Rating Agency
/ˈreɪtɪŋ ˈeɪdʒənsi/
Definitions
- (n.) An organization that assesses the creditworthiness of issuers of debt securities and assigns ratings to debt instruments.
The rating agency downgraded the company's bonds due to increased financial risk.
Forms
- rating agencies
Related terms
See also
Commentary
Rating agencies play a key role in financial regulation by providing standardized assessments of credit risk, influencing investor decisions and regulatory treatment.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.