And then there were 5
Today, the Federal Reserve expanded the number of credit-ratings companies permitted to rate assets for the Term Asset-Backed Securities Loan Facility (TALF) to five.
The Fed said newly issued and older CMBS must have at least two AAA ratings from DBRS, Fitch Ratings, Moody’s Investors Service, Realpoint LLC or Standard & Poor’s and can’t have a rating below AAA from any of them. The Fed said it’s “more broadly” determining which ratings companies to use to determine eligible collateral for the central bank’s credit programs.
Tags: central bank’s credit programs, credit-ratings companies, Federal Reserve
