innovative products, establishment of the rating systems, and formulation of the rating
methods. Currently, CBR has accomplished the technology system of ABS rating as well as developed
the rating models suitable to China’s ABS products.
Since the expansion of asset securitization, CBR has participated in all of the successfully issued projects
and accumulated more than 500 projects, which covered all asset types of China Interbank Bond Market;
CBR acquired abundant experience of ABS projects and built up a mature team of professional analysts.
CBR discloses the credit risks by following the objective standards consistently, and provides investors
with comprehensive, sustained, and comparable credit rating information services.
7. Auditor/Tax Advisor: Ernst & Young Hua Ming LLP
Ernst & Young is a leading global professional service firm providing audit, tax and financial transaction
advisory services with a history of more than 100 years. Ernst & Young employed more than 212,000
people in more than 150 countries and 730 offices around the globe. Our 24 offices are located in Beijing,
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Hong Kong, Shanghai, Guangzhou, Shenzhen, Chengdu, Dalian, Hangzhou, Macau, Qingdao, Suzhou,
Tianjin, Wuhan, Xiamen, Nanjing, Changsha, Shenyang, Xian, Taipei, Taichung, Tainan, Taoyuan,
Hsinchu and Kaohsiung. Ernst & Young employs nearly 14,000 people in Greater China. As a large
independent audit institution, Ernst & Young has many internationally renowned corporate clients. In
Greater China, there are also many domestic first-class corporate customers.
Ernst & Young was permitted by the People’s Republic of China ("PRC") government to establish a
representative office in Beijing in 1981. It was also one of the first firms approved by the PRC
government to establish a joint venture firm, Ernst & Young Hua Ming (“Ernst & Young”), in Beijing in
1992. Ernst & Young Hua Ming was approved by PRC Ministry of Finance to be switched from a joint
venture firm to a special general partnership firm in 2012.
Ernst & Young has established an experienced industry team in China. With an in-depth understanding
of all walks of life and domestic conditions, Ernst & Young can deploy the right team members at the
right time, at the right place, providing customers with seamlessly connective and highly qualified
services.
8. Transaction Counsel: Zhong Lun Law Firm
Zhong Lun Law Firm was founded in 1993, and is one of the leading law firms in China providing
securitization legal services. In 2017, Zhong Lun had 27 practice areas obtaining Chambers rankings, of
which 17 practice areas have received Band One recommendations. Zhong Lun has been the PRC law
firm with the highest number of Band One recommendations for the fifth consecutive year since 2012.
The securitization legal service of Zhong Lun has been in the Band One recommendation for a long time.
Also, Zhong Lun is the only Band One recommendation law firm in Chambers Asia Pacific (2016).
Zhong Lun’s legal team has provided professional legal services to numerous domestic, asset-backed
securitization projects among which more than 200 domestic credit asset-backed securitization projects
and over 80 enterprise asset securitization projects have been successfully issued.
The originators of Zhong Lun’s credit asset-backed securitization services include many domestic policy
banks (China Development Bank, Export-Import Bank, Agricultural Development Bank), state-owned
commercial banks ( Bank of China, Agricultural Bank of China, Industrial and Commercial Bank of
China, China Construction Bank, Postal Savings Bank of China, Bank of Communications), national
joint-stock banks (Shanghai Pudong Development bank, Pingan Bank, CITIC Bank, Industrial Bank,
China CITIC Bank, Hengfeng Bank), financial asset management companies (China Orient Asset
Management Corporation, China Great Wall Asset Management Corporation), automobile finance
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companies (Toyota, Ford, SAIC-GM, Chery Huiyin Motor Finance, Fortune Auto Finance), city
commercial banks (including Bank of Jiangsu, China Bohai Bank, Bank of Nanjing, Bank of Hebei,
Huishang Bank), rural commercial banks (including Jiutai Rural Commercial Bank, Jiangnan Rural
Commercial Bank), financial leasing companies (CMB Financial Leasing, ICBC Financial Leasing),
consumer finance companies (Home Credit Consumer Finance, BOC Consumer Finance), etc. The types
of Zhong Lun’s practices include corporate loan securitization, railway special project credit asset
securitization, individual residential mortgage loan securitization, auto purchase loan securitization, non-
performing asset securitization, credit card asset securitization, small consumer loan securitization, etc.
and dozens of preparing securitization projects.
Zhong Lun has gained extensive practical experience and has being striving for localization of its
international securitization practice as to provide more securitization products that could fulfill the clients’
commercial goals while complying with the laws of the PRC.
9. Declarations of Affiliation
The equity affiliation among the Originator, Trustee, Lead Underwriter, Joint Lead Underwriters and
Fund Custodian is shown as follow:
The Originator holds 67% of the shares of the Trustee.
The Originator and Financial Advisor have direct and indirect equity affiliation: The Originator holds
65% of the shares of CCBPAM, and 100% of the shares of CCB International (Holding) Co., Ltd.
CCBPAM holds 51% of the shares of CCBPCM. CCB International (Holding) Co., Ltd. holds 100% of
the shares of CCB International (China) Co., Ltd. and CCB International (China) Co., Ltd. holds 49% of
the shares of CCBPCM.
The Originators CCB and Fund Custodian ICBC have the same controlling shareholder, Central Huijin
Investment Ltd. By the end of September 2018, Central Huijin Investment Ltd. held 57.11% of the shares
of CCB and 34.71% of the shares of ICBC.
Central Huijin Investment Ltd., the controlling shareholders of CCB Co., Ltd., also has shares of Lead
Underwriter, CMS. In addition, Central Huijin Investment Ltd. is the controlling shareholder of Joint
Lead Underwriter, CICC. By the end of September 2018, Central Huijin Investment Ltd. held 1.15% of
the shares of CMS through Central Huijin Asset Management Co., Ltd. By the end of June 2018, Central
Huijin Investment Ltd. held 55.68% of the shares of CICC.
The Originators, CCB Co., Ltd., the Fund Custodian ICBC Co., Ltd. and the Lead Underwriter China
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Merchants Securities Co., Ltd. are all equity participants of Central Huijin Asset Management Co., Ltd.,
China Securities Finance Co., Ltd. and Hong Kong Securities Clearing Company Ltd. By the end of
September 2018, Central Huijin Asset Management Co., Ltd., China Securities Finance Co., Ltd. and
Hong Kong Securities Clearing Company Ltd. held 0.20%, 0.87% and 36.79% of the shares of CCB Co.,
Ltd. respectively;. 0.28%, 0.68% and 24.17% of the shares of ICBC Co., Ltd. respectively and 1.15%,
2.99% and 14.63% of the shares of China Merchants Securities Co., Ltd. respectively.
The Originator, CCB Co., Ltd. also serves as a servicer.
Besides the equity affiliation disclosed above, Originator, Trustee, Lead Underwriter, Joint Lead
Underwriters and Fund Custodian in this asset securitization project have no material (direct or indirect)
equity affiliation with any other party in this asset securitization transaction.
C. Abstract of Transaction Documents and Main Rights and Obligations of the Parties
1. Abstract of Transaction Documents
（1）Trust Agreement
The Trustee will sign the Trust Agreement with the Originator. The Originator, as the Settlor, transfers
the Trust Property to the Trustee. The Trustee, as the Issuer, issues the Class A-1 Notes, Class A-2 Notes
and Class A-3 Notes on the CIBM, and delivers Subordinated Notes to the Originator. All the repayment
is subject to the cash flow originated from the Trust Property. The Trust Agreement arranges the objective
of the trust; the establishment of the trust; the scope, types, standards and conditions of the Trust Property;
the beneficiary rights of the trust; the beneficiaries and the Asset-Backed Securities, scope and method
of determining the beneficiaries of the trust; the method that trust beneficiaries will obtain trust benefits;
and the order of distribution of the Collections and other such matters. The Originator and the Trustee
have made detailed commitments, representations and guarantees, and have stipulated the duties and
obligations of the Trustee in detail. According to the Trust Agreement, the Asset-Backed Securities will
be issued in a book building process as a book-entry bond and can be replaced in certain circumstances.
The provisions of the Securities also stipulate the convening conditions, the quorum, the voting process
and the resolutions of the Controlling Noteholders Meeting. The Trust Agreement is governed by and
interpreted in accordance with laws and regulations of the PRC.
（2）Master Definitions Schedule
The Trustee signs the Master Definitions Schedule with the Originator. The Master Definitions Schedule
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elaborates definitions, interpretations and provisions of the quoted terms in the transaction documents.
（3）Servicing Agreement
The Trustee will sign a Servicing Agreement with the Servicer. According to the Servicing Agreement,
the Trustee will appoint a Servicer to provide management services and other services related to the
underlying assets, and the Servicer will take a service fee in return. The Servicing Agreement stipulates
the responsibilities and the liabilities of the Servicer. The main responsibilities of the Servicer include
underlying assets management, keeping account records related to the underlying assets, issuing Monthly
Servicer Report and Annual Servicer Report, etc. As an original Servicer, if CCB fails to gain a certain
requisite rating level, according to PRC laws, the Trustee will have the right to appoint a Back-up
Servicer approved by the Controlling Noteholders Meeting in time. The Back-up Servicer will provide
back-up services related to Servicing Agreement, and after CCB has been dismissed as the Servicer, the
Back-up Servicer should provide services as the replacement Servicer.
Upon the occurrence of a Servicer Replacement Event, the Trustee has the right to dismiss the Servicer
with the approval of the Controlling Noteholders Meeting. The dismissed Servicer shall not suspend its
services until the Controlling Noteholders Meeting appoints a replacement Servicer or a Back-up
Servicer exercises the Servicer’s authority.
（4）Fund Custody Agreement
The Trustee will sign a Fund Custody Agreement with Fund Custodian. The Trustee should open the
Trust Account at the Fund Custodian and appoint the Fund Custodian to keep the funds in the Trust
Account and to keep accounting of expenditure from the Accounts per the Payment Instruction by the
Trustee. The Fund Custodian should gain certain fees in return. In addition, the Fund Custody Agreement
stipulates the Fund Custodian’s liability.
Upon the occurrence of a Fund Custodian Replacement Event, the Trustee has the right to dismiss the
Fund Custodian with the approval of the Controlling Noteholders Meeting. The Controlling Noteholders
Meeting has the right to appoint a replacement Fund Custodian. The dismissed Fund Custodian shall not
suspend its services until the Controlling Noteholders Meeting appoints a replacement Fund Custodian.
（5）Underwriting Agreement
The Trustee will sign an Underwriting Agreement with Lead Underwriters (including Lead Underwriter
and Joint Lead Underwriters). Lead Underwriters, as representatives of the syndication, agree to
underwrite the Asset Backed Securities by Standby Underwriting (except for Subordinated Notes held
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by the Originator).
（6）Syndication Agreement
Lead Underwriters (including Lead Underwriter and Joint Lead Underwriters) will sign the Syndication
Agreement with other underwriters (if applicable), where each underwriter in the Syndication agrees to
underwrite the Asset Backed Securities except for Subordinated Notes held by the Originator and will
gain certain fees in return.
2. Main Rights and Obligations of the Parties
(I) Issuer/Trustee
Main rights:
According to the Trust Agreement, the Trustee
1) has the right to issue the Asset Backed Securities,
2) has the right to notify the Principal to pay “required (offset) reserve amount” according to the Trust
Agreement;
3) has the right to gain fees as Trustee according to the Trust Agreement,
4) has the right to propose a Noteholders Meeting when the Trustee thinks it necessary, voting on
major issues involving trust affairs and handling the trust affairs according to the result of the voting,
5) under the precondition of benefiting the realization of the trust objective, has the right to entrust the
Servicer, the Fund Custodian, etc., to handle relevant Trust affairs according to the Trust Agreement,
6) may use the Trust Property to cover the Trustee’s expenses and liabilities to third party for the
purpose of the Trust, and the Trustee may claim to the Trust Property the amount of the Trustee’s
expenses and liabilities to third party for the purpose of the Trust, if such expenses and liabilities
are advanced by the Trustee, and
7) has any other rights provided by the Trust Agreement and PRC Laws.
According to Servicing Agreement, the Trustee
1) has the right to ask the Servicer to transfer Collections in time, to keep account records, and to
offer reports and information according to Servicing Agreement,
2) has any other rights provided by the Servicing Agreement.
According to the Fund Custody Agreement, the Trustee
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1) has the right to ask the Fund Custodian to exercise appointments by the eligible Trustee according
to the Fund Custodian Agreement,
2) has the right to ask the Fund Custodian to promptly provide the Fund Custody Report,
3) has the right to ask the Fund Custodian to keep record of the Trust Account and its Sub-account,
4) has the right to ask the Fund Custodian to provide information related to the Trust Account,
5) has any other rights provided by the PRC Laws and the Fund Custodian Agreement.
According to the Underwriting Agreement, the Issuer
1) has the right to ask the Lead Underwriters to transfer issuance proceeds in full and on time
according to the Underwriting Agreement,
2) has the right to conduct issuance, registration, depositary, payments of interest and principal, listed
for transaction, etc., including but not limited to sign Issuance, Registration and Proxy Cashing
Servicing Agreement with the Note Custodian.
Main Obligations:
According to the Trust Agreement, the Trustee
1) should always comply with the PRC Laws to the extent that all major aspects or any aspects that
would affect the Trustee’s operation, assets, or transactions under the Transaction Documents. The
Trustee should fulfill all the obligations stipulated by the Trust Agreement, Provisions and
Conditions of the Asset Backed Securities (See Appendix 6 of the Trust Agreement), and other
obligations granted by the Transaction Documents. The Trustee should also perform as the
representative of the Trust according to the Transaction Document.
2) has the obligation to perform honestly, carefully, and manage effectively for the best interests of the
Noteholders.
3) should separately manage the Trust Property, other entrusted assets and its inherent assets and book
them respectively.
4) should always separately store the accounts and records of the Trust Property from the accounts and
records of other entrusted assets and its inherent assets.
5) should check the consistency of Monthly Servicer Report provided by the Servicer and Monthly
Fund Custodian Report provided by the Fund Custodian according to the Transaction Documents,
and, if there is any inconsistency, should inform the Servicer or Fund Custodian to correct the
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inconsistency.
6) should disclose the Trustee Report (see template in Appendix 7 of the Trust Agreement) on the
Trustee Reporting Date. The Trustee should appoint the Auditor to audit the Annual Trustee Report
of the last year and disclose the audited Annual Trustee Report of the last year before April 30th
every year. The Trustee should disclose other information to the Principal and Noteholders subject
to pertinent laws and the Trust Agreement.
7) upon the occurrence of the following significant contemporary events which could materially affect
the investing value of the Asset Backed Securities, the Trustee should disclose the event to the
Noteholders, notify the Rating Agent and report to PBOC about the following content within 3 days:
(i) the Trustee fails to pay or expects to pay in time the amount of interest and principal of Senior
Notes,
(ii) the Material Adverse Effects to the Noteholders of Senior Notes resulted from the illegal
performance or default of the Trustee, Servicer or Fund Custodian,
(iii) the change of the Rating level of Senior Notes,
(iv) Event of Default, Servicer Dismissal Event, Trustee Termination Event, Accelerated
Payment Event, or any event § (a) to (d) of Individual Notification Events,
(v) any other information required by the PRC Laws.
8) shall not use the Trust Property for the benefits of the Trustee, except for the fees to the Trustee
stipulated in § 14.3 of the Trust Agreement.
9) shall not sell or transfer part of or all of the Trust Property, expect for (i) the Clean-up Call made
by the Originator or the Originator repurchase the assets subject to § 3 of the Trust Agreement(ii)
the approval of the Controlling Noteholders’ Meeting after the occurrence of an Event of Default
with the Rating Agents noticed.
10) shall not trade the Trust Property with the Trustee’s other entrusted assets and inherent assets, except
for with the approval of Controlling Noteholders Meeting after the occurrence of an Event of
Default with the Rating Agents noticed and dealing at a market price.
11) shall not confuse the Trust Property with the Trustee’s other entrusted assets and inherent assets.
12) shall not change, modify or approve to change or modify any provision of the Transaction
Document, expect that (i) such change or modification is approved by the Controlling Noteholders
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Meeting with the process in § 11.5, Appendix 6, Trust Agreement, or (ii) such change or
modification is a minor technical change or is made for the purpose of a mandatory provisions of
the laws, and the Rating Agents are noticed with such change or modification in advance.
13) shall not use the funds in the Trust Account to pay or make the payment proceed to any Party, except
for provisions stipulated by the Transaction Documents. The Trustee shall not use the Trust Account,
Trust Property and/or related Account Records to set up any guarantee.
14) shall inform other parties of the Trust Agreement and Rating Agents upon the Trustee finding itself
violating any guarantee made in the Trust Agreement or any obligation stipulated in the Transaction
Documents.
15) should notice other parties of the Trust Agreement and Rating Agents upon knowing the occurrence
of an Event of Default, a Servicer Dismissal Event, a Trustee Termination Event, an Accelerated
Payment Event, or any one of §§ (a) to (d) Individual Notification Events, and the Trustee should
keep the proof of notifying (including but not limited to the sender sub and so on).
16) shall not take advantages of the information gathered from the Originator or Servicer for the purpose
that is not stipulated in the Transaction Documents.
17) should in a timely manner to provide the Rating Agents with the latest tax calculation formula if a
change of the PRC Laws contributes to the changes of tax calculation related to the Trust in the
duration of the Trust.
18) should determine the Benchmark Interest Rate for the next Interest Period according to § 5.3,
Appendix 6 of the Trust Agreement.
19) should retain all the files and records for at least 15 years, as the proof of (i) establishment,
management and disposal of the Trust Account and its Sub-account, and (ii) instruction to the Trust
Account to pay and deposit. The retained files and records should include but are not limited to:
(i) the total amount of funds deposited into the Trusted Account,
(ii) the expired amount (not reclaimed) of interest and principal of each class of the Asset Backed
Securities,
(iii) the rate of each class of the Asset Backed Securities, and the amount of paid interest and
principal of each class of the Asset Backed Securities,
(iv) the amount of taxes, expenses, costs and other expenses paid by the Trustee according to §
10 of the Trust Agreement,
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(v) the amount of funds received by the Trust Account, the amount of funds expired but not
received by the Trust Account, and the amount of total payment by the Trust Account,
(vi) the gap between the actual amount of interest and principal of each class of the Asset Backed
Securities and the scheduled amount on each Trust Allocation Date (if any),
(vii) the trading record and the amount and maturity date of the funds for the purpose of Eligible
Investment.
20) should comply with other duties provided by the Trust Agreement and PRC Laws.
According to Servicing Agreement, the Trustee
1) has the right to ask the Servicer to collect and dispose of delinquency loans and default loans
according to the Servicing Agreement,
2) has the right to supervise the Servicer according to the Servicing Agreement,
3) should dismiss the Servicer and appoint a Back-up Servicer or replacement Servicer in consistent
with the procedure stipulated in the Servicing Agreement,
4) should pay the Servicer the Service Fee and related expenses,
5) has any other obligations appointed by the Servicing Agreement.
According to the Fund Custody Agreement, the Trustee
1) according to § 3 of Fund Custodian Agreement, should set up Trust Accounts in the Fund Custodian
and give instructions to the Fund Custodian to transfer funds among Trust Accounts,
2) should guarantee that all instructions are compliant with the laws and the Fund Custodian
Agreement,
3) should pay the Fund Custodian fees based on provisions in the Fund Custodian Agreement and
other Transaction Documents
4) should issue the Asset Backed Securities, manage the Trust Property, disclose information on the
Trust Property and the Asset Backed Securities, and allocate trust benefits subject to the laws and
provisions of the Transaction, and
5) recognize that the Trustee holds all the claims to the Trust Property as the representative of the
Trust.
6) has any other obligations appointed by the Fund Custodian Agreement and PRC Laws.
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According to the Underwriting Agreement, the Issuer
1) should gather subscription amount through issuer subscription account
2) should produce to the Lead Underwriters copies of the approval documents for the issuance of the
Securities by the Asset-Backed Securities issuance regulatory authorities, the Trust Agreement,
Servicing Agreement, Fund Custodian Agreement, legal opinions by the Legal Counsel,
Auditor/Tax Advisor and copies of the credit rating report from the Rating Agency that is engaged
by the Issuer relating to the Securities
3) should provide the bank receipt to the Lead Underwriters after having received all the issuing
proceeds transferred by the Lead Underwriters
4) should transfer the issuing proceeds in full to the Issuer subscription account, as per the Trust
Agreement
5) should pay Underwriting Fees to the Lead Underwriters in full and on time per the Underwriting
Agreement
6) should urge the Notes Custodian/Paying Agent to transfer all the interest and principal payment on
the Securities in full and in a timely manner,
7) should handle matters relating to the issuance, registration and custody issues, public trading of the
Securities, and other relevant matters, and
8) should handle information disclosure matters before the issuance and during the outstanding period
of the Securities pursuant to the applicable PRC Laws.
(II) Originator/Settlor
Main Rights:
According to the Trust Agreement, the Originator
1) has the right to acquire the issuance proceeds,
2) has the right to acquire the “special trust benefits”
3) has the right to inquire the Trustee about the management, disposition, and balance of payments,
and to require the Trustee to make relevant explanation thereof,
4) has the right to read, transcribe or copy the books of the trust related to the Trust Property and
handle other documents related to the affairs of the trust, and
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5) has any other right pursuant to the Trust Agreement and PRC Laws.
According to the Underwriting Agreement, the Originator
1) should entrust the Issuer to issue the Securities, and
2) entitles to the issuance proceeds of the Securities.
Main Obligations:
According to the Trust Agreement, the Originator
1) shall comply with the applicable PRC Laws to the extent of significant aspects or any aspect that
could influence the Trust Property and transactions in the Transaction Documents, and maintain
the existence of the company,
2) when notified of the occurrence of an Event of Default, (a) or (b) of Individual Notification Events,
(c) or (d) of Individual Notification Events, and Servicer Dismissal Event, shall notify the Trustee,
Fund Custodian and Rating Agents such occurrence in a reasonable time (but no later than 3 days
after the occurrence date), and retain the proof of notification (including but not limited to the
sender sub and so on),
3) does not have obligation to notify any Borrower the establishment of the Trust, the transfer of
Assets or any other information, provided that the Trust Agreement stipulates otherwise,
4) so long as Originator works as the Servicer, should cooperate with the Trustee and Rating Agents
subject to the Transaction Documents and reply to the foregoing agencies all reasonable questions
on extra information about Trust Property, Account Records and Collections pursuant to the
Transaction Documents and PRC Laws,
5) recognize that Account Records are retained by the Servicer with Trust Property marked in the
Account Records (including marking by computer technology manners to show Trust Property
having been entrusted to the Trustee), so that the Trustee could make sure its ownership to the Trust
Property on Trust Effective Date,
6) should protect the rights or interests of the Trust Property and related Account Records from
infringement from third party, regardless of whether such rights or interests exist before the Trust
Effective Date,
7) should hold the Right to Mortgage and the Right to Mortgage Preliminary Registration, and register
the set-up or change of the Right to Mortgage and the Right to Mortgage Preliminary Registration
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pursuant to the Trust Agreement,
8) if a financial material change occurs and could prevent the Originator from fulfilling its duties in
the Trust Agreement, Servicing Agreement (if the Originator is the Servicer) or other Transaction
Documents, should report the foregoing changes to the Trustee and Rating Agents in time pursuant
to the Transaction Documents, and report other matters to the Trustee and Rating Agents stipulated
in the Trust Agreement in a reasonable manner,
9) shall notify other parties of the Trust Agreement upon knowing that its violation of guarantees in
the Trust Agreement contributes to Material Adverse Effects,
10) except for entrusting the Trust Property to the Trustee according to the Trust Agreement, shall not
sell, pledge, mortgage, assign or transfer the Trust Property to any other entity, shall not take other
actions that would harm the Trustee’s ownership over the Trust Property or the Loan Files, shall
not grant any Securities interest in the Trust Property or the related Loan Files or allow any
Securities interest to exist over the Trust Property or the related Loan Files, and shall not waive
property right over the Trust Property or the related Loan Files,
11) shall not relieve the trust, replace Noteholders, or dispose the beneficial right of trust of
Noteholders by reasons that part of the Noteholders has a major infringement on the Originator or
other Noteholders,
12) if unforeseeable factors on the Trust Effective Date occurs so that the management methods of the
Trust Property negate the objective of Trust or the interests of Noteholders, may suggest the Trustee
to modify the management method. The Originator cannot force the Trustee to change the
management methods,
13) shall not enforce rights in the Loan Contract that could impose Material Adverse Effects to the
receivability of the Trust Property (except if the Originator has been authorized by the Trustee to
do so pursuant to the Transaction Documents),
14) shall not change or modify any provision of the Loan Contract, shall not be exempt from liability
under the Loan Contract, which imposes material adverse effects on Trust and Trust Property,
expect for the situations which are stipulated by the Transaction Documents,
15) shall not take any corporate actions, other steps or legal proceedings for the purpose of dissolving
or employing a receiver, administrative receiver, liquidator or other similar person for its benefit
and property,
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16) shall not take the initiative action to off-set Borrowers’ liability in the Trust Property under the
Trust Agreement,
17) when fulfilling the duties and obligations under the Trust Agreement, shall not take any action, so
that such action constitutes a defense under the Loan Contract against the Trustee and/or Originator,
or such action infringes on the benefit of the Trustee upon the Trust Property.
18) should comply with other duties provided by the Trust Agreement and PRC Laws.
According to the Underwriting Agreement, the Originator
1) should provide Lead Underwriters with materials and information concerning the transaction of
the Securities, and copies of the Originator’s charter or internal files upon approving the issue of
the Securities, and
2) should inform progress of communications with the competent department.
(III) Servicer
According to the Servicing Agreement, the Servicer
Main Rights:
1) The Servicer has the right to manage the Loans in the asset pools,
2) has the right to charge servicing fees and to recover the Execution Fee advanced to provide loan
management services according to the Servicing Agreement, and
3) has the right to take emergency measures for emergencies.
Main Obligations:
1) The Servicer should comply with PRC Laws that are applicable and under which the Trust Property
or transaction under Servicing Agreement is governed,
2) should provide the loan Servicing Manual to the Trustee on the date of signing the Servicing
Agreement according to the Servicing Agreement,
3) should comply with instructions and requirements given by the Trustee in the process of fulfilling
its obligation in the Servicing Agreement,
4) guarantee the related information, materials, files and reports (including but not limited to the
Monthly Servicer Report) provided to other parties pursuant to the Servicing Agreement are true,
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accurate, complete and timely,
5) after appointing the Back-up Servicer, after the end of every calendar month, should transfer data
files (see Appendix 5 of the Servicing Agreement) to the Trustee and Back-up Servicer in a timely
manner (but no later than the 10th Business Day of each calendar month),
6) should set aside the Trust Property or the Collection Account and manage it separately,
7) after knowing the occurrence of the Servicer Termination Event, the Servicer shall immediately (at
all events within 5 Business Days) inform the Trustee, the Rating Agencies, and the Back Servicer
(if any),
8) shall immediately inform the Trustee when any Rating Agency has given the rating of the Servicer
lower than A+,
9) shall not set up any guarantee on the Trust Property or the Account Records,
10) shall not modify or agree to modify any provision related to Services in the Servicing Agreement
and Servicing Manual resulting to potential significant adverse effects, without the prior written
consent of the Trustee and prior written notice to the rating agencies, unless such modification is
mandatory provisions of the applicable PRC laws or are consistent with reasonable practices in the
Chinese banking industry or are conducive to enhancing the quality or efficiency of services. The
Servicer shall notify the Trustee and the Rating Agency of any change that may have a material
adverse effect in written form, subject to the mandatory provisions of the applicable Chinese law,
11) in case that the Borrower proposes to reduce debt with the movable property and the real estate,
should auction or sale the movable property or real estate according to the procedurals set in the
Servicing Manual, to recover the funds,
12) shall maintain and enforce proper management and operation procedures relating to Trust Property
(including the ability to rebuild Trust Property records after the original electronic records have
been damaged), preserve and maintain all documents, books, computer disks, hard drives, records
and recycle other information necessary for the Trust Property, including sufficient Collections per
asset and each asset on a daily basis. The Servicer should notify the Trustee and Rating Agents
such material changes in the management and operation in a timely manner,
13) should designate the relevant branches to keep account records, and, pursuant to the Servicing
Agreement, inform the Trustee and Rating Agents of the names of the above branches and indicate
the Trust Property in the account record, including making a mark on its computer records to
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indicate that the Trust Property has been entrusted to the Trustee so that the Trustee can confirm
the Trust Property is owned by the Trust after its Effective Date,
14) should promptly prepare records, books, securities, notices and other documents relating to the
Trust Property or in relation to the performance of obligations under the Servicing Agreement or
other Transaction Documents by the Servicer, within 5 Business Days after receiving the
requirement by the Trustee under § 4.4 of the Servicing Agreement, so that the Trustee or the agent
of the Settlor as stated in the notice is authorized to review and photocopy that information in the
workplace of the branch of the Servicer during normal business hours. Such records, books,
securities, notices or other documents should be true, complete and accurate in all material respects,
15) within 180 days of the end of each fiscal year, shall submit to the Trustee and Rating Agencies its
audited annual report (or via the website of the Shanghai Stock Exchange) based on the commonly
used PRC Generally Accepted Accounting Principles (unless disclosure of the adoption of other
rules). This annual report shall be made available to the public after being considered and approved
by the board of directors of the Servicer and shall be provided as information, including the full-
term balance sheet, profit and loss statement and cash flow statement (if any).
