A Further Study on Accounting for Securitizations of Financial Assets

Financial Asset Securitization has been developed in the world for several decades, and the accounting standards of Financial Asset Securitization have been promulgated and revised constantly. My study first introduces the meaning of Financial Asset Securitization, and discusses the reasons enterprises apply Securitization. Then my study summarizes the accounting issues of Securitization and analyzes SFAS 140 and the ROC statement of Financial Accounting Standards No 33. Further more, I make a research of the relative bulletins, the drafts, and the new concepts that are developed in order to cope with the changes of the environment and the practice needs. At last, I try to give some suggestions about the ROC statement of Financial Accounting Standards No.33：

1. Catch up with the USA’s and the international accounting standards.
2. Regulate about SPE more strictly.
3. Refer to the derecognition steps of IAS 39.
4. Establish the systems and the institutions of fair-value valuation.
5. Regulate clean-up calls and removal-of-acconts-provisions.