Rating agencies increasingly irrelevant

denise.bedell@tc-worldwide.com — Mon, 05 Jul 2010 23:00:00 +0100

As companies branch out beyond traditional funding sources, many are considering tapping the unrated bond market. Investors are snapping up deals – enjoying the higher returns from unrated bonds—and companies are starting to recognize that demand. While they may have to pay a premium to make up for the lack of a rating, and the disclosures that go with it, the development could augur less reliance on rating agencies, whose value has been called into question.

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Blog Entries tagged 'unrated bond'

Rating agencies increasingly irrelevant