16) shall deliver the following materials to the Trustee and Rating Agencies respectively: (i) the
Servicer shall submit a fact sheet on the above-mentioned incident as soon as possible but in any
case, within 5 Business Days after it learns that the Servicer's dismissal or individual notification
of the incident has indeed occurred. (ii) when the Servicer is aware of the existence,
commencement of the litigation or arbitration proceedings against the Servicer and the Servicer is
likely to have a material adverse effect, it shall promptly notify and keep the issue proof of such
notices (including but not limited to registered mail stubs, etc.). (iii) in the case of a material
adverse effect, give a notice immediately and retain the proof of such notice, including but not
limited to the stub of a registered mail sender. (iv) major changes or modifications to the Servicing
Manual or changes in accounting firms or accounting policies of the Servicer (if the Servicer
considers it probable that such changes will have a material adverse effect), within 10 Business
Days, submit a notification of the change and retain the proof of such notification (including but
not limited to the stub of the registered mail sender, etc.) and, if applicable, a copy of the changed
policy document,
17) The Trustee shall have the right to supervise and inspect the Servicer's services under a resolution
of the Assets Holder of Controlled Assets (including the procedures for the appointment of auditors
for the execution of agreed financial information). The expenses incurred by the Trustee for
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supervision and inspection are borne by the Trust Property and shall be paid in accordance with
the provisions of the Trust Agreement and the order of priority listed thereunder (of which, the
expenses incurred by the auditor in appointing auditors to implement the agreed procedures for the
financial information concerned Listed as the remuneration of auditors, the rest of the supervision,
inspection expenses included in the priority spending limit). The Servicer should cooperate with
the Trustee and its agents to supervise and inspect.
18) shall determine the repurchase price of each relevant asset at the date of commencement of the
relevant repurchase and report it in the Monthly Servicer Report provider of the natural period in
the event of any repurchase initiated by the initiating institution in violation of the asset guarantee.
(IV) Fund Custodian
Main Rights:
1) The Fund Custodian has the right to review the transfer order issued by the Trustee, and
2) has the right to take fund custody fees, and
3) has the right to ask the Trustee to provide documents and information required for opening the
Trust Account and executing the Trustee’s instructions, and
4) any other right provided by the PRC Laws and the Fund Custodian Agreement.
Main Obligations:
1) The Fund Custodian shall transfer the funds in the trust account according to the funds transfer
instruction of the Trustee, according to § 3.2 of Fund Custodian Agreement,
2) upon receipt of a written request from the Trustee, shall, as soon as practicable, provide account
information related to any Trust Account to the party prior to the close of business on a particular
day and / or within a period of time before the request date (or such shorter period as the requesting
party may request),
3) for the purpose of auditing the Annual Trustee Report of the previous year, shall, according to the
notice from the Trustee and at the reasonable request of the auditors, provide necessary and
reasonable assistance within the scope of its responsibilities and shall ensure that information
provided to the auditors therefor is true and complete,
4) upon receipt of notice by the Trustee of immediate maturity and payment of the Senior Notes, (the
notice shall be enclosed with the copy of the announcement of immediate maturity and payment
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of the Senior Notes from Controlling Noteholders Meeting to Trustee), shall promptly operate on
the basis of any instructions (transfer instruction or fund account modification instruction) given
by the Trustee concerning the deposit and disbursement of the Trust Account, and the Fund
Custodian shall not be obliged to the veracity, accuracy and legality of the notices of the immediate
maturity and payment of the Senior Notes from Controlling Noteholders Meeting. The Fund
Custodian is authorized to trust the Trustee to make the above notification compliant with laws,
regulations and agreements. The Fund Custodian will not be held responsible for any losses
resulting from the transfer of funds from the trust account, based on the trust made in the aforesaid
notice given by the Trustee,
5) if any rating agency downgrades its rating, shall, immediately after reasonable knowledge, notify
the counterparty of the Fund Custodian Agreement,
6) the Trust Account will always be in the Trustee's name and for the benefit of the Securities holder.
The Fund Custodian may not mix any other funds held by it with the funds in the Trust Account,
7) shall keep completely the documents related to fund custody of the Trust Account, account record,
transaction record and important contract. The retention period is 15 years after termination of the
Fund Custodian Agreement,
8) shall not use funds in the Trust Account as compensation for any liabilities the Trustee owed to the
Fund Custodian, and shall not offset, transfer, or withhold any funds in the Trust Account to settle
(or settle conditionally) liabilities any party of the Fund Custodian Agreement or Noteholders owed
to the Fund Custodian,
9) shall confirm the ownership and related rights and interests the Trustee has on the Trust Account
is on behalf of the Trust,
10) any other obligations stipulated by PRC Laws and the Fund Custodian Agreement.
(V) Lead Underwriter
Main Rights:
1) The Lead Underwriter has the right to organize the underwriting syndicate and coordinate the
various tasks of underwriting syndicate,
2) has the right to assist the Trustee to carry out the book building centralized placement of the
Securities under the Underwriting Agreement,
3) has the right to obtain underwriting fees after fulfilling the obligations under the Underwriting
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Agreement.
Main Obligations:
1) The Lead Underwriter shall raise the subscription funds of the Securities to the issuer's account in
full and on time, pursuant to the Underwriting Agreement,
2) shall fulfill the standby commitment obligation pursuant to the Underwriting Agreement,
3) shall provide invoice to the Trustee pursuant to the Underwriting Agreement on time.
(VI) Notes Custodian/Paying Agent
According to the agreement of all parties, the Notes Custodian/Paying Agent of the Securities shall
provide registration and custody for the Securities, principal and interest payment services, and have the
right to receive certain remuneration.
(VII) Members of Syndicate
The Lead Underwriter sets up the underwriting syndicate to underwrite the Senior Notes in the China
Interbank Bond Market and each member of the Syndicate is entitled to receive certain underwriting fees.
(VIII) Financial Advisor
Main Rights:
1) The Financial Advisor has the right to receive the corresponding fees according to the Financial
Advisor Agreement and § 9 of the Trust Agreement, and
2) any other right provided by the PRC Laws and the Trust Agreement.
Main Obligations:
1) The Financial Advisor should fully coordinate the work of all participants in the project, make a
schedule and work plan of the project, and promote the efficient implementation of the project,
including but not limited to: (i)assist the Originator in the screening of underlying assets, to provide
screening criteria and professional advice. (ii) After forming the Asset Pool, the Financial Advisor
should organize the intermediaries to carry out due diligence, discuss and improve the transaction
structure with the Trustee, the Rating Agencies, the Legal Counsel and the Auditor (if any) and
other intermediary agencies; (iii)shall organize the intermediary agencies to complete the filing
materials and report to the regulatory authorities; (iv))shall assist the Originator and the Lead
Underwriter in formulating the project’s Offering Circular, roadshow promotion materials and
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other materials and also participate in the promotion of the roadshow,
2) shall obey the confidentiality duty according to the Financial Advisor Agreement,
3) should comply with other duties provided by the Trust Agreement, Financial Advisor Agreement
and PRC Laws.
D. Priority of Payments
1. Distribution of Cash Flow before the Event of Default
（1）Allocation of the Interest Sub-Account before the Event of Default
On each Trust Distribution Date before the occurrence of any Event of Default, the Trustee should
allocate the Collections during the previous Collection Period and the entirety of the funds transferred
from the Principal Sub-Account, the Trust Reserve Account (Service Transfer and Notice), and Tax
Reserve Account, and the Trust Reserve Account(Offset) to the Interest Sub-Account, according to the
§§ 9.2(b), 9.4, 9.5 and 9.6 of the Trust Agreement, pursuant to the following order (if the amount is not
enough to cover all payments in the same order of priority, it shall be allocated on a pro rata basis, and
the shortfall should be allocated in the next period):
(i) pursuant to the stipulation of PRC tax laws and the provisions of the Trust Agreement, book into
the Tax Reserve Account the Taxes and relevant fees (if any) to be undertaken by the Trust Property
as reasonably estimated by the Trustee;
(ii) in the same order of priority and on a pro rata basis, pay Issuance Fee payable (if the issuance
registration service fees were advanced by Issuer, then pay the corresponding amount to the Issuer);
(iii) in the same order of priority and on a pro rata basis (if the Collection is not enough to cover all
payments listed in this order of priority), remit to the Expense Account, the Services Fees payable
to the Trustee, the Fund Custodian, the Paying Agent, the Rating Agency, the Auditor (if any) and
the Backup Servicer (if any) as well as the Reimbursable Expenses (to the extent of the Maximum
of Priority Expense Payment) of the aforesaid entities and the Servicer;
(iv) remit to the Expense Account, 50% of the Servicer’s Fees payable to the Servicer;
(v) in the same order of priority, remit to the Interest Allocation Account, the interest of the Class A-1
Notes, Class A-2 Notes and Class A-3 Notes on the first Payment Date after such Trust Allocation
Date;
(vi) to the Expense Account, 50% of the Servicer’s Fees payable to the Servicer;
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(vii) in the same order of priority and on a pro rata basis, remit to the Trust Reserve Account (Service
Transfer and Notice) and the Trust Reserve Account (Liquidity) such amounts to reinstate the
balance in the Trust Reserve Account (Service Transfer and Notice) and the Trust Reserve Account
(Liquidity) until it reaches the Required Service Transfer and Notice Reserve Amount, and the
Required Liquidity Reserve Amount, respectively;
(viii) upon the occurrence of an Accelerated Payment Event, transfer all the funds in the Interest Sub-
Account to the Principal Sub-Account; otherwise, continue to allocate in the following order of
priority;
(ix) remit to the Principal Sub-Account, the amount of the sum of the following: (a) the Outstanding
Principal Balance of the Loans that have become Defaulted Loans in the immediately preceding
Collection Period as of the moment of becoming Defaulted Loans; plus (b) the Outstanding
Principal Balance of the Loans that have become Defaulted Loans in the previous Collection
Periods other than the immediately preceding Collection Period as of the moment of becoming
Defaulted Loans; plus (c) the amounts that have been transferred to the Interest Sub-Account from
the Principal Sub-Account on all previous Trust Allocation Dates according to section 9.2(b)(i),
minus (d) the amounts that have been transferred to the Principal Sub-Account from the Interest
Sub-Account on all previous Trust Allocation Dates according to this paragraph (ix);
(x) in the same order of priority and on a pro rata basis (if the funds in the Interest Sub-Account are
not enough to make payments under this item), remit to the Expenses Account, the part of the
Reimbursable Expenses in excess of the Maximum of Priority Expense Payment payable to the
Trustee, the Servicer, the Fund Custodian, the Paying Agent, the Rating Agency, the Auditor (if
any) and the Back-up Servicer (if any);
(xi) to the Principal Sub-Account, all remaining funds.
（2）Allocation of the Principal Sub-Account before the Event of Default
On each Trust Distribution Date before the occurrence of any Event of Default, for the funds in the
Principal Sub-account from Principal Collections during the previous Collection Period and the Interest
Sub-account pursuant to § 9.2(a) of the Trust Agreement and the funds in the Principal Sub-Account
from the Trust Reserve Account (Liquidity) pursuant to § 9.7 of the Trust Agreement, the Trustee should
allocate in the following order (if the amount is not enough to cover all payments in the same order of
priority, it shall be allocated on a pro rata basis, and the shortfall should be allocated in the next period):
(i) to Interest Sub-Account, a certain amount so that the remaining fund is enough to cover all the
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payments due in § 9.2(a)(i) to (a)(vii) in the Trust Agreement;
(ii) if no Accelerated Payment Event occurs, allocate in the following order,
① if the Class A-3 Notes have not been fully paid off, first transfer to the Trust Distribution
Account(Principal) a certain amount until this amount is paid to the Class A-1 Noteholders,
the Outstanding Principal Balance of Class A-1 Notes balance reaches the Target Balance of
the first Payment Date after such Trust Allocation Date as provided in the Trust Agreement;
Then, transfer to the Trust Distribution Account(Principal) a certain amount until this amount
is paid to the Class A-2 Noteholders, the Outstanding Principal Balance of Class A-2 Notes
balance reaches the Target Balance of the first Payment Date after such Trust Allocation Date
as provided in the Trust Agreement; then transfer to the Trust Distribution Account(Principal)
such amount until the principal of Class A-3 Notes can be fully repaid;
② if the principal of Class A-3 Notes has been fully paid off, then in the same order of priority
transfer to the Trust Distribution Account (Principal) such amount proportional to the
Outstanding Principal Balance of the Class A-1 Notes and Class A-2 Notes, until the
principal of Class A-1 Notes and Class A-2 Notes can be fully repaid;
(iii) after the occurrence of an Accelerated Payment Event, then in the same order of priority transfer
to the Trust Distribution Account (Principal) such amount proportional to the Outstanding Principal
Balance of the Class A-1 Notes, Class A-2 Notes and Class A-3 Notes, until the amount remitted
could fully repay the Principal of the Senior Notes;
(iv) remit to Trust Distribution Account(Principal) such amount until the sum of the remitted amount
equals the sum of Outstanding Principal Balance of all the Subordinated Notes on such Trust
Allocation Date;
(v) To the Interest Account, all remaining funds as the benefits of the subordinated class securities.
Distribution of Cash Flow before the Event of Default
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2. Allocation after the Event of Default
At-or-after the occurrence of the Event of Default and if no Trust Enforcement Notice was made by
Controlling Noteholders Meeting pursuant to the § 10.1 in Schedule 6 of the Trust Agreement, on each
Trust Allocation Date, the Trustee should allocate the sum of the Collections deposited into Interest Sub-
Account and Principal Sub-Account during the last Collection Period, and all the funds remitted the Trust
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Collection Account from Tax reserve Account, Trust Reserve Account (Service Transfer and Notice),
Trust Reserve Account (Liquidity), and Trust Reserve Account (Offset) on that Trust Allocation Date in
the following order(if the amount is not enough to cover all payments in the same order of priority, it
shall be allocated on a pro rata basis, and the shortfall should be allocated in the next period):
(i) pursuant to the stipulation of PRC tax laws and the provisions of the Trust Agreement, book into
the Tax Reserve Account the Taxes and relevant fees (if any) to be undertaken by the Trust Property
as reasonably estimated by the Trustee;
(ii) in the same order of priority and on a pro rata basis, pay Issuance Fee payable (if the issuance
registration service fees were advanced by Issuer, then pay the corresponding amount to the Issuer);
(iii) in the same order of priority and on a pro rata basis (if the Collection is not enough to cover all
payments listed in this order of priority), remit to the Expense Account, the Services Fees payable
to the Trustee, the Servicer, the Fund Custodian, the Paying Agent, the Auditor (if any) and the
Back-up Servicer (if any) as well as the Reimbursable Expenses (to the extent of the Maximum of
Priority Expense Payment) of the aforesaid entities and the Rating Agency;
(iv) in the same order of priority, remit to the Interest Allocation Account, the accrued and unpaid
interest of the Class A-1 Notes, Class A-2 Notes and Class A-3 Notes on the first Payment Date
after such Trust Allocation Date;
(v) remit to Principal Allocation Account, such amount proportional to the Outstanding Principal
Balance of Class A-1 Notes, Class A-2 Notes and Class A-3 Notes, until the amount remitted could
fully repay the principal of Class A-1 Notes, Class A-2 Notes and Class A-3 Notes;
(vi) remit to Trust Distribution Account(Principal) such amount until the sum of the remitted amount
equals the sum of Outstanding Principal Balance of all the Subordinated Notes on such Trust
Allocation Date;
(vii) remit to Interest Allocation Account, all the remaining funds as benefits to the Subordinated Notes.
Distribution of Cash Flow after the Event of Default
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3. Allocation of Trust Property after Trust Termination
After the Trust Termination Date, the Trustee should allocate the remaining funds in the following order
(if the amount is not enough to cover all payments in the same order of priority, it shall be allocated on
a pro rata basis, and the shortfall should be allocated in the next period):
(i) Trust-related taxes and fees to be paid by the Trustee under the PRC Laws;
(ii) expenses incurred in liquidating the Trust Property according the transaction documents;
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(iii) in the same order of priority and on a pro rata basis, pay Issuance Fee payable (if the issuance
registration service fees were advanced by Issuer, then pay the corresponding amount to the Issuer);
(iv) in the same order of priority and on a pro rata basis (if the Collection is not enough to cover all
payments listed in this order of priority), remit to the Expense Account, the Services Fees payable
to the Trustee, the Servicer, the Fund Custodian, the Paying Agent, the Auditor (if any), Rating
Agency and the Back-up Servicer (if any) as well as the Reimbursable Expenses (to the extent of
the Maximum of Priority Expense Payment) of the aforesaid entities;
(v) in the same order of priority and proportional to the outstanding interest balance, pay the interest
on Class A-1 Notes, Class A-2 Notes and Class A-3 Notes, until the payable interest on Senior
Notes becomes 0,
(vi) in the same order of priority and proportional to the Outstanding Principal Balance, pay the
Outstanding Principal Balance of Class A-1 Notes, Class A-2 Notes and Class A-3 Notes, until the
principal of Class A-1 Notes, Class A-2 Notes and Class A-3 Notes is paid off;
(vii) pay the Outstanding Principal Balance of the Subordinated Notes, until the principal of
Subordinated Notes is paid off;
(viii) the entirety of the remaining funds shall be benefits to the Subordinated Notes.
E. Credit Enhancement Measures
Credit enhancement is the foundation of securitization transactions, which provides protection to the
investors when the quality of assets in the Loan Pool deteriorates. Credit enhancement can be realized
by both internal and external methods.
1. Trenching Design
The payment of principal and interest on the Subordinated Notes ranks below the payment of principal
and interest on the Senior Notes, which creates credit support for the Senior Notes and achieves the
purpose of credit enhancement.
The Securities in this issuance are divided into Senior Notes and Subordinated Notes, and the Senior
Notes are further divided into Senior Class A-1 Notes, Senior Class A-2 Notes and Senior Class A-3
Notes.
Before the Accelerated Payment Event and Event of Default, the payment order of Class A-1 Notes,
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Class A-2 Notes and Class A-3 Notes Principal is senior to the subordinated Notes.
After the Accelerated Payment Event and Event of Default, the interests and principal of the Class A-1
Notes, Class A-2 Notes and Class A-3 Notes are paid pro rata and pari passu. The payment of the
subordinated Class Notes is subordinated to senior tranche, so that it can protect the senior tranche.
If the asset pool defaults which leads to the loss of securities in the current period, the subordinated class
investors bear the loss, when the default amount is greater than the principal balance of the subordinated
class, the senior classes investors will bear the loss.
2. Reserve Accounts
The Trustee should set up an independent Trust Account in the Fund Custodian in its full name, “CCB
Trust LLC”, pursuant to the Fund Custody Agreement. The Trust Account includes Collection Accounts
(Interest Sub-Account and Principal Sub-Account), Trust Payment Account (Allocation Principal
Account, Allocation Interest Account and Allocation Expenses Account), Service Transfer Reserve
Account, Tax Reserve Account, Offset Reserve Account, and Liquidity Reserve Account.
3. Payment Structure
It is prescribed in the cash flow payment order of the Interest Sub-Account prior to the occurrence of
Event of Default that the balance of the Interest Sub-Account exceeding the total payment from (i) to
(vii) in the payment order shall be firstly used in repaying the amount transferred from the Principal Sub-
Account to the Interest Sub-Account and in making up the losses from Defaulted Loans, which actually
uses the excess spread (if any) to Subordinated Notes as a protection for payment of principal of the
Senior Notes.
4. Triggering Mechanism
(1) Adjustment on Collections Transfer Date
(a) the 5th Business Day after the Calculation Date if the entity long-term credit rating level of the
Servicer is higher than or equal to A+ by CBR and A by CCXI.
(b) When the Servicer no longer have the credit rating stated in item (a), or after the Settlor/Trustee
inform the Borrowers, Guarantor and Insurer(if any) to pay the amount due to the Trust Account
according to the Trust Agreement, If the Borrower, Guarantor and Insurer pay the Collections to
the Servicer, the Collection Transfer Date is any Business Day within 5 Business Days after
receiving Collections.
(c) After the Trust Termination Date, if the Servicer has not transferred the Collections or still receives
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Collections, the Collection Transfer Date is the 5th Business Day after the end of every calendar
month from the calendar month of the Trust Termination Date, but all the Collections should be
transferred no later than the Business Day before the last Payment Date.
If any situation stated in the item (b) happens, from that day (exclusive) the Collection Transfer Date will
change according to aforesaid provisions. The frequency of the Collection Transfer Date will not resume
though the entity long-term credit rating level of the Servicer increases again.
(2) Accelerated Payment Event
Upon the occurrence of an Accelerated Payment Event, changes in the order of payment of cash flows
before the occurrence of an Event of Default will result in the transfer of all of the excessive amounts of
the Interest Sub-Account in the payment order after items i to vii to the principal subaccount for the
principal of the securities.
(3) Event of Default
Upon or after the occurrence of an Event of Default, the Principal Sub-Account and the Interest Sub-
Account shall no longer be separated and the cash flow payment order shall be changed simultaneously:
the interests and Outstanding Principal Balance of Subordinated Notes shall not be paid before the
interest and Outstanding Principal Balance of Senior Class A-1 Notes, Senior Class A-2 Notes and Senior
Class A-3 Notes have been completely paid off, given the Trust Execution Notification from the
Controlling Noteholders Meeting, according to the Trust Agreement, has not been issued.
F. Organizational Structure and Rights of Meetings of the Noteholders
1. Controlling Noteholders Meeting
The matters which have material impacts on the interests of Noteholders as set forth in Provisions and
Conditions of the Securities of the Trust Agreement shall be determined by the Meeting of Controlling
Noteholders convened and held in accordance with this Section. The meeting may be held in person or
through telecommunication.
Controlling Notes are (i) Senior Notes before unpaid balance of principal of Senior Notes becomes 0; (ii)
Subordinated Notes after principal of Senior Notes is settled.
Any resolution approved by the Controlling Securities Holder Meeting is binding on all Noteholders.
Nonetheless, resolution on amendments to the Transaction Documents or provisions and conditions of
55
the Notes that is related to the change of Legal Maturity Date, rate or payment currency of other tranches
of the Notes by the parties becomes effective after the approval of holders meeting of the related tranches
of Notes. This provision is applicable for aforementioned securities holders Meeting.
2. Convening of Meetings
(1) If any of the following events which may have material impact on the interests of the Securities holder
occur, the Trustee must convene a Meeting of Controlling Noteholders:
(a) Any amendment or supplement to section Provisions and Conditions of the Securities, the Trust
Agreement, any Transaction Documents is proposed by any party except minor technical
amendments or amendments pursuant to a mandatory requirement according to applicable laws
and regulations;
(b) Changes the Trustee, the Servicer or the Fund Custodian according to the Transaction Documents;
(c) Any party to the Transaction Documents proposes to rescind or waive any responsibilities and
obligations that the Trustee should have under any Transaction Documents;
(d) Occurrence of item (g) to (j) of the Accelerated Payment Events, any of the Events of Default or
any event which may result in occurrence of item (d) and (e) of the Events of Default;
(e) The approval of a trust liquidation report submitted by the Trustee after the termination of the Trust.
(f) Other matters that the Trustee believes may have a significant impact on the “Asset-Backed
Securities held”.
(2) In the event the Noteholders who independently or jointly hold more than 10% of the Outstanding
Principal Balance of the Controlling Securities deliver a written request to convene a meeting according
to aforementioned matters and compensate related expenses and expenditures of the Trustee, the Trustee
shall convene the Meeting of Controlling Noteholders.
(3) If the Trustee fails to convene the Meeting of Controlling Noteholders pursuant to above provision,
the Noteholders independently or jointly holding more than 10% of the Outstanding Principal Balance
of the Controlling Securities may convene the meeting by themselves with regard to the matters and file
the same with PBOC.
3. Notice
When convening the Meeting of Controlling Noteholders, the convener(s) shall announce, at least 30
days in advance, the time, location, the way to convene the meeting, matters to be considered, agenda,
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the voting manner and other relevant information through the information disclosure system of National
Association of Financial Market Institutional Investors and its connected website of Beijing Financial
Asset Exchange (www.cfae.cn), Chinamoney Net (www.chinamoney.com.cn) and China Bond
Information Website (www.chinabond.com.cn).
4. Quorum
(1) The Meeting of Controlling Noteholders for purpose of considering the Special Matters may only
be held when the Securities holders independently or jointly holding more than 75% of the
Outstanding Principal Balance of the Controlling Securities are present; the postponed meeting of
the aforesaid may only be held when the Securities holder independently or jointly holding more
than 25% of the Outstanding Principal Balance of the Controlling Securities are present. The Special
Matters are including but not limited to: (a) changes of the Legal Maturity of the Securities, (b)
reduction or cancellation of the principal or rate of the Securities, (c) changes of the payment
currency, (d) changes of the required votes for amendment to certain Special Matters, (e) approval
of proposal related to change the rights of the Noteholders ignoring whether the rights are based on
Provisions and Conditions of the Securities, Transaction Documents or other documents, (f)
approval of any amendment, correction or supplement to provisions of related Provisions and
Conditions of the Securities or any provisions of the Transaction Documents if the Trustee
reasonably views these amendment, correction or supplement will materially harm the rights of the
Noteholders, (g) approval of changes of the Trustee, Servicer or Custodian, (h) authorization to the
Trustee to sign and conduct all necessary documents, activities or matters for the execution of any
Special Matters made by the Controlling Noteholders Meeting, (i) discharge or waiver of any
liability or obligation of the Trustee in accordance with any Transaction Document, (j) deciding
whether to declare an Accelerated Payment Event or an Event of Default after the occurrence of (g)
to (j) of the Accelerated Payment Event or (c) to (d) of the Event of Default, (k) approval of the
Liquidation Report submitted by the Trustee according to Article 4(c) of the Trust Agreement, (l)
after the occurrence of any Event of Default or any event that may cause the occurrence of (c) or (d)
of the Event of Default, deciding whether to issue a Trust Execution Notification to the Trustee to
announce an immediate maturity and payment of principal and interest according to the § 10.1 of
Appendix 6 of the Trust Agreement or to issue a notice for remedy to the Trustee.
(2) Except for the Special Matters, other matters of the Controlling Noteholders Meeting are “Ordinary
Matters”. The Meeting of Controlling Noteholders for purpose of considering the Ordinary Matters may
only be held when the Securities holders independently or jointly holding more than 50% of the
57
Outstanding Principal Balance of the Controlling Securities are present. The postponed meeting of the
aforesaid may only be held when the Securities holders independently or jointly holding more than 10%
of the Outstanding Principal Balance of the Controlling Securities are present.
(3) If, within 30 minutes after the scheduled time of the meeting, the quorum requirement is not satisfied,
the meeting will be postponed or, if the meeting was convened at the request of the holders of the
Controlling Securities, the meeting will be dismissed. In other cases, the meeting shall be adjourned to
the date of no less than 14 days and no more than 42 days afterwards.
5. Right to Vote and Resolute
(1) The Securities holders at the meeting have one vote for every RMB 100 of nominal value of the
Asset-Backed Securities they hold in control.
(2) The convener of the Controlling Noteholders Meeting shall, within 10 days after the conclusion of
the meeting, submit a resolution of the meeting to the People's Bank of China for the record as well as
inform the rating agency and make it available through the website of China Money, China Bond
Information and the Beijing Financial Assets Exchange.
6. Written Resolution
For the Special Matters, Written resolutions signed by or on behalf of the Controlling Noteholders shall
have the same effects as the Matters passed by the Controlling Noteholders Meeting convened and held
under the above terms and conditions. For the Ordinary Matters, written resolutions signed by or on
behalf of the Controlling Noteholders who hold more than 50% of the outstanding principal balance of
the controlling Asset-Backed Securities shall be construed in the same manner as the controlling rights
convened and convened under the above terms and conditions. Such written resolutions may be signed
by one or more holders of the class securities of assets of the controlling shareholder or their
representatives in one or more documents of the same format.
