tag:blogger.com,1999:blog-1258979445050968882.post4221666464940399572..comments2023-11-26T06:55:42.401-05:00Comments on [ The Financial Ninja ]: Quiet, Sneaky Little Downgrades: CFC, MBIBen Bittrolffhttp://www.blogger.com/profile/12465978905157927856noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-1258979445050968882.post-34411324734079010972008-04-08T06:23:00.000-04:002008-04-08T06:23:00.000-04:00Bank Financial Strength Rating Definitions ABanks ...Bank Financial Strength Rating Definitions <BR/><BR/>A<BR/><BR/>Banks rated A possess superior intrinsic financial strength. Typically, they will be institutions with highly valuable and defensible business franchises, strong financial fundamentals, and a very predictable and stable operating environment.<BR/><BR/>B<BR/><BR/>Banks rated B possess strong intrinsic financial strength. Typically, they will be institutions with valuable and defensible business franchises, good financial fundamentals, and a predictable and stable operating environment.<BR/><BR/>C<BR/><BR/>Banks rated C possess adequate intrinsic financial strength. Typically, they will be institutions with more limited but still valuable business franchises. These banks will display either acceptable financial fundamentals within a predictable and stable operating environment, or good financial fundamentals within a less predictable and stable operating environment.<BR/><BR/>D<BR/><BR/>Banks rated D display modest intrinsic financial strength, potentially requiring some outside support at times. Such institutions may be limited by one or more of the following factors: a weak business franchise; financial fundamentals that are deficient in one or more respects; or an unpredictable and unstable operating environment.<BR/><BR/>E<BR/><BR/>Banks rated E display very modest intrinsic financial strength, with a higher likelihood of periodic outside support or an eventual need for outside assistance. Such institutions may be limited by one or more of the following factors: a weak and limited business franchise; financial fundamentals that are materially deficient in one or more respects; or a highly unpredictable or unstable operating environment.<BR/><BR/>So D isn't great but not the financial meltdown you are suggesting.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-1258979445050968882.post-39156857222168568022008-04-08T05:38:00.000-04:002008-04-08T05:38:00.000-04:00It would help if you explained the Moody rating sy...It would help if you explained the Moody rating system properly. This is a D on the Bank Financial Strength ratings. Does not imply default. Here is the link to what the ratings actually mean. http://www.moodys.com.br/brasil/pdf/BFSR_09_2006.pdf.<BR/><BR/>This is not a bond rating but a bank rating. Completely different scalesAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-1258979445050968882.post-60214211480560710952008-04-07T17:50:00.000-04:002008-04-07T17:50:00.000-04:00Doesn't cfc have a bank? Free money!Doesn't cfc have a bank? Free money!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-1258979445050968882.post-75018050196488004692008-04-07T13:40:00.000-04:002008-04-07T13:40:00.000-04:00You don't know how right you are when you call the...You don't know how right you are when you call these sneaky downgrades. If it really mattered, no way would Moody's have downgraded CFC. Since the merger will go thru, Ben will make sure of it, this downgrade will be used by Moody's to show how independent they are and that those rating on cdo's and such were not because of large fees but because of reasoned analysis.Anonymousnoreply@blogger.com