Regulation of the US Credit Rating Industry and Regulatory Data Disclosures

Abstract

The Credit Rating Reform and Dodd-Frank Acts significantly increased US credit rating regulation, yet few academic studies have examined their impact or capitalized on the regulatory disclosure data. To facilitate research in the area, this paper outlines the evolution of credit rating industry regulations, describes the current regulatory environment, and reviews the SEC enforcement actions in recent years. In addition, the paper summarizes the regulatory disclosure requirements, in particular the aggregate rating performance data and individual credit rating history data.

Keywords: credit rating, rating agency, regulation

JEL Classification: G24, G28