Category: Scales
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Birth of the Morningstar Medalist Rating
Morningstar to Unite Two Forward-Looking Rating Systems into One.
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A Not So New New Rating From Moody’s
Moody’s Investors Service is seeking feedback by May 05, 2022 from market participants on proposed changes to its Banks Methodology. The key proposed revision is to introduce new ratings that exclude government support (XG ratings) in Moody’s methodology for banks. The rating agency is currently collecting comments and opinions from market participants. Hence a remark…
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A Hurdle of Practical Importance
The clear divide between investment-grade and speculative-grade debt markets dates back decades. A number of central banks make their bond purchase programs dependent on minimum credit ratings. These are often operationalized by specifying rating symbols, such as the rating symbols Baa3 or BBB-. When a rating agency tries to win paid orders from issuers by…
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Equity Rating Repair
Stock instruments issued or to be issued and / or traded on certain stock markets may be the subject of ratings. Stock ratings reflect the risks associated with the creditworthiness of the issuer and the stock market liquidity of an instrument. However, they do not address the risk of loss associated with price changes and…
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Driving Fitness Rating System
On May 1, 2014, the German Central Register of Traffic (VZR) became the Driving Fitness Register (FAER). The existing scoring system was converted to the new driving fitness rating system.The basis for this is the fifth law amending the Road Traffic Act and other laws of August 28, 2013 and the Ninth Ordinance amending the…
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Evidence of Ratings
Similar to the visual acuity of the eye, rating systems also recognize patterns and contours with different accuracy. You may have already experienced it with your ophthalmologist: An “8” is considered a “B”, a “c” is confused with an “e”, and so on. The resolution of the eyes is different. The same is true of…
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Credit assessments under the Standardised Approach in the European Union might use this rating scale
Credit assessments under the Standardised Approach in the European Union might use the following rating scale, rating symbols and rating definitions: AAA AA A BBB BB B CCC CC C SD D