About

Kroll Bond Rating Agency (KBRA) provides credit ratings and research services in the financial sector, focusing on structured finance products like Asset-Backed Securities (ABS), Commercial Mortgage-Backed Securities (CMBS), and Residential Mortgage-Backed Securities (RMBS). Their credit ratings help clients, including institutional investors and financial intermediaries, assess the credit risk of various financial instruments, which aids in making informed investment decisions. KBRA differentiates itself from competitors by offering a subscription service through its KBRA Premium division, granting subscribers unlimited access to comprehensive ratings, research, and analytical tools specific to the U.S. structured finance market. The company's goal is to support clients in navigating complex financial markets by providing reliable credit assessments and insights.

Simplify's Take

What believers are saying

• KBRA's consistent release of detailed and timely research reports, such as the U.S. Bank Compendium and various ABS indices, demonstrates its commitment to providing valuable insights to clients.
• The company's ability to secure high-profile ratings assignments, like the AA rating for the City of Los Angeles Power System Revenue Bonds, highlights its strong market reputation.
• Specialized research offerings and analytical services provide additional revenue streams and opportunities for professional growth within the company.

What critics are saying

• The highly specialized focus on structured finance markets may limit KBRA's ability to diversify its revenue streams.
• Dependence on subscription services for revenue could be risky if market conditions lead to a decline in client renewals.

What makes Kroll Bond Rating Agency unique

• KBRA's focus on structured finance markets like ABS, CMBS, and RMBS sets it apart from competitors who may have a broader but less specialized focus.
• The company's subscription-based KBRA Premium service offers unlimited access to market-leading ratings and research, providing a unique value proposition for institutional investors.
• As an NRSRO, KBRA's ratings are recognized and trusted, giving it a competitive edge in credibility and reliability.