The LTVs of collateral pools, as determined by the issuers and the rating agencies, is always very different.The primary reason for this difference is that

a)Rating agencies apply capitalization rates taking into account the impact of debt leverage on the property.

b)Rating agencies use "stabilized capitalization rates" which may differ from market capitalization rates in effect at the time the pooled loans are originated.

c)Issuer capitalization rates are always much too optimistic and rating agency capitalization rates are too harsh.

d)None of the above.