The History of Moody`s Analytics: The name you know, built on the

The History of Moody’s Analytics: The name you know, built
on the standards you trust
For over 100 years, the Moody’s name has been acknowledged as a leader in analyzing and monitoring
credit risk. From its origins as an information provider that was the first to rate public debt, Moody’s has
grown to cover the full spectrum of fixed income securities and credit instruments to support issuers and
investors worldwide.
Moody’s Analytics carries this tradition forward as a solutions partner, drawing on the vast experience, deep
insight, and sophisticated tools of Moody’s Corporation and the companies it has acquired over the years.
Moody’s Analytics offers an array of proprietary models and tools, as well as training and advisory services.
These are supplemented by a growing portfolio of products and services centered on assessing various kinds
of financial risk. We serve debt capital markets and credit risk management professionals worldwide by
providing a steady stream of powerful solutions.
Beyond the Ratings
Because Moody’s Analytics distributes the analytical tools, data, and research of Moody’s Investors Service, we offer our clients the
unique opportunity to access the minds behind the research. This translates to more than 1,300 seasoned analysts and their current and
historical work, spanning all industry sectors, asset classes, and geographies.
Moody’s Analytics provides clients with the ratings and analysts to monitor and assess credit risk, the models behind our award-winning
software, and the support our clients need to take full advantage of these capabilities.
MOODY’S ANALYTICS
The Beginning ­— 1900 -1914
Since John Moody published his first manual on industrial securities in 1900, Moody’s has been the leading voice in monitoring and analyzing relative
investment quality.
1900
John Moody & Company
founded
1907
The Stock Market collapse causes
Moody to sell his assets, including
the Manual
1903
Moody’s Manual of Industrial &
Miscellaneous Securities becomes an
indispensable tool to investors
1913
Moody’s extends the base of his services
from railroads to industrial companies
and utilities
1909
John Moody returns with a new service:
evaluating railroads in Moody’s Analyses of
Railroad Investments, the first of its kind
1914
Moody’s Investors Service is incorporated
Expansion ­— 1920s -1970s
Over the last century, Moody’s has led the way in monitoring and analyzing credit risk and adapting to the ever-changing needs of Wall Street and financial
markets worldwide.
1964
Moody’s is bought by Dun &
Bradstreet Corporation
1924
Moody’s ratings cover nearly 100
percent of the U.S. bond market
1970s
1930s
While bond default rates skyrocket during
the Great Depression, few bonds highly
rated by Moody’s missed payments
»» Moody’s ratings further extend to
the commercial paper market and
bank deposits
»» Major ratings agencies, including
Moody’s, begin the practice of charging
issuers and investors for rating services
A New Era ­— 1990s -2000
Through a series of complementary relationships and investments, we have augmented this expertise with new content and tools that encompass a more
complete spectrum of enterprise risk management solutions that move beyond establishing creditworthiness.
»» 2000
Moody’s Investors Service becomes a public company
1990
KMV releases the initial version of Expected Default Frequency (EDFTM)
credit measure, revolutionizing the quantitative analysis of credit risk
»» RFA becomes Economy.com; its Dismal Scientist named “Best of the Web” by Forbes
»» Moody’s Corporation acquires the Crowe Chizek products group, which includes
the predecessor to RiskAnalyst
1999
Moody’s enters into joint marketing agreement
with RFA, the predecessor to Economy.com
The Market Leaders that Make Moody’s Analytics
Many market-leading firms and products have gone into the formation of Moody’s Analytics.
2002
KMV acquired by
Moody’s Corporation
2005
Economy.com acquired
by Moody’s Corporation
2006
Wall St. Analytics acquired by
Moody’s Corporation
2011
Copal Partners and Barrie & Hibbert Limited
acquired by Moody’s Corporation
2008
Fermat and enb consulting
acquired by Moody’s Corporation
2007
Moody’s Analytics formed as a separate
and independent entity from the ratings
business, Moody’s Investors Service
2010
»» The Institute of Risk Standards
and Qualifications (iRSQ) established
by Moody’s Analytics
»» CSI Global Education, Inc. (CSI)
acquired by Moody’s Analytics
THE HISTORY OF MOODY’S ANALYTICS
MOODY’S ANALYTICS
The Evolution of Moody’s Analytics
While the whole is more than the sum of its parts, a brief review of the constituent and converging elements that form Moody’s Analytics
reveals the essential strengths underlying the solutions we put into the hands of our clients.
