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This paper critically reviews the debate on CRAs and, in the light thereof, analyses the European regulatory approach to CRAs, thereby combining insights from economics and law. We first provide some basic background on the function of CRAs. Thereafter, we focus on the two main tasks for which...
Persistent link: https://www.econbiz.de/10013119078
The credit crisis that started in the American mortgage subprime market in 2007 is having profound social and economic consequences. In this context, lawmakers, regulators, and commentators have questioned the role of rating agencies in the market turmoil. In light of the critiques, a strong...
Persistent link: https://www.econbiz.de/10013156993
, policymakers, and the general public about important credit rating agency regulation proposals and their potential impact on … rating agency regulation. It focuses on two areas of primary importance - oversight and accountability - and offers specific …
Persistent link: https://www.econbiz.de/10013158298
, this paper argues that macro-prudential regulation is necessary to address the systemic risk inherent to ratings. The paper …
Persistent link: https://www.econbiz.de/10013158711
Since the beginning of the global financial and economic crisis, the search for its causes has been in full flight on both sides of the Atlantic. Inter alia, fundamental failures in the evaluation of risk and the role that Credit Rating Agencies (CRAs) play in the assessment of credit risk are...
Persistent link: https://www.econbiz.de/10013097023
criticism. This was associated with stricter regulatory requirements to ease the situation. The EU-Regulation on credit rating … agencies ("CRA-Regulation") coming into force 2009 and its amendments in 2011 and in 2013 have mainly governed such regulation … rating market in the context of the CRA-Regulation. Selected key figures are used to observe over a defined period of time if …
Persistent link: https://www.econbiz.de/10012542964
In the wake of the global financial crisis, the European Parliament and Council Regulation 1060/2009 on Credit Rating … Agencies has recently been published in the Official Journal of the European Union. With this Regulation the European Union … takes a first step in addressing calls for a better regulation of the (global) financial markets including, among other …
Persistent link: https://www.econbiz.de/10013134115
European Parliament and Council Regulation on Credit Rating Agencies. With this proposal the European Union aims at addressing … calls for more regulation of the (global) financial markets and overall improvements in the rating process of Credit Rating … authors offer a first critical comparative examination of the proposed Regulation against the background of the current regime …
Persistent link: https://www.econbiz.de/10013134767
The history of rating agency reform has not been inspiring. Until recently, it seemed stuck in an ever-repeating cycle of futility. A crisis would spur calls for reform, hearings would be conducted, the SEC would issue proposals and requests for comments, and ultimately, nothing would happen -...
Persistent link: https://www.econbiz.de/10013120791
types of macro-prudential regulation: (i) those that attempt to take credit ratings out of regulation such as Section 939A … of the 2010 Dodd-Frank Act and (ii) those that aim to reduce the importance of credit ratings in regulation such as the …
Persistent link: https://www.econbiz.de/10013102822