Bond credit rating

Trumid Reports March Performance and Q1 2024 Trading Highlights

Retrieved on:

Monday, April 8, 2024

RFQ, Growth, Calendar, Bond credit rating, ADV, Cryptocurrency

NEW YORK, April 8, 2024 /PRNewswire-PRWeb/ -- Trumid, a financial technology company and fixed income electronic trading platform, today announced trade volume and user participation highlights for March and Q1 2024.

Key Points:

NEW YORK, April 8, 2024 /PRNewswire-PRWeb/ -- Trumid, a financial technology company and fixed income electronic trading platform, today announced trade volume and user participation highlights for March and Q1 2024.
Over 500 users initiated a Trumid RFQ in Q1 and over 600 users responded to an RFQ in Q1.
The daily average number of users trading in Trumid RFQ has grown over 3x since the launch of Trumid Disclosed RFQ in May 2023.
Trumid Swarms and Trumid Attributed Trading (AT) enjoyed a record quarter for traded volumes and number of clients executing trades.

AM Best Rating Services CEO Featured on New Society of Actuaries’ Podcast Episode

Retrieved on:

Friday, March 15, 2024

Insurance, Other Communications, Finance, Consulting, Public Relations, Investor Relations, Thought Leadership, Communications, Professional Services, Media, SOA, Bond credit rating, ALL, News, AM Best

AM Best Rating Services President and CEO Matthew C. Mosher appears as a guest in an episode of SOA Podcasts – Society of Actuaries: Demystifying Regulatory Bodies and Rating Agencies.

Key Points:

AM Best Rating Services President and CEO Matthew C. Mosher appears as a guest in an episode of SOA Podcasts – Society of Actuaries: Demystifying Regulatory Bodies and Rating Agencies.
The episode is the first in a series of podcasts that will explore and differentiate between regulatory bodies and rating agencies that oversee the insurance industry.
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry.
Copyright © 2024 by A.M. Best Rating Services, Inc. and/or its affiliates.

Standard & Poor’s Upgrades Cemex to Investment Grade

Retrieved on:

Wednesday, March 13, 2024

Sustainability, Other Construction & Property, Construction & Property, Environment, S&P, Bond credit rating

Rating agency Standard & Poor’s (S&P) announced today that it has upgraded Cemex’s long-term global scale issuer credit rating to Investment Grade (BBB-) due to its strong financial and operating performance, deleveraging strategy, and flexible capital allocation.

Key Points:

Rating agency Standard & Poor’s (S&P) announced today that it has upgraded Cemex’s long-term global scale issuer credit rating to Investment Grade (BBB-) due to its strong financial and operating performance, deleveraging strategy, and flexible capital allocation.
“Achieving an investment-grade credit rating from S&P is a very important milestone for Cemex,” said Fernando A. González, CEO of Cemex.
“While we had record results last year, this rating is recognition of successful execution against our medium-term strategy and consistent financial performance over several years.”
In 2023, Cemex’s EBITDA grew 25%, while Free Cash Flow after maintenance capex more than doubled.
S&P also upgraded Cemex’s national scale issue-level rating (Mexico) scale to mxAA+ from mxAA.

The impact of regulatory changes on rating behaviour

Retrieved on:

