In the context of Scope Ratings’ strategy of focussing on the needs of institutional investors, Scope will offer its unsolicited bank and covered bond credit ratings on a subscription basis only via its credit intelligence platform.

Scope Ratings has updated its rating report on The Royal Bank of Scotland Group plc, rated A with Stable Outlook.

Scope Ratings has updated its rating report on The Royal Bank of Scotland Group PLC, rated A with Stable Outlook. On 11 July 2018, Scope took positive rating actions on long-term ratings of various RBS Group entities due to improved credit fundamentals.

Rating actions conclude review initiated two months ago. They reflect the improvement in RBS Group’s fundamentals. Ratings no longer benefit from one-notch of uplift for expected state support. Further, ratings reflect group’s new ring-fenced structure.

The Additional Tier 1 market reaches a landmark in 2018 as the earliest issues hit their first call dates. The investor base has grown, and terms and structures have standardised. But what lessons should be learned from developments in this market?

Scope’s review will evaluate the progress the RBS group has made in transforming its business model to generate sustainable earnings. The review will also assess whether the one-notch rating uplift due to expected state support is still warranted.

The handbook includes an assessment of how risks in the AT1 market are evolving. Recent developments concerning Banco Popular and Bremer Landesbank demonstrate the importance of issuer fundamentals when evaluating the likelihood of incurring losses.

Scope Ratings details the rationale behind the rating on RBS’s AT1 securities which were rated for the first time last month.

Scope Ratings has updated its rating report for The Royal Bank of Scotland PLC, rated A- with Stable Outlook. Information on the group’s positioning with respect to estimated MREL requirements has been added.