Tag Archives: Fitch

Fitch Requires Rating Actions on six Petercam Funds

(The following statement was released by the rating agency) PARIS/LONDON, December 14 (Fitch) Fitch Ratings has affirmed the “Robust” Fund Quality ratings of 5 funds managed by Petercam Institutional Asset Management (Petercam IAM) and placed yet another under evaluation. The list of rating actions is as follows: Petercam Equities Euroland (PEE1): affirmed at “Robust” Petercam Equities Europe (PEE2) affirmed at “Robust” Petercam Equities Europe Sustainable (PEES) affirmed at “Powerful” Petercam Securities True Estate Europe (PSRE) affirmed at “Strong” Petercam Equities World Sustainable (PEWS) “Sturdy” rating placed Below Review Petercam L Bonds Government Sustainable (PBGS) affirmed at “Robust” Fitch has placed the “Powerful” rating of PEWS “Under Overview” following the departure of Bart Baetens, the lead Portfolio Manager (PM) of the fund considering that 2008. A. Roose, who was a member of the worldwide equity group, will take more than as lead PM, with D.Dury, PM at Degroof, joining as co-manager. Fitch views Mr. Baetens as a important element of the fund’s investment method. The agency expects to resolve the “Under Review” status of the fund in the next six months. Fitch will closely monitor the fund throughout this period to decide if the capacity of the fund to accomplish its objectives and outperform peers is structurally modified. The ‘Strong’ rating reflects the funds’ active, extended-term investment approach, which is primarily primarily based on bottom-up fundamentals choice, and also incorporates leading-down thematic views and the SRI-ESG criteria for the relevant funds. All round, the funds advantage from strong, broadly steady, staffing and IT sources. The merger among DeGroof Fund Management and Petercam IAM creates some uncertainties, but need to have no rating impact, as the limited overlaps in between the two companies’ item variety and methods are anticipated to leave the present investment teams and processes of the funds unaffected. Essential RATING DRIVERS Fund Presentation PEE1, PEE2, PEES, PSRE and PEWS are UCITS IV-compliant Belgium SICAV. PBGS is UCITS IV-compliant Luxemburg SICAV. PEE1, PEE2, PEES, PSRE invest in European equity. Particularly, PEES invests according to their socially accountable investment (SRI) or environmental, social and governance (ESG) criteria. PSRE invests in European real estate equities. PBGS and PEWS also comply with a sustainable strategy, investing in sovereign bonds from OECD countries and international equities (with an emerging market place bias), respectively. Investment Procedure Petercam European equity funds (PEE1, PEE2, PEES, and PSRE) stick to an active, long-term investment approach, mainly based on bottom-up fundamental stock-picking and which also incorporates leading-down thematic views. The funds are fully invested, and have a quality growth, mid-cap bias. In Fitch’s view, the 4 European equity fund’s investment edge originates from its focus on beneath-researched, quality modest to mid-cap businesses. Portfolio building is not constrained by the funds’ benchmarks, even though risk recommendations limit deviation from the benchmark. PEES’s eligible universe of about 250 stocks is derived from a filtering process making use of third-party and proprietary SRI-ESG scoring elements, which the fund sees as determinants of sustainable growth. PSRE is managed against a customised benchmark, the Petercam European Property Shares (PEPS) index. PEWS invests in 50 equally weighted big-cap global businesses that it views as possible market place leaders and comply with Petercam’s sustainability criteria. Geographical allocation is based on the Oxford Economics’ 2025 GDP forecasts and focuses on companies’ sales location rather than on their domicile. The fund has an EM, top quality development bias and is exposed to the monetary sector. PGSB’s investment method is based on a quantitative evaluation employing over 50 criteria that rank OECD nations by sustainability metrics. The leading 50% of nations by ranking are eligible for investment. The PMs aim to weight their allocation towards countries with the highest SRI rankings. The fund is completely invested, with a bias towards ‘AAA’/’AA’ rated eurozone government bonds. Sources Investment decisions are taken collectively by the two (or 3) PMs of the funds. A dedicated equity analyst team of nine, specialised by sector, conduct equity research on European stocks. For real estate stocks, global equity stocks and sovereign, PMs conduct their own analysis. An independent investment threat group of four oversees and challenges the PMs’ decisions, producing full use of third-celebration danger analytics. Funds managed below a sustainable method advantage from the assistance of an advisory board and a dedicated SRI coordinator. Petercam IAM has outsourced its middle office and IT functions to Lombard Odier given that 2012. Track Record PEE1 has performed strongly in 2015, attaining a best quintile functionality, outperforming each peers and the index. PPE2 has also outperformed, generating a second quintile efficiency. Even so, both funds performed poorly in 2014 due