Mexico, March 31, 2011 -- Moody's has assigned bond fund and market risk ratings to Fondo
BBVA Bancomer Ganancias 7, S.A. de C.V.,
Sociedad de Inversión en Instrumentos de Deuda (TRPLE+7) managed
by BBVA Bancomer Gestión, S.A. de C.V.,
Sociedad Operadora de Sociedades de Inversión. The agency
assigned Baa and MR2 ("low") to TRPLE+7. At the
same time, Moody's de México assigned Aaa.mx
and AAA under the Mexican authority, Comisión Nacional Bancaria
y de Valores (CNBV), homogeneous scale. In addition,
the agency assigned market risk rating of 2 (low) under the CNBV scale.
TRPLE+7 fund is part of the TRPLE+ family of funds which have
two investment periods. During the first one, "fund
raising period" the funds exclusively invest in overnight repos
collateralized with Mexican government securities. During the second
period, the "protection period" the funds invest in
Mexican government securities and / or BBVA Bancomer time deposits.
The fund's investment objective is to preserve capital for their shareholders
and provide cash at the end of the protection period given the conservative
asset composition and maturity profile of the portfolio. It is
important to mention that redemptions during the protection period are
subject to a penalty.
The fund raising period length will be a minimum of one month and the
fund protection period of 6 or 12 months will be determined in advance
of the fund raising period. During the protection period,
the funds will be invested in deposits of one or two obligors which exposes
the fund to concentration risk by obligor. However, the ratings
of the two obligors in which the funds will invest are: Government
of Mexico bond rating is Baa1 (Aaa.mx) with stable outlook and
BBVA Bancomer long term global local currency deposit rating is A1 (Aaa.mx)
with stable outlook.
The Baa bond fund ratings reflect Moody's expectation that the funds
will invest in Mexican Government securities and /or BBVA Bancomer time
deposits. In addition, the MR2 (low) market risk ratings
denote the expectation that the maturity of the funds' assets will
not exceed the end of the protection period and the funds will have a
maximum exposure of 12 months. The funds will exclusively invest
in Mexican peso denominated securities and will not invest in derivative
securities, which would add additional volatility to the fund structure.
The funds' ratings reflects Moody's expectation that the fund
will maintain this investment strategy in the future.
BBVA Bancomer Gestión, S.A. de C.V.,
Sociedad Operadora de Sociedades de Inversión, is one of
the leading asset managers in Mexico. As of December 2010,
the company had approximately US$23 billion in assets under management.
The fund advisor is a subsidiary of Grupo Financiero BBVA Bancomer,
S.A. de C.V.
Moody's National Scale Ratings (NSRs) are intended as relative measures
of creditworthiness among debt issues and issuers within a country,
enabling market participants to better differentiate relative risks.
NSRs differ from Moody's global scale ratings in that they are not globally
comparable with the full universe of Moody's rated entities, but
only with NSRs for other rated debt issues and issuers within the same
country. NSRs are designated by a ".nn" country
modifier signifying the relevant country, as in ".mx"
for Mexico. For further information on Moody's approach to national
scale ratings, please refer to Moody's Rating Implementation Guidance
published in August 2010 entitled "Mapping Moody's National Scale
Ratings to Global Scale Ratings."
The principal methodologies used in rating the funds were Moody's Managed
Funds Credit Quality Ratings Methodology and Moody's Money Market
and Bond Fund Market Risk Ratings, published in July 2004 and available
on www.moodys.com.mx in the Rating Methodologies
sub-directory under the Research & Ratings tab. Other
methodologies and factors that may have been considered in the process
of rating these funds can also be found in the Rating Methodologies sub-directory
on Moody's website.
Moody's Mexican National Scale Fund Credit Ratings:
Aaa.mx: strongest quality relative to other domestic issuers
Aa.mx: high quality relative to other domestic issuers
A.mx: above-average quality relative to other domestic
Baa.mx: average quality relative to other domestic issuers
Ba.mx: below-average quality relative to other domestic
B.mx: weak quality relative to other domestic issuers.
Moody's national scale fund ratings reflect Moody's assessment of portfolio
credit quality within the context of the Mexican fixed-income market
and are not comparable to its global credit rating scale.
Moody's Market Risk Rating Scale:
MR1: Very Low
MR5: Very High
Homogeneous Fund Volatility Rating Scale - CNBV
1 Extremely low sensitivity to changes in market conditions
2 Low sensitivity to changes in market conditions
3 Between low and moderate sensitivity to changes in market conditions
4 Moderate sensitivity to changes in market conditions
5 Between moderate and high sensitivity to changes in market conditions
6 High sensitivity to changes in market conditions
7 Very high sensitivity to changes in market conditions
Information sources used to prepare the credit rating are the following:
parties involved in the ratings, parties not involved in the ratings,
public information, confidential and proprietary Moody's Investors
Service information, confidential and proprietary Moody's Analytics'
Moody's Investors Service considers the quality of information available
on the issuer or obligation satisfactory for the purposes of assigning
a credit rating.
Moody's adopts all necessary measures so that the information it uses
in assigning a credit rating is of sufficient quality and from sources
Moody's considers to be reliable including, when appropriate,
independent third-party sources. However, Moody's
is not an auditor and cannot in every instance independently verify or
validate information received in the rating process.
Please see ratings tab on the issuer/entity page on Moodys.com
for the last rating action and the rating history.
The date on which some Credit Ratings were first released goes back to
a time before Moody's Investors Service's Credit Ratings were fully digitized
and accurate data may not be available. Consequently, Moody's
Investors Service provides a date that it believes is the most reliable
and accurate based on the information that is available to it.
Please see the ratings disclosure page on our website www.moodys.com
for further information.
Please see the Credit Policy page on Moodys.com for the methodologies
used in determining ratings, further information on the meaning
of each rating category and the definition of default and recovery.
Jose Angel Montano
Asst Vice President - Analyst
Global Managed Investments Group
Moody's de Mexico S.A. de C.V
Senior Vice President
Global Managed Investments Group
Moody's Investors Service
Moody's de Mexico S.A. de C.V
Moody's assigns bond fund and market risk ratings to TRPLE+7 fund managed by BBVA Bancomer Gestión
Ave. Paseo de las Palmas
No. 405 - 502
Col. Lomas de Chapultepec
Mexico, DF 11000