G. Cash Flow Table
Asset Pool Cash Flow Table (CPR = 0%) (RMB)
58
Trust
Accounting
date
Total beginning
balance of the total
principal
Scheduled
principal
payment
Scheduled
interest
payment
Total ending balance
of the total principal
2018/10/13 16,795,364,059.35 - - -
2018/10/31 16,795,364,059.35 50,413,475.67 29,256,887.68 16,744,950,583.68
2018/11/30 16,744,950,583.68 117,332,125.38 66,956,521.10 16,627,618,458.30
2018/12/31 16,627,618,458.30 117,700,703.54 66,487,205.99 16,509,917,754.76
2019/1/31 16,509,917,754.76 118,070,761.71 66,016,410.87 16,391,846,993.04
2019/2/28 16,391,846,993.04 118,442,305.83 65,544,129.80 16,273,404,687.21
2019/3/31 16,273,404,687.21 118,815,341.89 65,070,356.80 16,154,589,345.32
2019/4/30 16,154,589,345.32 119,189,875.87 64,595,085.87 16,035,399,469.45
2019/5/31 16,035,399,469.45 119,565,913.81 64,118,310.98 15,915,833,555.65
2019/6/30 15,915,833,555.65 119,943,461.74 63,640,026.10 15,795,890,093.91
2019/7/31 15,795,890,093.91 120,322,525.75 63,160,225.14 15,675,567,568.16
2019/8/31 15,675,567,568.16 120,703,111.93 62,678,902.02 15,554,864,456.23
2019/9/30 15,554,864,456.23 121,085,226.39 62,196,050.60 15,433,779,229.84
2019/10/31 15,433,779,229.84 121,468,875.29 61,711,664.76 15,312,310,354.55
2019/11/30 15,312,310,354.55 121,836,172.78 61,225,738.30 15,190,474,181.77
2019/12/31 15,190,474,181.77 122,142,096.18 60,738,385.05 15,068,332,085.60
2020/1/31 15,068,332,085.60 122,382,788.09 60,249,699.02 14,945,949,297.51
2020/2/29 14,945,949,297.51 122,598,860.39 59,760,120.29 14,823,350,437.12
2020/3/31 14,823,350,437.12 122,866,741.11 59,269,680.82 14,700,483,696.01
2020/4/30 14,700,483,696.01 123,034,350.43 58,777,945.94 14,577,449,345.58
2020/5/31 14,577,449,345.58 123,135,487.48 58,285,695.35 14,454,313,858.10
2020/6/30 14,454,313,858.10 123,273,013.70 57,793,040.00 14,331,040,844.40
2020/7/31 14,331,040,844.40 123,322,960.79 57,299,816.06 14,207,717,883.61
2020/8/31 14,207,717,883.61 123,307,594.80 56,806,306.69 14,084,410,288.81
2020/9/30 14,084,410,288.81 123,296,159.41 56,312,733.30 13,961,114,129.40
2020/10/31 13,961,114,129.40 123,373,581.88 55,819,319.48 13,837,740,547.52
2020/11/30 13,837,740,547.52 123,465,558.60 55,325,526.39 13,714,274,988.92
2020/12/31 13,714,274,988.92 123,597,269.18 54,831,345.97 13,590,677,719.74
2021/1/31 13,590,677,719.74 123,778,856.61 54,336,589.21 13,466,898,863.13
2021/2/28 13,466,898,863.13 123,925,143.38 53,841,091.52 13,342,973,719.75
2021/3/31 13,342,973,719.75 124,172,133.96 53,344,981.47 13,218,801,585.79
2021/4/30 13,218,801,585.79 124,302,813.65 52,848,008.73 13,094,498,772.14
2021/5/31 13,094,498,772.14 124,293,170.32 52,350,330.26 12,970,205,601.82
2021/6/30 12,970,205,601.82 124,189,741.57 51,852,703.28 12,846,015,860.25
2021/7/31 12,846,015,860.25 124,096,748.62 51,355,549.31 12,721,919,111.63
2021/8/31 12,721,919,111.63 124,086,195.15 50,858,918.26 12,597,832,916.49
2021/9/30 12,597,832,916.49 123,967,363.98 50,361,936.52 12,473,865,552.51
2021/10/31 12,473,865,552.51 124,064,073.76 49,865,627.31 12,349,801,478.76
2021/11/30 12,349,801,478.76 124,043,710.05 49,368,752.05 12,225,757,768.71
2021/12/31 12,225,757,768.71 124,126,830.82 48,872,125.39 12,101,630,937.89
2022/1/31 12,101,630,937.89 124,166,715.60 48,374,919.12 11,977,464,222.29
2022/2/28 11,977,464,222.29 124,188,240.42 47,877,863.34 11,853,275,981.87
2022/3/31 11,853,275,981.87 124,053,577.41 47,380,292.87 11,729,222,404.46
2022/4/30 11,729,222,404.46 123,933,424.24 46,883,341.24 11,605,288,980.22
2022/5/31 11,605,288,980.22 123,675,663.95 46,386,882.68 11,481,613,316.27
2022/6/30 11,481,613,316.27 123,360,419.88 45,891,286.24 11,358,252,896.39
2022/7/31 11,358,252,896.39 122,890,252.00 45,397,176.85 11,235,362,644.39
2022/8/31 11,235,362,644.39 122,257,212.32 44,904,811.71 11,113,105,432.07
2022/9/30 11,113,105,432.07 121,357,522.45 44,414,861.45 10,991,747,909.62
2022/10/31 10,991,747,909.62 120,913,276.28 43,928,710.18 10,870,834,633.34
2022/11/30 10,870,834,633.34 120,550,652.85 43,444,159.65 10,750,283,980.48
2022/12/31 10,750,283,980.48 120,174,331.97 42,961,124.90 10,630,109,648.51
2023/1/31 10,630,109,648.51 119,861,917.19 42,479,504.79 10,510,247,731.31
2023/2/28 10,510,247,731.31 119,306,695.95 41,999,099.93 10,390,941,035.36
2023/3/31 10,390,941,035.36 118,868,129.76 41,521,064.93 10,272,072,905.60
59
2023/4/30 10,272,072,905.60 118,560,172.50 41,044,785.37 10,153,512,733.10
2023/5/31 10,153,512,733.10 117,636,556.09 40,569,603.18 10,035,876,177.01
2023/6/30 10,035,876,177.01 116,556,304.89 40,098,226.38 9,919,319,872.12
2023/7/31 9,919,319,872.12 115,999,973.04 39,631,276.86 9,803,319,899.08
2023/8/31 9,803,319,899.08 115,323,963.75 39,166,670.20 9,687,995,935.33
2023/9/30 9,687,995,935.33 114,580,305.71 38,704,681.89 9,573,415,629.61
2023/10/31 9,573,415,629.61 114,013,798.58 38,245,817.82 9,459,401,831.03
2023/11/30 9,459,401,831.03 113,469,019.39 37,789,232.30 9,345,932,811.64
2023/12/31 9,345,932,811.64 113,084,121.24 37,334,867.11 9,232,848,690.40
2024/1/31 9,232,848,690.40 112,843,293.16 36,882,175.80 9,120,005,397.25
2024/2/29 9,120,005,397.25 112,161,760.24 36,430,372.74 9,007,843,637.00
2024/3/31 9,007,843,637.00 111,599,135.84 35,981,437.47 8,896,244,501.17
2024/4/30 8,896,244,501.17 110,937,885.41 35,534,749.05 8,785,306,615.75
2024/5/31 8,785,306,615.75 110,374,329.83 35,090,820.08 8,674,932,285.93
2024/6/30 8,674,932,285.93 109,940,152.89 34,649,145.49 8,564,992,133.04
2024/7/31 8,564,992,133.04 109,639,596.71 34,209,420.67 8,455,352,536.33
2024/8/31 8,455,352,536.33 109,414,568.93 33,770,694.90 8,345,937,967.39
2024/9/30 8,345,937,967.39 109,331,699.09 33,332,968.62 8,236,606,268.30
2024/10/31 8,236,606,268.30 109,195,367.85 32,895,582.98 8,127,410,900.46
2024/11/30 8,127,410,900.46 109,149,627.85 32,458,837.79 8,018,261,272.61
2024/12/31 8,018,261,272.61 109,057,947.96 32,022,198.36 7,909,203,324.64
2025/1/31 7,909,203,324.64 108,874,685.30 31,586,045.92 7,800,328,639.35
2025/2/28 7,800,328,639.35 108,181,912.67 31,150,583.53 7,692,146,726.68
2025/3/31 7,692,146,726.68 107,627,970.55 30,718,025.01 7,584,518,756.13
2025/4/30 7,584,518,756.13 107,135,774.22 30,287,735.07 7,477,382,981.91
2025/5/31 7,477,382,981.91 106,515,086.38 29,859,561.83 7,370,867,895.53
2025/6/30 7,370,867,895.53 105,672,657.40 29,433,703.75 7,265,195,238.13
2025/7/31 7,265,195,238.13 104,685,702.94 29,011,216.09 7,160,509,535.19
2025/8/31 7,160,509,535.19 103,751,891.03 28,592,896.78 7,056,757,644.16
2025/9/30 7,056,757,644.16 102,856,883.51 28,178,391.75 6,953,900,760.65
2025/10/31 6,953,900,760.65 101,897,923.27 27,767,446.93 6,852,002,837.38
2025/11/30 6,852,002,837.38 101,334,380.70 27,360,533.54 6,750,668,456.68
2025/12/31 6,750,668,456.68 100,479,680.59 26,955,712.49 6,650,188,776.09
2026/1/31 6,650,188,776.09 100,071,648.67 26,554,367.79 6,550,117,127.42
2026/2/28 6,550,117,127.42 99,494,626.25 26,154,731.93 6,450,622,501.17
2026/3/31 6,450,622,501.17 99,090,175.58 25,757,483.84 6,351,532,325.59
2026/4/30 6,351,532,325.59 98,382,651.65 25,361,568.89 6,253,149,673.95
2026/5/31 6,253,149,673.95 97,565,103.73 24,968,689.99 6,155,584,570.22
2026/6/30 6,155,584,570.22 97,114,803.35 24,579,187.32 6,058,469,766.86
2026/7/31 6,058,469,766.86 96,299,729.03 24,191,216.40 5,962,170,037.83
2026/8/31 5,962,170,037.83 95,539,130.01 23,806,624.92 5,866,630,907.82
2026/9/30 5,866,630,907.82 94,714,912.49 23,424,851.46 5,771,915,995.32
2026/10/31 5,771,915,995.32 93,967,365.42 23,046,189.81 5,677,948,629.90
2026/11/30 5,677,948,629.90 93,313,805.37 22,670,583.61 5,584,634,824.53
2026/12/31 5,584,634,824.53 92,560,718.16 22,297,452.61 5,492,074,106.37
2027/1/31 5,492,074,106.37 91,991,760.60 21,926,994.45 5,400,082,345.77
2027/2/28 5,400,082,345.77 91,535,734.73 21,559,198.96 5,308,546,611.04
2027/3/31 5,308,546,611.04 90,689,171.03 21,193,124.19 5,217,857,440.01
2027/4/30 5,217,857,440.01 89,832,993.93 20,830,148.07 5,128,024,446.08
2027/5/31 5,128,024,446.08 89,183,196.46 20,471,123.61 5,038,841,249.62
2027/6/30 5,038,841,249.62 88,096,800.12 20,114,068.53 4,950,744,449.50
2027/7/31 4,950,744,449.50 87,133,791.01 19,761,931.74 4,863,610,658.49
2027/8/31 4,863,610,658.49 85,529,306.59 19,413,111.73 4,778,081,351.90
2027/9/30 4,778,081,351.90 83,905,012.18 19,071,011.18 4,694,176,339.72
2027/10/31 4,694,176,339.72 82,627,938.72 18,735,436.86 4,611,548,401.00
2027/11/30 4,611,548,401.00 81,760,089.12 18,405,167.57 4,529,788,311.88
2027/12/31 4,529,788,311.88 80,952,952.15 18,078,319.37 4,448,835,359.74
2028/1/31 4,448,835,359.74 80,155,029.68 17,754,661.38 4,368,680,330.06
60
2028/2/29 4,368,680,330.06 79,213,477.33 17,434,396.50 4,289,466,852.73
2028/3/31 4,289,466,852.73 78,375,655.41 17,117,955.39 4,211,091,197.32
2028/4/30 4,211,091,197.32 77,761,143.49 16,804,884.61 4,133,330,053.83
2028/5/31 4,133,330,053.83 76,729,365.09 16,494,248.76 4,056,600,688.74
2028/6/30 4,056,600,688.74 75,349,280.37 16,187,696.77 3,981,251,408.37
2028/7/31 3,981,251,408.37 74,301,090.33 15,886,666.13 3,906,950,318.04
2028/8/31 3,906,950,318.04 73,553,148.38 15,590,113.66 3,833,397,169.66
2028/9/30 3,833,397,169.66 72,417,421.04 15,296,481.31 3,760,979,748.61
2028/10/31 3,760,979,748.61 71,628,822.84 15,007,492.13 3,689,350,925.78
2028/11/30 3,689,350,925.78 70,809,912.77 14,721,815.16 3,618,541,013.01
2028/12/31 3,618,541,013.01 70,282,230.77 14,439,413.48 3,548,258,782.24
2029/1/31 3,548,258,782.24 69,747,580.32 14,158,966.59 3,478,511,201.92
2029/2/28 3,478,511,201.92 68,948,183.72 13,880,869.54 3,409,563,018.21
2029/3/31 3,409,563,018.21 68,245,228.85 13,606,022.97 3,341,317,789.35
2029/4/30 3,341,317,789.35 67,380,697.05 13,333,947.25 3,273,937,092.30
2029/5/31 3,273,937,092.30 66,790,113.93 13,065,465.25 3,207,146,978.38
2029/6/30 3,207,146,978.38 66,070,950.92 12,799,306.19 3,141,076,027.46
2029/7/31 3,141,076,027.46 65,397,674.73 12,536,199.28 3,075,678,352.73
2029/8/31 3,075,678,352.73 64,835,926.86 12,275,574.26 3,010,842,425.88
2029/9/30 3,010,842,425.88 64,344,994.76 12,017,382.02 2,946,497,431.11
2029/10/31 2,946,497,431.11 63,824,390.84 11,760,949.14 2,882,673,040.28
2029/11/30 2,882,673,040.28 63,486,908.84 11,506,923.72 2,819,186,131.44
2029/12/31 2,819,186,131.44 62,985,619.60 11,253,968.93 2,756,200,511.84
2030/1/31 2,756,200,511.84 62,522,747.92 11,003,150.39 2,693,677,763.92
2030/2/28 2,693,677,763.92 61,899,197.15 10,754,141.22 2,631,778,566.77
2030/3/31 2,631,778,566.77 61,118,274.91 10,507,695.61 2,570,660,291.86
2030/4/30 2,570,660,291.86 60,533,025.05 10,264,445.93 2,510,127,266.82
2030/5/31 2,510,127,266.82 59,896,269.50 10,023,602.07 2,450,230,997.31
2030/6/30 2,450,230,997.31 59,164,411.15 9,785,120.70 2,391,066,586.16
2030/7/31 2,391,066,586.16 58,503,270.18 9,549,666.40 2,332,563,315.98
2030/8/31 2,332,563,315.98 57,862,334.40 9,316,951.18 2,274,700,981.58
2030/9/30 2,274,700,981.58 57,220,872.62 9,086,877.90 2,217,480,108.96
2030/10/31 2,217,480,108.96 56,334,097.55 8,859,021.99 2,161,146,011.40
2030/11/30 2,161,146,011.40 55,751,433.50 8,635,077.95 2,105,394,577.91
2030/12/31 2,105,394,577.91 54,920,152.42 8,412,961.22 2,050,474,425.49
2031/1/31 2,050,474,425.49 54,364,946.44 8,194,424.82 1,996,109,479.05
2031/2/28 1,996,109,479.05 53,498,504.85 7,978,152.84 1,942,610,974.21
2031/3/31 1,942,610,974.21 52,765,715.22 7,765,337.30 1,889,845,258.99
2031/4/30 1,889,845,258.99 51,702,996.94 7,555,162.75 1,838,142,262.06
2031/5/31 1,838,142,262.06 50,510,940.96 7,349,243.34 1,787,631,321.09
2031/6/30 1,787,631,321.09 49,440,316.53 7,147,941.05 1,738,191,004.56
2031/7/31 1,738,191,004.56 48,442,352.12 6,951,141.76 1,689,748,652.44
2031/8/31 1,689,748,652.44 47,598,159.08 6,758,296.86 1,642,150,493.36
2031/9/30 1,642,150,493.36 46,815,611.70 6,568,541.14 1,595,334,881.65
2031/10/31 1,595,334,881.65 46,246,296.21 6,381,951.71 1,549,088,585.44
2031/11/30 1,549,088,585.44 45,776,336.21 6,197,650.45 1,503,312,249.23
2031/12/31 1,503,312,249.23 45,146,303.87 6,015,229.78 1,458,165,945.37
2032/1/31 1,458,165,945.37 44,678,425.21 5,834,979.21 1,413,487,520.16
2032/2/29 1,413,487,520.16 44,142,963.95 5,656,763.37 1,369,344,556.20
2032/3/31 1,369,344,556.20 43,578,357.18 5,480,594.66 1,325,766,199.02
2032/4/30 1,325,766,199.02 42,951,177.04 5,306,377.59 1,282,815,021.98
2032/5/31 1,282,815,021.98 41,887,034.55 5,134,913.33 1,240,927,987.43
2032/6/30 1,240,927,987.43 40,291,424.35 4,967,434.44 1,200,636,563.08
2032/7/31 1,200,636,563.08 39,113,916.88 4,806,790.97 1,161,522,646.20
2032/8/31 1,161,522,646.20 37,066,928.75 4,650,336.82 1,124,455,717.46
2032/9/30 1,124,455,717.46 35,375,205.10 4,502,372.46 1,089,080,512.36
2032/10/31 1,089,080,512.36 34,037,283.66 4,361,250.26 1,055,043,228.70
2032/11/30 1,055,043,228.70 32,379,449.17 4,225,636.38 1,022,663,779.53
61
2032/12/31 1,022,663,779.53 31,529,959.58 4,096,559.17 991,133,819.95
2033/1/31 991,133,819.95 30,730,860.76 3,970,768.08 960,402,959.19
2033/2/28 960,402,959.19 30,020,038.73 3,848,217.22 930,382,920.46
2033/3/31 930,382,920.46 29,351,794.42 3,728,450.84 901,031,126.04
2033/4/30 901,031,126.04 28,729,777.60 3,611,300.83 872,301,348.45
2033/5/31 872,301,348.45 27,591,727.28 3,496,646.29 844,709,621.17
2033/6/30 844,709,621.17 26,704,722.50 3,386,102.94 818,004,898.67
2033/7/31 818,004,898.67 26,144,063.37 3,279,291.18 791,860,835.30
2033/8/31 791,860,835.30 25,506,402.20 3,174,627.96 766,354,433.10
2033/9/30 766,354,433.10 24,867,569.87 3,072,461.32 741,486,863.23
2033/10/31 741,486,863.23 24,381,716.49 2,972,935.51 717,105,146.75
2033/11/30 717,105,146.75 23,698,679.26 2,875,297.60 693,406,467.49
2033/12/31 693,406,467.49 23,122,426.27 2,780,479.86 670,284,041.22
2034/1/31 670,284,041.22 22,708,832.54 2,687,884.05 647,575,208.69
2034/2/28 647,575,208.69 22,128,396.97 2,597,033.09 625,446,811.72
2034/3/31 625,446,811.72 21,752,479.50 2,508,520.13 603,694,332.21
2034/4/30 603,694,332.21 21,375,164.37 2,421,423.45 582,319,167.84
2034/5/31 582,319,167.84 21,034,727.99 2,335,946.85 561,284,439.85
2034/6/30 561,284,439.85 20,698,562.90 2,251,760.14 540,585,876.95
2034/7/31 540,585,876.95 20,475,839.77 2,169,078.89 520,110,037.18
2034/8/31 520,110,037.18 20,166,261.35 2,087,133.22 499,943,775.83
2034/9/30 499,943,775.83 19,857,633.05 2,006,496.54 480,086,142.78
2034/10/31 480,086,142.78 19,619,382.21 1,927,169.99 460,466,760.57
2034/11/30 460,466,760.57 19,363,383.77 1,848,771.05 441,103,376.80
2034/12/31 441,103,376.80 18,965,248.86 1,771,363.26 422,138,127.95
2035/1/31 422,138,127.95 18,538,580.84 1,695,591.52 403,599,547.11
2035/2/28 403,599,547.11 18,265,108.94 1,621,549.10 385,334,438.16
2035/3/31 385,334,438.16 18,161,034.82 1,548,590.41 367,173,403.34
2035/4/30 367,173,403.34 18,100,474.18 1,476,154.11 349,072,929.17
2035/5/31 349,072,929.17 17,993,437.23 1,403,853.95 331,079,491.94
2035/6/30 331,079,491.94 17,845,139.37 1,332,080.39 313,234,352.57
2035/7/31 313,234,352.57 17,621,361.56 1,260,793.72 295,612,991.02
2035/8/31 295,612,991.02 17,368,605.66 1,190,430.59 278,244,385.35
2035/9/30 278,244,385.35 17,014,574.01 1,121,040.59 261,229,811.34
2035/10/31 261,229,811.34 16,644,139.84 1,053,175.65 244,585,671.51
2035/11/30 244,585,671.51 16,281,294.46 986,992.48 228,304,377.04
2035/12/31 228,304,377.04 15,592,879.86 921,749.11 212,711,497.18
2036/1/31 212,711,497.18 15,099,920.87 859,296.71 197,611,576.31
2036/2/29 197,611,576.31 14,791,376.19 798,975.67 182,820,200.12
2036/3/31 182,820,200.12 14,520,661.59 739,751.74 168,299,538.53
2036/4/30 168,299,538.53 14,340,767.31 681,709.53 153,958,771.22
2036/5/31 153,958,771.22 13,940,158.38 624,252.69 140,018,612.84
2036/6/30 140,018,612.84 13,559,364.83 568,435.31 126,459,248.01
2036/7/31 126,459,248.01 12,877,355.53 514,440.22 113,581,892.48
2036/8/31 113,581,892.48 11,573,791.41 462,049.67 102,008,101.07
2036/9/30 102,008,101.07 10,773,492.18 415,269.38 91,234,608.89
2036/10/31 91,234,608.89 10,190,477.58 371,565.93 81,044,131.32
2036/11/30 81,044,131.32 9,752,807.20 330,209.23 71,291,324.11
2036/12/31 71,291,324.11 9,237,936.41 290,766.69 62,053,387.70
2037/1/31 62,053,387.70 8,517,661.69 252,898.65 53,535,726.01
2037/2/28 53,535,726.01 8,025,765.18 218,397.89 45,509,960.83
2037/3/31 45,509,960.83 7,515,991.34 185,708.24 37,993,969.49
2037/4/30 37,993,969.49 7,093,848.06 154,976.40 30,900,121.42
2037/5/31 30,900,121.42 6,784,812.88 126,213.24 24,115,308.55
2037/6/30 24,115,308.55 5,777,130.01 98,611.88 18,338,178.54
2037/7/31 18,338,178.54 5,317,287.09 75,711.31 13,020,891.46
2037/8/31 13,020,891.46 4,139,546.20 53,783.17 8,881,345.25
2037/9/30 8,881,345.25 2,370,704.30 36,591.26 6,510,640.95
62
2037/10/31 6,510,640.95 1,431,186.89 26,651.33 5,079,454.06
2037/11/30 5,079,454.06 882,999.23 20,829.09 4,196,454.84
2037/12/31 4,196,454.84 681,296.19 17,148.57 3,515,158.65
2038/1/31 3,515,158.65 532,163.79 14,312.10 2,982,994.85
2038/2/28 2,982,994.85 486,334.61 12,144.08 2,496,660.25
2038/3/31 2,496,660.25 481,602.73 10,172.08 2,015,057.52
2038/4/30 2,015,057.52 445,543.82 8,210.34 1,569,513.70
2038/5/31 1,569,513.70 423,817.19 6,458.02 1,145,696.50
2038/6/30 1,145,696.50 357,692.32 4,693.81 788,004.18
2038/7/31 788,004.18 313,207.86 3,227.50 474,796.32
2038/8/31 474,796.32 262,840.34 1,951.65 211,955.97
2038/9/30 211,955.97 198,218.45 1,068.69 13,737.53
2038/10/31 13,737.53 13,737.53 56.09 0
Asset Pool Cash Flow Table (CPR = 5%) (RMB)
63
Trust
Accounting
date
Total beginning
balance of the total
principal
Scheduled
principal
payment
Scheduled
interest
payment
Total ending balance
of the total principal
2018/10/13 16,795,364,059.35 - - -
2018/10/31 16,795,364,059.35 81,450,575.46 29,256,887.68 16,713,913,483.89
2018/11/30 16,713,913,483.89 188,223,613.20 66,832,590.76 16,525,689,870.69
2018/12/31 16,525,689,870.69 188,020,247.28 66,079,807.22 16,337,669,623.41
2019/1/31 16,337,669,623.41 187,817,588.04 65,327,828.08 16,149,852,035.37
2019/2/28 16,149,852,035.37 187,615,632.52 64,576,650.57 15,962,236,402.85
2019/3/31 15,962,236,402.85 187,414,377.79 63,826,271.88 15,774,822,025.06
2019/4/30 15,774,822,025.06 187,213,820.90 63,076,689.23 15,587,608,204.16
2019/5/31 15,587,608,204.16 187,013,958.95 62,327,899.88 15,400,594,245.21
2019/6/30 15,400,594,245.21 186,814,789.01 61,579,901.06 15,213,779,456.20
2019/7/31 15,213,779,456.20 186,616,308.20 60,832,690.03 15,027,163,148.01
2019/8/31 15,027,163,148.01 186,418,513.63 60,086,264.06 14,840,744,634.38
2019/9/30 14,840,744,634.38 186,221,402.43 59,340,620.43 14,654,523,231.94
2019/10/31 14,654,523,231.94 186,019,175.75 58,595,756.45 14,468,504,056.19
2019/11/30 14,468,504,056.19 185,778,019.20 57,851,691.46 14,282,726,036.99
2019/12/31 14,282,726,036.99 185,481,268.27 57,108,607.76 14,097,244,768.72
2020/1/31 14,097,244,768.72 185,108,154.08 56,366,641.16 13,912,136,614.64
2020/2/29 13,912,136,614.64 184,756,120.98 55,626,175.76 13,727,380,493.66
2020/3/31 13,727,380,493.66 184,398,367.68 54,887,101.16 13,542,982,125.99
2020/4/30 13,542,982,125.99 183,899,916.23 54,149,368.34 13,359,082,209.75
2020/5/31 13,359,082,209.75 183,418,314.09 53,413,669.52 13,175,663,895.67
2020/6/30 13,175,663,895.67 182,884,074.62 52,679,877.91 12,992,779,821.05
2020/7/31 12,992,779,821.05 182,268,614.57 51,948,185.00 12,810,511,206.47
2020/8/31 12,810,511,206.47 181,654,418.61 51,218,925.11 12,628,856,787.86
2020/9/30 12,628,856,787.86 181,077,962.75 50,492,100.59 12,447,778,825.11
2020/10/31 12,447,778,825.11 180,591,456.84 49,767,549.40 12,267,187,368.27
2020/11/30 12,267,187,368.27 180,123,978.06 49,044,886.79 12,087,063,390.21
2020/12/31 12,087,063,390.21 179,688,556.78 48,324,064.30 11,907,374,833.43
2021/1/31 11,907,374,833.43 179,290,812.06 47,604,961.88 11,728,084,021.37
2021/2/28 11,728,084,021.37 178,835,225.08 46,887,442.35 11,549,248,796.29
2021/3/31 11,549,248,796.29 178,256,191.48 46,171,731.23 11,370,992,604.81
2021/4/30 11,370,992,604.81 177,518,202.41 45,458,332.24 11,193,474,402.40
2021/5/31 11,193,474,402.40 176,739,144.39 44,747,888.49 11,016,735,258.02
2021/6/30 11,016,735,258.02 176,065,312.65 44,040,537.80 10,840,669,945.37
2021/7/31 10,840,669,945.37 175,454,464.40 43,335,860.57 10,665,215,480.97
2021/8/31 10,665,215,480.97 174,839,481.94 42,633,605.25 10,490,375,999.03
2021/9/30 10,490,375,999.03 174,247,117.46 41,933,775.48 10,316,128,881.57
2021/10/31 10,316,128,881.57 173,690,156.47 41,236,282.42 10,142,438,725.09
2021/11/30 10,142,438,725.09 172,997,380.84 40,540,983.38 9,969,441,344.25
2021/12/31 9,969,441,344.25 172,227,138.36 39,848,394.82 9,797,214,205.90
2022/1/31 9,797,214,205.90 171,344,589.20 39,158,820.91 9,625,869,616.70
2022/2/28 9,625,869,616.70 170,372,411.39 38,472,703.13 9,455,497,205.31
2022/3/31 9,455,497,205.31 169,144,326.14 37,790,461.22 9,286,352,879.17
2022/4/30 9,286,352,879.17 167,738,028.59 37,113,125.94 9,118,614,850.58
2022/5/31 9,118,614,850.58 166,198,024.96 36,441,429.94 8,952,416,825.62
2022/6/30 8,952,416,825.62 165,048,623.21 35,775,894.74 8,787,368,202.41
2022/7/31 8,787,368,202.41 164,010,117.92 35,114,948.57 8,623,358,084.49
2022/8/31 8,623,358,084.49 162,909,769.74 34,458,121.64 8,460,448,314.75
2022/9/30 8,460,448,314.75 161,614,720.41 33,805,676.67 8,298,833,594.34
2022/10/31 8,298,833,594.34 160,469,364.91 33,158,423.45 8,138,364,229.42
2022/11/30 8,138,364,229.42 159,013,205.42 32,515,782.26 7,979,351,024.01
2022/12/31 7,979,351,024.01 157,099,277.09 31,879,002.46 7,822,251,746.92
2023/1/31 7,822,251,746.92 155,635,191.01 31,249,972.29 7,666,616,555.90
2023/2/28 7,666,616,555.90 154,186,288.69 30,626,880.65 7,512,430,267.22
2023/3/31 7,512,430,267.22 152,728,686.93 30,009,652.86 7,359,701,580.28
64
2023/4/30 7,359,701,580.28 151,394,860.42 29,398,330.70 7,208,306,719.86
2023/5/31 7,208,306,719.86 150,366,182.81 28,792,416.79 7,057,940,537.05
2023/6/30 7,057,940,537.05 149,082,867.55 28,190,664.30 6,908,857,669.50
2023/7/31 6,908,857,669.50 147,658,309.07 27,594,114.48 6,761,199,360.43
2023/8/31 6,761,199,360.43 146,219,072.55 27,003,343.50 6,614,980,287.88
2023/9/30 6,614,980,287.88 145,048,670.64 26,418,399.58 6,469,931,617.24
2023/10/31 6,469,931,617.24 143,927,863.48 25,838,189.97 6,326,003,753.76
2023/11/30 6,326,003,753.76 143,090,060.30 25,262,513.42 6,182,913,693.45
2023/12/31 6,182,913,693.45 142,360,736.17 24,690,225.38 6,040,552,957.28
2024/1/31 6,040,552,957.28 141,594,856.85 24,120,882.26 5,898,958,100.43
2024/2/29 5,898,958,100.43 140,894,685.41 23,554,638.33 5,758,063,415.02
2024/3/31 5,758,063,415.02 139,808,829.23 22,991,215.64 5,618,254,585.79
2024/4/30 5,618,254,585.79 138,271,699.91 22,432,195.34 5,479,982,885.88
2024/5/31 5,479,982,885.88 136,865,914.37 21,879,380.34 5,343,116,971.51
2024/6/30 5,343,116,971.51 135,255,627.89 21,332,236.36 5,207,861,343.62
2024/7/31 5,207,861,343.62 133,396,202.96 20,791,606.48 5,074,465,140.67
2024/8/31 5,074,465,140.67 131,542,854.27 20,258,527.38 4,942,922,286.39
2024/9/30 4,942,922,286.39 129,699,559.38 19,732,956.66 4,813,222,727.01
2024/10/31 4,813,222,727.01 128,050,944.29 19,214,855.49 4,685,171,782.72
2024/11/30 4,685,171,782.72 126,681,873.57 18,703,367.76 4,558,489,909.14
2024/12/31 4,558,489,909.14 125,372,764.35 18,197,367.60 4,433,117,144.79
2025/1/31 4,433,117,144.79 123,901,154.82 17,696,585.47 4,309,215,989.98
2025/2/28 4,309,215,989.98 122,299,488.33 17,201,655.37 4,186,916,501.64
2025/3/31 4,186,916,501.64 120,748,779.39 16,713,098.63 4,066,167,722.25
2025/4/30 4,066,167,722.25 119,128,969.22 16,230,723.51 3,947,038,753.04
2025/5/31 3,947,038,753.04 117,573,691.01 15,754,772.21 3,829,465,062.03
2025/6/30 3,829,465,062.03 116,000,486.18 15,284,983.04 3,713,464,575.85
