Standard & Poor's
The Standard and Poor's Corporation (S&P), a subsidiary of McGraw-Hill, is a company that performs financial research and analysis
on stocks and debt instruments. It is one of the top three players in this business.
The other two are Moody's and A. M. Best.
It is best known for its US-based S&P 500 and the Australian S&P 200 stock market index.
Credit Rating
The company ranks the credit-worthiness of borrowers using a standardized ratings scale. The basic ratings are: Investment Grade AAA - the best quality companies, reliable and stableAA - quality companies, a bit higher risk than AAAA - economic situation can affect financeBBB - medium class companies, which are satisfactory at the moment Non-Investment BB - more prone to changes in economyB - financial situation varies noticeablyCCC - very speculative bonds, the company's profit is lowCC - same as CCCC - same as CCCCI = past due on interestD = very bad economical condition, almost in bankruptNR Ratings below BBB are non-investment grade junk bonds.
CompetitorsFitch RatingsMoody's
See alsoCredit rating agencyS&P 400S&P 500
External link Standard and Poor's websiteHistory of Standard and Poor's Credit Raters Exert International Influence
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