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Home » Store » Taxable » New Moody’s Criteria Takes Aim at Operations And Governance Issues on Securitization Deals

New Moody’s Criteria Takes Aim at Operations And Governance Issues on Securitization Deals

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Issuers of mortgage- and asset-backed securities with poor operational controls and a weak governance structure will have to provide more credit enhancement for their deals in the months ahead under a ratings system announced by Moody’s Investors Service. The new ratings – called Transaction Governance Assessments – take aim at what Moody’s said is a growing area of concern among investors: a proliferation of deals from un-rated issuers whose transaction governance standards vary widely.…
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