Expected Loss Rating Scale

The Expected Loss Rating Scale (“Rating Scale”) defines how Morningstar DBRS rates untranched debt or equity securities (pass-through instruments) whose credit performance depends predominantly on the credit performance of a loan portfolio backing such pass-through instruments. The Rating Scale applies to all Morningstar DBRS Analytical Personnel globally. It should be read in conjunction with all other applicable policies and procedures that Morningstar DBRS has related to credit ratings.