CESR reviews rating agencies’ compliance with IOSCO code

Rating agencies are continuing to find it difficult to separate their rating activities from other services to ease regulatory concerns over conflicts of interest. In its first report to the European Commission since advising against full-scale regulation in favour of the IOSCO’s code of conduct for rating agencies, the CESR said there are still areas for improvement although on the whole rating agency codes are largely compliant with the IOSCO code.