Municipal Bond Credit Review & BCIS
FBBS has developed a simple yet robust platform for ongoing monitoring of municipal credits to ensure standards for safety and soundness are observed and maintained. An initial credit overview to fulfill pre-purchase analysis requirements is only the first step in the process. Our municipal credit monitoring platform is meant to supplement any credit analysis that is being performed by your institution as well as exceed the regulatory requirements for ongoing municipal credit monitoring. The credit analysis examines data points for a three year period that are pertinent to analyzing the safety and soundness of the credits. Descriptive data, financial and debt information, economic and demographic information as well as other supporting data is provided.
Our proprietary Buyer Comfort Index Score (BCIS) provides a simple 1-10 scoring system for individual credits as well as the overall municipal portfolio. Each category (Economic, Financial, Debt profile and ‘miscellaneous’) has detailed data points within their sector and a weighting factor that aggregate to each category’s percentage. Development of this system required large amounts of testing, empirical and statistical analysis that is updated regularly to ensure the most current information is captured.