to their underweight positions to massive capitalisation stocks and utilities, combined with poor stock-picking. More than a five year period, PEE1 has achieved a leading quintile overall performance. PEES’s overall performance has lagged the index and (broad) peers more than one, 3 and 5 years to November 2015. As a consequence its Lipper Leader scores for constant return (for Belgium) were 1 more than a three-, five- and 10 year-period to November 2015. Nevertheless, its six-month rolling Jensen’s alpha (a measure of risk-adjusted functionality) has been improving because August 2014, returning to positive territory in 4Q15 for the first time because Could 2013. PSRE has delivered first quintile overall performance over 3 and five years to November 2015, outperforming its benchmark net of costs with decrease volatility, thereby meeting its objective. It is probably to underperform peers in markets where UK actual estate performs strongly, provided the benchmark’s and fund’s reduced weighting to the UK compared with peers. PEWS, which has been managed with the existing strategy given that 2008, has been an typical performer in its worldwide equity category. EM and the exclusion of the monetary sector explain most of its performance deviation from the indicative benchmark, MSCI World. PBGS has been an average performer in its category, underperforming given that 2012 the JP Morgan EMU Government Index, which is utilized for reference only, provided the fund’s restricted SRI universe. The fund’s efficiency is explained by its bias towards very rated, prices-sensitive rather than credit-sensitive eurozone government bonds. Fund Manager Petercam IAM is a wholly owned subsidiary of Bank Degroof Petercam. The merger of Bank Degroof and Petercam completed in October 2015 will be followed by the merger of the two asset management subsidiaries in early 2016. In Fitch’s opinion, the merger amongst Degroof and Petercam should leave core investment processes and front-office employees largely unaffected but could lead to alterations in support and manage functions, operating model and technological platform. Petercam IAM and Degroof had EUR30bn assets below management (AUM) at as at finish-September 2015. The company’s historical concentrate has been in European assets and investors. RATING SENSITIVITIES The rating might be sensitive to material modifications in the investment or operational processes or sources dedicated to the fund. A material adverse deviation from Fitch’s guidelines for any key rating driver could outcome in a downgrade. For example, notable structural deterioration in the fund’s performance or departure of PMs (to which PSRE and PEWS are deemed far more sensitive) or a substantial operational loss due a merger-connected procedure failure, might lead to a downgrade. The PSRE fund could be upgraded to ‘Excellent’ if it meets Fitch’s criteria for a ‘Strong’ track record and if PMs demonstrate stock choosing skills in markets that historically have not been core to Petercam’s knowledge. PEEI might be upgraded if the fund can demonstrate that 2014 was an isolated occasion in an otherwise robust lengthy-term track-record. This would be demonstrated through constant outperformance on a threat-adjusted basis more than five years and much more. Further, continued weak performance of PEES would most likely result in the fund becoming placed ‘Under Review’ or downgraded. Fitch sees little prospective for an upgrade of the other funds, provided the particular nature of these funds and due to the funds’ already high ratings. Contacts: Main Analysts Manuel Arrive, CFA (PSRE, PEWS, PBGS) Senior Director +33 1 44 29 91 77 Fitch France S.A.S. 60 rue de Monceau Paris 75008 Alastair Sewell, CFA (PEES, PEE1, PEE2) Senior Director +44 203 530 1147 Fitch Ratings Limited 30 North Colonnade London E14 5GN Secondary Analysts Manuel Arrive, CFA (PEES, PEE1, PEE2) Senior Director +33 1 44 29 91 77 Alastair Sewell, CFA (PSRE, PEWS, PBGS) Senior Director +44 203 530 1147 Committee Chairman Charlotte Quiniou, CFA Director +33 1 44 29 92 81 Media Relations: Rose Millburn, London, Tel: +44 203 530 1741, E-mail: rose.millburn@fitchratings.com. Further info is accessible on www.fitchratings.com Applicable Criteria Fund Top quality Rating Criteria (pub. 16 Sep 2014) here Further Disclosures Solicitation Status here Endorsement Policy right here ail=31 ALL FITCH CREDIT RATINGS ARE Subject TO Specific LIMITATIONS AND DISCLAIMERS. PLEASE Study THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS Hyperlink: right here. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE Offered ON THE AGENCY’S PUBLIC Site ‘WWW.FITCHRATINGS.COM’. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE Obtainable FROM THIS Website AT ALL Times. FITCH’S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO Obtainable FROM THE ‘CODE OF CONDUCT’ SECTION OF THIS Internet site. FITCH May possibly HAVE Provided One more PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS Associated THIRD PARTIES. Specifics OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS Primarily based IN AN EU-REGISTERED ENTITY CAN BE Found ON THE ENTITY SUMMARY Web page FOR THIS ISSUER ON THE FITCH Web site.

