We are 100% independent, which is an essential requirement for the recognition of relevant institutions:
We are broadly anchored in the Swiss credit and capital market. Our clients include around 100 institutional investors and capital seekers, including:
- Leading, medium-sized, and small pension funds
- Insurance groups and health insurance companies
- Large, cantonal, regional, and private banks
- Swiss Stock Exchange SIX
- Bond-listed corporations
Our rating universe, including continuous monitoring, comprises:
- all Swiss municipalities
- all Swiss cantons
- about 350 companies
This includes both the issuers and their bonds.
We are happy to cover additional issuers or issues on request and where possible. Please do not hesitate to contact us!
Fedafin’s methodologies for credit ratings of banks, insurance companies, and real estate companies have been revised. The structure of the rating documentation was also slightly modified. The most significant adjustments to the different methodologies relate to:
- Revision of the respective set of key figures in the financial risk profile: The evaluation of key figures in the financial risk profile was comprehensively reviewed and revised. In the methodology for banks, adjustments were made in particular in the area of asset quality. In the methodology for real estate companies, adjustments concern profitability figures and the systematic consideration of company size.
- Definition of the stand-alone profile: The previous stand-alone rating, which included explicit guarantees and support factors from the public sector or other third parties, has been replaced by the stand-alone profile. The stand-alone profile is defined as the creditworthiness of a company independent of extraordinary support or guarantees from the public sector or other support providers. This is a harmonization with definitions of other credit rating agencies and results in better comparability. The more distinct separation between issuer and owner/support provider can have an impact on the stand-alone profile in particular for public sector entities. For private sector issuers, the stand-alone profile is usually unaffected as they do not usually profit from extraordinary support or guarantees. These adjustments have no impact on issuer ratings.
- Revised recovery analysis for real estate companies: The procedure for analyzing the expected recovery of an issuer has been comprehensively reviewed and revised. The distinction between the issuer credit profile (creditworthiness of the issuer) and the issuer rating (expected loss rating for senior unsecured liabilities) is now explicit. As the issuer rating also previously reflected the expected loss for senior unsecured liabilities, this has no effect on the rating.
- A differentiated presentation of the rating factors in modules: Factors relevant to credit ratings are presented in a more differentiated and transparent manner in clearly distinguished modules. This increases the comprehensibility of the rating assignment. Assessments of the individual modules are now explicitly shown on the rating documentation.
For cantonal banks, implementation will take place in February 2024, whereas for private sector banks, insurance companies, and real estate companies, implementation will take place with the rating updates for the 2023 financial year. Documents and details on the revision are available here.
As of the 2020 reporting season, fedafin discloses the influence of credit-relevant ESG factors on the credit rating of listed companies.
Investors also have the opportunity to subscribe to an ESG rating per issuer as a complement to the credit rating.
Would you like an independent credit rating for your company? Get in touch with managing director Adrian Oberlin!
ANALYSIS OF CREDITWORTHINESS
Our analysts will let you know which documents are required for a sound rating. We will also arrange a date for a management meeting to discuss your case-specific questionnaire.
Our rating committee assigns your company a so-called desktop rating. This is a snapshot without monitoring and without any external purpose. The rating report is deliberately kept short.
RATING INCLUDING MONITORING
If you decide to use the rating to obtain financing on the credit and/or capital market, the rating committee will issue an ordinary rating including monitoring. The rating report comprises around 10-30 pages for the capital market or around 2-4 pages for the credit market.
You can publish the credit rating report online via e-Rating. You have the choice of making it available exclusively to our contract clients or to the general public.
For the investment needs of institutional investors, we provide a comprehensive and continuously covered universe of cantonal, municipal, and corporate ratings. Our ratings allow banks, insurance companies, and pension funds to actively select and diversify with an above-average risk/return profile in the credit market.
For management of CHF bond portfolios, we offer a continuously covered rating universe with corporate and bond ratings of companies listed on the SIX Swiss Exchange. Our ratings allow banks, insurance companies, and pension funds to actively select and diversify CHF bonds based on an independent risk assessment.
The realization and financing of projects is a key driver of our economy and an expression of the continuous change in customer needs and market structures. As a rating agency, we support project financing in the direct sphere of influence of the public sector and primarily on behalf of investors by assigning a project rating.