Rating agencies state that they take a rating action only when it is unlikely to bereversed shortly afterwards. Based … on a formal representation of the rating process, Ishow that such a policy provides a good explanation for the empirical … terms of informational losses, avoiding rating reversals can bemore harmful than monitoring credit quality only twice per …

Using a structural model of default, I derive rating characteristics if ratings are meant tolook ‘through the cycle’ as … opposed to being based on the borrowers’ current condition.The through-the-cycle method, which is employed by most rating … power is low. Though not predictable in the usual sense, rating changesexhibit properties that call for a reconsideration of …

This paper shows that the stock price of the rating agency Moody’s reacts negatively to ratingactions that are … perceived to indicate low rating quality. The reaction is economicallysignificant. The cumulative effect corresponds to a 20 …

encouraged the usage of major Credit Rating Agencies (CRAs) such as Moody’s, Standard and Poor's, and Fitch as quasi governmental … rating agencies. To overcome the problem of informational asymmetry for the market participants, the Basel Committee on … evaluation of the new reporting proposals of BCBS within the critical role of the credit rating agencies. …

We examine rating behaviour after the introduction of new regulations regarding Credit Rating Agencies (CRAs) in the … changes have been effective in tackling conflicts of interest between issuers and CRAs in securitisation. Rating catering … seems to have disappeared in the post-GFC period. Yet we see limited effectiveness on rating shopping. It follows that …

In this paper, we empirically investigate the impact of intensified competition on rating quality in the credit rating … between large credit rating agencies (CRAs) (Moody's and Standard & Poor's) and newer smaller ones (Dominion Bond Rating … Service Morningstar and Kroll Bond Rating Agency) creates credit rating inconsistencies in the RMBS market. While a credit …

This paper analyses the effect of soliciting a rating on the rating outcome of banks. Using a sample of Asian banks …

For decades credit rating agencies were viewed as trusted arbiters of creditworthiness and their ratings as important …

and strategic conservatism of rating agencies may be reasonableexplanations. Analyses of default incidences of non …-U.S. borrowers between January 1996and December 2006 show that rating conservatism may play a role for industrial firms, butself … unsolicited bank ratings, however, we find strongevidence that rating conservatism is an important cause. The downward bias also …

We use dynamic panel analysis to examine whether credit rating agencies achieve what they claim to achieve, namely …