The worst may not yet be over for already beleaguered bond insurers, as their exposure to residential mortgage-backed securities and collateralized debt obligations on asset-backed securities will continue to plague them, Fitch Ratings said in a special report on financial guarantors it released last week.

The potential losses on these securities help make the industry's near-term outlook negative and its intermediate future uncertain, according to Fitch.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.