2025/7/31 3,713,464,575.85 114,482,769.52 14,821,363.58 3,598,981,806.33
2025/8/31 3,598,981,806.33 112,796,356.85 14,363,672.74 3,486,185,449.48
2025/9/30 3,486,185,449.48 111,030,648.71 13,912,621.28 3,375,154,800.77
2025/10/31 3,375,154,800.77 109,061,855.12 13,468,530.84 3,266,092,945.65
2025/11/30 3,266,092,945.65 106,841,729.86 13,032,310.67 3,159,251,215.79
2025/12/31 3,159,251,215.79 104,192,080.87 12,605,013.14 3,055,059,134.92
2026/1/31 3,055,059,134.92 101,910,223.20 12,188,454.23 2,953,148,911.72
2026/2/28 2,953,148,911.72 99,833,482.41 11,781,138.41 2,853,315,429.31
2026/3/31 2,853,315,429.31 97,736,512.20 11,382,195.93 2,755,578,917.11
2026/4/30 2,755,578,917.11 95,657,559.65 10,991,688.61 2,659,921,357.46
2026/5/31 2,659,921,357.46 93,705,267.27 10,609,553.74 2,566,216,090.19
2026/6/30 2,566,216,090.19 91,353,612.47 10,235,288.88 2,474,862,477.73
2026/7/31 2,474,862,477.73 89,304,294.17 9,870,507.34 2,385,558,183.56
2026/8/31 2,385,558,183.56 87,075,817.20 9,514,010.59 2,298,482,366.36
2026/9/30 2,298,482,366.36 85,333,667.10 9,166,549.78 2,213,148,699.26
2026/10/31 2,213,148,699.26 83,992,180.96 8,826,135.72 2,129,156,518.31
2026/11/30 2,129,156,518.31 82,122,165.58 8,491,133.46 2,047,034,352.73
2026/12/31 2,047,034,352.73 80,602,414.96 8,163,682.49 1,966,431,937.76
2027/1/31 1,966,431,937.76 78,946,174.22 7,842,356.61 1,887,485,763.54
2027/2/28 1,887,485,763.54 77,461,494.50 7,527,697.70 1,810,024,269.04
2027/3/31 1,810,024,269.04 76,167,110.20 7,219,020.76 1,733,857,158.84
2027/4/30 1,733,857,158.84 74,971,379.20 6,915,541.51 1,658,885,779.65
2027/5/31 1,658,885,779.65 73,784,195.35 6,616,839.47 1,585,101,584.30
2027/6/30 1,585,101,584.30 72,252,551.58 6,322,873.35 1,512,849,032.72
2027/7/31 1,512,849,032.72 70,844,639.67 6,035,049.87 1,442,004,393.05
2027/8/31 1,442,004,393.05 69,438,756.04 5,752,872.59 1,372,565,637.01
2027/9/30 1,372,565,637.01 67,935,979.11 5,476,314.92 1,304,629,657.90
2027/10/31 1,304,629,657.90 66,328,568.68 5,205,807.32 1,238,301,089.22
2027/11/30 1,238,301,089.22 64,699,527.17 4,941,769.29 1,173,601,562.05
2027/12/31 1,173,601,562.05 63,059,594.15 4,684,211.93 1,110,541,967.90
2028/1/31 1,110,541,967.90 61,104,937.79 4,433,151.89 1,049,437,030.11
65
2028/2/29 1,049,437,030.11 58,697,845.81 4,189,842.70 990,739,184.30
2028/3/31 990,739,184.30 56,539,796.12 3,956,126.69 934,199,388.18
2028/4/30 934,199,388.18 54,792,890.42 3,731,024.51 879,406,497.76
2028/5/31 879,406,497.76 53,313,343.35 3,512,843.90 826,093,154.42
2028/6/30 826,093,154.42 51,985,101.37 3,300,445.96 774,108,053.05
2028/7/31 774,108,053.05 50,612,654.33 3,093,184.52 723,495,398.72
2028/8/31 723,495,398.72 48,270,940.35 2,891,293.67 675,224,458.36
2028/9/30 675,224,458.36 44,999,301.65 2,698,669.91 630,225,156.71
2028/10/31 630,225,156.71 41,538,702.55 2,519,111.93 588,686,454.16
2028/11/30 588,686,454.16 38,643,738.53 2,353,477.56 550,042,715.63
2028/12/31 550,042,715.63 36,744,762.03 2,199,496.59 513,297,953.60
2029/1/31 513,297,953.60 34,982,371.87 2,052,998.34 478,315,581.73
2029/2/28 478,315,581.73 33,007,555.52 1,913,381.70 445,308,026.20
2029/3/31 445,308,026.20 30,934,764.89 1,781,505.65 414,373,261.31
2029/4/30 414,373,261.31 28,883,794.68 1,657,773.64 385,489,466.63
2029/5/31 385,489,466.63 27,221,229.48 1,542,198.32 358,268,237.15
2029/6/30 358,268,237.15 25,871,982.61 1,433,318.57 332,396,254.54
2029/7/31 332,396,254.54 24,631,097.77 1,329,861.50 307,765,156.77
2029/8/31 307,765,156.77 23,542,107.02 1,231,365.34 284,223,049.75
2029/9/30 284,223,049.75 22,679,572.10 1,137,235.45 261,543,477.65
2029/10/31 261,543,477.65 21,905,958.42 1,046,574.13 239,637,519.23
2029/11/30 239,637,519.23 21,079,785.50 959,044.45 218,557,733.73
2029/12/31 218,557,733.73 20,394,491.91 874,845.30 198,163,241.83
2030/1/31 198,163,241.83 19,946,626.38 793,380.45 178,216,615.45
2030/2/28 178,216,615.45 19,387,889.57 713,695.79 158,828,725.88
2030/3/31 158,828,725.88 18,617,717.27 636,255.23 140,211,008.60
2030/4/30 140,211,008.60 17,865,256.95 561,931.58 122,345,751.66
2030/5/31 122,345,751.66 16,917,189.85 490,618.22 105,428,561.81
2030/6/30 105,428,561.81 16,042,832.36 422,987.71 89,385,729.44
2030/7/31 89,385,729.44 14,917,329.43 358,790.34 74,468,400.02
2030/8/31 74,468,400.02 13,107,238.24 299,054.35 61,361,161.78
2030/9/30 61,361,161.78 11,408,688.29 246,454.70 49,952,473.49
2030/10/31 49,952,473.49 10,145,261.90 200,540.58 39,807,211.59
2030/11/30 39,807,211.59 8,542,312.66 159,703.21 31,264,898.92
2030/12/31 31,264,898.92 6,293,235.45 125,322.75 24,971,663.47
2031/1/31 24,971,663.47 4,028,589.33 100,063.93 20,943,074.14
2031/2/28 20,943,074.14 3,203,330.52 84,012.46 17,739,743.62
2031/3/31 17,739,743.62 2,906,211.14 71,276.32 14,833,532.48
2031/4/30 14,833,532.48 2,690,779.34 59,715.41 12,142,753.15
2031/5/31 12,142,753.15 2,344,432.45 49,012.88 9,798,320.69
2031/6/30 9,798,320.69 1,889,491.27 39,687.06 7,908,829.42
2031/7/31 7,908,829.42 1,549,927.57 32,125.26 6,358,901.85
2031/8/31 6,358,901.85 1,412,120.35 25,866.71 4,946,781.49
2031/9/30 4,946,781.49 1,273,141.65 20,149.40 3,673,639.85
2031/10/31 3,673,639.85 1,133,002.88 14,978.88 2,540,636.96
2031/11/30 2,540,636.96 978,408.97 10,364.60 1,562,227.99
2031/12/31 1,562,227.99 774,133.92 6,372.94 788,094.07
2032/1/31 788,094.07 442,396.62 3,212.93 345,697.46
2032/2/29 345,697.46 159,650.94 1,407.18 186,046.52
2032/3/31 186,046.52 73,638.28 755.97 112,408.24
2032/4/30 112,408.24 48,542.01 455.97 63,866.23
2032/5/31 63,866.23 35,498.12 258.45 28,368.11
2032/6/30 28,368.11 17,335.10 114.18 11,033.01
2032/7/31 11,033.01 8,384.99 44.08 2,648.02
2032/8/31 2,648.02 2,648.02 10.53 0.00
66
Asset Pool Cash Flow Table (CPR = 10%) (RMB)
Trust
Accounting date
Total beginning
balance of the
total principal
Scheduled
principal
payment
Scheduled
interest
payment
Total ending
balance of the
total principal
2018/10/13 16,795,364,059.35 - - -
2018/10/31 16,795,364,059.35 114,022,848.31 29,256,887.68 16,681,341,211.04
2018/11/30 16,681,341,211.04 262,335,900.55 66,702,530.52 16,419,005,310.49
2018/12/31 16,419,005,310.49 260,881,364.99 65,653,398.17 16,158,123,945.50
2019/1/31 16,158,123,945.50 259,435,549.75 64,610,070.55 15,898,688,395.75
2019/2/28 15,898,688,395.75 257,998,397.66 63,572,512.92 15,640,689,998.09
2019/3/31 15,640,689,998.09 256,569,851.93 62,540,690.79 15,384,120,146.16
2019/4/30 15,384,120,146.16 255,149,856.19 61,514,569.88 15,128,970,289.97
2019/5/31 15,128,970,289.97 253,738,354.49 60,494,116.14 14,875,231,935.48
2019/6/30 14,875,231,935.48 252,335,291.24 59,479,295.74 14,622,896,644.24
2019/7/31 14,622,896,644.24 250,940,611.29 58,470,075.08 14,371,956,032.95
2019/8/31 14,371,956,032.95 249,554,259.85 57,466,420.76 14,122,401,773.10
2019/9/30 14,122,401,773.10 248,176,182.53 56,468,299.61 13,874,225,590.57
2019/10/31 13,874,225,590.57 246,794,882.05 55,475,678.69 13,627,430,708.53
2019/11/30 13,627,430,708.53 245,361,152.95 54,488,568.80 13,382,069,555.58
2019/12/31 13,382,069,555.58 243,886,261.57 53,507,185.09 13,138,183,294.00
2020/1/31 13,138,183,294.00 242,330,656.80 52,531,668.78 12,895,852,637.20
2020/2/29 12,895,852,637.20 240,825,828.17 51,562,328.78 12,655,026,809.03
2020/3/31 12,655,026,809.03 239,259,468.49 50,598,992.25 12,415,767,340.54
2020/4/30 12,415,767,340.54 237,591,119.59 49,641,902.94 12,178,176,220.95
2020/5/31 12,178,176,220.95 235,944,767.86 48,691,469.41 11,942,231,453.09
2020/6/30 11,942,231,453.09 234,211,184.83 47,747,594.29 11,708,020,268.26
2020/7/31 11,708,020,268.26 232,457,892.10 46,810,622.86 11,475,562,376.16
2020/8/31 11,475,562,376.16 230,740,102.43 45,880,631.63 11,244,822,273.73
2020/9/30 11,244,822,273.73 229,159,665.23 44,957,470.20 11,015,662,608.49
2020/10/31 11,015,662,608.49 227,608,484.53 44,040,576.35 10,788,054,123.97
2020/11/30 10,788,054,123.97 226,067,571.05 43,129,853.66 10,561,986,552.92
2020/12/31 10,561,986,552.92 224,579,456.45 42,225,277.50 10,337,407,096.46
2021/1/31 10,337,407,096.46 222,944,766.89 41,326,645.06 10,114,462,329.57
2021/2/28 10,114,462,329.57 221,192,056.73 40,434,537.61 9,893,270,272.84
2021/3/31 9,893,270,272.84 219,303,371.15 39,549,444.37 9,673,966,901.70
2021/4/30 9,673,966,901.70 217,517,408.86 38,671,889.72 9,456,449,492.84
2021/5/31 9,456,449,492.84 215,854,439.44 37,801,453.84 9,240,595,053.40
2021/6/30 9,240,595,053.40 214,157,532.73 36,937,644.50 9,026,437,520.67
2021/7/31 9,026,437,520.67 212,492,112.94 36,080,586.96 8,813,945,407.73
2021/8/31 8,813,945,407.73 210,871,503.37 35,230,149.39 8,603,073,904.36
2021/9/30 8,603,073,904.36 209,073,288.17 34,386,145.69 8,394,000,616.18
2021/10/31 8,394,000,616.18 207,067,225.31 33,549,271.39 8,186,933,390.87
2021/11/30 8,186,933,390.87 204,942,536.43 32,720,323.12 7,981,990,854.44
2021/12/31 7,981,990,854.44 202,530,565.01 31,899,866.03 7,779,460,289.42
2022/1/31 7,779,460,289.42 199,952,451.13 31,089,053.53 7,579,507,838.29
2022/2/28 7,579,507,838.29 197,464,148.97 30,288,573.38 7,382,043,689.32
2022/3/31 7,382,043,689.32 195,331,160.60 29,498,042.03 7,186,712,528.71
2022/4/30 7,186,712,528.71 193,118,800.63 28,716,009.53 6,993,593,728.08
2022/5/31 6,993,593,728.08 190,778,963.09 27,942,803.99 6,802,814,765.00
2022/6/30 6,802,814,765.00 188,375,915.26 27,178,978.75 6,614,438,849.73
2022/7/31 6,614,438,849.73 185,419,580.28 26,424,806.56 6,429,019,269.46
2022/8/31 6,429,019,269.46 182,723,370.12 25,682,551.20 6,246,295,899.33
2022/9/30 6,246,295,899.33 180,093,223.01 24,951,185.92 6,066,202,676.33
2022/10/31 6,066,202,676.33 177,529,768.24 24,230,430.62 5,888,672,908.08
2022/11/30 5,888,672,908.08 175,334,038.96 23,520,028.13 5,713,338,869.12
67
2022/12/31 5,713,338,869.12 172,995,574.03 22,818,477.55 5,540,343,295.08
2023/1/31 5,540,343,295.08 170,560,612.16 22,126,366.12 5,369,782,682.93
2023/2/28 5,369,782,682.93 168,075,534.12 21,444,087.12 5,201,707,148.81
2023/3/31 5,201,707,148.81 165,905,261.57 20,771,834.08 5,035,801,887.23
2023/4/30 5,035,801,887.23 164,068,012.45 20,108,326.53 4,871,733,874.79
2023/5/31 4,871,733,874.79 162,385,795.22 19,452,214.55 4,709,348,079.56
2023/6/30 4,709,348,079.56 160,766,927.35 18,802,870.81 4,548,581,152.22
2023/7/31 4,548,581,152.22 158,908,672.44 18,160,040.60 4,389,672,479.78
2023/8/31 4,389,672,479.78 156,506,790.72 17,524,692.97 4,233,165,689.05
2023/9/30 4,233,165,689.05 153,845,548.49 16,899,025.89 4,079,320,140.57
2023/10/31 4,079,320,140.57 150,979,283.65 16,284,074.34 3,928,340,856.91
2023/11/30 3,928,340,856.91 147,976,057.55 15,680,700.39 3,780,364,799.36
2023/12/31 3,780,364,799.36 145,024,021.50 15,089,469.29 3,635,340,777.87
2024/1/31 3,635,340,777.87 142,317,306.56 14,510,152.50 3,493,023,471.31
2024/2/29 3,493,023,471.31 139,988,946.75 13,941,684.49 3,353,034,524.55
2024/3/31 3,353,034,524.55 137,442,557.83 13,382,523.45 3,215,591,966.73
2024/4/30 3,215,591,966.73 134,769,344.30 12,833,525.86 3,080,822,622.43
2024/5/31 3,080,822,622.43 132,057,232.10 12,295,172.09 2,948,765,390.32
2024/6/30 2,948,765,390.32 129,523,003.55 11,767,603.78 2,819,242,386.78
2024/7/31 2,819,242,386.78 126,923,084.86 11,250,121.08 2,692,319,301.91
2024/8/31 2,692,319,301.91 124,235,877.08 10,742,877.09 2,568,083,424.83
2024/9/30 2,568,083,424.83 121,095,262.44 10,246,256.69 2,446,988,162.39
2024/10/31 2,446,988,162.39 117,672,314.75 9,762,035.40 2,329,315,847.63
2024/11/30 2,329,315,847.63 113,614,513.44 9,291,509.73 2,215,701,334.20
2024/12/31 2,215,701,334.20 110,250,784.39 8,837,362.59 2,105,450,549.81
2025/1/31 2,105,450,549.81 107,170,906.43 8,396,786.26 1,998,279,643.37
2025/2/28 1,998,279,643.37 103,645,568.60 7,968,581.32 1,894,634,074.77
2025/3/31 1,894,634,074.77 99,890,697.24 7,554,580.43 1,794,743,377.53
2025/4/30 1,794,743,377.53 96,453,859.96 7,155,711.34 1,698,289,517.57
2025/5/31 1,698,289,517.57 93,124,024.10 6,770,729.69 1,605,165,493.47
2025/6/30 1,605,165,493.47 90,582,615.32 6,399,203.47 1,514,582,878.14
2025/7/31 1,514,582,878.14 87,654,418.57 6,037,910.27 1,426,928,459.57
2025/8/31 1,426,928,459.57 84,973,576.39 5,688,420.02 1,341,954,883.17
2025/9/30 1,341,954,883.17 82,630,318.00 5,349,717.37 1,259,324,565.17
2025/10/31 1,259,324,565.17 80,513,433.60 5,020,440.67 1,178,811,131.57
2025/11/30 1,178,811,131.57 78,393,943.58 4,699,657.54 1,100,417,187.99
2025/12/31 1,100,417,187.99 75,879,864.07 4,387,312.86 1,024,537,323.92
2026/1/31 1,024,537,323.92 73,525,658.21 4,085,042.04 951,011,665.71
2026/2/28 951,011,665.71 71,176,839.04 3,792,195.57 879,834,826.67
2026/3/31 879,834,826.67 68,790,586.60 3,508,786.50 811,044,240.07
2026/4/30 811,044,240.07 65,891,193.43 3,234,917.68 745,153,046.64
2026/5/31 745,153,046.64 62,344,921.26 2,972,557.94 682,808,125.38
2026/6/30 682,808,125.38 59,113,084.07 2,724,300.75 623,695,041.30
2026/7/31 623,695,041.30 56,625,394.97 2,488,929.90 567,069,646.33
2026/8/31 567,069,646.33 54,411,846.09 2,263,412.39 512,657,800.25
2026/9/30 512,657,800.25 50,846,160.89 2,046,565.61 461,811,639.36
2026/10/31 461,811,639.36 45,672,519.89 1,843,857.98 416,139,119.47
2026/11/30 416,139,119.47 41,090,403.51 1,661,836.50 375,048,715.96
2026/12/31 375,048,715.96 38,104,800.70 1,498,221.96 336,943,915.26
2027/1/31 336,943,915.26 34,901,207.16 1,346,381.91 302,042,708.10
2027/2/28 302,042,708.10 31,660,534.89 1,207,078.27 270,382,173.20
2027/3/31 270,382,173.20 29,183,984.45 1,080,516.48 241,198,188.76
2027/4/30 241,198,188.76 26,901,698.67 963,802.59 214,296,490.09
2027/5/31 214,296,490.09 24,817,777.17 856,234.40 189,478,712.91
2027/6/30 189,478,712.91 23,111,501.22 757,047.20 166,367,211.70
2027/7/31 166,367,211.70 21,820,441.48 664,753.22 144,546,770.21
2027/8/31 144,546,770.21 20,788,695.13 577,647.16 123,758,075.09
2027/9/30 123,758,075.09 19,610,139.61 494,636.04 104,147,935.48
68
2027/10/31 104,147,935.48 18,297,815.75 416,354.72 85,850,119.73
2027/11/30 85,850,119.73 16,654,291.16 343,309.60 69,195,828.57
2027/12/31 69,195,828.57 14,498,608.15 276,713.70 54,697,220.42
2028/1/31 54,697,220.42 11,882,848.29 218,665.95 42,814,372.14
2028/2/29 42,814,372.14 9,184,383.99 170,957.67 33,629,988.15
2028/3/31 33,629,988.15 5,959,962.03 134,090.17 27,670,026.12
2028/4/30 27,670,026.12 4,076,803.47 110,261.81 23,593,222.65
2028/5/31 23,593,222.65 3,725,237.66 94,070.44 19,867,984.98
2028/6/30 19,867,984.98 3,336,682.16 79,294.13 16,531,302.83
2028/7/31 16,531,302.83 3,007,598.09 66,083.36 13,523,704.74
2028/8/31 13,523,704.74 2,682,117.08 54,195.43 10,841,587.65
2028/9/30 10,841,587.65 2,450,395.99 43,570.28 8,391,191.66
2028/10/31 8,391,191.66 2,179,687.11 33,851.31 6,211,504.55
2028/11/30 6,211,504.55 1,712,520.79 25,176.91 4,498,983.76
2028/12/31 4,498,983.76 1,422,981.04 18,289.04 3,076,002.72
2029/1/31 3,076,002.72 1,219,314.70 12,529.00 1,856,688.02
2029/2/28 1,856,688.02 968,062.76 7,572.74 888,625.26
2029/3/31 888,625.26 592,410.35 3,624.60 296,214.91
2029/4/30 296,214.91 190,878.55 1,206.46 105,336.37
2029/5/31 105,336.37 62,212.75 427.74 43,123.62
2029/6/30 43,123.62 29,746.09 174.40 13,377.52
2029/7/31 13,377.52 10,453.96 53.63 2,923.57
2029/8/31 2,923.57 2,923.57 11.62 0
69
H. Taxes and Fees, Payment and Priority Required for Trust Property Cash Flow
1. Obligations of each party to this transaction for purpose of tax
The major parties in the Securitization include the Originator, Issuer/Trustee, Servicer, Funds Custodian,
Investors and other intermediary agencies. In each transaction process of Residential Mortgage Loan
Securitization, taxes that each party to transactions may involve mainly include VAT, corporate income
tax and stamp tax.
Tax opinion and analysis recently provided by EY are on the basis of China's current law and provisions
(including Notice on Tax Policy Issues of Residential Mortgage Loan Securitization by Ministry of
Finance and State Administration of Taxation (Caishui [2006] No. 5), Notice on The Trial of Replacing
Business Tax with VAT Overally by Ministry of Finance and State Administration of Taxation (Caishui
[2016] No.36), Notice on Further Clarifying The Trial of Replacing Business Tax with VAT Overally and
Relevant Policies in Financial Industry (Caishui [2016] No.46), Supplemental Notice on VAT Policies
for Financial Institutions Transactions (Caishui [2016] No.70), Notice on Clarifying VAT Policies Such
as Finance, Real Estate Development and Educational Ancillary Service by Ministry of Finance and State
Administration of Taxation (Caishui [2016] No. 140), Supplemental Notice on Issues Relevant to
Capital Manageent Product VAT (Caishui [2017] No.2) and Notice on Issues Relevant to Capital
Management Product VAT by Ministry of Finance and State Administration of Taxation (Caishui [2017]
No. 56).
(1) VAT
CCB, as the Settlor of the Residential Mortgage Loan Securitization Trust, entrusts CCB Trust to
establish its residential mortgage loans as the trust. Behaviors of CCB that transfers its residential
mortgage loans in the establishment of the trust shall not be levied VAT according to Caishui [2016] No.
36.
Interest income of residential mortgage loans obtained from trust projects shall be fully levied for VAT
in accordance with Caishui [2016] No.56.
In the Residential Mortgage Loan Securitization, service fee income obtained by Servicer, trust revenue
obtained by trustee institution, registration/custodian fee obtained by Notes Custodian/Paying Agent and
other service fee income obtained by institutions providing taxable VAT service for Residential Mortgage
Loan Securitization, shall be levied VAT in accordance with policies and provisions relevant to VAT.
The earnings of investors for holding the notes shall not be levied taxable VAT according to Caishui
70
[2016] No. 140.
The capital gains of investors (except for individual investors) from selling the Notes shall be levied VAT.
For institutions and individuals that pay VAT, the actual VAT amount paid shall be taken as the calculation
basis to calculate Urban Maintenance and Construction Tax, Education Surcharge and Local Education
Supplementary Tax according to relevant regulations.
(2) Corporate Income Tax
Revenue of CCB as the Originator obtained from transfer of residential mortgage loans shall be
calculated and levied corporate income tax in accordance with policies and provisions of corporate
income tax. Losses arising from the transfer of residential mortgage loans can be deducted in accordance
with policies and provisions of corporate income tax. Transferred residential mortgage loans CCB
redeemed or replaced shall be treated in accordance with policies and provisions of current corporate
income tax relevant to asset transfer.
CCB as the Originator and trustee institution CCB Trust shall pay the price and expenses according to
business transactions among independent businesses in the transfer, redemption or replacement of
residential mortgage loans. Payment price and expenses for business transactions among independent
businesses shall be adjusted by tax authorities in accordance with Tax Collections and Administration
Law.
During the period when trust project revenue is free of corporate income tax in trust, institution investors,
after obtaining distribution revenue of trust projects, shall recognize taxable revenue on an accrual basis
and calculate and pay corporate income tax in accordance with policies and provisions of corporate
income tax.
In the transaction of Residential Mortgage Loan Securitization Trust, service income obtained by the
Servicer, trust revenue obtained by the trustee, revenue obtained by the Funds Custodian, revenue
obtained by China Government Securities Depository Trust and Clearing Co., Ltd. or revenues obtained
by other institutions shall all be included its taxable income and levied corporate income tax at the
applicable tax rate.
Price difference revenue that institution investors obtained from purchasing and selling Residential
Mortgage Loan Securitization Trust shall be levied corporate income tax in accordance with policies and
provisions of corporate income tax. Losses arising from purchasing and selling Residential Mortgage
Loan Securitization Trust can be deducted in accordance with policies and provisions of corporate
71
income tax.
Revenue institution investors obtained from trust project settlement and distribution shall be levied
corporate income tax in accordance with policies and provisions of corporate income tax and losses
arising from the settlement can be deducted in accordance with policies and provisions of corporate
income tax.
CCB Trust, the other agency that provides registration and trusteeship services for Asset Backed
Securities designated as a registered trustee agency by the trustee, China Central Depository & Clearing
Co., Ltd. or the regulatory authorities, shall provide all financial information concerning the trust projects
and the detailed information about the income distribution to the institutional investors to the competent
tax authorities and the local tax authority that the institutional investors are located.
(3) Stamp Duty
The relevant Trust Agreements signed between CCB, as the Settlor, and CCB Trust, as the trustee, are
temporarily exempt from stamp duty.
CCB Trust, the trustee, entrusts CCB, the Servicer, to manage the residential mortgage loans, and the
Entrust Management Contracts signed between the two parties are temporarily exempt from stamp duty.
For the other taxable contracts that CCB, the Settlor, and CCB Trust, the trustee, sign with Industrial and
Commercial Bank of China Limited Hainan Branch, the depository institution, China Central Depository
& Clearing Co., Ltd., the registered trustee agency and the other institutions that provide services for the
securitization transactions during the securitization of the residential mortgage loans, CCB, the Settlor,
and CCB Trust, the trustee are temporarily exempt from stamp duty.
The Residential Mortgage Loan Securitization Trust issued by CCB Trust, the trustee, and the Residential
Mortgage Loan Securitization Trust purchased or sold by the institutional investors are temporarily
exempt from stamp duty.
The account books specially established by CCB, the initiator, and CCB Trust, the trustee for the
Residential Mortgage Loan Securitization Trust are temporarily exempt from stamp duty.
2. Source of tax payment
In accordance with the provisions of Chinese law, corresponding taxes arising from the performance of
the "Trust Agreement" should be paid and the obligation of withholding should be fulfilled. The taxes
arising from the performance of the Trust Agreement between the trustee and depository institution shall
be borne by both parties unless otherwise agreed in the "Trust Agreement". In accordance with the current
72
effective Chinese law, the taxes that are supposed to be borne by the Trust Property should be borne by
the Trust Property, and be paid as per the agreement of the Trust Agreement.
3. Tax payment and order
The taxes and fees (if any) arising from the establishment of the trust, the management, application and
disposal of Trust Property, the distribution of trust benefits and the termination and liquidation of trust
etc. shall be borne by the Settlor and the trustee in accordance with the current effective Chinese law,
and the obligation of withholding shall be fulfilled accordingly. In accordance with the current effective
Chinese law, the taxes and fees (if any) relating to the trust that are to be borne by the Trust Property
should be paid as per the agreement of Trust Agreement. The Trustee shall pay the corresponding amount
to the account designated by the relevant “government authority”.
.
.
