RBI vide their circular letter DBOD.BP.No./5382/21.06.007/2012-13 dated April 26, 2013, advised all accredited Credit Rating Agencies to disclose the nature of its compensation arrangement with the rated entities on their websites. Since the letter was issued in 2013 i.e before our getting licence, we had made a policy but did not uploaded on our website. This has been observed in the recent SEBI/RBI Inspection held from Feb 24 to 27, 2020 and the observation was mentioned by RBI in the report under para (t). All other CRAs have disclosed the compensation fee on their websites.
Since the policy was prepared in 2015, we deemed it fit to review the same and upload on our website to comply with the regulatory directives as. We therefore, are placing the reviewed policy on compensation with the rated entities. INFOMERICS shall follow a transparent policy on initial rating fees and surveillance fees to be charged to the clients for extending the services for rating their various instruments. This policy is prepared in the following two parts.
We are extending different rating products. Therefore as per practice and for the sake of convenience we propose the fee structure to be computed as a percentage of debt amount to be rated subject to collection of minimum fees to cover our cost.
The minimum fee structure for rated/ unrated Bank loan/facilities ratings is given as under:
Last Updated: July, 2020.