Article: Rating agency, dealer announce collaboration.(Banc of America Securities' risk analysis tools are used by Standard and Poor's Risk Solutions)

A suite of risk analysis tools developed by Banc of America Securities has been harnessed by Standard and Poor's Risk Solutions, a move that is being perceived, initially, as a boost to synthetic CDO ratings.

The analysis of corporate credit risk is the trend du jour this year, as lenders and investors clamor behind the scenes for the next generation of analytical tools. While BofA has offered its proprietary Credit Option Adjusted Spread (COAS) and Lighthouse platforms to it clients for several months now, the collaboration announced this month marks the first time a dealer has pushed out a platform to the forefront of ratings.

The collaboration is not ...

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