73
Chapter III GENERAL INFORMATION OF THE
UNDERLYING ASSETS
A. The Number of Loan Contracts and the Features of Principal Amounts
The asset pool of this current asset securitization project consists of 61,284 loans to 61,280 borrowers
issued by China Construction Bank. The Cut-Off Date for the Securities is October 13th, 2018 at 0:00.
Cash flow from the pooled loans will be classified as Trust Property from the Cut-Off Date.
As of the Cut-Off Date, the major features of the asset pool are as follows:
FEATURES OF THE NUMBER OF LOAN CONTRACTS, BALANCE
Number of Loan Contracts 61,284
Number of Borrowers 61,280
Total Original Principal Balance (ten thousand RMB) 2,219,759.78
Total Outstanding Principal Balance (ten thousand RMB) 1,679,536.41
Maximum Original Principal Balance (ten thousand RMB) 1,000.00
Average Original Principal Balance (ten thousand RMB) 36.22
Maximum Outstanding Principal Balance (ten thousand RMB) 859.93
Average Outstanding Principal Balance (ten thousand RMB) 27.41
B. Features of Loan Term
As of the Cut-Off Date, the features of term of the initial asset pool are as follows:
THE FEATURES OF TERM
Weighted Average Original Term (years) 15.31
Weighted Average Remaining Term (years) 11.92
Weighted Average Seasoning (years) 3.39
Maximum Remaining Term（years） 20.00
Minimum Remaining Term（years） 1.08
74
Notes:
Weighted Average Original Term = ==
n
1i
ii
n
1i
i p/tp , where ip is the principal balance of each loan
on the cutoff date，it is the original term of each loan. Original Term =（Due date - Issue day）/365;
Weighted Average Seasoning = ==
n
1iii
n
1ii p/p , where
ip is the principal balance of each loan on
the cutoff date，i is the seasoning of each loan. Seasoning =（Cutoff date - Issue day）/365;
Weighted Average Remaining Term = ==
n
1i
ii
n
1i
i p/p ，where ip is the principal balance of each
loan on the cutoff date，i is the remaining Term of each loan. Remaining Term =（Due date - Cutoff
date）/365;
C. Features of Interest Rates
As of the Cut-Off Date, the features of the interest rates of the initial asset pool are as follows:
THE FEATURES OF INTEREST RATES
Weighted Average Contract Rate (%) 4.80
Maximum Contract Rate (%) 4.90
Minimum Contract Rate (%) 4.17
Notes:
Weighted Average Interest Rate = ==
n
1iii
n
1ii p/rp ，where ip is the principal balance of each
loan on the cutoff date， ir is the interest rate of each loan.
D. Features of Mortgaged Assets
As of the Cut-Off Date, the features of the mortgaged assets of the initial asset pool are as follows:
THE FEATURES OF MORTGAGED ASSETS
Aggregate Original Estimated Value of the House (ten 3,672,284.07
75
THE FEATURES OF MORTGAGED ASSETS
thousand RMB)1
Weighted Average LTV Ratio (%) 50.90
Percentage of First-tier and Second-tier city (%)2 47.38
Percentage of New House (%) 30.02
Notes: The loan-to-value(LTV)= Outstanding Principle Balance/ Original Estimated Value of the
House
Weighted Average LTV Ratio = ==
n
1i
ii
n
1i
i p/qp ，where ip is the principal balance， iq is the
LTV of each loan.
E. Features of Borrowers
As of the Cut-Off Date, the features of the mortgaged assets of the initial asset pool are as follows:
THE FEATURES OF BORROWERS
Weighted Average Age of Borrowers (years) 40.10
Percentage of 30-40 years borrowers (%) 36.78
Weighted Average Borrower Income 3(ten thousand
RMB) 21.51
Weighted Average Borrower Debt Ratio (%) 44.88
Notes: Debt Ratio = Annual Income/ Outstanding Principle Balance.
1 Contract value if the mortgages asset is new house. 2 First-tier and Second-tier city’s list quote from the <Residential Mortgage Backed Securities Information
Disclosure Guide> announced by NAFMI, the first-tier cities including Beijing, Shanghai, Guangzhou, Shenzhen,
the Second-tier cities including Tianjin, Shijiazhuang, Taiyuan, Huhehaote, Shenyang, Dalian, Changchun, Harbin,
Nanjing, Hangzhou, Ningbo, Hefei, Fuzhou, Xiamen, Nanchang, Jinan, Qingdao, Zhengzhou, Wuhan, Changsha,
Nanning, Haikou, Chongqing, Chengdu, Guiyang, Kunming, Xi’an, Lanzhou, Xining, Yinchuan, Wulumuqi. 3 Collected from the Originator’s internal database.
76
Chapter IV DISTRIBUTION INFORMATION OF THE UNDERLYING ASSETS
A. Distribution Information of the Loans
Distribution of the Loans by Outstanding Principal Balance
Outstanding Principal
Balance Range
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate Outstanding
Principal Balance (RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage
of Loans
Average
Outstanding
Loan Balance
(RMB)
>= 0 and <= 200,000 5,979,866,300 26.94% 3,704,447,064.86 22.06% 28,047 45.77% 132,079.98
>200,000 and <= 400,000 8,528,614,983 38.42% 6,721,638,658.12 40.02% 24,135 39.38% 278,501.71
>400,000 and <= 600,000 3,319,609,363 14.95% 2,738,124,098.85 16.30% 5,729 9.35% 477,941.02
>600,000 and <= 800,000 1,324,863,818 5.97% 1,088,797,927.83 6.48% 1,592 2.60% 683,918.30
>800,000 and <=
1,000,000 745,025,000 3.36% 616,899,421.51 3.67% 697 1.14% 885,078.08
>1,000,000 2,299,618,323 10.36% 1,925,456,888.18 11.46% 1,084 1.77% 1,776,251.74
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by CBIRC Five Categories
77
CBIRC five
category
Aggregate
Original
Principal Balance
(RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of Outstanding
Principal Balance
Number of
Loans
Percentage of
Loans
Average
Outstanding Loan
Balance (RMB)
Normal 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Interest Type
Interest Type
Aggregate Original
Principal Balance
(RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance (RMB)
Floating 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Current Interest Rate
78
Current Interest
Rate
Aggregate
Original Principal
Balance (RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding Principal
Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance
(RMB)
>4.00% and <=
4.75% 4,707,610,900 21.21% 3,628,040,922.14 21.60% 8,490 13.85% 1,893,694.40
>4.75% 17,489,986,887 78.79% 13,167,323,137.21 78.40% 52,794 86.15% 249,409.46
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Original Term
Original Term
in Years
Aggregate Original
Principal Balance
(RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage
of Loans
The Average
Amount
Weighted
Average
term (Year)
> 0 and <= 5 476,613,200 2.15% 277,440,343.84 1.65% 1,691 2.76% 164,068.80 1.84
> 5 and <= 10 5,750,060,187 25.90% 3,773,291,955.77 22.47% 19,092 31.15% 197,637.33 3.08
> 10 and <= 15 7,741,686,800 34.88% 5,914,811,557.70 35.22% 20,556 33.54% 287,741.37 3.37
> 15 and <= 20 7,884,271,600 35.52% 6,552,451,657.08 39.01% 19,092 31.15% 343,204.05 3.58
> 20 and <= 25 339,311,000 1.53% 273,263,698.83 1.63% 844 1.38% 323,772.16 4.98
>25 5,655,000 0.03% 4,104,846.13 0.02% 9 0.01% 456,094.01 7.22
79
Original Term
in Years
Aggregate Original
Principal Balance
(RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage
of Loans
The Average
Amount
Weighted
Average
term (Year)
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90 3.39
Distribution of the Loans by Seasoning
Seasoning in
Years
Aggregate Original
Principal Balance
(RMB)
Percentag
e of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage of
Loans
The Average
Amount
Weighted
Average term
(Year)
>0 and <= 1 923,331,000 4.16% 861,397,757.88 5.13% 2,152 3.51% 400,277.77 0.88
> 1 and <=2 4,935,833,100 22.24% 4,305,045,278.70 25.63% 12,452 20.32% 345,731.23 1.48
>2 and <= 3 4,342,568,875 19.56% 3,499,550,916.86 20.84% 10,053 16.40% 348,110.11 2.50
>3 and <=4 2,845,471,481 12.82% 2,042,698,014.61 12.16% 7,701 12.57% 265,251.01 3.46
>4 and <= 5 2,739,661,831 12.34% 1,897,296,768.45 11.30% 8,063 13.16% 235,309.04 4.62
>5 and <= 10 6,396,150,500 28.81% 4,182,593,683.21 24.90% 20,789 33.92% 201,192.63 6.01
>10 14,581,000 0.07% 6,781,639.64 0.04% 74 0.12% 91,643.78 10.33
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90 3.39
Distribution of the Loans by Remaining Term
80
Remaini
ng Term
in Years
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate Outstanding
Principal Balance (RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentage of
Loans
The Average
Amount
Weighted
Average
term (Year)
>0 and
<= 5 2,228,414,000 10.04% 1,086,877,457.65 6.47% 8,075 13.18% 134,597.83 4.46
>5 and
<=10 6,979,218,687 31.44% 4,929,652,461.16 29.35% 21,635 35.30% 227,855.44 3.52
>10 and
<= 15 8,459,478,800 38.11% 6,769,520,727.09 40.31% 21,528 35.13% 314,451.91 3.70
>15 4,530,486,300 20.41% 4,009,313,413.45 23.87% 10,046 16.39% 399,095.50 2.41
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90 3.39
Distribution of the Loans by Type of Payment
Type of Payment
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance (RMB)
Equal Installment 18,201,334,341 82.00% 13,795,355,443.43 82.14% 51,736 84.42% 266,649.05
Equal Principal 3,996,263,446 18.00% 3,000,008,615.92 17.86% 9,548 15.58% 314,202.83
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Type of Credit
81
Type of Credit
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage of
Loans
Average
Outstanding Loan
Balance (RMB)
New residential mortgage 7,370,180,125 33.20% 5,042,257,838.01 30.02% 23,071 37.65% 218,553.94
Second-hand residential
mortgage 14,827,417,662 66.80% 11,753,106,221.34 69.98% 38,213 62.35% 307,568.27
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
B. Distribution Information of the Borrowers
Distribution of the Loans by Borrowers’ Age
Borrower Age
Aggregate
Original Principal
Balance (RMB)
Percentag
e of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding Principal
Balance
Number of
Loans
Percentage of
Loans
Average
Outstanding Loan
Balance (RMB)
<= 30 3,156,964,275 14.22% 2,504,310,114.25 14.91% 9,074 14.81% 275,987.45
>30 and <= 40 8,140,879,348 36.67% 6,177,807,130.43 36.78% 23,762 38.77% 259,986.83
>40 and <=50 7,115,738,283 32.06% 5,373,092,399.78 31.99% 19,296 31.49% 278,456.28
>50 and <=60 3,540,452,881 15.95% 2,595,886,354.55 15.46% 8,705 14.20% 298,206.36
>60 243,563,000 1.10% 144,268,060.34 0.86% 447 0.73% 322,747.34
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
82
Distribution of the Loans by Borrowers’ Income
Borrower Income
(RMB)
Aggregate Original
Principal Balance
(RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding Principal
Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance (RMB)
>0 and <=50,000 1,196,787,625 5.39% 874,890,265.69 5.21% 5,918 9.66% 147,835.46
>50,000 and
<=100,000 8,353,159,775 37.63% 6,289,198,214.04 37.45% 31,134 50.80% 202,004.18
>100,000 and
<=150,000 5,135,793,800 23.14% 3,914,463,185.58 23.31% 13,951 22.76% 280,586.57
>150,000 and
<=200,000 2,175,312,600 9.80% 1,650,524,259.05 9.83% 4,353 7.10% 379,169.37
>200,000 and
<=250,000 1,321,514,483 5.95% 991,801,390.24 5.91% 2,214 3.61% 447,968.11
>250,000 and
<=300,000 743,772,707 3.35% 560,996,647.93 3.34% 1,013 1.65% 553,797.28
>300,000 3,271,256,797 14.74% 2,513,490,096.82 14.97% 2,701 4.41% 930,577.60
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Borrowers’ Occupation
借款人职业分布 Borrower Occupation
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage
of
Outstanding
Principal
Balance
Number
of Loans
Percentage
of Loans
Average
Outstanding
Loan Balance
(RMB)
行政机关、社会团体相
关人员
Administrative agencies,
social groups and related
personnel
7,730,146,513 34.82% 5,952,201,661.96 35.44% 22,301 36.39% 266,902.90
商业、服务业人员 Business and service 4,525,920,475 20.39% 3,377,054,795.66 20.11% 14,123 23.05% 239,117.38
83
借款人职业分布 Borrower Occupation
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage
of
Outstanding
Principal
Balance
Number
of Loans
Percentage
of Loans
Average
Outstanding
Loan Balance
(RMB)
personnel
科学技术研究相关人员 Science and Technology
Research Associate 3,056,700,018 13.77% 2,301,235,537.92 13.70% 8,016 13.08% 287,080.28
其他 Others 2,504,633,000 11.28% 1,902,825,256.90 11.33% 4,349 7.10% 437,531.68
个体、小微企业相关人
员
Individuals, small and
micro business-related
personnel
2,034,721,456 9.17% 1,480,439,107.87 8.81% 4,688 7.65% 315,793.33
生产、制造行业相关人
员
Production, manufactory
industry related
personnel
1,025,637,700 4.62% 748,365,075.76 4.46% 3,910 6.38% 191,397.72
企事业单位负责人员
Enterprises and
institutions responsible
person
190,873,000 0.86% 154,945,045.07 0.92% 254 0.41% 610,019.86
生产、运输行业相关人
员
Production,
transportation industry
related personnel
186,895,000 0.84% 141,962,218.92 0.85% 683 1.11% 207,850.98
教育行业相关人员 Education industry
related personnel 176,912,000 0.80% 141,504,452.70 0.84% 497 0.81% 284,717.21
农、林、牧、渔、水利
业相关人员
Agriculture, forestry,
animal husbandry,
fishery, water
conservancy workers
144,242,625 0.65% 105,787,487.31 0.63% 492 0.80% 215,015.22
其他技术人员 Other technicians 104,216,000 0.47% 81,828,254.20 0.49% 336 0.55% 243,536.47
金融业务人员 Financial business staff 97,021,000 0.44% 79,451,378.63 0.47% 264 0.43% 300,952.19
电力、机械行业相关人
员
Power, machinery
industry related people 98,627,000 0.44% 75,339,327.96 0.45% 337 0.55% 223,558.84
84
借款人职业分布 Borrower Occupation
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage
of
Outstanding
Principal
Balance
Number
of Loans
Percentage
of Loans
Average
Outstanding
Loan Balance
(RMB)
军人 Soldier 70,817,000 0.32% 53,311,787.54 0.32% 213 0.35% 250,290.08
木材处理及加工行业人
员
Wood processing and
processing industry
personnel
53,421,000 0.24% 45,558,532.77 0.27% 187 0.31% 243,628.52
建筑、建材行业相关人
员
Construction, building
materials industry related
personnel
48,071,000 0.22% 38,032,551.72 0.23% 167 0.27% 227,739.83
纺织业相关人员 Textile industry related
personnel 48,867,000 0.22% 37,261,832.67 0.22% 174 0.28% 214,148.46
采矿业相关人员 Mining related personnel 18,456,000 0.08% 14,208,298.31 0.08% 61 0.10% 232,922.92
工艺品、生活用品、医
疗用品生产人员
Crafts, daily necessities,
medical supplies
production staff
16,919,000 0.08% 13,314,201.67 0.08% 49 0.08% 271,718.40
文化工作相关人员 Cultural work-related
personnel 16,350,000 0.07% 13,260,141.27 0.08% 47 0.08% 282,130.67
安全保卫和消防人员 Security guards and
firefighters 12,698,000 0.06% 9,769,746.16 0.06% 41 0.07% 238,286.49
法律、社会和宗教专业
人员
Law society and religion
personnel 9,780,000 0.04% 7,779,971.75 0.05% 13 0.02% 598,459.37
邮政和电信业务人员
Postal and
telecommunication
business personnel
7,777,000 0.04% 5,714,822.99 0.03% 22 0.04% 259,764.68
自由职业 Freelance 6,325,000 0.03% 5,161,740.31 0.03% 20 0.03% 258,087.02
检验、计量人员 Inspection and
measurement personnel 6,303,000 0.03% 4,984,968.24 0.03% 23 0.04% 216,737.75
医疗卫生相关人员 Medical related
personnel 3,098,000 0.01% 2,330,207.85 0.01% 11 0.02% 211,837.08
85
借款人职业分布 Borrower Occupation
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage
of
Outstanding
Principal
Balance
Number
of Loans
Percentage
of Loans
Average
Outstanding
Loan Balance
(RMB)
体育工作人员 Sports work personnel 1,370,000 0.01% 1,060,368.37 0.01% 3 0.00% 353,456.12
环境监测与废物处理人
员
Environmental
monitoring and waste
processing personnel
800,000 0.00% 675,286.87 0.00% 3 0.00% 225,095.62
总计 Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Geographic Location
Borrower Province
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding Principal
Balance
Number of
Loans
Percentage of
Loans
Average
Outstanding Loan
Balance (RMB)
Guangdong 2,564,887,000 11.55% 2,032,923,877.53 12.10% 3,475 5.67% 585,014.07
Jiangsu 2,345,084,200 10.56% 1,828,209,785.04 10.89% 5,611 9.16% 325,826.02
Fujian 2,616,868,200 11.79% 1,808,315,425.01 10.77% 7,070 11.54% 255,773.04
Zhejiang 2,137,197,462 9.63% 1,618,200,292.98 9.63% 4,634 7.56% 349,201.62
Shandong 1,720,424,800 7.75% 1,331,921,955.38 7.93% 6,335 10.34% 210,248.14
Jiangxi 1,539,638,800 6.94% 1,296,201,253.54 7.72% 4,346 7.09% 298,251.55
Henan 1,580,708,000 7.12% 1,280,785,771.39 7.63% 4,342 7.09% 294,976.00
Sichuan 1,319,700,200 5.95% 1,017,062,823.74 6.06% 4,845 7.91% 209,920.09
86
Borrower Province
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding Principal
Balance
Number of
Loans
Percentage of
Loans
Average
Outstanding Loan
Balance (RMB)
Guizhou 1,046,151,000 4.71% 964,405,780.63 5.74% 2,710 4.42% 355,869.29
Hubei 1,214,312,000 5.47% 823,687,494.92 4.90% 3,466 5.66% 237,647.86
Anhui 1,213,537,625 5.47% 810,794,552.18 4.83% 4,827 7.88% 167,970.70
Hunan 1,258,299,500 5.67% 703,766,945.02 4.19% 5,072 8.28% 138,755.31
Chongqing 756,977,000 3.41% 565,930,991.53 3.37% 2,684 4.38% 210,853.57
Tianjin 651,030,000 2.93% 519,287,188.83 3.09% 1,153 1.88% 450,379.18
Jilin 110,243,000 0.50% 97,639,971.09 0.58% 341 0.56% 286,334.23
Liaoning 122,539,000 0.55% 96,229,950.54 0.57% 373 0.61% 257,989.14
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
C. Distribution Information of the Mortgaged Assets
Distribution of the Loans by Initial LTV Percentage
Initial LTV Ratio
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding Principal
Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance (RMB)
>0 and <=40% 1,147,248,000 5.17% 836,252,761.10 4.98% 4,987 8.14% 167,686.54
>40% and <=50% 1,974,686,800 8.90% 1,451,818,674.67 8.64% 6,730 10.98% 215,723.43
>50% and <=60% 3,849,575,004 17.34% 2,823,713,074.03 16.81% 11,726 19.13% 240,807.87
87
Initial LTV Ratio
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding Principal
Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance (RMB)
>60% and <=70% 13,151,974,483 59.25% 9,864,848,375.54 58.74% 32,833 53.58% 300,455.29
>70% and <=80% 2,074,113,500 9.34% 1,818,731,174.01 10.83% 5,008 8.17% 363,165.17
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Current LTV Ratio
LTV Ratio
Aggregate
Original Principal
Balance (RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance (RMB)
>0 and <=10% 121,490,000.00 0.55% 24,953,221.66 0.15% 273 0.45% 91,403.74
>10% and <=20% 841,070,800.00 3.79% 324,092,223.51 1.93% 3,056 4.99% 106,051.12
>20% and <=30% 2,031,470,700.00 9.15% 1,076,705,312.37 6.41% 7,277 11.87% 147,960.05
>30% and <=40% 3,165,782,431.00 14.26% 2,042,713,663.67 12.16% 10,398 16.97% 196,452.55
>40% and <=50% 4,664,768,081.00 21.01% 3,515,417,153.53 20.93% 13,341 21.77% 263,504.77
>50% and <=60% 6,641,604,275.00 29.92% 5,468,248,321.96 32.56% 16,796 27.41% 325,568.49
>60% and <=70% 3,629,796,500.00 16.35% 3,310,676,442.79 19.71% 7,503 12.24% 441,247.03
>70% and <=80% 1,101,615,000.00 4.96% 1,032,557,719.86 6.15% 2,640 4.31% 391,120.35
Total 22,197,597,787.00 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
88
Distribution of the Loans by House Type
House Type
Aggregate
Original Principal
Balance (RMB)
Percentage
of Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal Balance
Number of
Loans
Percentage of
Loans
Average Outstanding
Loan Balance (RMB)
New House 7,370,180,125 33.20% 5,042,257,838.01 30.02% 23,071 37.65% 218,553.94
Used House 14,827,417,662 66.80% 11,753,106,221.34 69.98% 38,213 62.35% 307,568.27
Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
Distribution of the Loans by Location
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
深圳市 Shenzhen 1,462,487,000 6.59% 1,151,495,819.57 6.86% 1,097 1.79% 1,049,677.14
贵阳市 Guiyang 1,007,582,000 4.54% 931,881,464.53 5.55% 2,568 4.19% 362,882.19
武汉市 Wuhan 1,212,378,000 5.46% 822,506,617.00 4.90% 3,456 5.64% 237,993.81
郑州市 Zhengzhou 955,316,000 4.30% 766,913,848.72 4.57% 1,980 3.23% 387,330.23
赣州市 Ganzhou 782,827,800 3.53% 669,912,508.60 3.99% 2,498 4.08% 268,179.55
南昌市 Nanchang 756,811,000 3.41% 626,288,744.94 3.73% 1,848 3.02% 338,900.84
苏州市 Suzhou 765,876,200 3.45% 612,719,817.95 3.65% 1,111 1.81% 551,502.99
89
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
重庆市 Chongqing 756,977,000 3.41% 565,930,991.53 3.37% 2,684 4.38% 210,853.57
成都市 Chengdu 751,718,000 3.39% 565,434,880.94 3.37% 2,134 3.48% 264,964.80
天津市 Tianjin 651,030,000 2.93% 519,287,188.83 3.09% 1,153 1.88% 450,379.18
南京市 Nanjing 537,499,000 2.42% 405,309,276.54 2.41% 1,123 1.83% 360,916.54
福州市 Fuzhou 590,474,000 2.66% 402,013,990.48 2.39% 1,007 1.64% 399,219.45
烟台市 Yantai 521,044,100 2.35% 394,630,747.84 2.35% 1,821 2.97% 216,711.01
泉州市 Quanzhou 537,252,400 2.42% 368,883,970.86 2.20% 1,436 2.34% 256,882.99
潍坊市 Weifang 461,204,000 2.08% 365,522,796.41 2.18% 1,826 2.98% 200,176.78
杭州市 Hangzhou 442,989,000 2.00% 345,733,836.56 2.06% 753 1.23% 459,141.88
广州市 Guangzhou 387,529,000 1.75% 314,643,365.83 1.87% 473 0.77% 665,207.96
佛山市 Foshan 322,638,000 1.45% 284,472,726.44 1.69% 723 1.18% 393,461.59
金华市 Jinhua 370,474,687 1.67% 245,120,622.56 1.46% 703 1.15% 348,677.98
济宁市 Jining 283,457,700 1.28% 225,837,581.10 1.34% 1,074 1.75% 210,277.08
漳州市 Zhangzhou 304,840,000 1.37% 222,756,513.67 1.33% 1,031 1.68% 216,058.69
临沂市 Linyi 290,401,000 1.31% 222,406,968.43 1.32% 1,088 1.78% 204,418.17
长沙市 Changsha 394,138,000 1.78% 221,421,661.73 1.32% 1,290 2.10% 171,644.70
三明市 Sanming 321,156,000 1.45% 217,204,569.76 1.29% 1,107 1.81% 196,210.09
阜阳市 Fuyang 273,659,000 1.23% 203,422,242.83 1.21% 953 1.56% 213,454.61
90
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
嘉兴市 Jiaxing 253,727,000 1.14% 199,403,960.01 1.19% 743 1.21% 268,376.80
温州市 Wenzhou 273,156,000 1.23% 198,318,067.41 1.18% 553 0.90% 358,622.18
台州市 Taizhou 252,911,000 1.14% 197,986,505.62 1.18% 477 0.78% 415,066.05
芜湖市 Wuhu 272,161,000 1.23% 197,809,188.13 1.18% 958 1.56% 206,481.41
南平市 Nanping 258,134,000 1.16% 183,216,002.70 1.09% 882 1.44% 207,727.89
湖州市 Huzhou 220,407,000 0.99% 175,384,748.30 1.04% 596 0.97% 294,269.71
宿州市 Suzhou 239,955,000 1.08% 155,306,718.72 0.92% 1,034 1.69% 150,199.92
莆田市 Putian 225,505,000 1.02% 154,655,981.77 0.92% 520 0.85% 297,415.35
六安市 Luan 229,688,000 1.03% 150,212,668.46 0.89% 993 1.62% 151,271.57
宁德市 Ningde 206,435,000 0.93% 145,611,015.02 0.87% 520 0.85% 280,021.18
无锡市 Wuxi 182,453,800 0.82% 143,013,980.10 0.85% 496 0.81% 288,334.64
徐州市 Xuzhou 160,425,000 0.72% 124,589,479.41 0.74% 608 0.99% 204,916.91
济南市 Jinan 163,928,000 0.74% 123,214,847.27 0.73% 525 0.86% 234,694.95
南通市 Nantong 162,338,000 0.73% 122,255,807.26 0.73% 555 0.91% 220,280.73
常州市 Changzhou 160,973,000 0.73% 120,045,859.05 0.71% 537 0.88% 223,549.09
龙岩市 Longyan 173,071,800 0.78% 113,973,380.75 0.68% 567 0.93% 201,011.25
洛阳市 Luoyang 153,618,000 0.69% 109,128,726.43 0.65% 714 1.17% 152,841.35
绍兴市 Shaoxing 126,694,775 0.57% 104,843,319.46 0.62% 297 0.48% 353,007.81
91
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
镇江市 Zhenjiang 131,402,000 0.59% 100,321,255.10 0.60% 452 0.74% 221,949.68
扬州市 Yangzhou 128,749,000 0.58% 100,175,146.13 0.60% 392 0.64% 255,548.84
鹤壁市 Hebi 117,982,000 0.53% 100,099,841.79 0.60% 459 0.75% 218,082.44
信阳市 Xinyang 119,667,000 0.54% 100,032,538.22 0.60% 389 0.63% 257,153.05
淮安市 Huaian 115,368,200 0.52% 99,779,163.50 0.59% 337 0.55% 296,080.60
濮阳市 Puyang 110,576,000 0.50% 98,618,759.18 0.59% 362 0.59% 272,427.51
长春市 Changchun 110,243,000 0.50% 97,639,971.09 0.58% 341 0.56% 286,334.23
大连市 Dalian 122,539,000 0.55% 96,229,950.54 0.57% 373 0.61% 257,989.14
遂宁市 Suining 116,664,000 0.53% 95,724,728.92 0.57% 557 0.91% 171,857.68
株洲市 Zhuzhou 139,589,800 0.63% 79,154,741.37 0.47% 522 0.85% 151,637.44
开封市 Kaifeng 73,732,000 0.33% 66,148,928.70 0.39% 262 0.43% 252,476.83
自贡市 Zigong 73,825,000 0.33% 57,561,023.38 0.34% 374 0.61% 153,906.48
湘潭市 Xiangtan 94,496,600 0.43% 57,419,613.94 0.34% 413 0.67% 139,030.54
衡阳市 Hengyang 95,744,100 0.43% 53,597,885.77 0.32% 407 0.66% 131,690.14
中山市 Zhongshan 75,699,000 0.34% 53,550,169.18 0.32% 215 0.35% 249,070.55
清远市 Qingyuan 62,457,000 0.28% 52,704,350.03 0.31% 132 0.22% 399,275.38
黄山市 Huangshan 93,095,625 0.42% 51,491,436.66 0.31% 441 0.72% 116,760.63
舟山市 Zhoushan 66,635,000 0.30% 51,479,488.45 0.31% 148 0.24% 347,834.38
92
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
江门市 Jiangmen 80,289,000 0.36% 50,805,811.13 0.30% 383 0.62% 132,652.25
安庆市 Anqing 102,419,000 0.46% 50,522,459.88 0.30% 438 0.71% 115,348.08
衢州市 Quzhou 67,723,000 0.31% 50,220,428.60 0.30% 224 0.37% 224,198.34
邵阳市 Shaoyang 84,875,000 0.38% 49,885,212.67 0.30% 354 0.58% 140,918.68
丽水市 Lishui 62,480,000 0.28% 49,709,316.01 0.30% 140 0.23% 355,066.54
珠海市 Zhuhai 74,688,000 0.34% 47,119,911.33 0.28% 173 0.28% 272,369.43
娄底市 Loudi 90,559,000 0.41% 47,055,191.71 0.28% 390 0.64% 120,654.34
乐山市 Leshan 52,797,400 0.24% 41,471,269.53 0.25% 282 0.46% 147,061.24
永州市 Yongzhou 77,191,000 0.35% 40,685,851.04 0.24% 393 0.64% 103,526.34
怀化市 Huaihua 69,292,000 0.31% 38,641,277.06 0.23% 359 0.59% 107,635.87
绵阳市 Mianyang 45,884,000 0.21% 38,307,523.93 0.23% 195 0.32% 196,448.84
眉山市 Meishan 40,380,000 0.18% 33,474,242.47 0.20% 210 0.34% 159,401.15
常德市 Changde 60,481,000 0.27% 32,801,854.28 0.20% 241 0.39% 136,107.28
广安市 Guangan 34,448,000 0.16% 28,547,137.77 0.17% 163 0.27% 175,135.81
雅安市 Yaan 34,198,000 0.15% 26,952,001.69 0.16% 157 0.26% 171,668.80
周口市 Zhoukou 30,895,000 0.14% 25,717,713.36 0.15% 90 0.15% 285,752.37
内江市 Neijiang 31,151,000 0.14% 25,654,928.97 0.15% 162 0.26% 158,363.76
惠州市 Huizhou 31,370,000 0.14% 23,784,800.38 0.14% 86 0.14% 276,567.45
93
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
南充市 Nangchong 28,880,000 0.13% 23,239,635.54 0.14% 127 0.21% 182,989.26
湛江市 Zhanjiang 24,610,000 0.11% 21,296,079.34 0.13% 73 0.12% 291,727.11
岳阳市 Yueyang 38,550,000 0.17% 21,266,822.13 0.13% 168 0.27% 126,588.23
宜宾市 Yibing 27,292,000 0.12% 20,898,566.04 0.12% 106 0.17% 197,156.28
茂名市 Maoming 25,980,000 0.12% 20,367,952.55 0.12% 87 0.14% 234,114.40
益阳市 Yiyang 35,300,000 0.16% 19,720,587.02 0.12% 152 0.25% 129,740.70
德阳市 Deyang 24,057,000 0.11% 18,338,644.75 0.11% 113 0.18% 162,288.89
郴州市 Chenzhou 34,161,000 0.15% 18,164,081.63 0.11% 156 0.25% 116,436.42
驻马店市 Zhumadian 18,922,000 0.09% 14,125,414.99 0.08% 86 0.14% 164,249.01
湘西土家族苗族
自治州
Xiangxitujiazumi
aozu national
minority
autonomous
prefecture
25,829,000 0.12% 13,733,506.17 0.08% 143 0.23% 96,038.50
汕头市 Shanyou 16,880,000 0.08% 12,461,891.63 0.07% 32 0.05% 389,434.11
广元市 Guangyuan 13,940,000 0.06% 11,341,578.90 0.07% 62 0.10% 182,928.69
遵义市 Zunyi 12,314,000 0.06% 10,682,602.01 0.06% 44 0.07% 242,786.41
张家界市 Zhangjiajie 18,093,000 0.08% 10,218,658.50 0.06% 84 0.14% 121,650.70
泸州市 Luzhou 10,964,000 0.05% 7,690,361.91 0.05% 45 0.07% 170,896.93
达州市 Dazhou 10,266,000 0.05% 7,301,272.26 0.04% 46 0.08% 158,723.31
94
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
巴中市 Bazhong 10,652,000 0.05% 6,777,576.92 0.04% 62 0.10% 109,315.76
凉山彝族自治州
Liangshanyizu
national minority
autonomous
prefecture
9,985,800 0.04% 6,747,258.45 0.04% 34 0.06% 198,448.78
黔东南苗族侗族
自治州
Qiandongnanmiao
zutongzu national
minority
autonomous
prefecture
6,328,000 0.03% 5,713,812.88 0.03% 21 0.03% 272,086.33
铜仁市 Tongren 6,672,000 0.03% 5,392,858.66 0.03% 29 0.05% 185,960.64
黔西南布依族苗
族自治州
Qianxinanbuyizu
miaozu national
minority
autonomous
prefecture
6,266,000 0.03% 5,152,233.41 0.03% 23 0.04% 224,010.15
毕节市 bijie 3,016,000 0.01% 2,626,566.51 0.02% 9 0.01% 291,840.72
黔南布依族苗族
自治州
Qiannanbuyizumi
aozu national
minority
autonomous
prefecture
1,998,000 0.01% 1,627,002.28 0.01% 9 0.01% 180,778.03
安顺市 anshun 1,975,000 0.01% 1,329,240.35 0.01% 7 0.01% 189,891.48
鄂州市 ezhou 1,934,000 0.01% 1,180,877.92 0.01% 10 0.02% 118,087.79
合肥市 hefei 1,200,000 0.01% 966,868.62 0.01% 4 0.01% 241,717.16
攀枝花市 panzhihua 1,477,000 0.01% 902,378.88 0.01% 8 0.01% 112,797.36
95
抵押物房屋所在
地区 Location
Aggregate Original
Principal Balance
(RMB)
Percentage of
Original
Principal
Balance
Aggregate
Outstanding
Principal Balance
(RMB)
Percentage of
Outstanding
Principal
Balance
Number
of Loans
Percentag
e of Loans
Average
Outstanding
Loan Balance
(RMB)
淮南市 huainan 970,000 0.00% 797,368.10 0.00% 4 0.01% 199,342.03
资阳市 ziyang 1,121,000 0.01% 697,812.49 0.00% 8 0.01% 87,226.56
日照市 rizhao 390,000 0.00% 309,014.33 0.00% 1 0.00% 309,014.33
铜陵市 tongling 390,000 0.00% 265,600.78 0.00% 2 0.00% 132,800.39
阳江市 yangjiang 260,000 0.00% 221,000.12 0.00% 1 0.00% 221,000.12
合计 Total 22,197,597,787 100.00% 16,795,364,059.35 100.00% 61,284 100.00% 274,057.90
96
Chapter V GENERAL INFORMATION OF THE SECURITIES
A. Fees
Throughout the duration of the Securities, the fees payable to the relevant institutions providing service
to the transaction which are to be paid out of the Trust Property include:
Execution Costs: refers to all costs, expenses and taxes incurred when the Servicer applies for litigation,
arbitration or compulsory execution towards the Borrower and other third parties (including but not
limited to the Guarantor, the Insurer) on the Defaulted Loans or negotiates with the aforesaid. "Execution
costs" are paid in advance by the Servicer and the Servicer has the right to recover from the above-
mentioned Defaulted Loans once the Servicer has completely or partially recovered any Defaulted Loans.
