|
|
 |
|
Viewing report
|
|
|
|
Bond Insurers' U.S. Public Finance Profitability Affected by Low New Issue Volume and Competition
Standard & Poors, Sep 2004
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.
Abstract
Lower total U.S. public finance new issue volume, combined with a competitive financial guarantee environment, led to a reversal of six years of steadily improving profitability indices for the financial guarantee industry in the first six months of 2004. Although there was a 10% decline in the industry average profitability index from 2003's record level, the 6.85% profitability index reported for the six months ended June 30, 2004, is well above any profitability index reported in any year prior to 2003. Conversations Standard & Poor's Ratings Services has had with senior management of the industry have led Standard & Poor's to believe that there will be little improvement in the profitability indices for the industry by year-end. While there may...
Companies mentioned in this report are: Ambac Assurance Corp.,Financial Guaranty Insurance Co.,Assured Guaranty Municipal Corp.,MBIA Insurance Corp.,Assured Guaranty Corp,Syncora Guarantee Inc.,CIFG Assurance North America, Inc
|
|
|
|
