Frequently Asked Questions

  • Is Sigma Ratings a credit rating agency like S&P, Moody's & Fitch?

    While we are a professional rating agency, we are different in the fact that we are rating company-level “non-credit risks” like financial crime compliance and governance, whereas traditional rating agencies are targeting “credit” issues like solvency and repayment.

  • What kinds of risks does Sigma Ratings evaluate?

    Sigma Ratings evaluates companies and institutions on non-credit risks. These risks include financial crime risk management, governance, sanctions, corruption, and reputation risks.

  • Does Sigma Ratings only rate and score financial institutions?

    No, Sigma Ratings evaluates a range of companies and institutions. However, there are still verticals that Sigma Ratings has not expanded its methodologies into. If you are interested in a specific use case, contact us and we can discuss potential ways to work together. 

  • How long does the certification process take to complete?

    The certification usually takes about 2 weeks to complete, from kickoff. However, depending on the queue of ratings, and the time to coordinate interviews, a certification can take as little as a week or as much as month to complete.

  • How much does the certification process disrupt day to day operations?

    The certification process is designed to require minimal disruption to an institution’s operations. The questionnaire can be completed by one person in an hour or two, while the documents requested are documents most institutions should have already prepared. 

  • What are the ratings methodologies based on?

    Sigma Ratings’ methodologies are based on industry best practice. The methodologies are vetted by an independent ratings committee. In addition, Sigma Ratings has collaborated with Global Banks to fine tune the methodology. Lastly, Sigma Ratings regularly presents to regulators around the world, gathering feedback and ideas. 

  • How can I dispute a rating?

    If Sigma Ratings has gotten something wrong, any institution has the ability to provide the correct information and have their rating adjusted accordingly. Sigma Ratings requires source documentation to make any changes. 

  • Can I keep my rating private?

    A Certified Rating can be kept private. Many clients wish to use a Sigma Rating to audit internal processes. Additionally, some clients wish to take time to improve their performance before publishing. Sigma Estimated Ratings are generated from public data and always available to users of Sigma Insight. However, it is 100% free for any entity to view and/or correct their own Sigma Estimated Rating. 

  • Who recognizes a Sigma Rating?

    Global banks, regulators, asset managers, and other investors are all consuming Estimated and Certified Ratings via the Sigma Insight platform. In addition, Sigma Ratings has a direct partnership with Barclays Bank, who uses these ratings to make risk decisions on potential customers.

  • How is a Sigma Rating different than a credit rating?

    Credit ratings primarily evaluate the ability of an institution to repay a loan. A Sigma Rating evaluates all the other risks that may exist in doing business with that institution. These include but are not limited to sanctions risks, governance risks, reputation risks, and regulatory risks.  

  • Sigma Ratings deals with confidential sensitive information, how is it kept secure?

    Sigma Ratings stores all its data in a private cloud, with limited access. The technology is licensed from Amazon Web Services. Sigma Ratings also has partnerships with cyber security vendors, to both augment ratings and to ensure Sigma Ratings’ security integrity.

  • A Sigma Certified Rating is valid for how long?

    A Sigma Certified Rating is valid for a year. Sigma Ratings encourages its clients to refresh their data and interviews every year, to keep their rating valid. 

  • Who pays for a Sigma Rating?

    Typically, the rated entity pays for its rating. To address potential  onflicts, Sigma adheres to strict governance and ethics policies, as  well as exclusively rating an entity based specific non-credit risks  using an algorithmic approach. Sigma Ratings does not conduct advisory services.

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