China and Russia against the power of Moodys, Fitch and S &P

("Il Sole 24 Ore" Italy) Vito Lops (Vito Lops)

If there was another Iranian rating agency, it would have started talking openly about the outbreak of war between the western axis led by the U.S. and East (China, Iran and Russia). In any case, today's announcement of the birth of a new rating agency Universal credit rating group, which is the fruit of cooperation between the Chinese agency Dagong, Russian RusRating and a small American Egan-Jones Ratings suggestive. The new agency will provide alternative assessment of the state of global finances and should be a serious competitor to the three U.S. credit rating agencies (Standard and Poors, Moodys and Fitch), which are now together control more than 90% of the market. Meanwhile, many economists are hoping that Europe, too, soon will my credit rating agency, which will make the market more competitive assessments of the state finances of countries and companies.

According to the agency Dagong, Universal credit rating group will provide "absolutely impartial ratings of". This is stated in the invitation letter for today's press conference.

"The current system of international agencies to assess the financial condition has proved its inability to provide responsible and reliable forecasts", — stated in the letter. It is therefore necessary to create a new institution in order to "reduce the economic risks in the development of human civilization."

The three partners say that they "do not represent the interests of any countries or groups" and ensure that the Universal credit rating group "will provide unbiased information in assessments of international capital markets."

Chinese rating agency Dagong was founded in 1994 in the context of the restructuring of Chinese state-owned enterprises. It argues that the three U.S. agencies attach too much importance to such criteria as the privatization and liberalization of markets to the detriment of the country's ability to create value.

It is no accident recently printed a lot of attention paid to the agency, because it assesses the state debts by other criteria. For example, the agency has downgraded the United States in August 2011 with "A +" to "A", putting the U.S. in a row with Russia and South Africa. (Note that on September 23 Deven Sharma, who led the S &P since 2007, has resigned, leaving his post to Douglas Petersen, explaining that the decision is not related to the downgrade).

The U.S. agency Egan-Jones ratings, for its part, received in 2007 the status of "Institute of statistical estimates, recognized at the national level," according to the site the U.S. stock exchanges (Autorita di borsa Usa Sec). In his own site agency Egan-Jones ratings claims that his business consists exclusively with institutional investors to purchase securities. Finally, the agency RusRating, based in Moscow, specializes in the estimates of the banking sector.

U.S. agencies have repeatedly found themselves at the center of the cyclone. First they gave high marks financial strength of companies, which soon suffered bankruptcy during the bubble Internet companies in 2000, and then during the subprime crisis, which ended the collapse of the bank Lehman Brothers, which was evaluated as a reliable shortly before the disaster. Last but not least is the fact that the document of the European Central Bank "Bank ratings that determine the quality?" talks about the conflict of interest at rating the securities issued by the largest global banks. In addition, the present evaluation of three main U.S. agencies differ from those giving agency Dagong. Who is right? Can you imagine that a new rating agency of China and Russia will act in the absence of conflict, "geopolitical" interests?

Original publication: Il rating sul mondo. Cartello di Cina e Russia contro lo strapotere delle tre sorelle Moodys, Fitch e S &P

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