The latest wave of proposed European regulations on rating agencies, known as CRA3, contains a rule that has unsettled players from every corner of the financial market: enforced ratings rotation.

That is, an issuer would have to periodically change the agencies that rate it or a given deal according to a set timetable. Depending on the maturity of a transaction and other factors, as many as six agencies might be needed to rate a single deal over its life.

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