Moody’s downgrade may impact of UK insured bond issues
In an analysis of troubled US bond insurers Ambac and MBIA the FT reports that Moody's has warned it might cut Ambac's ratings to junk status due to losses on mortgage-backed securities, which will impact on the prices of bonds insured.
Ambac insured several UK bond issues from registered social landlords (housing associations), especially to fund takeovers of dilapidated council housing stock.
