SEC Rule 17g-5 requires nationally recognized statistical rating organizations ("NRSROs") to maintain on a password-protected website a list of each structured finance product for which it currently is in the process of determining an initial credit rating and to provide free and unlimited access to any NRSRO that, among other things, certifies it will access the website solely for the purpose of determining and monitoring credit ratings. The rule also requires, among other things, an NRSRO to obtain from the applicable arranger a written representation that can reasonably be relied upon that the arranger will maintain on a password-protected website the information it provides to the NRSRO and will provide access to the website to any NRSRO that, among other things, certifies it will access the website solely for the purpose of determining and monitoring credit ratings.”

Two key requirements for SEC rule 17g-5 are that:

  1. Hired NRSRO must host a password protected data room/website that offers free and unlimited access to other non-hired NRSROs.

  2. Hired NRSRO must receive a commitment from the issuer to maintain a password protected data room/website.

What type of data is required?

All data such as documents, emails, and files that are used to determine a rating and to monitor a rating.

How to configure your ProDeal room for compliance:

  1. Create your room with Access Permissions enabled.

  2. Upload all of your documents, emails, files, recordings, etc to the room.

  3. Enable Document Watermarking

What happens when a NRSRO wants to access the data?

  1. Login to your ProDeal account (prodeal360.com).

  2. Create a new View-Only Team and add users to that team (best practice is to scope teams to specific organizations).

  3. Share the documents with the newly created team.

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