ENTERPRISE RISK SOLUTIONS
TRAINING & CERTIFICATION
»» Moody’s Analytics builds on the legacy of KMV and its flagship,
industry-standard solution, the EDF™ (Expected Default
Frequency) credit measure, and remains a pioneer in the
sophisticated application of modern financial theory and statistical
analysis to manage credit risk more accurately and effectively.
»» Moody’s Analytics established The Institute of Risk Standards
and Qualifications (iRSQ) to develop and promote a consistent
global competency standard in financial risk. Through iRSQ,
Moody’s Analytics has expanded its capabilities to offer a global
accreditation program that helps bank professionals meet the
highest standard for financial risk proficiency, including both
technical standards and ethical responsibility. The Institute has
been officially recognized by the UK Office of Qualifications and
Examinations Regulation (OFQUAL) and has been endorsed as the
sole standard for education and skills in applied risk management
by the Financial Services Skills Council (FSSC).
»» Fermat International has significantly advanced Moody’s
Analytics’ ability to offer comprehensive end-to-end risk
management solutions. The combination of Fermat’s highly
regarded regulatory and risk management products and software
with our existing offerings positions Moody’s Analytics to become
a global leader in risk and performance management software for
commercial banks and other global financial institutions.
»» Barrie & Hibbert Limited, broadens MA’s suite of software solutions
for insurance companies. With more than 150 customers around
the world, B&H’s Economic Scenario Generator (ESG) is widely
recognized as an industry standard for valuing and projecting
assets and liabilities and assessing risk and capital positions. B&H’s
specialized expertise and unique product offerings for insurance risk
management expand MA’s ability to help insurers meet worldwide
solvency modernization initiatives, including Solvency II and other
regulatory challenges.
»» Through enb consulting, Moody’s Analytics enhanced its ability to
provide tailored, high-quality learning, development and advisory
services. Enb’s combination of renowned technical banking
expertise and passion for business and personal transformation
adds to Moody’s Analytics’ offering of expert instructors and
trainers who foster intuition, assist change, and inspire results in top
banking institutions around the world.
»» With Economy.com, Moody’s Analytics has become a leading
independent provider and best source of economic, financial, country
and industry research that is designed to meet the diverse planning
and information needs of businesses, governments and professional
investors worldwide.
»» CSI Global Education Inc. (CSI), Canada’s leading provider of
professional credentials and compliance solutions for the financial
services industry for more than 40 years, strengthens Moody’s
Analytics capabilities to deliver credit training programs, research
and analytical services, and risk management software to financial
institutions worldwide. By combining CSI’s leadership with Moody’s
Analytics international reach and expertise in credit management,
we are able to continue our ongoing commitment to advancing
the understanding of financial risk and provide enhanced analytical
insight and standards to our clients.
STRUCTURED ANALYTICS & VALUATION
OUTSOURCING
»» Known for its specialized software and data tools for the
structuring, analysis, management and servicing of structured
debt instruments, Wall Street Analytics brings to Moody’s
Analytics an unsurpassed level of experience in working with
issuers, investment bankers and investors in the development of
software tools that fit specific client needs.
»» Copal Partners is one of the world’s leading providers of
outsourced research and analytics services to institutional
customers, is highly regarded in the global financial services
industry as a leader in high-quality research and analytical
services for bankers, financial analysts and institutional investors,
and has extensive operations in India and China. Partnering
with them represents a logical and significant extension of our
product portfolio for assisting financial institutions with their risk
management challenges.
ECONOMIC & CONSUMER CREDIT ANALYSIS
Moody’s Analytics: Essential Insight Serving Global Financial Markets.
For more information, visit www.MoodysAnalytics.com
THE HISTORY OF MOODY’S ANALYTICS
About Moody’s Analytics
Moody’s Analytics, a unit of Moody’s Corporation, helps capital markets and credit risk management
professionals worldwide respond to an evolving marketplace with confidence. The company offers unique
tools and best practices for measuring and managing risk through expertise and experience in credit analysis,
economic research and financial risk management. By offering leading-edge software and advisory services,
as well as the proprietary credit research produced by Moody’s Investors Service, Moody’s Analytics integrates
and customizes its offerings to address specific business challenges.
CONTACT US
Visit us at moodysanalytics.com or contact us at a location below:
AMERICAS
+1.212.553.1653
[email protected]
EMEA
+44.20.7772.5454
[email protected]
ASIA (EXCLUDING JAPAN)
+85.2.3551.3077
[email protected]
JAPAN
+81.3.5408.4100
[email protected]
Copyright © 2012, Moody’s Analytics, Inc. All Rights Reserved.
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