July Credit Consensus Indicators (CCIs) – UK, EU and US Industrials
Credit Benchmark have released the July 2022 Credit Consensus Indicators (CCIs). EU and US Industrial firms continue their streaks of consistently positive CCI scores, with 10 months and 17 months of net credit improvement respectively. UK firms have travelled a bumpier road, with alternating positive and negative scores in recent months, ending on a positive in the most recent update.
Tech Sector Meltdown & Credit – Opportunities Emerging?
The 2022 technology stock meltdown brought widespread financial damage. Markets are repricing the new reality of geopolitical tension, inflation and scarce money. But has the selloff brought opportunities?
Credit Consensus Ratings and Risk Sharing Portfolios
Risk sharing transactions are a rapidly growing asset class, and have provided attractive returns over the past decade. As corporate credit becomes more unstable, emerging risks – and opportunities – highlight the need for comprehensive credit data for accurate transaction pricing. This paper details how Credit Consensus Ratings and Aggregates provide a detailed map of the credit market risk-reward landscape, including possible anomalies.
Sovereign Credit Risk & Food Prices
A growing list of countries have already seen Sovereign ratings slide in the past two years due to COVID costs; some now face a real risk of outright default as the war in Ukraine drives food, fertilizer and energy prices higher.
UK Retail: Cost of Living Impact
Consumers are focusing on essential purchases and spending less time at home, and UK and EU broadline retailers are feeling the squeeze. Both groups show recent deterioration against a global trend of improvement.
Automobiles & Parts: Impact of Chip Shortage
Semiconductor supplies have not yet recovered from COVID disruption. This has caused problems for many industries, but the impact is becoming acute for manufacturers of automobiles and parts, as well as online car dealers and car rental companies.
Something Better Change: Securities Lending Indemnification is Unsustainable in Its Current Form
In this paper Mark Faulkner reflects on the securities finance industry from a personal perspective and explores some of the challenges associated with Securities Lending Indemnification. The paper aims to explain the confluence of events behind these problems, assess their impact upon the market structure and make some suggestions to help mitigate the issues moving forward.
June Credit Consensus Indicators (CCIs) – UK, EU and US Industrials
Credit Benchmark have released the June 2022 Credit Consensus Indicators (CCIs). The positive trend continued in June for both EU and US Industrial firms. EU Industrials have been modestly improving in recent months, while US firms remain steady. UK Industrial firms are experiencing some instability, with alternating instances of improvement then deterioration, month-on-month.
Credit Consensus Ratings & Risk Sharing
For investors in Risk Sharing products, transparency is key. This report uses Credit Consensus Ratings to compare a single bank’s view of a typical risk sharing portfolio with the broader bank peer group view of the same portfolios. This unique dataset can be used for industry trend tracking, portfolio analytics, and single name assessments.
US Energy Sector: Credit and Equity
Shifting energy sector dynamics have been a bonanza for US oil and gas companies, with prices spiking and share prices following suit. Strong share performance does not always correlate with strong credit quality, however. This analysis shows the relationship between Credit Consensus Ratings and US energy sector equity price changes in 2022.
