Sentences with phrase «bond rating agencies like»

Bond rating agencies like Moody's and Standard & Poor's (S&P) provide a service to investors by grading fixed income securities based on current research.

Not exact matches

Borrowers still pay rating agencies like McGraw - Hill's S&P, Fitch Ratings and Moody's Investors Service to assess the creditworthiness of their bonds.

Indications are that potential Yen issuers like Ghana should have at least a double B rating by the rating agencies before they can acquire a Japan Bank for International Cooperation (JBIC) guarantee, a pre-requirement for Samurai bonds.

Because mortgages can be refinanced, bonds that are backed by agencies like GNMA are especially susceptible to changes in interest rates.

Bonds are rated by agencies like Moody's and Standard and Poor's from AAA to junk bond as a gauge of the level of counterparty risk.

The bubble was a combination of (a) teaser rates on option ARMs which were like financial time bombs, (b) liar loans in which the rules of good mortgage underwriting (20 % down, 28/36 ratios) went out the window, (C) people at rating agencies who decided that if one pools enough junk loans into one bond, it's magically AAA, and (D) Credit default swaps which encouraged these bad loans, and when they collapsed a number of people walked away with billions of dollars.

Consequently, the interest rate paid on higher rated bonds, like those backed by the U.S. Treasury or federal agencies, is lower.

Like bonds, credit - rating agencies assign them ratings.

When I worked in the investment department of a number of life insurers, every now and then I would hear one of the portfolio managers say, «We know that the rating agencies are going to downgrade the bonds of XYZ Corp, but we like the story.

Like all bonds, agency bonds are sensitive to changes in interest rates — when interest rates increase, agency bond prices fall and vice versa.

Many bonds are rated on a scale from AAA to D by outside rating agencies, like Fitch Ratings, and this can give you a good indication of the overall credit quality of the bond.

Never in my life would I have considered buying a CCC junk bond at 110 to yield 7 % (quick ratings guide: BBB = investment grade, BB = fine company, B = either a fine or a sketchy company the ratings agencies have no clue which, CCC = this will default just give it a few years, D = this defaulted like we said when we rated it BB uhhhh we're not good at this).

Bonds and their funds are often graded on quality and borrower repayment ability (like an individuals» credit score) by credit rating agencies like CRISIL, ICRA etc..

You can learn about the credit risk of different bonds from a credit rating agency like DBRS, Fitch, Moody's or Standard & Poor's.

This risk can best be mitigated when you purchase bonds from high quality issuers that are rated by third party rating agencies like Moody's and S & P, and when you diversify your bond exposure among several issuers rather than just one.