CESR first report on CRA compliance with IOSCO Code of Conduct

04 January 2007

CESR publishes its first report on the compliance of the credit rating agencies with the IOSCO Code following the Commission’s request.

The report provides a clear analysis of the codes of the four CRAs that have chosen to adhere to the voluntary framework in relation to the IOSCO Code.

CESR considers that the CRAs codes comply to a large extent with the IOSCO Code. There are however some areas or provisions where the CRAs codes do not comply.

In particular, the area where all the CRAs seem to have difficulties in complying with the IOSCO Code relates to the separation between the rating service and the ancillary services provided by the CRAs and the disclosure of unsolicited ratings.

Consequently, CESR intends to look particularly into these issues in its review for 2007 to see whether there have been improvements.

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