The role of credit rating agencies in responsible finance /
[Book]
Daniel Cash.
Cham, Switzerland :
Palgrave MacMillan,
[2018]
1 online resource.
Palgrave Pivot
Palgrave studies in impact finance
Includes bibliographical references and index.
Chapter 1. Introduction -- Chapter 2. "Setting the Scene" -- Chapter 3. The Role of the Credit Rating Agencies -- Chapter 4. "Disconnects" -- Chapter 5. The Future for the Relationship -- Chapter 6. Conclusion.
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This Palgrave Pivot aims to examine the bourgeoning relationship between the Principles for Responsible Investment and the Credit Rating Industry. Since May of 2016, when the partnership was initially publicised, the PRI have endeavoured to incorporate Credit Rating Agencies into its initiative via its 'ESG in Credit Ratings Initiative', and have been working diligently to find, and create common ground between Credit Rating Agencies and Institutional Investors seeking to be more forward-looking in their investment approaches. However, in recent years the 'Big Two' Credit Rating Agencies - Standard & Poor's and Moody's - have finally received record fines for their conduct in the run-up to the Financial Crisis. There is a need, then, to examine the incorporation of the Credit Rating Agencies into such a progressive initiative. To achieve this objective, this book examines the field of 'responsible investing', the credit rating industry, and the power dynamic that exists between the rating industry, investors, and the PRI (via its 'Initiative').--