By Cydney Posner

The SEC has adopted final rule amendments and proposed new rule amendments that will impose additional requirements on credit rating agencies, such as Moody's and S&P, designed to address concerns about transparency and potential conflicts of interest. Problems with rating agencies became evident in connection with residential mortgage-backed securities (backed by subprime mortgage loans) and collateralized debt obligations (linked to subprime loans), all of which contributed to the collapse of the credit markets. Following are the links to the SEC's press release and related fact sheet.

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