Fitch Withdraws Expected Rating On Hatton National Bank’s Senior Debentures

(The following statement was released by the rating agency) COLOMBO, December 09 (Fitch) Fitch Ratings has withdrawn the anticipated rating of ‘AA-(lka)(EXP)’ assigned to Hatton National Bank PLC’s proposed senior unsecured debentures as the bank no longer expects to proceed with the senior debt issue. The anticipated rating was assigned on 4 September 2015. HNB’s proposed issuance of up to LKR10bn will now comprise of subordinated debentures only. Fitch assigned the proposed subordinated debentures a rating of ‘A+(lka)(EXP)’ on four September 2015. The final rating is subject to the receipt of final documentation conforming to info already received. A complete list of HNB’s ratings follows: National Extended-Term Rating: ‘AA-(lka)’ Outlook Stable Sri Lanka rupee-denominated senior unsecured debentures: ‘AA-(lka)’ Basel II compliant outstanding subordinated debentures: ‘A+(lka)’ Proposed Basel II compliant subordinated debentures: ‘A+(lka)(EXP)’ Speak to: Primary Analyst Jeewanthi Malagala, CFA Analyst +941 1254 1900 Fitch Ratings Lanka Ltd 15-04, East Tower, World Trade Center Colombo 1, Sri Lanka Secondary Analyst Rukshana Thalgodapitiya, CFA Vice President +941 1254 1900 Committee Chairperson Sabine Bauer Senior Director +852 2263 9966 Date of Relevant Rating Committee: 7 July 2015 Media Relations: Bindu Menon, Mumbai, Tel: +91 22 4000 1727, Email: bindu.menon@fitchratings.com. HNB has a 1.78% equity stake in Fitch Ratings Lanka Ltd. No shareholder other than Fitch, Inc. is involved in the day-to-day rating operations of, or credit reviews undertaken by, Fitch Ratings Lanka Ltd. Note to editors: Fitch’s National ratings supply a relative measure of creditworthiness for rated entities in nations with fairly low international sovereign ratings and where there is demand for such ratings. The ideal risk within a country is rated ‘AAA’ and other credits are rated only relative to this threat. National ratings are created for use primarily by regional investors in nearby markets and are signified by the addition of an identifier for the country concerned, such as ‘AAA(lka)’ for National ratings in Sri Lanka. Particular letter grades are not therefore internationally comparable. Extra information is accessible on www.fitchratings.com Applicable Criteria Evaluating Corporate Governance (pub. 07 Dec 2015) right here Global Bank Rating Criteria (pub. 20 Mar 2015) right here National Scale Ratings Criteria (pub. 30 Oct 2013) right here Further Disclosures Solicitation Status here Endorsement Policy right here ail=31 ALL FITCH CREDIT RATINGS ARE Topic TO Particular LIMITATIONS AND DISCLAIMERS. PLEASE Read THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS Hyperlink: right here. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE Offered ON THE AGENCY’S PUBLIC Website ‘WWW.FITCHRATINGS.COM’. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE Obtainable FROM THIS Internet site AT ALL Times. FITCH’S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO Obtainable FROM THE ‘CODE OF CONDUCT’ SECTION OF THIS Site. FITCH May HAVE Provided Yet another PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS Connected THIRD PARTIES. Details OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS Based IN AN EU-REGISTERED ENTITY CAN BE Discovered ON THE ENTITY SUMMARY Page FOR THIS ISSUER ON THE FITCH Website.

