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Basic Question 3 of 9
What is the main reason that rating agencies may try be motivated to keep their ratings stable over time?
B. They try to keep the bond market less volatile.
C. In the long term credit ratings don't change that much.
A. They are paid by issuers.
B. They try to keep the bond market less volatile.
C. In the long term credit ratings don't change that much.
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I just wanted to share the good news that I passed CFA Level I!!! Thank you for your help - I think the online question bank helped cut the clutter and made a positive difference.
Edward Liu
Learning Outcome Statements
explain credit scores and credit ratings;
calculate the expected return on a bond given transition in its credit rating;
CFA® 2025 Level II Curriculum, Volume 4, Module 29.