Tuesday, April 2, 2024

Długosz, Disagreement, Pi bond, Direct lending, Key, Research Papers in Economics, Finance Secretary (India), University of Oxford, STS, Journal of Economic Perspectives, International, American Economic Review, Life, Columbia Business School, British Academy of Management, Risk assessment, ABS, Rating, EBA, Development, Reputational damage, OBS, CRA, Bond credit rating, Cras, Journal of Monetary Economics, CDO, Becker, Paper, 2007–2008 financial crisis, Raja, University, Environment, Journal of Financial Economics, Perception, H3, Website, Securitization, Working paper, Market, Collection, Total, European Banking Authority, Quarterly Journal of Economics, BBB, Whetten, Column, ESMA, European Journal, Issuer, Asset quality, Information revolution, Federal Reserve Bank, OLS, Statistics, PDF, Private, ECB, Surety, Weighted-average life, CCC, European Commission, Social science, Journal of Financial Stability, JEL, Real, Bias, Journal, Research, Classification, Certification, Commission, Credit, The Journal of Finance, Literature, Karel Škréta, European Central Bank, AA, Finance Research Letters, Origination (telephony), Monetary economics, Section 5, Xia, Kraft Foods, Government, AAA, Mukherjee, Finance, Deku, DOI, White, Risk, IOSCO, MBS, OECD, Wang, Section 4, University Challenge 2013–14, Section 3, Ashcraft, Financial management, Accounting, Financial economics, Fannie Mae, Conference, Pressure, Central bank, Griffin, University of Michigan, Systematic review, EPRS, Freddie Mac, Loan, BCBS, Palgrave Macmillan, R2, Microeconomics, Quarterly Journal, Financial statement analysis, The Japanese Economic Review, Christian Social Union (UK), Green, University of Huddersfield, PSM, Management, Security (finance), Security, Civil service commission, Private placement, American Economic Journal, GFC, Reproduction, IMF, Small business, Trustee, Data

Abstract

Key Points:

Abstract
We examine rating behaviour after the introduction of new regulations regarding Credit Rating
Agencies (CRAs) in the European securitisation market.
There is empirical evidence of rating catering in the securitisation market in the pre-GFC period (He et al.,
2012; Efing and Hau, 2015).
Competition among
CRAs could diminish ratings quality (Golan, Parlour, and Rajan, 2011) and promotes rating shopping by
issuers resulting in rating inflation (Bolton et al., 2012).
This paper investigates the impact of the post-GFC regulatory changes in the European
securitisation market.
In 2011, in addition to the creation of
European Securities and Markets Authority (ESMA), a regulatory and supervisory body for CRAs was
introduced.
We examine how rating behaviours have changed in the European securitisation market after the
introduction of these new regulations.
We utilise the existence of multiple ratings and rating agreements between
CRAs to identify the existence of rating shopping and rating catering, respectively (Griffin et al., 2013; He
et al., 2012; 2016).
We find that the regulatory changes have been effective in tackling conflicts of interest between issuers
and CRAs in the structured finance market.
Rating catering, which is a direct consequence of issuer and
CRA collusion, seems to have disappeared after the introduction of these regulations.
There is empirical evidence of rating catering in the securitisation market in
the pre-GFC period (He et al., 2012; Efing and Hau, 2015).
Competition among CRAs could diminish ratings quality (Golan, Parlour,
and Rajan, 2011) and promotes rating shopping by issuers resulting in rating inflation (Bolton et
al., 2012).
This paper investigates the impact of the post-GFC regulatory changes in the European
securitisation market.
In 2011, in addition
to the creation of European Securities and Markets Authority (ESMA), a regulatory and
supervisory body for CRAs was introduced.
We find that the regulatory changes have been effective in tackling conflicts of interest
between issuers and CRAs in the structured finance market.
Rating catering, which is a direct
consequence of issuer and CRA collusion, seems to have disappeared after the introduction of
these regulations.
Investors who previously demanded higher spreads for rating agreements for a
multiple rated tranche, did not consider the effect of rating harmony as a risk in the post-GFC
period.
Regarding rating shopping, we find that the effectiveness of the changes has been limited,
potentially for two reasons.
Additionally, we also find that rating over-reliance might still be an issue, especially
Rating catering is a broad term and it can involve rating shopping.
They re-examine the rating shopping and rating
catering phenomena in the US market by looking at the post-crisis period between 2009 and 2013.
Using 622 CDO tranches, they also observe the existence of rating shopping and the diminishing
of the rating catering.
Firstly, our main focus is the EU?s CRA Regulation and its effectiveness in reducing
rating inflation and rating over-reliance.
To the best of our knowledge, this paper is the first to
examine the effectiveness of the EU?s CRA regulatory changes on the investors? perception of
rating inflation in the European ABS market.
Hence, the coverage and quality of our dataset constitutes significant addition
to the literature and allows us to test the rating shopping and rating catering more authoritatively.
The following section reviews the literature
on securitisation concerning CRAs and conflicts of interest, and outlines the regulatory changes
introduced in the post-GFC period.
Firstly, ratings became ever more important as the Securities and
Exchange Commission (SEC) 5 began heavily relying on CRA assessments for regulatory purposes
(i.e.
the investment mandates that highlight rating agencies as the main benchmark for investment
eligibility) (SEC, 2008; Kisgen and Strahan, 2010; Bolton et al., 2012).
issuers) as one of the main explanations for the rating inflation (He et al., 2011; 2012; Bolton
et al., 2012; Efing and Hau, 2015).
Bolton et al., (2012) demonstrate that competition
promotes rating shopping by issuers, leading to rating inflation.
The last phase, CRA III, was implemented in mid-2013 and involves an additional
set of measures on reducing transparency and rating over-reliance.
As mentioned above, rating inflation can be caused by rating shopping
In order to be eligible to use the STS classification, main parties (i.e.
The higher the difference in the number of ratings for a
given ABS tranche, the greater the risk of rating shopping.
Alternatively, the impact of the new
regulations could be limited when it comes to reducing rating shopping.
This is because, firstly,
the conflict of interest between securitisation parties is not necessarily the sole cause for the
occurrence of rating shopping.
L is a set of variables (Multiple ratings, CRA reported, Rating agreement) that
we utilise interchangeably to capture the rating shopping and rating catering behaviour.
Hence, issuers are incentivised to report the highest possible rating and
ensure each additional rating matches the desired level.
All in all, our results suggest that
the new stricter regulatory measures have been effective in tackling conflicts of interest and
reducing rating inflation caused by rating catering.
Self-selection might be a concern in analysing the impact of the
new measures and investors? response with regard to the rating inflation.
This
result is in line with the earlier findings suggesting that regulatory changes have reduced investors?
suspicion of rating inflation and increased trust of CRAs.
Conclusion
Several regulatory changes were introduced in Europe following the GFC aimed at tackling
conflicts of interest between issuers and CRAs in the ABS market.
Utilising a sample of 12,469
ABS issued between 1998 and 2018 in the European market, this paper examined whether these
changes have had any impact on rating inflations caused by rating shopping and rating catering
phenomena.
We find that the
effectiveness of the changes has been more limited on rating shopping potentially for two reasons.
Tranche Credit Rating is the rating reported for a tranche at launch.

