The Wall Street Journal reports that two US congressmen are proposing legislation that would in effect require the SEC to sign off on new triple A ratings on structured finance products. The bill sponsored by Gary Ackerman and Mike Castle would exclude structured finance ratings from the system that allows investors to base capital and soundness treatment on ratings, according to the article. 

Newsletter

August 2008
News: TD battles for UK survival after blunder; JP Morgan pulls plug on deal for Prytania CDO model; XLCA dissolves CDO team
People: UBS strengthens European flow business; Deutsche Bank shuffles trading
Analysis: Bond funds go hunting for value; The French Revolution
Profiles: Novatar
Comment: Fishknife; Wolseley

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