In this financial crisis, it can be said that in addition to Wall Street bankers, another criticized is that credit rating agencies have been criticized for failing to strictly review credit derivatives, resulting in uneven product quality.

During the rapid development of the real estate industry, investors' subprime transactions have reached millions of dollars. Everyone is accusing that S&P, its main competitors and other rating agencies of unfair competition due to innate conflicts of interest, and that many securities have been taken care of by their analysts when rating levels, which has harmed everyone.

The credibility of international rating agencies began to be questioned after the financial crisis, and the Financial Crisis Inquiry Commission even said in a report that the downgrade of these securities ratings "helped" erase nearly $11 trillion in wealth in American households.

So much so that at this time, Standard & Poor's was believed by many people in the United States that they did not have the ability to conduct constructive dialogues and did not understand basic economic concepts, and would only spread "lie".

"Bang!"

Under the cloudy New York sky, on the lush golf course, Andy, wearing a white T-shirt and white casual pants, waved the club, and the golf ball he hit drew a beautiful arc in the air and landed on the hillside not far away.

"nice shot!"

"Thank you." Andy closed the pole, with a bright smile on his face, and said to the new president of the Standard & Poor, Tiffany Shama, who was being ordered to applaud the guest on the side. Andy handed the club to the caddie with the club bag, pressed down the brim of the baseball cap, and walked leisurely towards the next ball area on the lawn.

"call"

"To be honest, I really want to thank you for your invitation. I didn't even have time to rest during this period." Although Tiffan Sharma was not very familiar with Andy Smith, it did not prevent him from using his slightest wrist to bring each other closer together.

"…We can understand why people question us so much. We understand that, although sometimes it feels a little unfair, we play a limited but important role in the market. We bring important benchmark information about credit. If you look at past records, we rate $32 trillion (bonds), of which, the "secondary debt" is only $2 trillion. Although there is no problem with the others, there is a problem with the "secondary debt" and we are disappointed with it."

Tiffan Sharma looked into the distance, looking at the vast stadium scenery, and continued to talk about the previous topic with emotion, and defended the Standard & Poor he took over. Although there was no need to give the defense to Andy Smith, facing a new king who had a media empire and was fighting with the old media empire News Corp and gaining the upper hand, he hoped to get Andy Smith's friendship.

"But I have to say that the rating reports issued by Moody's, Fitch and S&P have a huge influence and directly affect the investment decisions of investors around the world in countries' government bonds, corporate bonds, etc.." Alvetre said calmly, sneering at Tiffansham's defense, but this time, he came to ask the other party for help, so he didn't say it badly. Otherwise, his words would become that the three major rating agencies were suspected of making misleading ratings in the housing mortgage business!

"Haha." Andy chuckled and shook his head, walking while tidying up the white half-finger gloves on his right hand. "The financial crisis has become a thing of the past, and the consequences are very serious. The key now is that it is not what you say, but what everyone thinks so. There must always be someone or company to stand up and be the culprit and scapegoat for this financial crisis."

As he said that, Andy, with a bright smile on his face, looked at Tiffan Sharma with a wry smile, and said meaningfully: "Also, based on some information I have received, your S&P situation is worrying, and many people want to borrow your S&P heads to use it!"

"How is this possible?!"

At this time, Tiffan Shama's expression changed drastically, and he was frightened and angry. He did not doubt the authenticity of Andy's words. When he received Andy's call invitation, he had been thinking about the other party's purpose of finding his own. The final conclusion was that the other party was going to war with News Group, perhaps because he needed their S&P's help. He was originally a little confused about how to not offend both parties and get Andy's friendship, and refused some too much assists. Now it seems that not to mention refusing, facing the bait thrown by the other party, he had to eat even if he vomited blood.

Andy ignored Tiffan Shama's shock, but reached out to set a pergola in his eyes, looked into the distance, and said lightly: "Nothing is impossible...

By the way, as the scope of the eavesdropping phone calls gradually expands, the UK has expanded its judicial investigation into the news group's media's eavesdropping scandal. At the same time, U.S. lawmakers have increased pressure to ask the FBI to investigate whether news group's media have similar misconduct in the United States. What do you think of the dilemma facing News Group? Is it facing "increased business and reputation risks"?"

