Fitch Ratings has downgraded Bear Stearns Asset Management’s rating, and the Wall Street firm remains on Rating Watch Negative.The firm dropped BSAM’s structured finance collateralized debt obligation asset manager rating one notch. It said the rating action, “is a result of concerns stemming from recent significant changes made to the BSAM High Grade Structured Credit […]
Rating agency says that it is now comfortable with bank’s measures to improve management of trading risks
But the banks have the flexibility to ride out a prolonged period of illiquidity
But firms have sufficient capacity to absorb potential mark-to-market losses in the near term, the ratings agency says
Assets under management reach US$2.7 trillion
New SEC rules require agencies to reapply for NRSRO designation
Ratings upgrades especially strong among global banking and finance companies
Report examines 1,768 banks in 101 countries
Ratings of all outstanding public and private asset managers converted to reflect the new scale
Fitch Ratins saygs the new rules remove regulatory barriers to entry and will bring change to the competitive landscape of the industry