Republicans Immunize Rating Agencies from Accountability in Financial Choice Act

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Republicans Immunize Rating Agencies from Accountability in Financial Choice Act No government regulation will ever apply to any rating agency that the government regulates, according to the Financial Choice Act. Continue ReadingRepublicans Immunize Rating Agencies from Accountability in Financial Choice Act

Efficient, commonsense actions to foster accurate credit ratings

Efficient, commonsense actions to foster accurate credit ratings   This blog article summarizes a recent article published in Capital Markets Law Journal. Reference: Norbert J. Gaillard and William J. Harrington, Continue ReadingEfficient, commonsense actions to foster accurate credit ratings

When Sovereigns Go Bankrupt

This article summarizes the book “When Sovereigns Go Bankrupt” (Gaillard 2014), which provides a fresh analysis of how to cope with sovereign risk in the context of a rising likelihood Continue ReadingWhen Sovereigns Go Bankrupt

How Moody’s has drawn the lessons from the Eurozone debt crisis

Credit rating agencies have historically failed to anticipate the public debt crises in rich countries. This Wikirating blog article describes how Moody’s sovereign rating methodology has been modified in the Continue ReadingHow Moody’s has drawn the lessons from the Eurozone debt crisis

Eurozone, Sovereign Ratings and Bond Yields

This column explains how and why sovereign ratings and bond yields failed to anticipate the Eurozone debt crisis. It also argues that, paradoxically, sovereign ratings are now valuable risk indicators Continue ReadingEurozone, Sovereign Ratings and Bond Yields

Government Credit Crisis Over – So Where are the Upgrades

The sovereign and municipal debt crisis of the early 2010s is finished. Overblown predictions of a credit meltdown among European sovereigns, US states and cities, and other advanced economy governments Continue ReadingGovernment Credit Crisis Over – So Where are the Upgrades

Is the Eurozone Debt Crisis Over? The View from Moody’s

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Regulation (EU) no. 462/2013 of the European Parliament and of the Council of 21 May 2013 requires credit rating agencies to publish a calendar of their sovereign and subsovereign rating Continue ReadingIs the Eurozone Debt Crisis Over? The View from Moody’s

Entire Financial System Needs Commonsense Review of Derivative Contracts: Let’s Start with ABS

Wikirating is publishing two letters and one e-mail in which I map risks to an asset-backed security (ABS) when the issuer is party to a swap contract, a widely used Continue ReadingEntire Financial System Needs Commonsense Review of Derivative Contracts: Let’s Start with ABS