AAA credit ratings explained

Main article: Bonds that are not rated as investment-grade bonds are known as high yield bonds or more derisively as junk bonds.

What Does Jacksonville’s Historic AAA Credit Rating Mean? WJCT NEWS

This, of course, also has the effect of slowing down the economy, creating a double whammy. How can a candidate's current or past income be verified if the employer won't release salary information?

Norderstedt, Germany: B rating BB rating. Naturally, affirmation by one or two of the other rating houses would not be a good thing. Standard and Poor's building in New York, in this August 2, file photo. The credit rating is a financial indicator to potential investors of debt securities such as bonds.

What is AAA Rating? definition and meaning

AA - Very strong capacity to meet financial commitments. Listen Listening Credit reporting or credit score — is a subset of credit rating — it is a numeric evaluation of an individual's credit worthiness, which is done by a credit bureau or consumer credit reporting agency. Another study in Journal of Finance calculated the additional interest rate or "spread" corporate bonds pay over that of "riskless" US Treasury bonds, according to the bonds' rating. Discover Thomson Reuters.

S&P Global Ratings Definitions

Make a donation. Ravinder Kapur. Best Company, Inc. What does US credit downgrade mean? The outlook on the new U. URL to this page: In other projects Wikimedia Commons.

AAA rating

The company has been the focus of the latest investigation into franchise problems. This reflects a belief among investors that U. The Federal Reserve and other bank regulators moved on Friday to reassure global markets that the downgrade would not mean that additional capital would be needed by banks and other institutions holding Treasury securities.

Retrieved 29 May Compare Popular Online Brokers. An obligor has STRONG capacity to meet its financial commitments but is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligors in higher-rated categories.

Credit report card: Boston keeps AAA ratings

Lastly, the agency will look at the wider economic and political context. City of Jacksonville. Events Christiana Herringham: Retrieved 21 January What always matters in this game is valuation and patience. Your Money. National credit-rating agencies calculate scores by looking at two main factors.

Mayor Lenny Curry announced last week that the credit rating agency Fitch had given the City of Jacksonville a historic best AAA credit rating, but what does that mean?

Social Science Research Network. Most Viewed. Definition A bond rating assigned to an investment grade debt instrument.