The SEC Chairman Christopher Cox is back for more
transparency in the market this time with ratings
agencies. The proposed rules should prevent agencies from
trying to win business by giving better ratings.
In a speech in
front of the SEC last week Cox proposed changes to Rules 17g-2
and 17g-5 that would force ratings agencies (Nationally
Recognised Statistical Rating Organisations in the US) and
arrangers that hire them to disclose more information to the
The 17g-5 change requires arrangers to...