The biggest advantage of ABS financ

The biggest advantage of ABS financing mode is to raise funds by issuing bonds in the international market. The bond interest rate is generally low, which reduces the financing cost. 2. ABS issues bonds to raise funds through the securities market. 3. ABS financing mode cuts off the risk of the original owner of the project, so that the fund to pay off the bond principal and interest is only related to the future cash income of the project assets, dispersing the investment risk. 4. ABS financing mode raises funds by issuing high-grade bonds through SPV to avoid the limitation of asset quality of the originator. 5. As a financing method for securitization projects, ABS has taken measures to increase its credit rating by using SPV, and can issue high-grade bonds that are easy to sell, transfer and discount.