What is a rating transition matrix?

What will be an ideal response?

The rating agencies accumulate statistics on how ratings change over various periods of time. A table that specifies this information is called a rating transition matrix. It shows the number of downgrades, upgrades, and the ratio of upgrades to downgrades for a period of time as given by a commercial rating company such as Moody's Investors Service, Standard & Poor's Corporation, or Fitch Ratings.

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Malcolm was involved in an auto accident. He was judged to be 20 percent at fault in the accident, and the other party was judged to be 80 percent at fault. Malcolm's actual damages were $40,000

Under a pure comparative negligence rule, how much will Malcolm receive for his injuries? A) $8,000 B) $24,000 C) $32,000 D) $40,000

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The matrix of change was designed to help managers decide how quickly change should proceed, in what order changes should take place, whether to start at a new site, and whether the proposed systems are stable and coherent

Indicate whether the statement is true or false

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