Moody’s to Snub NAIC Hearings
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A little birdy told me that Moody’s is skipping this little shindig (S&P and Fitch are appearing).
Gee, why might they want to skip a where various state commissioners would have been questioning them on the fabulous job they did rating various CDOs?
See this agenda for their notable omission.
NAIC TO HOLD PUBLIC HEARING ON CREDIT RATING AGENCIES
The National Association of Insurance Commissioners (NAIC) will hold a public hearing on September 24 to discuss the past and future roles of Nationally Recognized Statistical Ratings Organizations (NRSRO). The hearing will examine the role of these credit rating agencies in the insurance regulatory system and what changes may be needed in light of the financial crisis. Representatives of credit rating agencies, insurance companies and pension funds will be invited to testify, as will regulators, consumer representatives, leading academics and industry experts.
Insurance companies hold nearly $3 trillion in rated bonds and the insurance industry constitutes the largest sector of the financial services industry to rely on credit ratings to supervise capital asset adequacy. Insurance regulators currently mandate the use of credit ratings to determine capital reserves and other regulatory requirements for insurance companies.
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September 18th, 2009 at 2:11 pm
Keep at it, Barry. Don’t let these guys get away with it and return to business as usual and act as if their mistakes were just minor miscalculations.
September 18th, 2009 at 2:17 pm
“why might they want to skip a where various state commissioners would have been questioning them on the fabulous job they did rating various CDOs?”
Because they’re still in denial. Subpoena them! LOL Conversely, investors should “snub” their ratings.
September 18th, 2009 at 2:26 pm
SEPTEMBER 17, 2009 Reuters
Standard & Poor’s Ratings Services recalibrated its ratings criteria for collateralized debt obligations, resulting in the ratings firm’s putting about 4,790 CDO tranches totaling $578 billion on watch for downgrade.
(That ought to leave a mark wherever zombie accounting does not apply. -AM)
http://anonymousmonetarist.blogspot.com/
September 18th, 2009 at 2:30 pm
@ karen
The remaining stimulus funds should just about cover that… Throwing more good money, after bad.
September 18th, 2009 at 5:49 pm
good ol’ MCO..
a co., fine enough, for St. Warren to ‘Invest’ in..
should give, much needed, insight into how he, really, goes about things..
http://finance.yahoo.com/q?s=MCO&
past that, the NRSROs, and the Idea, thereof, need(s) to be put down–for Good.
September 18th, 2009 at 9:20 pm
These vampires must die! Die, die, you bloodsuckers!
September 18th, 2009 at 11:15 pm
Once upon a time when I was a young tad full of energy and stupid, I took one too many chances. Forget the 99%.
And then I learned that when you call a state insurance commissioner to report an illegality, it’s kind of like you’ve got the plague.
Well, hey, no longer my problem. Took some very wealthy arrogant people down. Oh darn.
But they’re still there. Banking their billions. And we get to backstop them.
What did we do to deserve to be so lucky.
September 19th, 2009 at 1:17 am
Rating agencies should be referred to as the 21st Century Mafia.