Moody's Investors Service has assigned its first trustee quality rating in Latin America. The agency gave Argentina's Banco de Valores a grade of TQ1.ar,' the highest such rating for an entity in that country. The rating is based on Valores' capability in managing assets for securitizations, according to a report by the agency. Among the trustee's strengths are "clear origination procedures, safeguards in the event of stress, and [a] proactive role in monitoring and reporting," said Moody's Assistant Vice President Victoria Moreno in the report. The agency introduced its methodology for trustee quality ratings two months ago. The objective of the ratings is to provide the market with a tool to evaluate trustees. Moody's has said it plans to launch ratings in Mexico and Brazil, aside from Argentina.
Standard & Poor's formally introduced its trustee rankings in Argentina in March when it assigned an Above Standard to Banco Patagonia. The agency had already begun ranking trustees in Mexico.