|
|
 |
|
Viewing report
|
|
|
|
Mortgage Lending Business Supports Some European Banking Systems, Yet Could Impede Others Sep 10
Standard & Poors, Sep 2010
Abstract
Standard & Poor's Ratings Services considers that the residential mortgage lending business line is typically low risk for European banks. The current period of economic weakness and previous recessions indicate to us that the mortgage business line generates lower loan losses than other areas of lending and less volatile returns. However, given that mortgages are typically the largest segment of the loan portfolio, mortgage lending has a prominent role within our bank rating analysis and we believe that it can be a negative rating factor for banks. We have reviewed the relative risk ranking of the mortgage business line for six selected European banking systems. This review has taken into account the prospective risks and opportunities on a relative basis...
Standard and Poors RatingsXpress Credit Research provides in-depth coverage of international corporates, financial institutions, insurance companies, utilities, sovereigns and structured finance programs. RatingsXpress Credit Research lets users determine the credit rating of holdings and identify key factors underlying an issuer's creditworthiness, distinguishes the different risk exposures for new and existing deals, and provides an understanding of how their analysts interpret key regulatory, political and environmental events and their economic impact.
Research Type: Commentary
Criteria articles describe the thought process and methodology Standard & Poor's analysts use in determining ratings. These commentary pieces discuss both the quantitative (economic and financial) and qualitative (business analysis and caliber of management) aspects of the analysis, as well as legal issues.
|
|
|
|
