...Ratings Affirmed: Fitch Ratings affirmed Bank of Nova Scotia (The) (Scotiabank, Scotia or the company) long- and short-term issuer default ratings (IDRs) at ,,AA and ,,F1+, respectively, on Jan. 24, 2014, following Fitchs Canadian bank peer review. Fitch notes that Scotia has continued to deliver good profitability over various economic cycles. Rating Outlook Stable: The Rating Outlook for Scotia, as well as the other Canadian banks, remains Stable, despite concerns related to consumer credit in Canada and, particularly, the Canadian housing market. At this juncture, Fitch views the risks associated with the Canadian housing market and the global economic headwinds to be, in part, mitigated by Scotias comparatively good capital ratios. Earnings Likely to Slow: Fitch notes that Scotias overall operating performance continues to be good, although the agency expects earnings growth to begin declining, given the slowing Canadian mortgage market, prolonged low interest rate environment both...
