Introduction to ABS products in Supply Chain Finance
As for ABS products in supply chain finance, DAGONG is aiming to provide professional and bespoke consulting services for ABS issuing, while supporting enterprises to explore financing channels for standardized products, in order to fulfill their demands. With professional product design services, mature credit rating techniques and ABS credit management system, DAGONG provides a series of customized consulting services for target enterprises regarding capital screening, product design and credit rating.
Underlying assets screening
The core of risk control is based on ten credit rating techniques, which could filter out the underlying assets that generate sustainable and stable cash flow through the trading relationships between the upstream enterprises and the downstream enterprises.
ABS product design
Through assessing the corporate’s demand, financing cost and the investor’s risk control,DAGONG carries out services including trade structure design, cash flow calculation and the off-balance sheet demands for target enterprises, finalizing the overall product design.
ABS credit rating
With abundant ABS credit rating experience, DAGONG uses ten core credit rating techniques to unveil the credit risks of structured finance products to provide accurate rating information for investors, which enables them to screen out the valuable products, to provide credit rating services for high credit quality products so as to support the issuers to finance smoothly, and to promote the level of credit management in structured finance products, in order to prevent the credit risk effectively.
ABS credit management system
The purpose of the ABS credit management system is to monitor and visualize the cash flow status during the durations of the ABS products. On the one hand, it strengthens the ability of risk management for ABS, by monitoring the SPV asset pool, asset return and the cash flow payments at a real-time basis. On the other hand, it strengthens the information disclosure of the ABS products, facilitates to match the qualified investors with the appropriate financial products, analyzes the relevant information which could affect the products, decreases issuing costs and enhances product rating.