Plus, the Australian economy is one of a select few large economies still with
a AAA Debt rating.
Not exact matches
Japan has already lost its
AAA status, and Fitch
Ratings recently warned it might downgrade the country's sovereign
debt if it issued more than the planned ¥ 44 trillion in bonds next year.
The
ratings agency Moody's maintained the US's top - notch «
Aaa» credit
rating Thursday, saying, «The diversity, dynamism, and competitiveness of the US economy, along with the US dollar's status as the preeminent international reserve currency and very large size and depth of the US Treasury market, offset rising fiscal pressures stemming from aging - related entitlement spending, higher
debt - service payments, and recent policy actions that will likely reduce future revenues and increase expenditures.»
No
ratings agencies are going to stick
AAA labels on consumer
debt where arrears and defaults are soaring.
Various quantitative - easing options focused on government bonds were shown to governors on Jan. 7 in Frankfurt, including buying only
AAA -
rated debt or bonds
rated at least BBB minus, the euro - area central bank official said.
(April 2012) Just a few years ago, General Electric's (GE)
debt was
Aaa rated by Moody's.
S&P
ratings agency issued a statement reaffirming US Treasury bond
AAA credit
rating, but they issued a negative outlook which means there's a 1 in 3 chance of lowering the
debt rating in the next 2 years.
As an aside, those who believe that the province should simply «take back Translink» as a crown corporation (or similar) should understand that in practical accounting terms this would also involve taking on Translink's multibillion dollar
debt (supported as it is by ridership fees, gas taxes, etc.), and that this would almost certainly immediately denigrate the province's
AAA credit
rating.
Achieving the coveted
AAA rating is possible for those who issue
debt, whether business or government, and doing so can make the difference in terms of financial stability and viability.
They wound up selling packages of very poor quality mortgages (sub-prime) called «collateralized
debt obligations» (CDOs) and convinced the
rating agencies (who were paid by Wall Street) to
rate these «securitized mortgages»
AAA.
In the middle of a showdown over the federal
debt ceiling, Standard and Poor's downgraded the U.S. credit
rating for the first time, from
AAA to AA + with a negative outlook.
A standoff in August 2011 rattled financial markets and the political gridlock led the credit
rating firm Standard & Poor's to downgrade its
AAA rating of U.S.
debt for the first time in history.
As if to emphasize this worry, in what Americans should regard as an astonishing development, Moody's this week issued a credit warning for the United States of America, stating that unless the United States reverses the current expansion of its national
debt, it may place its
Aaa credit -
rating at risk.
Fitch — which placed the UK's
AAA rating on «negative outlook» in March - frowned on the government's decision not to pursue what it called «additional consolidating measures» to ensure it met its
debt pledge.
Chancellor George Osborne has insisted the Government was delivering on its commitment to tackle the UK's
debt problem after
ratings agency Moody's downgraded the country's
AAA credit
rating.
Since 2010, George Osborne has drastically missed his deficit target, lost the UK's
AAA credit
rating, increased public
debt by trillions and made huge gambles on the tax revenues.
The Conference recognizes that the Congress enacted the Deficit Reduction Act of 1984 provision prohibiting the combination of Federal guarantees with tax - exempt
debt, because of concerns that such a double - subsidy could result in the creation of a «
AAA»
rated security superior to U.S. Treasury obligations.
In comparison, the U.S. government's Standard & Poor's
debt rating is AA + and
AAA by Moody's.
Investments are only made in the highest
rated (
AAA) Mortgage Backed Securities, U.S. Government agency
debt or in Certificate of Deposits with highly
rated banks and corporate credit unions (credit unions for credit unions).
«Many investors are interested in high credit quality bonds, but the supply of
AAA -
rated corporate
debt in the U.S. is very limited,» said Michael L. Sapir, Chairman and CEO of ProShare Advisors LLC, ProShares» investment advisor.
Currently, our
debt portfolio is invested in the highest credit quality assets encompassing securities issued by
AAA rated companies and Government of India securities.
If I created a Collateralized
Debt Obligation [CDO] out of similar instruments, with what would be light leverage of 15 times, and it had just two tranches — 94 % senior, 6 % junior, the senior obligations would get a
AAA (probably), but the junior obligations would be
rated BB or so — just my back - of - the - envelope guess, but consistent with my experience.