Expenses and Fees: Refers to the expenses that should be reimbursed by the Trust Account funds actually
incurred by each party to the Transaction Documents during each Collection Period due to the processing
of the Trust services or the provision of services related to the Trust.
For each relevant entity, such actual expenses and fees include reasonable attorneys' fees, litigation fees,
arbitration fees and execution fees incurred by the party as a party involved in or bringing a litigation or
arbitration relating to the securitization transaction, excluding legal fees, litigation fees, arbitration fees
and enforcement fees that the party incurs the party's negligence, intentional misconduct, default or fraud,
and does not include the remuneration to be paid by the party in providing the service; For the Trustee,
in addition to the above costs and expenses, such actual expenses and fees include the conference fee
(excluding accommodation and travel expenses) for holding the Controlling Noteholders Meeting,
consulting fees with the lawyer or other expert in the process of the Trust management when the Trustee
considers it necessary, and the fees for opening a Trust Account paid by the Trustee in advance and
reasonable expenses and fees of notifications in accordance with the provisions of No. 5.4 of the Trust
Agreement, expenses and fees incurred when the Trustee supervises, reviews or audits the Servicer
according to the Service Agreement, and other reasonable expenses incurred during the management of
Trust Property and Trust Affairs. For the Servicer, the actual expenses and fees include additional
expenses from change of the Loan Agreement and exclude Execution Costs. For the Fund Custodian, the
actual expenses and fees include fees for funds transfer and other commissions (including but not limited
to bank verification fees).
Estimated Notification Fee: Refers to the reserve funds deposited in the Trust (Service Transfer and
Notification) Reserve Account, used to issue the Right Completion Notice to the Borrowers and
97
Guarantors and Insurer when China Construction Bank does not have one of the Required Rating Levels,
the amount on the Trust Effective Date is expected to be RMB 300,000. In the actual reserve, the amount
will be the higher one of the following A and B: A refers to the amount calculated by the following
formula: Notification Fee = number of recipient × number of notifications required by laws × registered
letter costs (the related information will be provided by the Servicer), B refers to RMB 300,000.
Estimated Transfer Cost: refers to the funds reserved for transfer of services in the Trust (Service Transfer
and Notice) Reserve Account when China Construction Bank does not have one of the Required Rating
Levels. On Trust Effective Date the amount is estimated to be RMB 600,000. After the Trustee appoints
the Back-up Servicer or Alternative Servicer, the Trustee, the Servicer, the Back-up Servicer or
Alternative Servicer will negotiate about the amount. If no agreement can be reached through negotiation,
the Trustee will determine and notify the Rating Agencies.
Taxes: Any existing, or potential taxes, fees and other government charges collected by a Government
Agency or its authorized agency with jurisdiction, including but not limited to value added tax, income
tax and others tax.
Registration Fee of the Transfer of Mortgage Rights: The Settlor and the Trustee shall submit the
necessary documents for the transfer of registration of the Hypothecation Rights to Chinese authorities
within 30 Business Days after the occurrence of any Individual Notification Event. The registration
department of government agencies with jurisdiction shall go through the registration formalities for the
transfer of all necessary mortgages of the relevant mortgage loans and complete the transfer registration
formalities within 9 months after the occurrence of the Individual Notification Event so as to ensure that
the Mortgage registered in the Trustee’s name, the relevant costs shall be borne by the Trust Property. In
addition to the Individual Notification Event, when the Servicer reclaims the mortgage loan and asserts
the mortgage but the status of the owner of the Servicer is questioned and the relevant rights cannot be
actually exercised. The Settlor shall complete the registration of the transfer of the Mortgage for the
Trustee within 3 months after the occurrence of the above circumstances according to the needs of the
Servicer or the Trustee managing the Asset. The relevant costs shall be borne by the Trust Property.
The Initial Expenses Incurred for the Issuance: the remuneration of legal consultants initially hired under
this offering, the remuneration of accountants, the fees of the credit rating agencies (initial rating only)
engaged by the issuer, underwriting remuneration, the Financial Advisors' Remuneration, registration
and custody service fee by the Registration Authority (reimburse to the Originator if prepaid by the
Originator).
98
B. Date Information
The date information of Jianyuan 2018-21 residential mortgage-backed securities as follow:
Cut-Off Date: 13th October, 2018
Trust Effective Date: Means the same date as the Closing Date, and the Originator establishes the Trust
on that date and delivers the Trust Property to the Trustee.
Value Date: Means the date when the interest rate began to be calculated, and the beginning date of the
first Interest Period.
Interest Calculation Date: Means the 26th day of each month, the first Interest Calculation Date is 26th
February, 2019; But, the last Interest Calculation Date in each tranche is the date when the outstanding
principal of that tranche is fully paid.
Calculation Date: The last day of each calendar month; the first Calculation Date shall be 31st January,
2019.
Payment Date: The 26th day of each month (the first Payment Date is 26th February, 2019) or, in the
event such day is not a business day, on the next following business day.
Collection Transfer Date: Collection Transfer Date is determined as following:
(1) The 5th Business Day after the Calculation Date if the entity long-term credit rating level of the
Servicer is higher than or equal to A+ by CBR and A by CCXI.
(2) Once the Servicer does not qualify one of the ratings aforementioned, or the Settlor or Trustee will
inform the Borrowers, Guarantor and Insurer (if any) to pay the amount due to the Trust Account
according to the Trust Agreement, if the Borrower, Guarantor and Insurer pays the Collections to the
Servicer, the Collection Transfer Date is any Business Day within 5 Business Days after the Servicer
receives the Collections.
(3) After the Trust Termination Date, if the Servicer has not transferred the Collections or still receives
Collections, the Collection Transfer Date is the 5th Business Day after the end of every calendar
month from the calendar month of the Trust Termination Date, but all the Collections should be
transferred no later than the Business Day before the last Payment Date.
Once any of the provisions aforementioned in item (2) takes place, the relevant Collection Transfer Date
shall alter according to the rules aforementioned since this date (exclusive). Once the Collection Transfer
Date alters, even if the long-term entity credit rating is enhanced again, the frequency of the Transfer
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Collection Date shall not be resumed.
Servicer Report Performance Date: The seventh (7th) business day after each Calculation Date, shall
not be later than the 8th day prior to the Payment Date
Fund Custodian Report Date: The eighth (8th) business day after each Calculation Date, shall not be
later than the 7th day prior to the Payment Date
Trustee Report Date: The fifth (5th) business day prior to the Payment Date
Legal Maturity Date: 26th November, 2041
Expected Maturity Date4: For the Class A-1 Notes, the Expected Maturity Date is 26th December, 2020.
For the Class A-2 Notes, the Expected Maturity Date is 26th January, 2022. For the Class A-3 Notes, the
Expected Maturity Date is 26th August, 2024. For the Subordinated Notes, the Expected Maturity Date
is 26th November, 2038.
Legal Public Holidays: The statutory or government-designated holidays of the People's Republic of
China (excluding the statutory holidays in Hong Kong Special Administrative Region, Macao Special
Administrative Region and Taiwan).
Business Day: means any day on which commercial banks in the PRC are open for business, except
Saturdays, Sundays and nationwide public holidays.
Repurchase Initial Date: For Asset repurchases under Section 3.1 of the Trust Agreement,
Commencement Date of Repurchase means the written request by the Trustee to repurchase the
corresponding Assets or the proposing agency proposes in accordance with Section 3.1 The repo date is
the last day of the Collection Period.
For Clean-up Call under Section 3.2 of the Trust Agreement, the Reciprocal Start Date means last day of
the preceding Collection Period when the Originator issues a notice of takeover to the Trustee.
Closing Date: Means a day when the Lead Underwriter pays the subscription amount of securities to the
Trustee before 10:30AM on this day (Beijing time), and the Trustee pays the difference between proceeds
to the Issuance of Senior Notes and regulatory fees (if any) according to the Transaction Documents. The
expected Closing Date for this transaction is December 13th, 2018.
Trust determination date: The sixth (6th) business day prior to the Payment Date
4 The above given Expected Maturity Dates are under the assumption of 10% CPR (Conditional Prepayment Rate)
and 0% CDR (Constant Default Rate). If assuming 0% CPR and 0% CDR, expected maturity dates of Class A-1
Notes, Class A-2 Notes, Class A-3 Notes and Subordinated Notes are 26/12/2020, 26/4/2023, 26/4/2029 and
26/11/2038, respectively.
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Trust Beneficiary Interest Registration Date: The first (1st) business day before each Payment Date
and the Noteholders documented on the Securities Custodian at the end of that day shall be deemed as
the Trust Beneficiary Interest, who shall be entitled to obtain current principal and interest of the
Securities on that Payment Date.
Trust Termination Date: The earliest date of any of following events:
(a) the trust purpose of the Trust cannot be fulfilled,
(b) the Trust has been discharged, rescinded or announced invalid,
(c) CBIRC or related regulatory authorities order to terminate the Trust according to laws
(d) the last Mortgage Loans in the Trust has been paid, settled or disposed in any other forms
(including clean-up call) and the Trust has received all interests
(e) all amount due to the Senior Noteholders has been paid and the Subordinated Noteholders agree
to settle
(f) the legal maturity
Interest Settlement Date: The 21st day of the last month of each quarter
C. Summary of the Securities
The Asset-backed Securities will be divided into the Class A-1 Notes, the Class A-2 Notes, the Class A-
3 Notes and Subordinated Notes. Asset backed securities factors are set out below:
Tranche Rating
CBR/CCXI
Nominal Amount
（RMB） Percentage
Principal
Repayment
Method
Expected
Maturity Date5
Legal
Maturity Date
Class A-1
Notes AAAsf/AAAsf 3,000,000,000.00 17.86%
Scheduled
Amortization 26/12/2020 26/11/2041
Class A-2
Notes AAAsf/AAAsf 3,800,000,000.00 22.63%
Scheduled
Amortization 26/1/2022 26/11/2041
Class A-3
Notes AAAsf/AAAsf 7,820,000,000.00 46.56% Pass-through 26/8/2024 26/11/2041
Subordinate
d Notes N/A 2,175,364,059.35 12.95% - 26/11/2038 26/11/2041
Total 16,795,364,059.35 100.00%
The Asset-Backed Securities issued by the Issuer on the Trust Effective Date with a total nominal amount
5The above given Expected Maturity Dates are under the assumption of 10% CPR (Conditional Prepayment Rate)
and 0% CDR (Constant Default Rate). If assuming 0% CPR and 0% CDR, expected maturity dates of Class A-1
Notes, Class A-2 Notes, Class A-3 Notes and Subordinated Notes are 26/12/2020, 26/4/2023, 26/4/2029 and
26/11/2038, respectively.
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of RMB 16,795,364,059.35.
In line with the requirements of trade circulation, the securities are transferable fixed-income products
and can be traded in the inter-bank bond market after registration and filing according to the law and
represent related rights and interests of the holders (including rights to receive payment according to the
Trust Agreement).
1. The Basic Characteristics of Senior Class A-1 Notes
The proportion of Senior Class A-1 Notes: At the date of issue of the Securities, the total amount of par
value (par value) of Senior Class A-1 Notes is RMB 3,000,000,000.00, accounting for 17.86% of the
total amount of par value of the issuance of the Securities.
Par value: The par value of each Senior Class A-1 level securities is RMB 100.
Issue price: issued by par.
Term: From the Trust Effective Date of the trust (inclusive) to the Legal Maturity Date (exclusive). The
Legal Maturity Date is not the actual maturity date of Senior Class A-1 level Notes," and the principal of
Senior Class A-1 Securities may be fully paid off before the Legal Maturity Date.
Expected due date (CPR = 10%): 26/12/2020
Expected due date (CPR = 0%): 26/12/2020
Coupon rate: The coupon rate of Senior Class A-1 Notes is fixed rate, determined by the Book Building
result. The Trustee provides the Announcement of the Issuance Results to the Central Government Bond
Registration Company on the following working day of the Delivery Date, and the Announcement on
the Issuance Results is available through the China Bond Website (www.chinabond.com.cn) or
Chinamoney Net (www.chinamoney.com.cn) or Beijing Financial Assets Exchange (www.cfae.cn) to be
announced. Senior Class A-1 Notes are paid on a monthly basis.
Interest period: Under the Trust Agreement and the Securities, an Interest Period means the period from
one Interest Calculation Date (inclusive) to the next Interest Calculation Date (exclusive). The first
Interest Period will begin on the Value Date (inclusive) and end on the first Interest Calculation Date
(exclusive). Senior Class A-1 Notes will cease to accrue interest on the date of full repayment of the
principal amount under the Securities of the Legal Maturity or earlier, unless the payment on that date is
canceled or denied improperly. In the latter case, the notes will continue to generate interest under these
conditions until the full amount due under those notes is paid to the relevant ABS holders.
Method of Interest Payment: The amount of interest payable on Senior Class A-1 Notes during any
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Interest Period shall be the product of:
(i) the Outstanding Principal Balance of the Senior Class A-1 Notes after the principal repayment
of the previous Payment Date(in the case of the first Payment Date, the par value of the Senior
Class A-1 Notes on the Trust Effective Date)
(ii) the coupon rate to which Senior Class A-1 Notes of the Interest Period apply; and
(iii) The actual number of days in the "interest period" divided by 365, the figures obtained should
be rounded to the nearest 0.01 RMB.
Currency type: RMB.
Credit rating: On the issue date of Asset-backed Securities, the credit rating of Senior Securities was
AAAsf from China Bond Rating and AAAsf was granted to Senior Securities by CCXI Credit.
Senior Class A-1 Notes Target Principal Balance
Payment Date Target End Principal Balance (RMB)
26/02/2019 2,760,000,000
26/03/2019 2,520,000,000
26/04/2019 2,400,000,000
26/05/2019 2,280,000,000
26/06/2019 2,160,000,000
26/07/2019 2,040,000,000
26/08/2019 1,920,000,000
26/09/2019 1,800,000,000
26/10/2019 1,680,000,000
26/11/2019 1,560,000,000
26/12/2019 1,440,000,000
26/01/2020 1,320,000,000
26/02/2020 1,200,000,000
26/03/2020 1,080,000,000
26/04/2020 960,000,000
26/05/2020 840,000,000
26/06/2020 720,000,000
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Senior Class A-1 Notes Target Principal Balance
Payment Date Target End Principal Balance (RMB)
26/07/2020 600,000,000
26/08/2020 480,000,000
26/09/2020 360,000,000
26/10/2020 240,000,000
26/11/2020 120,000,000
26/12/2020 0 (and continues to be zero on any of the
Payment Date after 26 December 2020)
2. The Basic Characteristics of Senior Class A-2 Notes
The proportion of Senior Class A-2 Notes: At the date of issuance of the Securities, the total amount of
par value (par value) of Senior Class A-2 Notes is RMB 3,800,000,000.00, accounting for 22.63% of the
total amount of par value of the issuance of the securities.
Par value: The par value of each Senior Class A-2 Notes is RMB 100.
Issue price: issued by par.
Term: From the Trust Effective Date (inclusive) to the Legal Maturity Date (exclusive). The Legal
Maturity Date is not the actual maturity date of the Senior Class A-2 Notes and the principal of the Senior
Class A-2 Notes may be repaid prior to the Legal Maturity Date.
Expected due date (CPR = 10%): 26/1/2022
Expected due date (CPR = 0%): 26/4/2023
Coupon rate: The coupon rate of Senior Class A-2 Notes is fixed rate, determined based on the book
building result. The Trustee provides the Announcement of the Issuance Results to the Central
Government Bond Registration Company on the following working day on the Delivery Date, and the
Announcement on the Issuance Results is available through the China Bond Website
(www.chinabond.com.cn) or Chinamoney Net (www.chinamoney.com.cn) or Beijing Financial Assets
Exchange (www.cfae.cn) to be announced. Senior Class A-2 Notes are paid on a monthly basis.
Interest period: Under the Trust Agreement and the Securities, an Interest Period means the period from
one Interest Calculation Date (inclusive) to the next Interest Calculation Date (exclusive), the first
Interest Period will begin on the Value Date (inclusive) and end on the first Interest Calculation Date
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(exclusive). Senior Class A-2 Notes will cease to accrue interest from the date on which the principal
amount under the Securities on Legal Maturity Date or earlier date if the Senior Class A-2 Notes are fully
paid unless the payment for that day is canceled or denied improperly. In the latter case, ABS will
continue to generate interest under these conditions until the full amount due under those Securities is
paid to the relevant ABS holders.
Method of Interest: The interest payable on Senior Class A-2 Notes during any Interest Period shall be
the product of:
(i) the Outstanding Principal Balance of the Senior Class A-2 Notes after the repayment of the
principal of the previous Payment Date (par value for the first "Payment Date", i.e. the Senior
Class A-2 Notes on the Trust Effective Date);
(ii) the coupon rate to which the Senior Class A-2 Notes in the Interest Period apply; and
(iii) The actual number of days in the Interest Period divided by 365, the figures obtained should
be rounded to the nearest 0.01 RMB.
Currency type: RMB.
Credit rating: On the issue date of Asset Backed Securities, the credit rating of Senior Securities was
AAAsf from China Bond Credit and AAAsf was granted to Senior Securities by CCXI Credit.
Senior Class A-2 Notes Target Principal Balance
Payment Date Target End Principal Balance (RMB)
26/02/2019 3,735,400,000
26/03/2019 3,670,800,000
26/04/2019 3,606,200,000
26/05/2019 3,541,600,000
26/06/2019 3,477,000,000
26/07/2019 3,412,400,000
26/08/2019 3,347,800,000
26/09/2019 3,283,200,000
26/10/2019 3,218,600,000
26/11/2019 3,154,000,000
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Senior Class A-2 Notes Target Principal Balance
Payment Date Target End Principal Balance (RMB)
26/12/2019 3,089,400,000
26/01/2020 3,024,800,000
26/02/2020 2,960,200,000
26/03/2020 2,895,600,000
26/04/2020 2,831,000,000
26/05/2020 2,766,400,000
26/06/2020 2,701,800,000
26/07/2020 2,637,200,000
26/08/2020 2,572,600,000
26/09/2020 2,508,000,000
26/10/2020 2,443,400,000
26/11/2020 2,378,800,000
26/12/2020 2,314,200,000
26/01/2021 2,135,600,000
26/02/2021 1,957,000,000
26/03/2021 1,778,400,000
26/04/2021 1,599,800,000
26/05/2021 1,421,200,000
26/06/2021 1,242,600,000
26/07/2021 1,064,000,000
26/08/2021 885,400,000
26/09/2021 706,800,000
26/10/2021 528,200,000
26/11/2021 349,600,000
26/12/2021 174,800,000
26/01/2022 0 (and continues to be zero on any of the Payment
Date after 26 January 2022)
3. The Basic Characteristics of Senior Class A-3 Notes
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The proportion of Senior Class A-3 Notes:
At the date of issue of the Securities, the total amount of par value (par value) of Senior Class A-3 Notes
is RMB 7,820,000,000.00, accounting for 46.56% of the total amount of par value of the issuance of the
Securities.
Par value: The par value of each Senior Class A-3 level securities is RMB 100.
Issue price: issued by par.
Term: From the Trust Effective Date of the trust (inclusive) to the Legal Maturity Date (exclusive). The
Legal Maturity Date is not the actual maturity date of Senior Class A-3 level Notes," and the principal of
Senior Class A-3 Securities may be fully paid off before the Legal Maturity Date.
Expected due date (CPR = 10%): 26/08/2024
Expected due date (CPR = 0%): 26/04/2029
Coupon rate: The coupon rate of Senior Class A-3 Notes is determined based on the Book Building result.
The Trustee provides the Announcement of the Issuance Results to the Central Government Bond
Registration Company on the following working day of the Delivery Date, and the Announcement on
the Issuance Results is available through the China Bond Website (www.chinabond.com.cn) or
Chinamoney Net (www.chinamoney.com.cn) or Beijing Financial Assets Exchange (www.cfae.cn) to be
announced. Senior Class A-3 Notes are floating rate securities and Senior Class A-3 Notes are paid on a
monthly basis.
The applicable coupon rate is Benchmark Rate + Base Spread. Benchmark Interest Rate refers to the
benchmark interest rate of loans over the five-year period promulgated by the People's Bank of China,
and the base spread is determined on the basis of the results of the book building and filing. The
Benchmark Interest Rate of the first Interest Period refers to the benchmark interest rate for loans above
the five-year period promulgated by the People's Bank of China on the day prior to the Book Building
Date for the Notes. The Benchmark Interest Rate will be adjusted on the benchmark interest rate
adjustment date. The benchmark interest rate adjustment date is January 26th of the following year after
the People's Bank of China adjusted the benchmark interest rate for loans over five years. If the People's
Bank of China abolishes the establishment or control of lending rates, the benchmark interest rate shall
apply the benchmark lending rate applicable to individual home-equity loans of China Construction Bank.
Interest period: Under the Trust Agreement and the Securities, an Interest Period means the period from
one Interest Calculation Date (inclusive) to the next Interest Calculation Date (exclusive). The first
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Interest Period will begin on the Value Date (inclusive) and end on the first Interest Calculation Date
(exclusive). Senior Class A-3 Notes will cease to accrue interest on the date of full repayment of the
principal amount under the Securities of the Legal Maturity or earlier, unless the payment on that date is
canceled or denied improperly. In the latter case, the notes will continue to generate interest under these
conditions until the full amount due under those notes is paid to the relevant Noteholders.
Method of Interest Payment: The amount of interest payable on Senior Class A-3 Notes during any
Interest Period shall be the product of:
(i) the Outstanding Principal Balance of the Senior Class A-3 Notes after the principal repayment
of the previous Payment Date (in the case of the first Payment Date, the par value of the Senior
Class A-3 Notes on the Trust Effective Date)
(ii) the coupon rate to which Senior Class A-3 Notes of the Interest Period apply; and
(iii) The actual number of days in the "interest period" divided by 365, the figures obtained should
be rounded to the nearest 0.01 RMB.
Currency type: RMB.
Credit rating: On the issue date of Asset-backed Securities, the credit rating of Senior Securities was
AAAsf from China Bond Rating and AAAsf was granted to Senior Securities by CCXI Credit.
4. The Basic Characteristics of Subordinated Notes
The ratio of the Subordinated Asset-backed Securities: The total amount of issuance (nominal value) of
Subordinated Asset-backed Securities at the date of issuance amounted to RMB 2,175,364,059.35,
accounting for the total issued amount (Par value) of 12.95%.
Par value: The par value of each Subordinated Notes is RMB 100.
Issue price: issued by par.
Term: From the Trust Effective Date (inclusive) to the Legal Maturity Date (exclusive) The Legal
Maturity Date is not the actual maturity date of the Subordinated Notes and the principal of the
Subordinated Notes will likely before the Legal Maturity Date.
Expected due date (CPR = 10%): 26/11/2038
Expected due date (CPR = 0%): 26/11/2038
Coupon rate: No coupon rate.
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Period Interests and The Calculations: The interest on the Subordinated Notes is 0%.
Interest Period: Under the Trust Agreement and the Securities, an Interest Period means the period from
one Interest Calculation Date (inclusive) to the next Interest Calculation Date (exclusive), the first
Interest Period will begin on the Trust Effective Date (inclusive) and end on the first Interest Calculation
Date (exclusive).
Securities forms: real-name billing and received custody by the Central Registration and Clearing
Corporation.
Taxes: regarding all disbursements relating to the principal and proceeds of the Subordinated Notes
Asset-backed Securities, the Trustee is not required to withhold or deduct any additional amount if legal
withholding according to laws or any deduction of taxation, regulation fees and other government fees
occurs.