Andy, who suddenly remembered something, looked very curious about consulting professionals, almost let Tiffan Sharma feel a bit of old blood, but there was still a helpless smile on his face. He had already determined the purpose of Andy Smith's invitation. While feeling the ruthlessness of the young richest man in his heart, he had to surrender and trade the information useful to them by the other party.

Tiffany Shamaxun thought for a moment, then made a decision, and looked at Andy and shook his head and smiled bitterly: "Yes, as the scope of the eavesdropping phone calls gradually expanded, our agency conducted a credit assessment of News Corporation, which is not optimistic. It has decided to include News Corporation's bbb+ rating on the negative observation list. However, for the sake of safety, I wait for the development of the situation and have not yet planned to make it public to the outside world."

"Is the bbb+ rating included in the negative observation list? Is the business and reputation risks increasing to this level, and hasn't the credit rating been lowered?" Andy muttered to himself in a puzzled manner.

"Ahem, this actually means that our institution may downgrade the News Corp credit rating." Tiffan Shama's ruthless comment on Andy was raised to cruelty, and she really wanted to attack News Corp to death!

"That's it..." Andy stretched his brow slightly, as if answering his doubts, and said to Tiffan Shama with a smile: "Look at me, sorry, my thinking sometimes jumps too much and often changes the topic. By the way, I just said that I heard some news and I don't know if it's useful to you. It seems that Peanuts are pushing the accusation that S&P exaggerates the ratings of mortgage-backed securities and lied that there is no conflict of interest in the ratings. And there is an investigation accusation that your rating company gave the highest rating of subprime mortgage-backed bonds to win Wall Street banking business, thus helping to trigger the financial crisis."

"This is totally slander..." When Tiffanshamma heard the news, his heart skipped a beat, but he was not surprised. He also received a lot of this kind of news, not novel, so he defended him in fear.

However, just said something, Alvetre, who was standing by, said quietly: "Many people in Washington believe that S&P's decision to lower a company or a country's rating is entirely up to the decision-makers. For example, when rating mortgage loans, analysts' report pointed out that ratings need to be lowered, but S&P's decision-makers conceal the facts and still give high ratings.

If the government finds evidence to support the investigation, S&P's long-standing creed that analysts' assessments are independent of business will be questioned. S&P's analyst's reputation for lixing is bound to be severely damaged and may even trigger civil lawsuits for compensation."

"This..." Tiffan Shama's face changed slightly, and her brows frowned and fell into deep thought.

"By the way, Mr. Shama, has News Corp really not met the standard of downgrade? I'm really worried..."

Andy's untimely problem once again made Tevin Shama grit her teeth and make a choice. She looked at Andy with a burning look and said: "It is indeed necessary to consider carefully and be responsible for the financial market and investors. Affected by the eavesdropping scandal, the team of senior management of News Group will be weakened, forced to give up strategic business opportunities and may be alienated by customers. It is indeed necessary to downgrade the credit rating!"

"Bang!"

Andy reached out and clapped his hands and said with annoyance: "Look at me, I forgot the most important thing. I heard from a friend that the Justice Department is considering conducting a detailed investigation of Standard & Poor's on the grounds of illegal ratings as 12 mortgage securities."

Tiffan Sharma's pupils shrank suddenly and was startled, but she did not rush to react, but continued to look at Andy, because the news could not be exchanged for the benefits Andy Smith might gain after downgrading the credit rating to News Group.

"By the way, there is another news that may be useful to you S&P. The White House seems to be drafting a new Financial Reform Act, requiring the SEC to reform the financial field, including reducing conflicts of interest in the rating industry, rating agencies bear corresponding legal responsibilities for their ratings, and reducing investors' dependence on rating agencies. It also requires government regulators to check various financial regulatory regulations and abolish the relevant provisions of "credit rating reference" in it." Andy said indifferently with a smile.

"Hiss" Tiffany Shama couldn't help but take a breath in her heart, and looked at Andy's gaze brighter and kept flashing, and said sincerely: "Thank you, thank you very much!"

Andy shook his head and chuckled, showing a mouthful of white teeth, and his smile became brighter.

The next day, Standard & Poor's, one of the three major international rating agencies, warned on the 18th that as the scope of the eavesdropping telephone incident gradually expanded, the company made a lower credit rating for News Group Bbb+...
Chapter completed!