Fitch: Japanese Life Insurers Seek Overseas Growth Possibilities

(The following statement was released by the rating agency) Link to Fitch Ratings’ Report: 2016 Outlook: Japanese Life Insurance here TOKYO, December 07 (Fitch) Japanese life insurers are most likely to strengthen their insurance coverage company outside Japan in 2016 whilst accumulating foreign bond holdings to boost their investment yield, Fitch Ratings says in a new report. The Rating Outlook for Japanese life insurers has been revised to Steady from Negative, to be consistent with the Outlook for the Japan sovereign (Lengthy-Term Neighborhood-Currency Issuer Default Rating at A). This reflects the insurers’ higher concentration of Japanese government bonds (JGBs) in their investment portfolios. The Sector Outlook remains Steady due to the general improvement in earnings and sufficient capitalisation. Many Japanese significant life insurers have started to obtain sizable life insurance firms (for about JPY1.4trn in total) in created markets such as the United States and Australia, following the overseas expansion plans of The Dai-ichi Life Insurance Organization, Restricted (Insurance coverage Economic Strength (IFS) Rating A/Steady). Fitch believes this trend will continue, offered the ageing and contracting population in Japan, and will monitor any integration and governance risks from international M&A. Japan’s life insurers are likely to continue moderately accumulating foreign bonds to seek larger yield, if the very low bond yields in Japan (at about 1% for 20-year JGBs) persist. Fitch expects currency dangers (specially versus US dollar) could improve additional, if insurers raise unhedged portions. Even though the increasing allocation to foreign bonds will provide broader diversification from the concentration on JGB, currency risks want to be managed effectively given the majority of the life insurance coverage liabilities are nevertheless yen-denominated. Fitch expects the life insurers to sustain their sturdy earnings level and solid capital adequacy in 2016. The nine main traditional life insurers’ core profit was JPY1,194bn in the 1st half of the economic year ending March 2016, up from JPY1,117bn a year earlier. The nine insurers’ typical statutory solvency margin ratio was 923.5% at end-September 2015, compared with 897.7% a year earlier. The view is supported by an enhancing investment spread owing to accumulated foreign bond investments and the moderately expanding profitable “third sector” (health) insurance item businesses. The report titled “2016 Outlook: Japanese Life Insurance coverage” is obtainable at www.fitchratings.com or by clicking on the hyperlink in this media release. Make contact with: Teruki Morinaga Director +81 3 3288 2781 Fitch Ratings Japan Restricted Kojimachi Crystal City East Wing 3F 4-8 Kojimachi, Chiyoda-ku Tokyo 102-0083 Akane Nishizaki Associate Director +852 2263 9942 Jeffrey Liew Senior Director +852 2263 9939 Media Relations: Wai-Lun Wan, Hong Kong, Tel: +852 2263 9935, Email: wailun.wan@fitchratings.com. Additional data is accessible on www.fitchratings.com ALL FITCH CREDIT RATINGS ARE Topic TO Certain LIMITATIONS AND DISCLAIMERS. PLEASE Study THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS Link: here. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE Obtainable ON THE AGENCY’S PUBLIC Internet site ‘WWW.FITCHRATINGS.COM’. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE Available FROM THIS Website AT ALL Occasions. FITCH’S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO Accessible FROM THE ‘CODE OF CONDUCT’ SECTION OF THIS Website. FITCH Could HAVE Offered Yet another PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS Related THIRD PARTIES. Details OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS Primarily based IN AN EU-REGISTERED ENTITY CAN BE Discovered ON THE ENTITY SUMMARY Web page FOR THIS ISSUER ON THE FITCH Web site.