Currency type: RMB.
Credit rating: not rated.
5. Term Sensitivity Analysis
Weighted Average Life (WAL) of the Senior Securities in this issuance, means the average time it takes
for the securities to be fully paid at all levels. The principal and interest payment of the Senior Class A-
1 Notes, the Senior Class A-2 Notes and the Senior Class A-3 Notes have been settled by pass-through
and the repayment originated from the principal and interest recovery of mortgage loans in the underlying
assets, compensation for premiums, recovery from mortgage property disposal, and other penalty or
liquidated damages, the recovery of the mortgage loan cash flow in the underlying assets will directly
affect the weighted average maturity of the underlying securities.
Sources of collection funds of the mortgage loans include planned repayment (principal and interest
repayments according to the repayment schedule as agreed in the contract), prepayments, repurchase of
loans, recovery of the defaulted loans, defaulted loans and disposal of mortgaged properties. During the
entire life of the Securities, in addition to credit risk, holders of the Securities will incur certain
prepayment risk. The repayment of the principal of the borrower of the mortgage loan will directly affect
the liquidation plan, the weighted average life and the expected maturity of the Securities at all levels.
Based on the assumptions of different prepayment rates, different securities repayment plans, weighted
average life and expected maturities will be calculated. Regardless of credit risk, the weighted average
life of the Securities and the return of holders on the Securities will largely depend on the prepayment
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rate of mortgage loans in the underlying assets. The model used in the following example assumes that
a mortgage loan in a pool has a fixed annual prepayment rate (CPR), which is an annualized ratio
representing the proportion of prepayment each month in a pool of assets at the beginning of the month
is a fixed ratio). The value of CPR in the model, used for example only, does not mean that the value is
the result of analyzing historical data or predicting the future. In addition, the results in the examples are
based on the following assumptions:
(i) there is no default or loss of the mortgage loan in the asset pool;
(ii) The initiating entity did not repurchase the mortgage loan that violated the asset guarantee;
(iii) Under the hypothetical CPR of 0.0%, each mortgage loan in the asset pool is repayable by
principal and interest on the basis of its repayment plan based on the original term of the
mortgage loan contract;
(iv) Assuming that the payment days in the following examples are all business days;
(v) Assume that no clean-up call occurs.
The weighted average time-frame (unit: year) for the first-grade asset-backed securities in the sample
table is calculated as:
(1) Assuming different CPR, e.g. from 0% -20%; (2) On each CPR premise, the principal amount paid
on each payment date is multiplied by the number of days from the effective date of the trust payment to
the payment date, and divided by 365; (3) adding the above values for each period; (4) dividing the value
obtained in (3) by the outstanding principal amount of each senior asset on the effective date of the trust,
to obtain the weighted average the term.
Weighted average maturity of asset-backed securities at various rates (years)
CPR 0% 5% 10% 12% 15% 20%
Senior Class A-1 Notes WAL 1.05 1.05 1.05 1.05 1.05 1.05
Senior Class A-2 Notes WAL 3.13 2.03 2.03 2.03 2.03 2.03
Senior Class A-3 Notes WAL 7.21 4.86 3.39 2.98 2.47 1.83
6. Description of the way in which Book Building files are issued
（1）Schedule
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For details of the timing of issuance of Asset-Backed Securities in this issue, please refer to “Jianyuan
2018-21 Residential Mortgage Backed Securities Offering Announcement”.
（2）Place Arrangements
The Securities will be booked in the special book-building place of the Lead Underwriter / Book Runner,
China Merchants Securities Co., Ltd., the Bookrunner's Book Building Office is located at the 7th floor
of the North Building, Financial Street Center, No. 9 Financial Street, Xicheng District, Beijing.
（3）Pricing Principles
After the expiration of the subscription time, the Book Runner will sort all compliance subscription
orders by subscription rate from low to high, one by one, and choose the rate whose corresponding
cumulative subscription amount reaches the issuance amount.
If there is any case where the total amount of compliance subscriptions is less than the total amount of
Book Building documents, then the following measures will be taken: (1) to raise the interest rate range
again, and to finish the Book Building within the prescribed time limit. (2) Actively look for potential
investors.
D. Risk Retention Information
According to the transaction documents, the Asset-Backed Securities under the Special-Purpose
Trust are classified into Senior Notes and Subordinated Notes. After the Issuer allocates the recovered
funds according to the Trust Agreement, all remaining amounts in the Principal Sub-Account and interest
account will be paid to the Subordinate Noteholders. The implementation of the transaction is divided
into Senior and Subordinated Notes, the Originator will hold all the Subordinated Notes, accounting for
12.95% of the issuance, and the holding period is no shorter than the existence of the Subordinated Notes.
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Chapter VI OPINION OF THE INTERMEDIARY AGENCIES
A. Abstract of the Due Diligence and Legal Opinion
1. Legal Due Diligence Opinion
Zhonglun Law Firm (“ZHONG LUN”) is engaged by CCB TRUST (as the “Trustee” and “Issuer”) to
act as the Legal Counsel for Jianyuan 2018-21 Residential Mortgage Backed Securitization Trust to
perform due diligence on the underlying Mortgage Loans and the corresponding security rights and issue
the Legal Due Diligence Report .
（1）Assumptions
For the purpose of issuing this Legal Due Diligence Opinion, ZHONG LUN makes the following
assumptions:
1) All signatures and seal chops on the documents (including emails, the same as below) provided by
CCB to ZHONG LUN and its lawyers are authentic and effective, and such signatures and seal chops
have got all necessary authorizations.
2) All originals of the documents provided and made by CCB to ZHONG LUN and its lawyers are
authentic and accurate.
3) All copies of documents provided by CCB to ZHONG LUN and its lawyers are consistent with the
originals of such documents.
4) All statements and facts in the documents made and provided by CCB to ZHONG LUN and its
lawyers are true, accurate, without false statement, misrepresentation or major omission.
5) For missing signatures of the Borrowers on the Drawdown Notices under certain Mortgage Loans,
if the relevant personnel of CCB confirms that drawdowns have been made under the Mortgage
Loans, ZHONG LUN should assume that the aforementioned drawdowns have been completed
without the signatures of the relevant Borrowers;
6) The documents and materials provided to ZHONG LUN by CCB which are not prepared by CCB
are the same as they were obtained by CCB from the original providers of such documents and
materials without any changes, deletions, omissions, or concealment in their formats or contents.
CCB has provided all the ancillary documents or information in connection with such documents
and materials as per our request in order to avoid any unreasonable or inaccurate understanding,
judgment or quotation of such documents and materials due to incorrectness of such documents and
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materials.
（2）Introduction to the Legal Due Diligence
Since the Asset Pool consists of 61,284 residential mortgage loans (“Mortgage Loans”) granted by 18
subsidiary banks of CCB in Anhui, Dalian, Fujian, Guangdong, Guizhou, Henan, Hubei, Hunan, Jilin,
Jiangsu, Shandong, Shenzhen, Sichuan, Tianjin, Chongqing and Suzhou and since all the Loans were
unified due to them being originated from a standardized contract, to make such a substantial number
practically feasible, we use samples to conduct the legal due diligence.
ZHONG LUN conducted due diligence on the Underlying Asset from a legal perspective after being
engaged by CCB TRUST. ZHONG LUN’s legal due diligence includes preparing the Legal Due
Diligence Checklists based on the features of the Transaction and the requirements agreed on in the
Engagement Letter; based on relevant documents provided by CCB and relying on the professional
judgment to complete the legal due diligence, to review the legal issues in the Agreement Templates and
sample agreements according to the Eligibility Criteria.
The detailed process of legal due diligence is as followed:
1) Collecting Due Diligence Documents
From the legal due diligence perspective and based on the needs of the Transaction, ZHONG LUN
designed Legal Due Diligence Checklists (Template) and Legal Due Diligence Checklists (Sample). The
Legal Due Diligence Checklists (Template) aims to review the qualification of CCB and template
contracts by requiring CCB to provide relevant documents of the head office and each subsidiary bank,
relevant document samples of residential mortgage loans which are included in the Asset Pool, etc. The
Legal Due Diligence Checklists (Sample) aims to review sample agreements by requiring CCB to
provide all relevant documents of Mortgage Loans, mortgage registration, houses and so on for each
Mortgage Loan which is the sample contract chosen by ZHONG LUN.
2) Reviewing Agreement Templates
ZHONG LUN has reviewed Residential Loan Agreement (2000), Residential Mortgage Loan Guarantee
Agreement (2000), Residential Mortgage Loan Agreement (with Mortgage and Phased Guarantee)
(2000), Residential Mortgage Agreement (2000), Residential Loan Agreement (2004), Residential Loan
Maximum Guarantee Agreement (2004), Residential (Commercial House) Loan Agreement (2007),
Residential (Commercial House) Loan Maximum Guarantee Agreement (2007), Residential
(Commercial House) Loan Agreement (2014) from the head office of CCB and required staff in CCB to
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make necessary instructions to text and scope of Agreement Templates. With regard to the above
Agreement Templates, ZHONG LUN has reviewed them from the aspects of whether the clauses meet
the Eligibility Criteria in the Definition Schedule for Jianyuan 2018-21 Residential Mortgage-backed
Securitization Trust (“Definitions Schedule”). ZHONG LUN has reviewed such Agreements Templates
from the perspectives of criteria for the Borrower, criteria for the Mortgage Loans, criteria for Mortgaged
Houses and criteria for the grant and selection of the Mortgage Loans.
With regard to the above Agreement Templates, we noticed that the underlying mortgage loans include
first-hand and second-hand mortgage loans. As for the category of the Mortgage, the Mortgage Loans in
the Asset Pool are all Mortgage Loans. And we confirm all the templates above meet the legal aspects of
the Eligibility Criteria agreed in the Definition Schedule (such as clauses about assignment of creditor’s
right or the Right to Mortgage).
3) Samples
Based on the underlying asset information given by CCB, the Lead Underwriter selected 41 sample loans
using the criteria of subsidiary bank, type of the Loans (first-hand or second-hand housing Mortgage
Loans), marital status of the Borrowers (married, unmarried or divorced), gender of the Borrowers (male
or female) and repayment method. In specific, the selection standard is as following: (i) as the standard
of subsidiary bank, each subsidiary bank to be selected at least 2 loans; (ii) as the standard of loan
issuance date (between the year of 2007 and 2014, and after 2014), each issuing period to be selected at
least 2 loans, (iii) as the standard of marital status of the Borrowers (married, unmarried or divorced),
each status to be selected at least 2 loans;（iv）as the standard of gender of the Borrowers (male, female),
each gender to be selected at least 2 loans; (v) as the standard of repayment method, each method to be
selected at least 2 loans, (vi) as the standard of the type of the loans (first-hand housing Mortgage Loans,
second-hand housing Mortgage Loans), each type to be selected at least 2 loans. The samples are
composed of 41 loans. ZHONG LUN placed emphasis on the marital status of the Borrowers and grant
time of the Loans (related with the template agreement).
4) Reviewing Samples
ZHONG LUN reviewed the agreements of the samples in comparison with the Agreement Templates
mentioned above. For some samples, the subsidiary branch stated or provided locally applicable
templates, including: Residential (Commercial House) Loan Agreement (Tianjin Branch, Jan. 2015),
Residential (Commercial House) Loan Agreement (Jiangsu Branch, May 2016), Residential
(Commercial House) Loan Agreement (Fujian Branch), Residential (Commercial House) Loan
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Agreement (Shenzhen Branch), Residential (Commercial House) Loan Agreement (Henan Branch),
Residential (Commercial House) Loan Agreement (Suzhou Branch, Nov. 2013), Residential (Commercial
House) Loan Agreement (Suzhou Branch, June 2016). Based on the Eligibility Criteria agreed in the
Definition Schedule, we examined whether the selected mortgage loan samples meet the legal related
Eligibility Criteria.
5) Supplementary Documents, Discussions and Confirmations
In addition to the work described above, based on the actual situation of the legal due diligence, ZHONG
LUN required CCB to provide other relevant supplementary documents and updated the due diligence
information sheet as our working papers accordingly. We also inquired and discussed with relevant
personnel of CCB and required CCB to make or provide statements, explanations, confirmations and
commitments on certain matters.
（3）Conclusions of the Legal Due Diligence
Based on above, in accordance with the provisions of current PRC Laws and followed by professional
standards, moral rules, diligence and responsible spirit accepted by lawyer industry, ZHONG LUN
reviewed the basic situation of Mortgage Loans up to the Cut-off Date (13th October, 2018, the same as
below) and concludes:
Up to the Cut-off Date, the agreements of the samples are consistent with the Agreement Templates in
all material respects provided by CCB and are legal and valid. The terms of the Agreement Templates
related to the Mortgage Loan samples we reviewed comply with the laws and regulations, and the
selected Mortgage Loan samples meet the following legal related Eligibility Criteria as provided in the
Master Definition Schedule:
1) Criteria for the Borrowers (as for each Mortgage Loan)
On the loan grant date, the Borrower (or at least one of the co-borrowers) shall be a Chinese citizen or
permanent resident, and a natural person who is at least 18 years of age;
2) Criteria for the Mortgage Loans
(a) The Loan Agreement, the Mortgage Agreement, the Right to Mortgage and the Right to Mortgage
Preliminary Registration are legal and valid, and constitute legal, effective and binding
responsibilities of the Borrower and the Mortgagor; the Creditor and the Mortgagee are entitled
to claim rights against the Borrower or the Mortgagor according to the clauses thereof.
(b) Unless the relevant Borrower (or its representative) has prepaid off all the payable amounts
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(including existing and prospective, actual and contingent), the Borrower has no right to
terminate the Mortgage Loan Agreement.
(c) With regard to the Mortgage Loan or the Right to Mortgage, there is no unsettled dispute, judicial
or arbitral proceedings between the Originator and the relevant Borrower, Guarantee.
3) Criteria for the Mortgaged Houses:
As of the Cut-off Date, if the Mortgage Loan has been mortgaged by house, the mortgage has completed
the first priority mortgage right registration at the relevant real estate registration authorities in China,
and the registered first priority Mortgagee is CCB. As of the Cut-off Date, where the Mortgage Loan was
secured by the mortgage preliminary registration, the holder of the Right to Mortgage Preliminary
Registration is CCB.
4) Criteria for the Grant and Selection of the Mortgage Loans:
(a) As of the Cut-off Date, each Mortgage Agreement or Loan Agreement is consistent with at least
one of the Agreement Template of Mortgage Loans provided by CCB in all material respects;
(b) Each Mortgage Loan and the Right to Mortgage thereunder (if the Right to Mortgage has been
registered), the Right to Mortgage Preliminary Registration (if applies) can be transferred legally
and effectively; there is no provision in each Mortgage Agreement or Loan Agreement forbidding
transfer of the loan or requiring prior consent of the Borrower for the transfer.
（4）Judgment on the Legality and Compliance
Based on the conclusions of the legal due diligence on the sample loans listed in Annex II of the
Legal Due Diligence Report, and the statements, explanations, confirmations and commitments given by
CCB, ZHONG LUN made the following judgments on the legality and compliance of the sample loans
listed in Annex II up to the Cutoff Date:
i. the sample loans listed in Schedule II of the Legal Due Diligence Report are legally
owned by the CCB, and those Loans can be the Trust Property of this Trust.
ii. the selected sample loans listed in the Schedule II of the Legal Due Diligence Report
have been granted in compliance with all mandatory provisions of the PRC Laws.
2. Summary of Legal Opinion issued by ZHONG LUN Law Firm
ZHONG LUN is an entity providing professional legal service in PRC. ZHONG LUN has provided Legal
Opinion on the legal issues of Jianyuan 2018-21 Residential Mortgage Backed Securtization Trust
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entrusted by CCB TRUST (as Trustee and Issuer).
Zhong Lun lawyers conducted a sampling due diligence on the mortgage loan in the asset pool. As
regarding to the legality, validity, enforceability of Mortgage Loans, the Legal Opinion relies on the
Legal Due Diligence Report of Jianyuan 2018-21 Residential Mortgage Backed Securitization Trust.
Based on the professional standards, moral rules, diligence, responsible spirit, and good-faith principle
accepted by lawyer industry, as well as according to Trust Law of PRC, Contract Law of PRC, Property
Law of PRC, Corporate Law of PRC, Guarantee Law of PRC, Bankruptcy Law of PRC, Administrative
Measures for the Securitization of Credit Assets，Measures for Supervising and Administrating the Pilot
Securitization of Credit Assets by Financial Institutions and other relevant current PRC laws,
administrations, regulations, ZHONG LUN and its lawyers have made examinations and judgments to
the legality and effectiveness of the Transaction Documents provided by CCB and CCB TRUST and the
establishment of Trust.
（1）ZHONG LUN issues the Legal Opinion based on the following assumptions:
1) All natural persons have full legal capacity and all the signatures are true and effective. All originals
of the documents provided to the ZHONG LUN are true and accurate; all copies of documents or
documents provided to us by fax, e-mail or other electronic methods are consistent with the originals
of such documents; all the originals subsequently provided thereof are true;
2) Each party has obtained (or will obtain before the execution of the Transaction Documents) all
internal authorizations and approval which are necessary for the execution, delivery and
performance of the Transaction Documents in accordance with its articles of association and other
relevant organizational documents;
3) The representations and warranties of facts in the Transaction Documents (including but not limited
to the representations in the Trust Agreement regarding the Loans, but excluding the representations
and warranties we have particularly addressed in this Legal Opinion) are true, correct and complete,
without any false statement, misrepresentation or material omission;
4) The consideration of the Trust Property paid by the Trustee to the Settlor is no lower than the fair
market value of the corresponding property or assets；
5) The Settlor is solvent at the time when the Settlor enters into the Trust Agreement and entrusting the
Underlying Assets to the Trustee according to the Trust Agreement, and the Settlor and the Trustee
have no reasons to believe that the Settlor will become insolvent in the reasonably foreseeable future；
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6) Settlor’s transfer of the Basic Assets to the Trustee or sets the Trust does not cause any prejudice to
any interest of the Settlor’s creditors;
7) The Basic Assets transferred by the Settlor according to the Trust Agreement do not formally and
substantially constitute the whole assets of the Settlor;
8) The Settlor legitimately owns the Basic Assets entrusted to the Trustee according to the Trust
Agreement, and the Settlor has not created any security interest or encumbrances in favor of any
third party over the aforesaid Basic Assets;
9) The Trust Agreement, Servicing Agreement, Fund Custody Agreement and other Transaction
Documents upon their effective date will continue to be observed and performed after the Trust
Effective Date;
10) The execution of the Transaction Documents by all parties reflects the true intention of the parties
thereof, and are free of any illegal or fraudulent purpose;
11) There is not any fact or other arrangement between the parties to the Transaction Documents, which
could affect the legal force of any provision of the Transaction Documents or affect the Legal
Opinions issued by us.
（2）Legal Opinion of ZHONG LUN
1) CCB is a validly existing limited liability company according to PRC laws and has full legal capacity
to execute, deliver and perform the Master Definition Schedule, the Trust Agreement, the Servicing
Agreement, the Underwriting Agreement. CCB’s execution, delivery and performance of the
aforementioned Transaction Documents will not violate the current laws, administrative regulations
and department regulations of PRC. Such Transaction Documents will constitute legal, valid and
binding obligations of CCB after the entry-into-force conditions agreed in such Transaction
Documents are fully satisfied. The relevant parties of such Transaction Documents can claim their
rights against CCB pursuant to the clauses thereof, unless such claims are limited by bankruptcy,
insolvency, restructuring, reconciliation or other PRC Laws affecting the rights and remedies of
creditors.
2) CCB Trust is a validly existing limited liability company according to PRC laws and has full legal
capacity to execute, deliver and perform the Master Definition Schedule, the Trust Agreement, the
Fund Custody Agreement, the Servicing Agreement, the Underwriting Agreement. CCB Trust’s
execution, delivery and performance of the aforementioned Transaction Documents will not violate
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the current laws, administrative regulations and department regulations of PRC. Such Trust
Agreement and other Transaction Documents will constitute legal, valid and binding obligations of
CCB Trust after the entry-into-force conditions agreed in such Transaction Documents are fully
satisfied. The relevant parties of such Transaction Documents can claim their rights against CCB
Trust pursuant to the clauses thereof.
3) Other parties who intend to enter into the Servicing Agreement, the Fund Custody Agreement and
the Underwriting Agreement are validly existing and have full legal capacity to execute, deliver and
perform such Transaction Documents. Such parties’ execution, delivery and performance of the
aforesaid Transaction Documents will not violate the current laws, administrative regulations and
department regulations of PRC. Such Transaction Documents will constitute legal, valid and binding
obligations of the parties after the entry-into-force conditions agreed in such Transaction Documents
are fully satisfied. The relevant parties of such Transaction Documents can claim their rights against
the other counterparties pursuant to the clauses thereof, unless such claims are limited by bankruptcy,
insolvency, restructuring, reconciliation or other PRC Laws affecting the rights and remedies of
creditors.
4) Apart from the assumptions in this Legal Opinion and the following matters, CCB or CCB Trust
doesn’t need any approvals, licenses, authorizations or consents from any government authorities
for executing, delivering and performing the Transaction Documents:
(a) The China Banking and Insurance Regulatory Commission’s file recording of this
Project, where CCB as the Originator/ Settlor will entrust its legally owned Mortgage
Loans to CCB Trust as the Trustee and the Issuer, who will issue Securities to investors
according to the Trust Agreement;
(b) The permission from the PBOC for the Trustee and the Settlor to register and issue Notes
of the Jianyuan Series in the China Inter-bank Bond Market;
(c) The permission from the PBOC for CCB Trust to issue Notes in the China Inter-bank
Bond Market;
(d) CCB Trust has reported the related transaction to China Banking and Insurance
Regulatory Commission.
5) The Trust will come into force after the China Banking and Insurance Regulatory Commission and
the PBOC have completed the records and all the entry-into-force conditions agreed in the Trust
Agreement are satisfied.
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6) Once the Trust comes into force, the transfer of the Mortgage Loan Receivables by the Settlor will
come into force between the Settlor and the Trustee, and the corresponding Guarantee Security Right
(if have) will be transferred followed by the transfer of the Mortgage Loan Receivables. If any Right
Perfection Event or other conditions agreed on the Trust Agreement occur, the transfer of the Loan
Receivables will become effective to the Borrowers and Guarantors (if have) after the Settlor or the
Trustee notifies the Borrowers of the transfer in the form of Right Perfection Notices according to
the Trust Agreement.
7) When the Settlor transfers the receivables of Mortgage Loans followed by Trust Agreement, the
corresponding Mortgage Rights attached to receivables (if have) should be transferred at the same
time. According to article 192 in Property Law of the People’s Republic of China (“Property Law”)
and article 81 in Contract Law of the People’s Republic of China (“Contract Law”), with regard to
Mortgage Right of real estate attached to receivables of Mortgage Loans, when transferring
receivables, the Mortgage Right guaranteed this receivable should be transferred at the same time.
Once the Trust comes into force, the above Mortgage Right of real estate will be transferred to
Trustee (as transferee) when transferring receivables of Mortgage Loans, and the registration of
Mortgage Right transfer will not affect the Trustee (as transferee) to receive the Mortgage Right.
However, according to the article 106 in Property Law, the Mortgage Right which has not conducted
transfer registration cannot against bona fides third party.
8) To control the above risk, the Settlor and the Trustee have made agreements in Trust Agreement that,
within 30 Business Days after any Right Perfection Event occurs, they will submit necessary
materials which are needed to conduct transfer registration of Mortgage Right to registration
authorities in China to conduct any necessary procedure of transfer registration about Mortgage
Right, and will complete the procedure of transfer registration within 9 months after the Right
Perfection Event occurs to ensure the Mortgage Right is registered under the Trustee’s name. If they
cannot finish the procedure of transfer registration of Mortgage Right about Mortgage Loans within
the above limited term, the following measures will be available:
(a) If any reason existed before the Trust Effective Date causes the procedure of transfer
registration of Mortgage Right about Mortgage Loans cannot be completed within the
above limited term, the Settlor shall repurchase this Mortgage Loans followed by Article
3.1 of the Trust Agreement.
(b) If any reason existed after the Trust Effective Date causes the procedure of transfer
registration of Mortgage Right about Mortgage Loans cannot be completed within the
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above limited term, the Settlor should compensate, but have the right to choose one of
the following remedy:
(i) assume the actual losses caused to the Trustee or Trust Property;
(ii) repurchase the Mortgage Loans, pay the Repurchase Price and fulfill relevant
procedures refer to the provision of Repurchase Following Violation of Asset
Warranties in Article 3.1 of the Trust Agreement;
(iii) other remedies the Settlor and the Trustee agreed.
If the Settlor doesn’t make a choice within 10 Business Days after the above limited term,
the Trustee has the right to inform the Settlor to perform remedy (1) or (2), the Settlor
should perform the remedy accordingly. If choose remedy (1), the Trustee should inform
the Settlor the amount of actual losses within 5 Business Days since the losses happen.
If the Trustee and the Settlor can’t make an agreement on the amount of actual losses
within 20 Business Days since the losses happen, the Trustee has the right to ask the
Settlor to perform remedy (2).
9) Once the Trust comes into effect, Trust Property will be independent from other properties of the
Settlor that are not entrusted. When the Settlor is dissolved, terminated or declared bankrupt, if the
Settlor is the sole beneficiary of the Trust, the Trust will terminate and the Trust Property will become
the Settlor’s bankruptcy estate; if the Settlor is not the sole beneficiary of the Trust, the Trust will
still exist and the Trust Property will not be its bankruptcy estate, but the Trust Beneficial Rights
(including the Trust Beneficial Rights represented by the Securities) held by the Settlor will be its
bankruptcy estate. The Trust Property is also independent from the Trustee’s inherent properties.
When the Trustee is dissolved, terminated or declared bankrupt, the Trust Property will not be its
bankruptcy estate.
10) If the relevant parties issue and sell the Securities according to the Trust Agreement, the
Underwriting Agreement and the Underwriting Syndicate Agreement after legally obtaining the
China Banking and Insurance Regulatory Commission’s file recording and the PBOC’s approval of
this Project, the Securities will be issued and sold legally and effectively, and the Securities holders
are entitled to the rights, interests and benefits prescribed in the Trust Agreement.
11) The Securities issued by the Trustee according to the Trust Agreement only represent corresponding
shares of the Trust Beneficial Rights, and do not constitute the debts of the Settlor. The Settlor will
not make any warranties or guarantees on the interests and benefits on the Securities, and unless
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explicitly prescribed in the Trust Agreement, the Settlor also will not assume any implied liabilities,
nor making any further representations, warranties or commitment. In addition, the Securities do not
constitute the debts of the Trustee; unless the Trustee’s intention acts, fraud, or gross negligence
cause loss to the Trust Property, the Trustee assumes the liability of paying trust benefits to the
Securities holders only to the extent of the Trust Property, and will not make any warranties or
guarantees on the trust benefits.
12) In conclusion, the Master Definitions Schedule, the Trust Agreement, the Servicing Agreement, the
Fund Custody Agreement and the Underwriting Agreement do not violate any mandatory
requirements under the current PRC Laws, administrative regulations or policies, and the structure
of the Transaction is legal and effective.
B. Summary of the Transaction and Accounting Treatment Opinion
Ernst & Young reported on the appropriate application of IFRS and China Accounting Standards that
have been issued as of the date of the report in this credit asset securitization transaction. The accounting
commentary is intended to help evaluate accounting principles that apply to the described credit asset
securitization transactions. The summary of accounting opinions for this credit asset securitization
transaction is as follows:
1. Consolidation of the special purpose trust
China Construction Bank trusts its legally owned credit assets to CCB Trust according to the Trust
Agreement, which establishes trusts, manages, operates and disposes trust properties according to the
provisions of the Trust Agreement. Based on the current transaction structure and tranche retained by
China Construction Bank, China Construction Bank considers that it is necessary to consolidate the
special purpose trust.
2. Transfer of the credit assets
China Construction Bank believes that China Construction Bank and its combined special purpose
entities retain the right to receive cash flow from financial assets and assume the contractual obligation
to pay the cash flow to the eventual recipients. And the “pass-through arrangement” meets conditions
required in the standard.
3. Transfer of risks and rewards
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China Construction Bank evaluates the transfer of risks and rewards of pooled assets based on the entity’s
exposure, before and after the transfer, to the variability in amount, and timing of the net cash flows.
According to the risk measurement model provided by the China Construction Bank, 38.58% of the risks
and rewards of credit asset ownership were transferred through the proposed asset securitization
transaction. China Construction Bank believes that China Construction Bank and its combined special
purpose entities have neither transferred nor retained all risks and rewards. Please be noted that Ernst &
Young does not independently verify the assumptions or the reliability of the calculations used to
calculate the risk and reward transfer calculations used in the analysis process, and does not comment on
the accuracy of the results.
4. Control over the assets
China Construction Bank believes that China Construction Bank and its combined special purpose
entities retain control over the related assets.
Therefore, according to the requirements of accounting standards, considering the structural
characteristics and important assumptions of this securitization transaction, Ernst & Young has no
objection to the accounting principles formulated by China Construction Bank, that is, China
Construction Bank needs to consolidate special purpose trust, then the consolidated entity retains the
right to receive the cash flow of the underlying assets, and assumes the obligation to pay the cash flow
to the eventual recipients, and at the same time the arrangement meets the conditions of pass-through
requirements of the standard. The consolidated entity has neither transferred nor retained all risks and
rewards of the assets and retains control over the related assets. Hence, the consolidated entity shall
continue to recognize the financial asset to the extent of its continuing involvement in the financial assets.
