SOURCE: R & R Consulting

June 30, 2008 08:14 ET

R&R Consulting Featured on Japan's "NHK Special"

NEW YORK, NY--(Marketwire - June 30, 2008) - Sylvain Raynes and Ann Rutledge, founders and principals of R&R Consulting, are featured in a segment of "NHK Special," a "60 Minutes"-style public affairs program that will air in the U.S. on Sunday, July 6, at 10:00 PM EDT on TV Japan. The segment originally aired nationwide in Japan on June 23.

Raynes and Rutledge specifically address the subprime crisis, how it happened, who is responsible, and whether economic calamities of this kind could be avoided. To this last question, their answer is "yes" -- with the establishment of effective standards and accountability to address the dynamic nature of structured finance.

"Because I'm an aerospace engineer by training, I was asked to make an analogy between structured finance transactions and keeping an airplane from crashing," Raynes says. "There's a widespread assumption that financial markets are ruled by self-interest and therefore beyond the control of standards and scientific laws. However, we have to remember that there was also a time when there was no real science of flight, either. Eventually people decided that it was unacceptable for airplanes to keep crashing all the time because of the loss of life, and then the appropriate science, standards and accountability were developed to minimize the danger. Airplanes still crash today, but rarely. The same could be true of structured securities if we cared enough," he says.

Raynes adds, "We need to change the philosophy of the standard approach to finance -- that self-interest dominates, and that loss and ruin are acceptable and even inevitable. At the same time, we have to become willing to engage risk, looking both ways while passing through a green traffic light instead of treating the signal as some kind of protective barrier that will keep other cars from killing us."

Founded in 2000 by Sylvain Raynes and Ann Rutledge, R&R Consulting is engaged in standards-setting and best practices in structured finance, securitization and quantitative credit analysis, including portfolio credit metrics, credit scoring and bond default analysis. R&R's mission is to adapt the same standards of safety, soundness, precision and dependability of the engineering disciplines to the capital markets, in order to build an internal culture of informed, responsible risk-taking.

R&R has been forging relationships in Japan through the Japan Society in New York City, where Ann Rutledge is a member of the Business Advisory Committee of the U.S.-Japan Innovator's Network. For more information, visit the U.S. Japan Innovator's Network Web site:

For further information on viewing this episode of "NHK Special" in the U.S., see programming and subscription information on the TV Japan Web site:

Contact Information

  • For general information, please contact:
    Stacy Mosher
    Email Contact