Moody's Investors Service said that the deterioration in the credit risk profiles of financial guarantors may have significant implications for a number of banks and securities firms. The rating agency's review for possible downgrades of embattled monolines MBIA and Ambac is set to conclude soon.

In the report, entitled "Analytical Exposure on Guarantor Exposure at Global Banks and Securities Firms," the rating agency updated its ongoing analysis on monolines' exposures, breaking it down into four broad categories including credit default swaps (CDS) and derivatives; wrapped and direct exposures; liquidity facilities; and reputational exposure.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.