We published the first white paper “Review of Moody’s Sovereign Rating Methodology From a Market Angle and Suggestions for Future Rating Methodology” in the Chinese “Economic Journal” and began to investigate the feasibility of establishing an Asian rating agency in Hong Kong.
FV Open Ratings was officially incorporated in Hong Kong in 2018, and the SFC license 10 was granted by Hong Kong Securities & Futures Commission in Jan 2020. Leveraging Hong Kong‘s comprehensive compliance and legal framework, we always maintain our principles to be “open fair and just” in mind, from creating our shareholding structure and management team to every other task that FV Open Ratings carries out.
for corporates to reduce rating report turnaround time from months to days, and then apply real time rating monitoring with transparent rating methodology.
institutional/corporate investors,analysts,and retail investors.
pre-rating reports and full rating reports,indices,monitoring and alert services for both institution and retail investors,credit engine subsciption,etc.
The FV Open Ratings framework takes into account the characteristics of different types of markets, for example distinguishing mature countries and regions from developing ones, which can well reflect the uniqueness of these different types of markets.
Compared with traditional rating agencies that rely more on analysts’ subjective judgments, the FV Open Ratings framework pays more attention to objective quantitative models. As a result, the rating framework is driven by objective information, increasing stability, transparency, and impartiality as well as providing faster responses to market changes.
The FV Open Ratings framework employs an effective quantitative model which incorporates the maximum range of relevant risk factors into its rating analysis.
|Current market issue||Effect on market||FV Solution|
|Expensive risk management systems lacking full automation thus expensive operating and support costs||Only the most affluent banks can afford a proper risk management system||FV has created our own risk automation system to apply modern analytic methods at low cost|
|High level risk management expertise in the market is scarce||Greatly affects a company’s risk management efficiency||FV experienced risk management team and processes can in-source the work|
|Lack of data and data automation||Companies are assessing risk with partial data||FV is an official partner with CCB (Chinese Credit Bureau) and the only partner have an automated data link to their risk management system|
|Investment index and monitoring not available to the market||Bond or fixed income funds follow very loose investment strategies that are often misleading||FV is partnered of Capital Watch and has created the first bond index for Chinese-listed companies|
|Retail investors cannot access investment risk information in timely fashion||Level of risk could be much higher than what the investor is seeking||FV is developing a revolutionary investment risk system to allow the individual investor to customize their key information required and obtain the information in real time manner|