Rating of building societies
Based on long-standing experience, GBB-Rating has developed a rating procedure specifically for building societies, which has won broad approval within the industry. The favorable response to the ratings performed to date is attributable to intensive analysis, the application of qualitative criteria, and the impeccable transparency and comparability of the results.
The procedure applied by GBB-Rating produces an objective, verifiable and professional credit assessment.
Against the background of shifting statutory and regulatory conditions and, in particular, current trends in the industry (including more intense competition for funding and the increased prominence of building societies as providers of construction finance), the rating of such institutions continues to gain in significance. The existence of a solid foundation is not enough – it has to be clearly visible for third parties as well. An assessment undertaken by GBB-Rating produces a credible, clear and aggregated picture of an institution's standing.
The Rating procedure focuses on analyzing and consolidating all the success and risk factors relating to building societies in order to obtain a forward-looking and verifiable overall judgment. Alongside the prevailing statutory, political and socio-economic climate, both quantitative and qualitative criteria are appropriately applied to assess the specific characteristics of the building society and collective business.
Both the findings made during the procedure and the final rating result deliver useful information and give management and shareholders a solid foundation for decision-making. In addition, the outcome represents not only an informative credit assessment for business partners, especially providers of funding, but also an influential marketing tool (Usefulness).
The quality and value of the assessment performed by GBB-Rating crucially depends on active and trustworthy collaboration during the Rating process. The final constituents of the process are monitoring and, if appropriate, a follow-up rating.
Apart from undertaking comprehensive market research based on publicly available information, GBB-Rating also performs solicited ratings for building societies, which entail the additional detailed analysis of internal sources. Some of these solicited ratings have been published for many years (Ratings). The internationally recognized notation from AAA through D is used in this connection (Rating scale).
Further information on the rating methodologies of GBB-Rating is available in the section Publications and press.
Any questions on the rating procedure for building societies?
If you have any questions about our rating procedure, or wish to obtain an informative credit rating for your own institution from GBB-Rating, we will be pleased to arrange a personal appointment (Contact
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