Six Market Vectors fixed income exchange-traded funds (ETFs) have received risk-based capital ratings from the Securities Valuation Office (SVO) of the National Association of Insurance Commissioners (NAIC), it was announced today. Ratings assess credit quality of fixed income securities and can allow for favorable risk-based capital treatment when a fund is added to portfolios of state regulated insurance companies.
SVO ratings range from 1 to 6, with 1 being highest in terms of credit quality. Below are the NAIC rating designations for the Market Vectors ETFs that have been rated:
|Market Vectors ETF||Ticker||NAIC Designation|
“We’re very pleased to have received SVO designations for six of our funds, as these ratings help provide state regulated insurance companies with guidance as to the credit quality of a fund’s underlying holdings,” said Susan Marino, Senior Vice President and Director of National Accounts at Van Eck Global. “We’re pleased to offer insurance companies these Market Vectors ETF solutions as they take a closer look at opportunities to expand their investment choices.”