ECB Amends Rating Requirements For ABS To Be Eligible As Collateral News Wireupdated Nov 20, 2009TweetAt GET.com we maintain complete editorial integrity on our content & provide transparent & unbiased information. Companies don't pay us to include their products although we receive a compensation when you successfully apply to products from our partners. See how we make money here.At GET.com we maintain complete editorial integrity. (RTTNews) - Friday, the European Central Bank's Governing Council decided to amend the rating requirements for asset-backed securities to be eligible for use in Eurosystem credit operations. According to an ECB press release, the Eurosystem will require at least two ratings from an accepted external credit assessment institution for all ABSs issued as of March 1, 2010. In determining the eligibility of these ABSs, the Eurosystem will apply the "second-best" rule, meaning that not only the best, but also the second-best available rating must comply with the minimum threshold applicable to ABSs. Further details in this regard is given in a press release dated January 20, 2009, the central bank said.As of March 1, 2011, the second-best rule and the requirement to have at least two ratings will be applied to all ABSs, regardless of their date of issue, the ECB said. "The Governing Council has deemed it necessary to introduce the above amendments to ensure that the Eurosystem's requirement of high credit standards for all eligible collateral is met," the central bank said. "In addition, the changes, which reflect recent market developments, aim to make a further contribution to restoring the proper functioning of the ABS market."The list of external credit assessment institutions accepted by the Eurosystem is available on the ECB's website.For comments and feedback: contact email@example.com Copyright(c) 2009 RTTNews.com, Inc. All Rights ReservedEditorial Disclosure: Any personal views and opinions expressed by the author in this article are the author's own and do not necessarily reflect the viewpoint of GET.com. The editorial content on this page is not provided by any of the companies mentioned, and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author's alone, not those of the companies mentioned, and have not been reviewed, approved or otherwise endorsed by any of these entities.