Fitch Ratings was founded as the Fitch Publishing Company on December 24, 1913 by John Knowles Fitch. Originally located at 138 Pearl Street, just north of Hanover Square in the heart of the Financial District in New York City, the Fitch Publishing Company began as a publisher of financial statistics whose consumers included the New York Stock Exchange. Soon Fitch became the recognized leader in providing critical financial statistics to the investment community through such publications as the "Fitch Bond Book" and the "Fitch Stock and Bond Manual".
In 1924, Fitch introduced the now familiar "AAA" to "D" ratings scale to meet the growing demand for independent analysis of financial securities. The Fitch ratings scale, coupled with in-depth analysis by a staff of investment experts, quickly became recognized as the benchmark by which the financial community based fixed-income investment decisions.
Fitch Ratings was one of the three rating agencies first recognized as a nationally recognized statistical rating organization (NRSRO) by the Securities and Exchanges Commission in 1975.
In 1989, Fitch Ratings was recapitalized under a new management team and has since experienced dramatic growth. Throughout the 1990s, Fitch Ratings grew in all areas including the new area of structured finance, by providing investors with original research, clear explanations of complex credits, and more rigorous surveillance than the other ratings agencies.
In 1997, Fitch merged with IBCA Limited, headquartered in London, significantly increasing Fitch Ratings' worldwide presence and coverage in banking, financial institutions and sovereigns. Through the merger with IBCA, Fitch became owned by Fimalac S.A., a holding company which acquired IBCA in 1992. The merger represented the first step in Fitch Ratings' plan to meet investors' need for an alternative global, full service rating agency.
The next step towards building Fitch Ratings into a global competitor was the acquisition of Duff & Phelps Credit Rating Co., headquartered in Chicago, in April, 2000. This was followed by the acquisition later that year of the rating business of Thomson BankWatch. These acquisitions strengthened Fitch Ratings' coverage in the corporate, financial institution, insurance and structured finance sectors, as well as adding a significant number of international offices and affiliates.
Today, Fitch Ratings is a global rating agency dedicated to providing the world's credit markets with independent and prospective credit opinions, research and data. As a result of Fitch Ratings' growth and acquisitions, it today has over 2,100 professionals at its 49 worldwide offices. Fitch Ratings is headquartered in New York and London.
Fitch Group Subsidiaries
In December 2004, the Fitch Group announced an agreement to acquire Algorithmics, a leader in enterprise risk management. Over the several years prior, Fitch Ratings had been building a world-class risk practice as an extension of its core business in credit ratings. The purchase of Algorithmics, which was finalized in January of 2005, was the latest in a series of business and technology initiatives expanding the capabilities of the Fitch Group’s risk business. The acquisition expanded the customer base and product offerings of Fitch Risk Management, and Algorithmics benefited from a parent company that was able to invest in product development and expand Algorithmics’ geographic reach. Founded in 1989 and based in Toronto, Canada, Algorithmics is a recognized leader in enterprise risk management. Algorithmics employs over 660 people in 18 offices worldwide.
In January 2008, Fitch Group announced the development of Fitch Solutions, a provider of data, analytics and related services. This group was developed to further the independence of Fitch Ratings’ credit ratings and analytics and to create an entity with a singular focus on the development of fixed income products and services. The division ensures an even greater division between analytical activities and ratings. It also creates a more comprehensive and focused content and distribution platform for Fitch Ratings’ offerings.
Fitch Training, a part of Fitch Solutions, is a specialist training firm focused on the provision of credit and corporate finance training programs for professionals working in fixed income, credit risk management and origination/relationship management. Fitch Training provides services to a variety of financial institutions in investment and commercial banks, fund management firms, and regulators, among others. Fitch Training has a global presence with trainers based in the United Kingdom, Continental Europe, the United States and Asia.
For a chart depicting the history of the Fitch Group, please click on the following link.
For more information about Algorithmics, please visit www.algorithmics.com.
For more information about Fitch Training, please visit www.fitchtraining.com.
