EC pushing for rating agency regulation

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The European Commission (EC) has outlined a formal proposal to regulate credit rating agencies, which it hopes will improve the quality of ratings, restore investor confidence and reduce conflicts of interest "inherent to the ratings business".

Rating agencies have come under attack from all sides during the past 18 months. In particular, they have been criticised for assigning AAA ratings to subprime mortgage-backed securities and collateralised debt obligations with subprime exposure -

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Credit risk & modelling – Special report 2021

This Risk special report provides an insight on the challenges facing banks in measuring and mitigating credit risk in the current environment, and the strategies they are deploying to adapt to a more stringent regulatory approach.

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