So there is plenty of work for various government agencies to do in order to address the problems with the credit ratings agencies that helped inflate the housing bubble. But the SEC has taken big steps to directly supervise the ratings firms, and is likely to take even greater control to mitigate the conflict of interest in the "issuer pays" model.
In the meantime, corporate investors and money market funds have to do their own due diligence when selecting investments. "The buck stops with the board of directors," Mayer said. "There's no longer going to be robotic reliance on the ratings."
-- Written by Philip van Doorn in Jupiter, Fla.
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