According to Wit Solberg, head of Fitch Ratings' Asian structured finance group, the imminent take-off of securitization in The People's Republic of China has the potential to make the business profitable for the region's ABS practitioners.
"I am very excited about China," Solberg said. "Securitization cannot be profitable unless you get scale. In other Asian markets you cannot aggregate scale due to regulatory issues. Therefore you need a market with a huge asset base whereby you get scale and yield, which China has.