Morningstar DBRS Requests Comments on Proposed Global Methodology for Rating Debt Issued by Investment Funds, CFO Appendix

On May 8, 2025, Morningstar DBRS updated this press release to clarify that the proposed changes to the methodology are not material. This change is not material to the analysis or credit ratings rationale but is provided for informational purposes.

Morningstar DBRS is requesting comments on the proposed update to "Global Methodology for Rating Debt Issued by Investment Funds, Appendix III: Collateralized Fund Obligations Backed by Private Capital" (the CFO Appendix), which may, upon the close of the Request for Comment period, supersede the version published on October 14, 2024.

The CFO Appendix presents the criteria for which collateralized fund obligations (CFOs) backed by private capital credit ratings are assigned and/or monitored. The reason for this update is to use the CFO Appendix for assignment and/or surveillance of endorsed credit ratings for regulatory use in the European Union and/or the UK. Morningstar DBRS has determined the change is not material, and that no credit rating actions are likely to be taken as a result of the proposed change to the CFO Appendix.

The "Global Methodology for Rating Debt Issued by Investment Funds" consists of the base fund methodology, Appendix I - Subscription Loan Facilities (Appendix I), Appendix II - Credit Funds (Appendix II), and the CFO Appendix.

Morningstar DBRS also incorporated changes for the base fund methodology, Appendix I, and Appendix II. Morningstar DBRS deems these updates not to be material and has determined that no outstanding credit ratings are expected to change as a result of these non-material updates.

Comments should be received on or before May 16, 2025. Please submit your comments to the following email address: sfcomments@morningstar.com

Morningstar DBRS publishes on its website all comments received 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.