TY - UNPB
T1 - The credit ratings industry
T2 - stakeholder perspectives of competitive, regulatory and funding issues
AU - Duff, Angus
AU - Einig, Sandra
PY - 2015/3/12
Y1 - 2015/3/12
N2 - A substantial literature examines the effect of changes in a company’s credit rating on its share and bond price. However, issues relating to the business model employed by the ratings industry, the operation of the industry, and regulatory issues have attracted relatively little academic attention. This paper attempts to fill this lacuna by investigating attitudes to these issues using interviews with UK credit market participants who are active users of credit ratings information. Theories linked to the growth, operation, and regulation of the ratings industry are developed; interview findings are then related to each of these issues. The paper concludes with relevant policy implications.
AB - A substantial literature examines the effect of changes in a company’s credit rating on its share and bond price. However, issues relating to the business model employed by the ratings industry, the operation of the industry, and regulatory issues have attracted relatively little academic attention. This paper attempts to fill this lacuna by investigating attitudes to these issues using interviews with UK credit market participants who are active users of credit ratings information. Theories linked to the growth, operation, and regulation of the ratings industry are developed; interview findings are then related to each of these issues. The paper concludes with relevant policy implications.
U2 - 10.2139/ssrn.2577541
DO - 10.2139/ssrn.2577541
M3 - Working paper
SP - 1
EP - 33
BT - The credit ratings industry
PB - SSRN
ER -