In Brief: S&P to Start Rating Syndicated Loans

NEW YORK - Standard & Poor's Ratings Group plans to launch a rating scale designed for the $665 billion syndicated bank loan market.

The rating agency noted that bank loans are emerging as a new asset class for institutional investors such as mutual funds and insurance companies. The bank loan rating scale, to be unveiled at a press conference today, goes beyond default risk to incorporate an evaluation of collateral, covenants, and other structural features.

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