What is function of credit rating agency?

already exists.

Would you like to merge this question into it?

already exists as an alternate of this question.

Would you like to make it the primary and merge this question into it?

exists and is an alternate of .

Credit Rating Agencies rate the credit-worthiness of securities instruments. The reason for doing so is for investors to gain confidence that what they are buying is what they think it is. The big players in the industry (pension/insurance funds) have mandates which prevents them from investing in securities below a certain rating. You could say that they act as a means of protecting society from excessive speculation using 'social' funds (pension/insurance) by fund managers who are out to speculate short term by taking excessive risk. Duncan of Canary Wharf
7 people found this useful

How do credit rating agencies get paid?

There is no such entity as a credit rating agency. Credit reporting agencies, as defined by the Fair Credit Reporting Act, as paid by their participants,(merchants, lenders an

What is the full form of FITCH which is a credit rating agency?

So far as i have researched FITCH is not an acronym, instead its a name of the firm itself. I was also confused about this, but now 'm almost clear. more abt the Co. is ......

What are credit rating agencies?

A credit rating agency ( CRA ) is a company that assigns http://www.answers.com/topic/credit-rating for http://www.answers.com/topic/issuer-2 of certain types of http:/