Fitch Ratings
HSH Nordbank alleges fraud by UBS over CDO
HSH Nordbank has filed a suit against UBS, claiming fraud caused it significant losses on a $500 million investment in a subprime mortgage-linked synthetic collateralised debt obligation (CDO) sold to the German bank in 2002.
Auto loan ABS delinquencies rise
With uncertainty blighting the US economy, auto loan delinquencies have hit 10-year highs.
Surprise over "severe" Fitch CDO cuts
Fitch Ratings has outlined possible changes to its approach to rating collateralised debt obligations (CDOs), with downgrades potentially far deeper than the market expected.
Agencies rethink market risk rating methods
The three largest global rating agencies are reconsidering their approach to rating structures exposed to fluctuations in market value, with potentially unpalatable results for holders and arrangers of various structured credit products.
Fraud and incompetence led to subprime crisis, Fitch says
Falling house prices might have triggered the crisis in residential mortgage-backed securities (RMBS) based on US subprime mortgages, but analysts at US rating agency Fitch say the root of the problem was widespread fraud and incompetence in the mortgage…
CDO shakeout puts spotlight on managers
Unsettled structured credit markets are causing investors to become more scrupulous in their collateralised debt obligation (CDO) manager choices, according to market participants.
Fitch: crisis hit 31% of 2006 subprime RMBS
Fitch Ratings downgraded 31% of its 2006 US subprime residential mortgage-backed securities (RMBS) as a result of the US subprime crisis, the agency said today.
The bigger picture
In 2003, rating agencies considered operational risk as a separate risk category, but quantification problems have prompted them to take an integrated, enterprise risk management approach.
Derivative Fitch appoints New York head
Richard Hrvatin has joined Derivative Fitch's quantitative structured credit innovation (Q-SCI) team to head the New York arm of the group.
Rating agencies assess money markets
In two conference calls last week, Fitch Ratings and Moody’s sought to capture the effect of the commercial paper (CP) market's lack of liquidity on the wider banking outlook.
Subprime rating actions spark EC review of agencies
The European Commission (EC) is planning an “intensive review” of credit rating agencies after the slew of recent rating actions on securities affected by poorly performing US subprime mortgages.
Fitch: credit derivatives growth continues
Trading in credit derivatives increased 113% in 2006 to $49.9 trillion worldwide, according to a report released by Fitch Ratings, which warned that the market was still vulnerable to a sudden downturn.
Fitch adds to European structured finance emerging markets
Fitch Ratings has appointed Jaime Sanz as a senior director to lead its London-based European structured finance emerging markets team.
Fitch Ratings releases special report on Basel IA
Daily news headlines
Derivative Fitch appoints global CDO risk modelling head
Damiano Brigo has been hired by London and New York-based rating agency Derivative Fitch, as head of global collateralised debt obligation (CDO) risk modelling.
Derivative Fitch outlines views on collateralised FX obligations
Derivative Fitch has published its considerations for analysing and rating collateralised foreign exchange obligations (CFXOs). The CFXO report, the first to be published by a rating agency, details the structure of the product, the principal risks and…
Fitch: fewer downgrades for European managed synthetics
European managed synthetic collateralised debt obligations (CDO) tranches have historically suffered fewer downgrades than their static counterparts, according to data produced by rating agency Derivative Fitch.
Credit Suisse issues first long/short CCO notes as Fitch launches CCO rating criteria
Credit Suisse has completed a $190 million issuance of the world’s first long-short collateralised commodity obligation (CCO) notes. The issue followed the April 17 publication of Derivative Fitch’s rating criteria for CCOs.
No serious risk to synthetic CDOs from mortgage crisis
US synthetic CDOs will suffer only slight damage from the continuing crisis in US subprime mortgages, according to a report from rating agency Fitch Ratings.
UK RMBS market remains buoyant
The UK residential mortgage-backed securities (RMBS) market is not expected to experience the same problems that that have blighted the US subprime mortgage market over the past few months, according to analysts from Fitch Ratings.
Canada and Australia risk banking crisis, Fitch says
Canada and Australia are running the risk of a banking crisis of the type that hit Iceland in 2006, according to a report from Fitch Ratings.
Fitch spins off derivatives ratings
London- and New York-based ratings firm Fitch has spun off its derivatives operations into a new subsidiary, Derivative Fitch.
Settlement biggest CDS market challenge, says Fitch
Prompt and efficient settlement is one of the biggest challenges facing the credit derivatives market, according to a survey published today by Fitch Ratings.