Fitch: Chinese Life Insurers Face Greater Asset Dangers

(The following statement was released by the rating agency) Hyperlink to Fitch Ratings’ Report: 2016 Outlook: China Life Insurers right here HONG KONG, December 02 (Fitch) Chinese life insurers are taking on larger asset dangers due to higher equity exposures and surging option investments such as debt investment plans, trust schemes and wealth management items, Fitch Ratings says in a new report. Elevated alternative investments make Chinese life insurers’ credit profiles a lot more vulnerable to an financial downturn as these varieties of investments are normally less liquid than straight bonds, and are focused on the infrastructure and genuine-estate sectors. Alternative investments accounted for about five%-17% of surveyed insurers’ assets as of finish-1H15. Greater equity exposures also indicate greater vulnerability of their capitalisation to unfavourable stock industry movements. However, the effect of China’s stock marketplace correction in 2H15 must be manageable provided their stronger solvency positions following the stock market’s rally since mid-2014. Flexibility to decrease policyholders’ dividends can also mitigate the influence of poor investment yields. The far more granular capital regime under the China Risk Oriented Solvency Program is spurring Chinese life insurers to problem a lot more equity-like hybrid securities. China Life Insurance Company Restricted issued the first Core Tier II instruments beneath the new regime in June 2015. Subordinated debts stay the primary supplementary capital the key life insurers’ economic leverage stayed at 19%-28% at finish-2014. Fitch expects Chinese life insurers to price tag their policies far more aggressively following the regulator’s removal of the two.five% cap on assured returns for policyholders. However, the cap (three% for participating, three.five% for universal life and 3.five%-four.025% for non-participating products) on the discount price utilized to decide statutory insurance coverage reserves will avert excessive competition. The two.5% cap on guaranteed returns on insurance coverage policies was fully removed in October 2015. Fitch is preserving its Rating and Sector Outlooks at Steady for the Chinese life insurance coverage sector as it believes that the rated insurers’ resilient market positions, and adequate capitalisation and external funding capabilities will keep supporting their credit strength. Continued earnings volatility and fierce competitors among homogenous goods are key rating constraints. The report, “2016 Outlook: China Life Insurers”, is available at www.fitchratings.com or by clicking on the hyperlink in this media release. Contacts: Joyce Huang Director +852 2263 9595 Fitch (Hong Kong) Restricted 19/F Man Yee Developing 68 Des Voeux Road Central, Hong Kong Terrence Wong Director +852 2263 9920 Jeffrey Liew Senior Director +852 2263 9939 Media Relations: Wai-Lun Wan, Hong Kong, Tel: +852 2263 9935, E mail: wailun.wan@fitchratings.com. Additional data is available at www.fitchratings.com. ALL FITCH CREDIT RATINGS ARE Subject TO Particular LIMITATIONS AND DISCLAIMERS. PLEASE Study THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS Link: here. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE Offered ON THE AGENCY’S PUBLIC Internet site ‘WWW.FITCHRATINGS.COM’. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE Available FROM THIS Internet site AT ALL Times. FITCH’S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO Offered FROM THE ‘CODE OF CONDUCT’ SECTION OF THIS Internet site. FITCH May possibly HAVE Supplied An additional PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS Connected THIRD PARTIES. Details OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS Based IN AN EU-REGISTERED ENTITY CAN BE Located ON THE ENTITY SUMMARY Web page FOR THIS ISSUER ON THE FITCH Web site.

Fitch: New FDI Policy a Extended Term Optimistic for India True Estate

 

