CRA

CRA stands for Credit Rating Agency. A credit rating agency is a company that assesses the creditworthiness of borrowers. Credit ratings are used by investors to assess the risk of investing in a particular security.

In the context of securitisation, CRAs are responsible for rating the securities that are issued. The rating assigned to a security by a CRA will affect the price of the security and the yield that investors receive.

There are a number of different CRAs that operate in the world, including:

Moody's
Standard & Poor's
Fitch Ratings

The ratings assigned by CRAs are typically based on a number of factors, including the creditworthiness of the borrowers, the structure of the securitisation transaction, and the underlying assets.