Morningstar DBRS Publishes Final Global Methodology for Rating Trade Receivable Securitizations

Morningstar DBRS finalized its "Global Methodology for Rating Trade Receivable Securitizations."

This methodology presents the criteria for which global trade receivable securitization credit ratings are assigned and/or monitored.

The methodology is effective as of March 28, 2025, and supersedes the following methodologies:

--"Rating European Trade Receivables Securitisation Transactions" (published on November 6, 2024)
-- "Rating Canadian Trade Receivables Securitization Transactions" (published on October 30, 2024)
-- "Rating U.S. Trade Receivables" (published June 28, 2024)

No comments were received during the request for comment period for the methodology.

Material changes in the methodology are:
-- Consolidation of the three regional methodologies into a single global methodology. Because the three methodologies are similar in nature and analysis method, the consolidation reorganizes and standardizes concepts.
-- Expansion of stress factors to BB and B rating levels to complete the credit rating scale.

No credit rating actions were taken as a result of the proposed material changes.

All comments received during the request for comment period have been published to the Morningstar DBRS website, except in cases where confidentiality is requested by the respondent.

Notes:
Morningstar DBRS methodologies are publicly available on its website https://dbrs.morningstar.com under Methodologies & Criteria.

For more information on this methodology or on this industry, visit https://dbrs.morningstar.com or contact us at info-DBRS@morningstar.com.