International Rating Agencies Affirm Rating With Upgraded “Stable” Outlook for Various Adani Portfolio Companies

Retrieved on:

Thursday, February 15, 2024

International Rating agencies Moody’s (vide press release dated 13th February 2024) and S&P (vide press release dated 22nd January 2024) have affirmed and upgraded the outlook to “stable” for all the issuances for Adani complex issued in the international market by various Adani Portfolio companies.

Key Points:

International Rating agencies Moody’s (vide press release dated 13th February 2024) and S&P (vide press release dated 22nd January 2024) have affirmed and upgraded the outlook to “stable” for all the issuances for Adani complex issued in the international market by various Adani Portfolio companies.
This assures high credit quality with stable and predictable cashflows across all issuers of Adani complex.
Adani Portfolio has the largest number of Investment Grade (BBB-/Baa3 and higher) rated issuances out of private companies in India and equivalent to India’s sovereign rating.
In our view, rated entities Adani Electricity Mumbai Ltd. (AEML) and Adani Ports and Special Economic Zone Ltd. (APSEZ) enjoy good competitive positions, healthy cash flows, and adequate liquidity to meet their debt-servicing requirements.”

PPM America Adds PGIM Principal To Global Distribution Team

Retrieved on:

Monday, February 12, 2024

Finance, Banking, Professional Services, Asset Management, Human Resources, Janus, Senior, Private equity, Loomis, Sayles & Company, Multimedia, PPM, Bond credit rating, PGIM, Axa Investment Managers, Janus Henderson, Management

PPM America, Inc. (PPM) today announced the hiring of Jamison Gagnier to its Global Distribution team as a Senior Managing Director.

Key Points:

PPM America, Inc. (PPM) today announced the hiring of Jamison Gagnier to its Global Distribution team as a Senior Managing Director.
Gagnier is a seasoned industry professional with over 25 years of experience, most recently serving as a Principal on PGIM’s Institutional Client Advisor team.
View the full release here: https://www.businesswire.com/news/home/20240212700886/en/
PPM America adds Jamison Gagnier to its Global Distribution team as Senior Managing Director.
“PPM has quietly gone about its business for over 30 years, and now we are well-positioned to build upon that foundation.”