But for Constant proportion
debt obligations [CPDOs], they were not
rated BB but
AAA, because the dynamic portfolio management would allow the structure to survive modest bear markets in credit.
Fitch now
rates Japanese
debt as an A, which is five full notches below the top
AAA rating... and just a few notches short of actual non-investment-grade junk status.
The
debt portfolio of the fund consists of high quality corporate bonds and G - secs with more than 80 % investment in
AAA rated securities and rest in AA
rated.
In
debt it invests around 80 % in
AAA rated securities and majority of rest in AA
rated.
Corporate
debt will become more expensive as well, specifically for the companies that do not sport the
AAA rating.
In general, opaqueness, and high
debt (even if it's
rated AAA), is usually a recipe for disaster.
Standard & Poor's Financial Services assigns
AAA sovereign
rating to Canadian Government
debts.
If company ABC (
Rating:
AAA) wanted to issue bonds at 5.00 % their competitor XYZ (
Rating: AA) would have to pay a higher yield to attract the equivalent investment because of the perceived lesser quality of their
debt.
THERE IS NO DISCERNIBLE DEFAULT FREQUENCY or frequency variation around any sovereign
debt rated above A. Thus, S&P's own study shows no default variation differential between
AAA & A.
The S&P report steps up the pressure on the government to get the federal deficit and
debt under control before it loses its
AAA rating.
Spreads on Illinois
debt to MMD (Municipal Market Data, the yield curve of the highest
rated,
AAA / Aaa municipal bonds, as published by Thompson Reuters) have widen
AAA /
Aaa municipal bonds, as published by Thompson Reuters) have widen
Aaa municipal bonds, as published by Thompson Reuters) have widened.
S&P has a separate
rating for US treasuries themselves, which remains
AAA — which probably explains why money market funds which need a certain amount of
AAA debt (by law) didn't all sell off holdings.
On January 17, 2008, Moody's placed the
Aaa insurance financial strength
ratings of MBIA Corp. and its insurance affiliates, the Aa2
ratings of MBIA Corp.'s $ 1.0 billion of 14 % fixed - to - floating
rate surplus notes («Surplus Notes») issued on January 16, 2008, and the Aa3
ratings of the junior obligations of MBIA Corp. and the senior
debt of MBIA Inc. on review for possible downgrade.
On February 26, 2008, Moody's affirmed the
Aaa insurance financial strength
ratings of MBIA Corp. and its insurance affiliates, the Aa2
ratings of MBIA Corp.'s Surplus Notes and the Aa3
ratings of the junior obligations of MBIA Corp. and the senior
debt of MBIA Inc., with a negative
rating outlook.
On February 25, 2008, S&P affirmed the
AAA insurance financial strength
ratings of MBIA Corp. and its insurance affiliates, the «AA -»
rating of MBIA Inc.'s senior
debt and the «AA»
ratings of MBIA Corp.'s North Castle Custodial Trusts I - VIII, with a negative outlook.
On February 25, 2008, S&P affirmed the
AAA insurance financial strength
ratings of MBIA Corp. and its insurance affiliates, the «AA -»
rating of MBIA Inc.'s senior
debt and the «AA»
ratings of MBIA Corp.'s North Castle Custodial Trust I - VIII, with a negative outlook.
AIG had a
AAA credit
rating, but its bonds frequently traded cheap to other
AAA bonds because of the opacity of the financials of the firm (and among some bond managers, a growing sense that AIG had too much
debt).
This strategy implies that he suspects that the major bond insurers have problems more severe than have been discounted by the equity and
debt markets, and that their
AAA bond
ratings will remain under threat for some time.
As the
debt spectacle continues in Washington, Moody's Investor Service renewed Canada's
AAA credit
rating on Thursday.
To assist in the evaluation of an issuer's creditworthiness,
ratings agencies, such as Moody's Investors Service and Standard & Poor's analyze a bond issuer's ability to meet its
debt obligations, and issue
ratings from «
Aaa» or «AAA» for the most creditworthy issuers to «Ca», «C»,»D», «DDD», «DD» or»D» for those in defau
Aaa» or «
AAA» for the most creditworthy issuers to «Ca», «C»,»D», «DDD», «DD» or»D» for those in defau
AAA» for the most creditworthy issuers to «Ca», «C»,»D», «DDD», «DD» or»D» for those in default.