OREANDA-NEWS. S&P Global Ratings today affirmed its 'AAA' ratings on series A and B from MainStay DefinedTerm Municipal Opportunities Fund, a leveraged funds transaction managed by New York Life Investment Management LLC (see list).

Leveraged fund and market value securities rely on liquidating collateral as their primary source of repayment, which is an inherent risk because the underlying collateral's value fluctuates over time. Therefore, our analysis focuses on this potential market value fluctuation.

Today's affirmations reflect the quantitative analysis using our Market Value Evaluator (MVE), which indicated that the assets are currently sufficient, given their current characteristics and corresponding haircuts as determined by our market value criteria (see "Methodology And Assumptions For Market Value Securities," published Sept. 17, 2013), to support the current ratings.

We will continue to review whether, in our view, the ratings assigned to the notes remain consistent with the credit enhancement available to support them, and we will take rating actions as we deem appropriate.