S&P Doubles Its CMBS Ratings Business After SEC Bans It From Market
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The U.S. Securities & Exchange Commission’s ban on Standard & Poor’s rating some commercial mortgage-backed securities hasn’t been too bad for the credit grader. In fact, the company more than doubled its CMBS business last quarter.
S&P offered ratings in $8.7 billion of transactions from January through March, up from $3.9 billion a year earlier and $7 billion in the previous period, according to data compiled by Commercial Mortgage Alert. The firm agreed in January to what the SEC called a one-year “timeout” from assigning ratings in the largest part of the market in a settlement over claims it bent criteria to win business.