DBRS Morningstar Publishes Updated Methodology for European RMBS Insight: Greek Addendum

DBRS Morningstar published an updated version of “European RMBS Insight: Greek Addendum”.

This methodology presents the criteria for which Greek residential mortgage-backed securities (RMBS) ratings, and, where relevant, Greek covered bonds ratings, are assigned. No changes were made to the methodology, but DBRS Morningstar is further clarifying that it typically reduces recovery proceeds from foreclosed mortgage loans by 35% to account for claims from preferred and unsecured creditors which may be paid out senior to the secured creditor in the Greek jurisdiction.

DBRS Morningstar has conducted a periodic review of “European RMBS Insight: Greek Addendum”. This update supersedes the previous version published on 13 March 2020 and is effective as of 15 March 2021. DBRS Morningstar deems the update not to be material and has determined that no ratings are expected to change as a result of this update.

Notes:
A description of how DBRS Morningstar considers ESG factors within the DBRS Morningstar analytical framework can be found in the DBRS Morningstar Criteria: Approach to Environmental, Social, and Governance Risk Factors in Credit Ratings at: https://www.dbrsmorningstar.com/research/373262.

For more information regarding rating methodologies and Coronavirus Disease (COVID-19), please see the following DBRS Morningstar press release: https://www.dbrsmorningstar.com/research/357883.

For more information regarding structured finance rating methodologies and Coronavirus Disease (COVID-19), please see the following DBRS Morningstar press release: https://www.dbrsmorningstar.com/research/358308.

DBRS Morningstar methodologies are publicly available on its website www.dbrsmorningstar.com under Methodologies & Criteria.

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