Mexico, February 16, 2011 -- Moody's has today withdrawn the bond fund and market risk ratings of Fondo
Garantía 1, S.A. de C.V.,
Sociedad de Inversión en Instrumento de Deuda (GRD-1),
managed by BBVA Bancomer Gestión, S.A. de C.V.
Sociedad Operadora de Sociedades de Inversión (BBVA Bancomer).
Moody's has withdrawn the ratings of this fund due to the fact that the
fund has no shares outstanding. As the fund was established,
it was never launched to investors. Nevertheless the legal GRD-1
entity is continuing and being renamed Fondo BBVA Bancomer Deuda 7,
S.A. de C.V., Sociedad de Inversión
en Instrumentos de Deuda (B+CORP), assuming the current strategy,
investment objectives and credit quality of B+CORP.
In a separate rating action, Moody's has affirmed the bond
fund and market risk ratings assigned B+CORP fund.
The following fund's ratings are affected:
1) Fondo Garantía 1, S.A. de C.V.,
Sociedad de Inversión en Instrumentos de Deuda (GRD-1),
A/MR1 credit risk and market risk ratings affirmed and withdrawn by Moody's
Investor Service. Moody's de México has affirmed and
withdrawn its national scale rating of Aaa.mx, its AAA credit
rating under the Mexican regulator, Comisión Nacional Bancaria
y de Valores (CNBV) homogeneous scale, and 1 market risk rating
under the CNBV homogeneous scale.
The previous rating action was on September 3, 2008, when
the agency assigned the credit and market risk ratings to the fund.
2) Fondo BBVA Bancomer Deuda 7, S.A. de C.V.,
Sociedad de Inversión en Instrumentos de Deuda (B+CORP),
Baa bond fund and MR3 (moderate) market risk ratings are affirmed.
In addition, Moody's de Mexico affirmed the B+CORP national
scale ratings of Aa.mx and AA on the Mexican authority, Comisión
Nacional Bancaria y de Valores (CNBV) homogeneous scale and the market
risk rating of 4 (moderate) under the CNBV homogeneous scale.
B+CORP fund is a specialized investment vehicle which principally
invests in Mexican corporate bonds and may complement its holdings with
investments in Mexican government obligations. In addition,
B+CORP fund to a lesser extent may invest in the IBoxx Investment
Grade Corporate Bond Fund ETF (Exchange Traded Fund). Moody's
market risk rating of MR3, reflects the agency's expectation
that the fund may have a "moderate" sensitivity to changes
in interest rates and other market conditions.
The previous rating action was on December 3, 2010, when the
agency assigned the credit and market risk ratings to the fund.
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. For information on Moody's approach to national
scale ratings, see Moody's Rating Implementation Guidance
published in August 2010 entitled, "Mapping Moody's
National Scale Ratings to Global Scale Ratings". For Moody's
withdrawal policy, see "Moody's Guidelines for the Withdrawal
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.
CNBV Homogenous Scale:
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 withdraws ratings of GRD-1 fund managed by BBVA Bancomer Gestión and affirms ratings of B+CORP
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