(The following statement was released by the rating agency) MUMBAI/SINGAPORE, November 30 (Fitch) Fitch Ratings believes that the easing of investment norms beneath Foreign Direct Investment (FDI) policy for the real estate sector is far more of a extended term story, and is unlikely to outcome in any instant enhance in FDI in the near term. The policy, which became powerful on 24 November 2015, removes the earlier circumstances on minimum investments (of USD 5m earlier), minimum location and also eases exit alternatives for the FDI investor. The Indian genuine estate sector has been challenged by frequent delays in project completion and a long/ complicated approval procedure. The weak demand in current times has added to the challenges. With these problems continuing to effect the sector, we think that investment flows will stay slow and restricted to a handful of selective projects in the next 12 months. Investment flows in to the actual estate sector have slowed down over the final 18 months. FDI in so referred to as construction-development projects fell by more than 38% throughout the year ending March 2015 (FY15) to USD 758m (FY14: USD1,226m). The FDI flow has remained weak this year with just USD34m of investments in 1QFY16. We anticipate the investments to choose up over the next two to 3 years along with the expected improvement in demand in the genuine estate sector. In addition, the less complicated exit options allowing FDI investors to money out right after a lock-in period of three years without linking them to any execution delays and capacity to invest in completed projects could enhance the appetite of investors. Fitch expects FDI investments to attain about USD1.5bn annually more than the next two to 3 years. The increase in FDI is likely to bring far more transparency in the Indian real estate sector, whilst also resulting in much more timely completion of projects and improved construction top quality with access to much better technologies. The affordable housing segment has so far witnessed a weak response from developers and fewer completed projects, notwithstanding the government concentrate and the potential for the sector to benefit from the easing of FDI policy. We do not count on meaningful foreign investment flows into this segment till investors are better capable to assess the risks unique to this segment, and this will need a significant enhance in the number of completed projects. Speak to: Muralidharan R Director +91 22 4000 1732 Wockhardt Towers, 4th Floor, West Wing Bandra Kurla Complicated, Bandra East Mumbai – 400 051 Hasira De Silva Director +65 6796 7240 Vicky Melbourne Senior Director +61 two 8256 0325 Media Relations: Bindu Menon, Mumbai, Tel: +91 22 4000 1727, E mail: bindu.menon@fitchratings.com. Extra info is offered on www.fitchratings.com ALL FITCH CREDIT RATINGS ARE Subject TO Specific LIMITATIONS AND DISCLAIMERS. PLEASE Study THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS Hyperlink: right here. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE Accessible ON THE AGENCY’S PUBLIC Web site ‘WWW.FITCHRATINGS.COM’. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE Accessible FROM THIS Site AT ALL Times. FITCH’S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO Offered FROM THE ‘CODE OF CONDUCT’ SECTION OF THIS Site. FITCH May HAVE Supplied One more PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS Associated THIRD PARTIES. Details OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS Based IN AN EU-REGISTERED ENTITY CAN BE Located ON THE ENTITY SUMMARY Web page FOR THIS ISSUER ON THE FITCH Web site.

 

Fitch Requires Rating Actions on Colombian State Banks Following Peer Evaluation

(The following statement was released by the rating agency) NEW YORK, November 27 (Fitch) Following its peer evaluation of Colombia’s state banks, Fitch Ratings has taken rating actions on the following entities: –Banco Agrario de Colombia S.A. –Banco de Comercio Exterior de Colombia S.A. –Financiera de Desarrollo Nacional S.A. –Financiera de Desarrollo Territorial S.A. Fitch has published press releases for every single of these banks which are offered on ‘www.fitchratings.com.’ These RACs include each and every issuer’s important rating drivers and sensitivities as properly as the list of all rating actions taken. Contact: Mark Narron (Main Analyst, Banco Agrario de Colombia, Banco de Comercio Exterior de Colombia, Financiera de Desarrollo Nacional and Financiera de Desarrollo Territorial) Director +1-212-612-7898 Fitch Ratings, Inc. 33 Whitehall St. New York, NY 10004 Marcela Galicia (Secondary Analyst, Banco Agrario de Colombia) Director +503 2516-6611 Sergio Pena (Secondary Analyst, Banco de Comercio Exterior de Colombia, Financiera de Desarrollo Nacional, Financiera de Desarrollo Territorial) Associate Director +57-1-326-9999 Ext 1160 Committee Chairperson Alejandro Garcia Senior Director +52 81 8399 9100 Media Relations: Sandro Scenga, New York, Tel: +1 212-908-0278, E-mail: sandro.scenga@fitchratings.com. Further data is accessible on www.fitchratings.com ALL FITCH CREDIT RATINGS ARE Topic TO Particular LIMITATIONS AND DISCLAIMERS. PLEASE Read THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS Link: here. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE Available ON THE AGENCY’S PUBLIC Web site ‘WWW.FITCHRATINGS.COM’. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE Obtainable FROM THIS Web site AT ALL Times. FITCH’S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO Available FROM THE ‘CODE OF CONDUCT’ SECTION OF THIS Website. FITCH Might HAVE Supplied Another PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS Associated THIRD PARTIES. Particulars OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS Based IN AN EU-REGISTERED ENTITY CAN BE Discovered ON THE ENTITY SUMMARY Page FOR THIS ISSUER ON THE FITCH Site.