Trumid Reports January Performance

Retrieved on:

Wednesday, February 7, 2024

Bond credit rating, Growth, ADV, RFQ, Cryptocurrency

NEW YORK, Feb. 7, 2024 /PRNewswire-PRWeb/ -- Trumid, a financial technology company and fixed income electronic trading platform, today announced record trade volume and user participation highlights for January 2024.

Key Points:

Trumid clients were more active than ever on the platform, as strong activity growth from the end of 2023 accelerated into 2024.
Trumid Swarms and Trumid Attributed Trading (AT) enjoyed a record month for traded volumes and number of clients executing trades.
Trumid continued to strengthen its new issue market share with increased user participation and record average daily trading volumes.
Trumid accounted for an average of 37% of new issue secondary traded volume in the first two days of trading.

Kaufman & Broad SA: ANNUAL RESULTS 2023

Retrieved on:

Monday, February 5, 2024

Shareholder, Mass meeting, Environment, Housing, Marketing, Real estate, ABIS, Commercial, Corporation, Acquisition, KB Home, Fitch, Bond credit rating, Share repurchase, Minority, Backlog, Apartment, VAT, Cryptocurrency

Main elements of commercial activity (2023 vs. 2022)

Key Points:

Main elements of commercial activity (2023 vs. 2022)
Main financial items (2023 vs. 2022 unless otherwise specified)
EBIT margin(c): 7.8 % vs. 7.5%
Net cash (b) : €180.5M vs. € (67.8 ) M at 30 Nov 2022
Main development indicators (end of Nov. 2023 vs. end of Nov. 2022)
Kaufman & Broad SA today announces its 2023 results (from December 1st to November 30th, 2023).
Nordine Hachemi, Chairman and Chief Executive Officer of Kaufman & Broad, said:
“Kaufman & Broad's 2023 results are in line with guidance.
In this environment, Kaufman & Broad continued to apply a rigorous policy of rapid adjustment to market conditions.
Last September, Fitch confirmed the Investment Grade rating of Kaufman & Broad SA, the only European developer to have this rating.

CHESAPEAKE ENERGY CORPORATION AND SOUTHWESTERN ENERGY TO COMBINE TO ACCELERATE AMERICA'S ENERGY REACH

Retrieved on:

Thursday, January 11, 2024

Under the terms of the agreement, Southwestern shareholders will receive 0.0867 shares of Chesapeake common stock for each share of Southwestern common stock outstanding at closing.

Key Points:

Under the terms of the agreement, Southwestern shareholders will receive 0.0867 shares of Chesapeake common stock for each share of Southwestern common stock outstanding at closing.
"The world is short energy and demand for our products is growing, both in the U.S. and overseas.
Pro forma for the transaction, Chesapeake shareholders will own approximately 60% and Southwestern shareholders will own approximately 40% of the combined company, on a fully diluted basis.
Kirkland & Ellis LLP is serving as legal advisor, and Joele Frank as communications advisor to Southwestern Energy.

PPM America Continues Global Distribution Team Expansion

Retrieved on:

Monday, January 8, 2024

Other Professional Services, Asset Management, Professional Services, Finance, Columbia Threadneedle Investments, Bond credit rating, Multimedia, Sale, Private equity, DNA, DWS, PPM, Senior

PPM America, Inc. (PPM) is pleased to announce the addition of Bob Meikleham to the Global Distribution team as Managing Director, Insurance.

Key Points:

PPM America, Inc. (PPM) is pleased to announce the addition of Bob Meikleham to the Global Distribution team as Managing Director, Insurance.
Meikleham comes to PPM from DWS, where he was responsible for the sale and distribution of their alternative and traditional investment solutions to insurance clients and prospects.
View the full release here: https://www.businesswire.com/news/home/20240108953249/en/
Bob Meikleham joins PPM America’s growing Global Distribution team as Managing Director, Insurance.
He is based out of Boston and reports to Jeff Seaver, Head of Global Distribution.