Increasing complexity in structured credit and different rating methodologies are eroding consensus as to what constitutes a triple-A deal. What problems might any ratings disparity be causing investors?
JAMES KAUFFMANN - Head of fixed income, ING, Atlanta
Consensus across agencies is important, but so is the consistency of the methodology and consistency of how and when it is applied. Regarding synthetic corporate CDOs, I believe that investors do realise that a dual-rated tranche is higher q