Because of the rating agencies’ power in the financial markets and the minimal amount of time most borrowers spend
on managing the ratings process, banks and other issuers tend to be at a natural disadvantage vis-à-vis the agencies.
All three major rating agencies are aggressively expanding their bank ratings around the world. Banks need to become
proactive, stay abreast of ratings developments, and prepare properly for due diligence meetings. To do this effectively requires
the assistance of external expertise.
That’s where GIA comes in!
Clients Around The World
Since 1991 GIA has worked with bank clients in Asia,
Europe, the Middle East, and North America. We have an excellent record of success — preparing clients for first-time
ratings, helping them avoid downgrades, and helping all of them improve their awareness of, and relations with, the global
rating agencies. We will gladly provide references.
GIA Services For International Banks
- Determining What You Need
- Assistance in determining what type of rating is needed to address your goals
- Assistance in choosing the right agency or agencies for the desired rating type
- Understanding the Rating Process
- Rating agency objectives and motives: They differ uniquely from yours
- Rating agency concerns: How to identify and address them
- Qualitative analysis: Banking sector risks, management quality, and competitive advantages
- How the agencies’ subjective views affect your rating — and how to deal with it
- Quantitative analysis: Key credit quality measurements and ratios
- Preparing for an Agency Due Diligence Visit
- Setting the agenda and designing the presentation—what the agencies need
- Critique of your presentation materials; explaining what the agencies really want
- Questions the agencies will likely ask you—and the best answers
- Developing counter-arguments to their negative views and concerns
- Onsite training and coaching; revealing agency practices and biases and assumptions
- Strategies and tactics in agency meetings, with rehearsals as needed
- Relieving management of the burden of preparing and managing ratings
- Raising and Protecting your Ratings
- Essential steps to raising your long-term and short-term ratings
- The constraints to an upgrade—and how to overcome them
- How to protect your ratings from a downgrade
- Developing/Maintaining a Constructive Relationship with the Agencies
- The steps to building issuer credibility—the foundation of a constructive relationship
- Between-meeting communications; managing the process over time
- Protecting the bank from unfair treatment by the agencies
- The dozen Do’s and Don’ts of agency relations