C. Summary of Credit Rating Reports
1. China Chengxin International Credit Ratings –Summary of Credit Rating Report
CCXI has awarded the Class A-1 Senior Notes, the Class A-2 Senior Notes and the Class A-3 Senior
Notes, under “Jianyuan 2018-21 Residential Mortgage-backed Securitization Trust”, ratings of AAAsf,
AAAsf, and AAAsf, respectively.
CCXI has given such ratings to the Senior Notes, mainly based on the following aspects of the
Transaction:
(a) the robustness of the legal structure of the transaction and the underlying assets;
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(b) the credit quality of the Asset Pool;
(c) the credit enhancement provided by the senior/subordinate mechanism ;
(d) the structural characteristics of the Transaction, including the order of priority for collections
distribution, the adjustment of order of priority for collection distribution following
occurrence of an Accelerated Payment Event/ an Event of Default, and the arrangements for
Back-up Servicer appointment; and
(e) the qualification of CCB and its experiences as servicer.
（1）Strengths
1) The repayment of interest and principal follows the senior/subordinate payment mechanism. Senior
Notes benefit from 12.95% of credit enhancement provided by Subordinated Notes.
2) The total number of the Mortgage Loans in the Asset Pool is 61,284, and all Mortgage Loans are
residential mortgage loans. The average Outstanding Principal Balance of a single Loan is 0.027
million RMB, accounting for 0.002% and the highest Outstanding Principal Balance of a single
Loan accounts for 0.05% of the pool. The asset pool is well diversified.
3) As the Originator and the Servicer, CCB has assets with good quality. As of the end of 2017, non-
performing loan ratio of CCB is 1.49%. CCB has established mature loan service process and
effective prevention measures and accumulated a plenty of experiences in loan management in
practice.
4) The Underlying Assets in the Asset Pool are a static portfolio with no risk of using the collections
for continuing purchase of new Trust Properties.
（2）Concerns and Credit Mitigation
1) The Underlying Assets of the Securities are residential mortgage loans. Although residential mortgage
loans have been developing for several years in the PRC, it still has not experienced a full credit cycle.
The housing price is faced with high downside risk and the real estate industry currently is still under
national macroeconomic control, highly affected by national policy, and has uncertainty in the future.
Also, the Collaterals of the Mortgage Loans in the Asset Pool mainly concentrate in Guangdong, Jiangsu
and Fujian Province. The Outstanding Principal Balance of Mortgage Loans in above three areas
accounts for 33.76% of the total Outstanding Principal Balance of all the Mortgage Loans in the Asset
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Pool. The regional concentration is high. Negative influences may be generated on the credit of the
Mortgage Loans in the Asset Pool if drastic fluctuation happens in the real estate market of these areas.
Credit Mitigation: CCXI will constantly pay attention to the real estate market in these areas. Meanwhile,
to reflect the downside risk from the macroeconomic market, CCXI puts pressure on the variables of
measurement including the default rate and the recovery rate.
2) The Mortgage Loans in the Underlying Asset Pool are all floating rate loans and the Benchmark Rate
is the benchmark lending rate on loans of one to five years and over five years promulgated by the
People's Bank of China, which is adjusted by month, quarter, at the beginning of a year or to a year. The
sliding scale of the Mortgage Loans above the Benchmark Rate is 85%-100%. The Class A-1 Senior
Notes and the Class A-2 Senior Notes are fixed rate. The Class A-3 Senior Notes are floating rate based
on the benchmark lending rate on loans over five years which is adjusted on the 26 January of the year
following the Benchmark Rate Adjustment Date. If the PBOC adjusts the financial institutions lending
interest rate, the excess spread between the Senior Notes and Mortgage Loans in the Asset Pool will
decrease and cause certain interest rate risks to the Notes. In addition, there is a mismatch of interest
rates of the Senior Notes and the Mortgage Loans in the Asset Pool based on the interest rate adjustment
method for the Mortgage Loans and the Senior Notes.
Credit Mitigation: CCXI has considered the disadvantages of mismatch of interest rates, and has
calculated, by using the cash flow model, the excess spread of the Mortgage Loans in the Asset pool as
compared to the Senior Notes, and has conducted the stress test for excess spread change that may occur
during the transaction tenor. Through the test, the expected loss of the Senior Notes is in the permitted
loss ratio scale of the target rating.
3) The Underlying Assets of this Transaction are residential mortgages. According to the arrangements,
the Underlying Assets will be transferred to the Trust, and the mortgage transfer registration will not be
required to be completed until the occurrence of an Individual Notification Event. Since the mortgage
registration has not been changed, there is a possibility for delay in disposition of collaterals after the
loan defaults, which will adversely affect the interests of the Trust.
Credit Mitigation: According to the design of the Transaction, upon the occurrence of an Individual
Notification Event, CCB is required to submit all documents necessary to the relevant authorities and
apply for mortgage transfer registration within 30 Business Days and complete the mortgage transfer
registration within nine (9) months, to ensure the Right to Mortgage is registered in the name of the
Trustee. Apart from the Individual Notification Event, if the Servicer’s Right to Mortgage is questioned,
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which results in its failure in dealing with the Collections and exercising such Right to Mortgage, CCB
is required to complete the mortgage transfer registration within three (3) months to ensure the Right to
Mortgage is registered in the name of the Trustee. In addition, CCXI has to some extent considered the
effect of the mortgage transfer registration in the future when analyzing the default loss ratio, default
asset recovery ratio and recovery period.
（3）Credit Analysis
For the analysis method of RMBS expected loss, CCXI adopts the Probabilistic Method, which assumes
that the residential mortgage loss ratio obeys the log-normal distribution. Through the analysis of the
historical statistics of static and dynamic pool which are provided by the Originator, and combining with
macroeconomic changes, the market trends of the real estate assets and the characteristics of the
underlying assets in the Asset Pool, CCXI calculates the loss rate of the Underlying Assets in the Asset
Pool and the loss rate volatility, then CCXI gains the results of the expected loss probability density
function of the Asset Pool. The result is displayed in the following graph.
Probability Distribution of Expected Loss in the General Situation
Based on the analysis of the historic statistics of static and dynamic pool which are provided by the
Originator, CCXI simulates the probable cash flow (interest and principal) in each Payment Period and
the time distribution of cash flow in the Asset Pool. When analysing the benchmark default time
distribution of the Asset Pool, CCXI also refers to historical performances of personal mortgage loans at
the same time in similar cities. The benchmark default time distribution of the Asset Pool assumed by
CCXI is displayed in the following graph. Meanwhile according to the payment structure of different
classes of securities and system arranged cash flow allocation determined by transaction structure, CCXI
obtains the analysis results of credit support level required by expected loss of different classes of
securities.
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
0.00% 10.00% 20.00% 30.00% 40.00% 50.00%
default rate
Probability density
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Distribution of Default Time
CCXI holds that the benchmark prepayment rate is at the level of 10% of the residential mortgage loans
by analysing prepayment of the loans granted by CCB between Mar.,2010 and Jan., 2018. When running
cash flow stress test with target rating, CCXI takes into consideration the increase of expected issuing
rate, decline of recovery rate, increase of recovery time and other situations. Meanwhile, CCXI also
considers the effects of the structural characteristics of the transaction, for example, Senior/Subordinated
principal payment mechanism and principle transfer mechanism, and other factors like experience of the
Servicer on the credit support level.
2. China Bond Ratings – Summary of Credit Rating Report
China Bond Rating Co., Ltd. (CBR) has rated the Jianyuan 2018-21 Residential Mortgage-backed
Securities after considering factors such as the quality of the underlying assets, credit enhancement
arrangements and transaction structure, and after conducting quantitative analysis using the portfolio
credit risk analysis model and the cash flow model.
CBR believes that in terms of underlying assets, the asset pool of this RMBS has a relatively long
weighted average remaining term, so the credit quality is more likely to be affected by macroeconomic
situations. However, borrowers of this RMBS have a high degree of diversification, and the credit quality
of underlying assets is good; in terms of credit enhancement, the Senior Securities have a credit support
of 12.95% of the outstanding principal balance of the underlying assets by the Subordinated Notes; in
terms of the Originator/Servicer, China Construction Bank Corporation Co., Ltd. has low operation risk
and financial risk, and strong risk control ability; in terms of transaction structure risk, the trading parties
have extensive experience and strong capability to fulfil their duties, with relatively low transaction
structure risk. Based on the result of the rating models, CBR assigns the following ratings to this RMBS
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
1.20%
1.40%
1.60%
1.80%
2.00%
1 5 9 13 17 21 25 29 33 37 41 45 49 53 57 61 65 69 73 77 81 85
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transaction: Class A-1 Notes are rated at AAAsf, Class A-2 Notes are rated at AAAsf, Class A-3 Notes
are rated at AAAsf, and Subordinated Notes are unrated.
（1）Strengths
1) The repayment ability of the borrowers is relatively good. The weighted-average age of the
borrowers is 40.10 years old. Borrowers at this age normally have stable income and are mostly in
a stable period in terms of career development and income. Their family situation is relatively
stable, and willingness for repayment is strong. Meanwhile, the weight-average income-to-debt
ratio of the borrowers of loans in the asset pool is 4.67, which implies relatively high-level
guarantee to the loan repayment.
2) The underlying assets are well diversified, so concentration risk is very low. There are a large
number of loans in the Asset Pool with a total number of 61,284 loans. The maximum outstanding
principal balance of a single loan is 8.60 million RMB, accounting for 0.05%. The loan amount is
highly diversified, and concentration risk is very low.
3) Loans in the Asset Pool have certain loan ages, which helps reduce the expected default rate
of the Asset Pool. The shortest loan age of the asset pool is 0.13 year, the longest loan age is 10.78
year and the weighted average loan age is 3.43 years. The overall Asset Pool have certain loan ages.
The repayment of all mortgage loans in the Asset Pool is matching the repayment of principal or
principal/interest by pass-through. With the increase of the loan age, the risk exposure of the loans
gradually decreases and the loan-to-value ratio of the loans constantly decreases. Thus, not only
the pressure to repay principal in later stage will decrease, the default rate of the Asset Pool will
also decrease and the recovery rate after default will increase.
4) The mortgage registration for all the pledges have been finished , providing better support
for the future recovery of collateral. According to the pool statistics, all the mortgage loans in
this period are registered in the formal way, and the loan has a certain age, which provides a good
support for the future recovery of the mortgages.
5) Senior-Subordinated Structure provides good credit support for the Senior Securities. The
Senior Securities has credit support of 12.95% of the outstanding amount of the underlying assets
by the Subordinated Notes.
6) The transaction structure risk is relatively low. The transaction documents regulate that the
Originator should pay Redeem Price to the Servicer to redeem the offset amount when the
borrowers exercise the right to set-off, the Trust Reserve Account (setoff) is set up to mitigate such
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risk, so that the offset risks of underlying assets are low. It is very unlikely that the Servicer should
bankrupt or face insolvency, and there are few possibilities with the absence of the Servicer. The
frequency of paying the collective receivables is based on the rating level of the Servicer, which
reduces the funds mix risks.
（2）Concerns
1) The term of the securities is very long, and the credit quality of the Asset Pool is more likely to be
affected by the future economic situation. The Legal Maturity of this Notes is 26th November, 2041,
and the weighted average remaining term of the pooling assets is 11.89 years, which is vulnerable
to macroeconomics fluctuation and highly uncertainty. Since 2016, the structural supply reform
policy, “Capacity Reduction, De-stocking, Deleveraging, Cost Reduction, and Improving
Underdeveloped Areas”, has been implemented in China, which promoted the supply-demand
balance; as a result, the industrial production recovered evidently. During the process, China’s
economics operation avoided “Hard Landing” risks, and the total demand recovered steadily;
China’s economy has stepped into the high-quality-oriented stage from the high-speed-oriented
stage, and the growth rate of urban residents’ disposable income started to rebound for the first
time after consecutive decline. In the mid- and long-run, China’s economic growth rate, following
the economic growth pattern, will decelerate systematically. However, financial risks, poverty, and
environmental problems still impose concerns on the transformation of economics growth pattern.
Additionally, the international affairs and trade frictions since 2018 generate uncertainties.
Meanwhile, the accelerated increase of residential leverage ratio and growth rate of real disposable
income in the resident sectors, which is lower than the real economics thereof, will both influence
the future solvency capacity. CBR has taken this risk factor into consideration in the credit risk
model and adjusted the default distribution and recovery rate of the underlying assets respectively.
2) There are some inconsistencies between the static sample pool and some characteristics of the
Asset Pool. There may be errors in estimating the state of loan transfer, leading to some errors in
estimating the expected default risk. The historical data on which this rating is based is a sample
of more than 93 static pools formed by mortgage-backed mortgages issued by the Bank during the
year of 2010 to the second half of 2017. However, the static sample pool and the securitized assets
pool have some differences in age, remaining maturity and the macroeconomic situation
experienced which will lead to a certain error in the estimated transfer matrix of loan status, then
leading to certain errors in the expected default rate and expected loss ratio of the asset pool. CBR
has taken this factor into account in the portfolio credit risk model and adjusted the loan state
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transition matrix of the underlying assets.
3) The weighted average interest rate of loans in the asset pool is relatively low, and the repayment
of the Notes is susceptible to the actual interest rate. The weighted average interest rate of this ABS
is 4.80%. After deducting interest expense and other expenditures, the remaining interest generated
from the mortgage loans may not be able to support the interest outflows of the Notes. The
repayment of the Notes is susceptible to the actual interest rate. If the coupon rate of each class of
the Senior Notes is high, the repayment of the principal and interest of the Notes may be affected.
CBR has performed stress test model based on divergent issuing interest rates of the Senior Notes.
Hence, to some extent, the result of the rating has already considered the current market
environment.
4) The underlying assets did not apply for Mortgage Right Transfer Registration. When the Originator
transfers the Trust Property hereof and has not completed the Mortgage Right Transfer Registration,
there exists the risk that it cannot confront the bona fide third party. To mitigate this risk, the Trust
Agreement stipulates that the Originator and the Trustee shall complete the Mortgage Right
Transfer Registration within the prescribed time after any Individual Notification Events. If the
Mortgage Right Transfer Registration cannot be completed within the stipulated time, the
Originator shall, according to the provisions of the Trust Agreement, repurchase these mortgages
as assets in breach of assets or apply other compensation measures to protect the rights, interests,
and benefits of the Trustee upon the mortgages and collateral properties.
（3）The Rating Model Calculation and Analysis
The credit rating assessment of the Residential Mortgage Backed Securities by CBR is to assess the
possibility of timely and full principal and interest payment of the Notes under assessment: First, the
average default risk and basis reflected by the Originator’s own static pool data, reflecting the average
default risks and intrinsic default risks, determines the level of the portfolio credit risk of the
underlying assets, which is illustrated by the portfolio credit risk model. Secondly, considering the
characteristics of the transaction structure such as excess spread, liquidity support, and credit triggering
events as well as the coverage level of the Notes’ principal and interests, CBR, based on transaction
structures and specific stress conditions, conducts the cash flow analysis and stress test. Finally, given
that the amount of credit enhancement rate obtained by the Notes is greater than the Target Loss Ratio
(TLR) as well as that the Critical Default Ratio (CDR) under all stress conditions is greater than the
Target Default Ratio (TDR), along with trading structure risks, legal opinions, and due diligence
capacity analysis of the participating agencies, CBR determines the final credit rating.
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1) Calculation of credit risks of underlying asset portfolio
CBR rates the Residential Mortgage Backed Securities by stress testing method. Namely, the
benchmark default rate and benchmark loss ratio shall be calculated by portfolio credit risk analysis
model; then in accordance with CBR’s credit rating standards, target TDR and target TLR shall be
calculated through multiplying the benchmark default rate and benchmark loss ratio by the
corresponding target pressure multipliers thereof.
(a) Calculation of the initial average default rate
Firstly, estimate the state transition matrix of the loan. Due to the non-rating of personal loans, in order
to differentiate the credit risk of different loans, CBR classifies the loans as normal loan, loan overdue
for 1-30 days, loan overdue for 31 days and over, loan settled in advance and loan had been overdue
for 31 days and above, but currently been normal. The state transition matrix characterizes the
probability of the underlying asset moving from one state to another. According to the actual situation
in our country, CBR believes that the transfer matrix of loans changes with the aging of accounts and
will stabilize after a certain period of time. In the credit indebtedness, the loan duration is divided into
three time periods to estimate the state transition matrix. Firstly, the historical state transfer matrix is
estimated through the monthly repayment status of each loan in the static sample provided by the
initiating agency as the first few years matrix. Secondly, based on the historical performance data of
each bank that CBR has accumulated, CBR estimates the industry benchmark transfer matrix by bank
type as the medium-term state transition matrix. If the historical data and the industry benchmark
transfer matrix are not continuous, the state transfer matrices of the middle years are filled up by linear
difference method. Finally, the steady-state transfer matrix is further deduced from the variation types
of bank state transfer matrices and the repayment characteristics of the borrower according to the bank
type and business scope, and determines the steady-state time according to the contract period of the
asset pool. The transfer matrix of subsequent years is determined according to the industry benchmark
matrix and the steady-state matrix.
Secondly, estimate the initial average default rate. Firstly, according to the age of the loan in the
current age select the appropriate state transition matrix, based on the current loan repayment state,
calculate the loan state vector at the end of the repayment period. Secondly, generate a uniform
distribution of random numbers, according to the state vector to determine the loan at the end of the
repayment period, the outstanding principal balance at the end of the repayment period is calculated
according to the repayment method and status of the loan. Thirdly, according to the definition of
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default loan in the master definition table of the transaction contract, the default rate of each loan of the
underlying assets is finally obtained. Finally, the initial average default rate of the underlying assets is
obtained through tens of thousands of Monte Carlo simulations.
(b) Calculation of average default rate and average loss ratio for the baseline scenario
For the above calculated initial average default rate, the average scenario default breakeven rate is
obtained through the following adjustments: Firstly, the static pool data of the bank is the performance
of the default rate in the sense of averaging loans of the entire bank. Based on the relationship between
the asset pool and static Pool differences to calculate the average ratio of default adjusted to fully
reflect the default characteristics of the asset pool; Secondly, the direct use of historical data deduced
future existence is not appropriate which, should be adjusted to get the average default rate of neutral
scenarios based on historical data in the macroeconomic stage and the future macroeconomic situation
of the asset pool The duration of macroeconomic development to determine the situation, the
calculated average rate of default adjusted to get the average default rate of neutral scenarios; Thirdly,
some of the factors that will affect the accuracy of the calculation results should be adjusted, such as
the static historical data of the pool are not enough for reference and directionality, obvious logic errors
in the data of the static pool, insufficient due diligence of the initiating agency/loan service agency, and
obvious negative factors of the asset pool compared with the static pool. According to the average
default rate of asset pool baseline scenario, the default time distribution and the recovery rate of each
year, calculate the average loss rate of the baseline scenario.
(c) Credit risk analysis model measurement results
The above calculated benchmark scenario average default rate is 4.04% with an average loss ratio of
0.77%. According to the pressure multiplier, under different target credit rating level, the default rate
and the loss ratio of the assets pool subjected to the rated securities can be obtained. According to the
results of the combined credit risk analysis model and the hierarchical scheme of the current Notes, the
grade of credit enhancement provided by the Subordinated Notes is 12.95%, which is greater than
AAAsf level under the target credit rating. The asset pool loss ratio is 3.87%. Therefore, the upper limit
of the underlying asset indicated by CBR credit risk analysis model is AAAsf for Class A Notes..
2) Cash flow analysis and stress testing
According to the characteristics of trading structure, such as the trading account setup, cash flow
payment mechanism, credit triggering events, credit enhancement measures and other characteristics of
the underlying assets, CBR established a cash flow analysis and stress testing model dedicated to the
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current issue of securities. The main source of cash inflows from the model include Principal
Collections and Interest Collections, etc. The major cash outflows include taxes and fees, service fees
of participating agencies, interest on Senior Notes, principal of the Senior Notes and principal of the
Subordinated Notes. The main function of the stress test is to assess the cash flow generated from the
underlying assets under the pressure of interest on securities and the coverage of the principal in order
to test the robustness of the trading structure and the credit rating obtained by the assessment of
securities to meet the target level of credit rating Level.
Based on the static sample pool data, CBR calculates the annual prepayment rate after loan issuance,
and sets the prepayment rate of pooling assets in combination with the weighted average aging of asset
pool. In determining the recovery rate of assets into the pool, first of all, according to the past housing
prices up and down the market value of the collateral will be adjusted to the date of the package date;
Second, considering the discount in the rapid liquidation process, Is the situation, the loan service
agencies such as the ability to collect the liquidation of the value of the mortgage; Finally, the value is
divided by the Outstanding Principal and Interest Balance each year and get the recovery rate of each
year. The default time distribution is mainly based on the distribution of default simulated by the
combined credit risk model and the characteristics of cash flow distribution of the underlying assets.
The estimated interest rate of each tranche of securities is mainly based on the issuance of products of
the same grade in the same period of the recent market, combined with the judgment of the trend of
interest rates at the time of issuance.
Based on the analysis of economic performance and the credit risk of asset pools, the following major
stress conditions have been set in the credit risk of CBR: pre-defaulting time distribution, narrowing
spreads, changes in prepayment rates, and falling future housing prices in the recovery rate calculation.
CBR through the cash flow analysis and stress test model, tested the critical default rate of securities.
The critical default rate indicates that under the stress scenario of the target credit level, it is enough to
generate sufficient cash flow to pay the default rate of the principal and interest of the securities subject
to the agreement. The difference between the critical default rate and the required default ratio (TDR)
at the target credit level is the protection distance, which reflects the ability of the underlying asset to
resist the anticipated risk of default.
Under the most stressful scenario, the Senior Notes with highest credit rating have a protection distance
(1.62%) at AAAsf. CBR believes that the credit rating of the Senior Notes as determined by the cash
flow stress test is AAAsf.
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Based on the portfolio credit risk analysis model and the cash flow stress test, CBR believes that AAAsf
can be rated for Class A-1 Notes, Class A-2 Notes, and Class A-3 Notes while the Subordinated Notes
is not rated.
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Chapter VII FOLLOW-UP ARRANGEMENTS FOR
SECURITIES
A. Arrangement of Follow-up Ratings
1. Arrangement of Follow-up Ratings by CBR
CBR will, during the valid term of credit rating of the assessed securities, carry out ongoing follow-up
monitoring of credit status of assessed securities, and will issue the follow-up rating report prior to July
31 of the current year in respect of the asset securitization products which are still during their duration
in the current year and are offered and established prior to the end of the previous year when the principal
of Senior Securities is outstanding.
CBR will continue to be concerned about credit quality of assessed securities and make every effort to
collect and understand relevant information affecting changes in credit quality of securities. During the
valid term of securities, the Issuer/Originator shall promptly provide CBR with materials, including but
not limited to, the loan/asset service report, the Trustee Report, the annual financial report and relevant
information affecting credit status of Trust Property. In case of any material event possibly affecting
rating of Securities, the Trustee/Servicer shall, within three Business Days after it is aware of occurrence
thereof, notify CBR and provide CBR with relevant information. Where CBR learns that any material
event affecting credit rating of assessed securities occurs, CBR shall, in respect of such event, require
the Originator, Servicer, Trustee, Lead Underwriter, Joint Lead Underwriters and other institutions
participating in the transaction to provide relevant information to determine whether it is required to
adjust credit rating. When it is unable to obtain valid rating information, CBR may temporarily cancel
the credit rating.
2. Arrangement of Follow-up Ratings by CCXI
CCXI will conduct follow-up rating of Senior Securities within the duration of the Securities, that is,
before the balance of the principal of Senior Securities becomes zero, CCXI will monitor credit
performance of Loan Pool, carry out ongoing assessment of credit status of DNAF and Fund Custodian,
and dynamically track credit status of this transaction through regularly inspecting relevant reports of the
Servicer, the Trustee and Fund Custodian to judge whether degree of risk and credit quality of the
securities change. Within duration of Senior Securities, CCXI will issue the follow-up rating report
before July 31 in every year. Where rating of Securities changes, CCXI will promptly notify the Trustee,
and announce said change to investors on company website. Where the subject credit rating of the
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Originator, Servicer or Fund Custodian changes, thereby resulting in that the triggering mechanism in
transaction documents is triggered, CCXI will promptly notify the Trustee.
B. Arrangements of Information Disclosure for Securities
Within the duration of the Securities, relevant institutions mainly make information disclosure based on
relevant provisions of Administrative Measures on <Pilot Scheme for Securitization of Credit Assets>,
<Measures for the Supervision and Administration of the Pilot Scheme on Securitization for Credit
Assets of Financial Institutions>, <Rules for the Information Disclosure of Asset-backed Securities
(Announcement of the People's Bank of China No. 14 [2005])>, <Announcement of Matters Regarding
Information Disclosure of Credit Asset Securitization Underlying Asset Pool (Announcement of the
People's Bank of China No. 16 [2007])> and etc. Contents and method for access to relevant information
disclosure are as follows:
Information disclosure shall be conducted by means of the Trustee disclosing the Trustee Report, Rating
Report on The Securities and Trust Liquidation Report as well as other reports deemed necessary for
disclosure by the Trustee. The Noteholders may acknowledge the situation regarding to the management,
utilization, disposal and proceeds and expenses of the Trust by reviewing the aforesaid reports.
1. Information disclosure of the Trustee shall be conducted via the information disclosure system of
the National Association of Financial Market Institutional Investors and its connected website of
Beijing Financial Asset Exchange (www.cfae.cn), Chinamoney Net (www.chinamoney.com.cn) and
China Bond Information Website (www.chinabond.com.cn) or any other media required by PBOC or
National Association of Financial Market Institutional Investors. The Trustee shall ensure the
authenticity, accuracy and integrity of the disclosed information. There shall be no falsified description,
misleading statements or major omissions.
2. According to the stipulations in Trust Agreement and relevant Transaction Documents and contracts,
the Settlor and the service-providing institution designated by the Trustee shall provide related
information reports to the Trustee on a timely basis and ensure the authenticity, accuracy and integrity
of the information provided.
3. Information insiders such as the Settlor, the Trustee and the institutions providing services for
securitization are not allowed to reveal the information before disclosure.
4. During the trust period, the Trustee shall, on each Trustee Reporting Date, provide the Trustee
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Report on the information disclosure system of National Association of Financial Market Institutional
Investors and its connected website of Beijing Financial Asset Exchange (www.cfae.cn), Chinamoney
Net (www.chinamoney.com.cn) and China Bond Information Website (www.chinabond.com.cn) or any
other media required by PBOC or National Association of Financial Market Institutional Investors,
through which the status of the Trust Property in relation to the Securities and information in relation
to the principal and interest payment of the Securities of various classes shall be revealed.
5. The annual Trustee Report of the previous year released by the Trustee and audited by the auditor
shall be disclosed for issuing audited report prior to April 30 every year and auditors are entitled to
access to and audit relevant accounts, documents and other information in relation to the Trustee, the
Servicer and the Fund Custodian in which circumstance the Trustee, the Servicer and the Fund
Custodian shall provide assistance.
6. The Trustee shall, according to the arrangements agreed with The Rating Agency regarding the
follow-up rating of Senior Securities, disclose to Noteholders the follow-up rating report of previous
year before July 31 each year within the duration of the Senior Securities. The Trustee shall notify the
Rating Agency about the occurrence of Special Matters or the Temporary Material Events alleged under
the following Paragraph 7 within three Business Days after it knows or should have known such
occurrence of said event.
7. If any Temporary Material Events having substantial effect on the value of the Trust Property occurs,
the Trustee will, within three Business Days of occurrence thereof, notify each Rating Agency, deliver
information disclosure materials to the information disclosure system of National Association of
Financial Market Institutional Investors and its connected website of Beijing Financial Asset Exchange
(www.cfae.cn), Chinamoney Net (www.chinamoney.com.cn) and China Bond Information Website
(www.chinabond.com.cn) or any other media required by PBOC or National Association of Financial
Market Institutional Investors, and submit the same reports to the PBOC and CBIRC. The Temporary
Material Events referred to in this article include but not limited to the following:
(1) The Trustee fails or announced to make payment of any principal, or interest of Securities on
time, and other items which would affect investors’ interest;
(2) occurrence of any Trustee Termination Event, Servicer Termination Event, Individual
Notification Event, Accelerated Payment Event or Event of Default;
(3) any breach by the Trustee, the Servicer or the Fund Custodian of any PRC Laws or any
Transaction Documents, to which it is a party to, which can reasonably be expected to have a
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Material Adverse Effect on the rights and interests of the holders of the Senior Securities;
(4) credit rating of any class of the Senior Securities is degraded or cancelled;
(5) other matters required to be disclosed by regulatory authorities such as CBIRC and PBOC;
(6) any other matter required to be disclosed by PRC Laws.
C. Rights of Trust Beneficiaries
Trust Beneficiaries have the right to obtain the relevant information of the Trust according to the Trust
Agreement.
According to the Trust Agreement, Trust Beneficiaries are obligated not to abuse any confidential, non-
public information about the Trust.
D. Method for Accessing Information About the Underlying Assets
During the Securities offering period and its duration, the Investors may go to the following location to
check and review the full text of this Offering Circular and project information allowed to be disclosed
under the information disclosure requirements of regulatory authorities:
Registered Address: 45 Jiushiziqiao Street, Hefei, Anhui Xingtai Building
Legal representative: Baokui Wang
Contacts: Xiaofei Yan, Xinyu Zhi, Cheng Wang
Phone Number: 010-67594377
Fax: 010-67594407
Postal Code: 100031
Website: www.ccbtrust.com.cn
In addition, investors may have access to this Offering Circular and the continuously disclosed
information at the following website during the offering period and duration of the Securities:
Information disclosure system of National Association of Financial Market Institutional Investors and its
connected website of Beijing Financial Asset Exchange: www.cfae.cn
Website of China Government Securities Depository Trust & Cleaning Co., Ltd.:
www.chinabond.com.cn
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China Money Network: www.chinamoney.com.cn