Moody’s Investors Service said loss expectations on securities backed by subprime
home-equity deals have gotten worse than expected and could have “material
implications” on the bond insurers’ capital adequacy.
The credit rater also said again that the industry’s two biggest players - MBIA
Inc. (MBI) and Ambac Financial Group Inc. (ABK) - could lose their AAA ratings
because of the [...]
Moody’s warns on bond-insurer ratings again
This time, second-lien mortgage securities may test ratings, agency says
By Alistair Barr, MarketWatch
Last Update: 4:16 PM ET May 13, 2008
SAN FRANCISCO (MarketWatch) — Poor performance of second-lien residential
mortgage-backed securities could put pressure on the credit ratings of bond
insurers, Moody’s Investors Service said Tuesday.
Bond insurers have significant exposure to second-lien residential
mortgage-backed [...]
SAN FRANCISCO (MarketWatch) — Poor performance of second lien residential
mortgage-backed securities (RMBS) could impact the credit ratings of bond
insurers, Moody’s Investors Service said on Tuesday. Bond insurers have
significant exposure to second lien RMBS, mainly through guaranties on the
securities and, to a lesser extent, through exposure to collateralized debt
obligations backed by such assets, the rating agency [...]
SAN FRANCISCO (MarketWatch) — Moody’s on Thursday reiterated its negative
outlook on Ambac Assurance Corp.’s Aaa insurance financial strength rating in the
wake of its parent Ambac Financial Group’s earnings release earlier this week.
Moody’s noted that Ambac’s incurred losses in its direct RMBS portfolio and ABS
CDO portfolio are somewhat higher than the ratings agency’s estimates, but remain
below [...]
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