SEC: Credit ratings would need better grades
The SEC proposed new rules that seek to boost the transparency and integrity of credit ratings. The changes…
The SEC proposed new rules that seek to boost the transparency and integrity of credit ratings. The changes are part of its responsibilities under the Dodd-Frank Act. Congress has said credit ratings applied to structured financial products are inaccurate and contribute to the mismanagement of risk by investors and institutions. Ratings organizations would be required to report on internal controls, protect against conflicts of interest, and establish professional standards for credit analysts, among other rules. For the proposed rule, click here.
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