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Securities and Exchange Commission

18 Jul 2011

Deadline: 18 July 2011

Proposed Rules for Nationally Recognized Statistical Rating Organizations

The Securities and Exchange Commission is seeking feedbacks on a new set of rules and amendments intended to increase transparency and improve the integrity of credit ratings.

In particular, these rules require rating agencies to: 1) Report on internal controls, 2) Protect against conflicts of interest, 3) Establish professional standards for credit analysts, 4) Publicly provide –disclosure about the credit rating and the methodology used to determine it, 5) Enhance their public disclosures about the performance of their credit ratings. 6) Disclose third-party due diligence reports for asset-backed securities.
 

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