Mexico, February 22, 2011 -- Moody's has assigned provisional (P) bond fund and market risk ratings
to Fondo BBVA Bancomer Deuda 10, S.A. de C.V.,
Sociedad de Inversión en Instrumentos de Deuda (SBREAL) managed
by BBVA Bancomer Gestión, S.A. de C.V.,
Sociedad Operadora de Sociedades de Inversión. The agency
assigned (P) Baa and (P)MR4 ("high") to SBREAL. At
the same time, Moody's de México assigned (P) Aaa.mx
and AAA under the Mexican authority, Comisión Nacional Bancaria
y de Valores (CNBV), homogeneous scale. In addition,
the agency has assigned (P) market risk rating of 6 (high) under the CNBV
"A key factor underpinning the bond fund rating being assigned to
SBREAL is our expectation that the fund will invest predominantly in securities
issued or guaranteed by the Mexican government which is rated Baa1 by
Moody's with a stable outlook," said José Angel
Montaño, Moody's analyst. The fund will complement
its investment strategy with exposure to Mexican bank obligations.
SBREAL's investment objective is to offer an investment vehicle
which invests mainly in securities with a real interest rate in excess
of inflation. As such, the fund will seek achieve its investment
objective mainly through investments in securities denominated in Mexican
inflation-indexed units (UDIS) which offer a real (above inflation)
yield. The fund will invest in securities rated Aaa.mx,
or its equivalent, as noted in investment guidelines.
SBREAL fund's market risk rating of (P) MR4 ("high")
reflects our expectation that the fund will invest in securities with
a medium to long term final maturity and the portfolio be managed to a
minimum duration target for interest rate sensitivity of three years.
As such we expect that adherence to stated investment parameters will
result in SBREAL's total return having "high sensitivity"
to changes in market conditions apart from credit related considerations.
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. BBVA Bancomer, S.A.
whose long term bank deposit (domestic) rating is A1 by Moody's.
Prior to its formal launch, SBREAL fund will complete an approval
process with Mexican authorities. The assignment of a final rating
is subject to the fulfillment of contingencies but it is highly likely
that the rating will become definitive after all documents are received
and the fund is issued into the market.
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 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."
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
Managed Investments Group
Moody's de Mexico S.A. de C.V
Senior Vice President
Managed Investments Group
Moody's Investors Service
Moody's de Mexico S.A. de C.V
Moody's assigns provisional bond fund and market risk ratings to SBREAL fund managed by BBVA Bancomer Gestión
Ave. Paseo de las Palmas
No. 405 - 502
Col. Lomas de Chapultepec
Mexico, DF 11000