{"id":2926,"date":"2021-10-21T08:00:00","date_gmt":"2021-10-21T08:00:00","guid":{"rendered":"https:\/\/rakshithpai.com\/?p=2926"},"modified":"2022-03-11T16:36:11","modified_gmt":"2022-03-11T16:36:11","slug":"credit-rating-importance","status":"publish","type":"post","link":"https:\/\/rakshithpai.com\/credit-rating-importance\/","title":{"rendered":"Credit rating for Companies &#038; its Importance"},"content":{"rendered":"\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-662e8758e363e\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\" style='display:none' id=\"ez-toc-cssicon-toggle-item-662e8758e363e\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Introduction\" title=\"Introduction:\">Introduction:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Top_credit_rating_agencies_in_India\" title=\"Top credit rating agencies in India:\">Top credit rating agencies in India:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Importance_of_credit_score\" title=\"Importance of credit score:\">Importance of credit score:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#How_does_the_rating_work\" title=\"How does the rating work?\">How does the rating work?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Credit_Rating_Scales\" title=\"Credit Rating Scales:\">Credit Rating Scales:<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Types_of_credit_ratings\" title=\"Types of credit ratings:\">Types of credit ratings:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Difference_between_Credit_Rating_and_Credit_Score\" title=\"Difference between Credit Rating and Credit Score?\">Difference between Credit Rating and Credit Score?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Importance_of_credit_report\" title=\"Importance of credit report:\">Importance of credit report:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Importance_of_Credit_Rating\" title=\"Importance of Credit Rating:\">Importance of Credit Rating:<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Importance_For_Lenders\" title=\"Importance For Lenders: \">Importance For Lenders: <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Importance_For_Borrowers\" title=\"Importance For Borrowers: \">Importance For Borrowers: <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Importance_of_Credit_Rating_in_India\" title=\"Importance of Credit Rating in India:\">Importance of Credit Rating in India:<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Conclusion\" title=\"Conclusion:\">Conclusion:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#For_more_information_check_our_YouTube_video\" title=\"For more information, check our YouTube video:\">For more information, check our YouTube video:<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/rakshithpai.com\/credit-rating-importance\/#Also_read\" title=\"Also read:\">Also read:<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Introduction\"><\/span><strong>Introduction:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>A credit rating is an <strong>opinion expressed by a credit agency<\/strong> evaluating an entity&#8217;s ability and desire to meet its financial obligations on time. Additionally, a credit rating indicates the possibility of a debtor defaulting. It is an estimate of the<strong> ability of a person or organization to meet their financial commitments, <\/strong>based on previous dealings. In terms of companies, it means the ability&nbsp;to meet their outstanding liabilities and debts, and the capability to raise money when needed.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Top_credit_rating_agencies_in_India\"><\/span><strong>Top credit rating agencies in India:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ol><li>Credit Rating Information Services of India Limited (CRISIL)<\/li><li>Investment Information and Credit Rating Agency of India Limited (ICRA)<\/li><li>Credit Analysis and Research Limited (CARE)<\/li><li>India Rating and Research Private Limited<\/li><li>Acuit\u00e9 Ratings &amp; Research<\/li><li>Brickwork Ratings India Private Limited<\/li><\/ol>\n\n\n\n<div class=\"wp-block-buttons is-horizontal is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-1 wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-outline\"><a class=\"wp-block-button__link has-text-color has-background\" href=\"https:\/\/zerodha.com\/open-account?c=PR4768\" style=\"border-radius:50px;background-color:#e4fa00;color:#0f0027\" rel=\"nofollow\"><strong>Open Zerodha Account Now!<\/strong><\/a><\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Importance_of_credit_score\"><\/span><strong>Importance of credit score:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ol><li>With a higher credit score, companies can borrow easily.<\/li><li>A credit score is a report card for companies creditworthiness.<\/li><li>A good credit score will improve the goodwill of the company.\u00a0Hence, lowering the interest rates on loans.<\/li><li>Credit scores will help stakeholders to access the company better.<\/li><\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_does_the_rating_work\"><\/span><strong>How does the rating work?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The company&#8217;s creditworthiness is rated Alphabetically. Thus, <strong>&#8220;Rating A&#8221;<\/strong> stands for a good credit rating with low credit risk; <strong>&#8220;Rating B&#8221;<\/strong> stands for an average credit rating with moderate credit risk; <strong>&#8220;Rating C&#8221;<\/strong> will amount to a low credit rating with high credit risk, and <strong>&#8220;Rating D&#8221;<\/strong> stands for a defaulted party.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Credit_Rating_Scales\"><\/span><strong>Credit Rating Scales:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n<div class=\"su-table su-csv-table su-table-responsive su-table-alternate su-table-fixed\"><table><tr><th>Rating Scale<\/th><th>Symbol<\/th><\/tr><tr><td>Lowest credit risk \/ Excellent credit rating<\/td><td>AAA<\/td><\/tr><tr><td>Very low credit risk \/ Very good credit rating<\/td><td>AA<\/td><\/tr><tr><td>Low credit risk \/ Good credit rating<\/td><td>A<\/td><\/tr><tr><td>Moderate credit risk \/ Average credit rating<\/td><td>BBB<\/td><\/tr><tr><td>High credit risk \/ Low credit rating<\/td><td>B<\/td><\/tr><tr><td>Very high credit risk \/ Poor credit rating<\/td><td>C<\/td><\/tr><tr><td>Defaulted<\/td><td>D<\/td><\/tr><tr><td><\/td><\/tr><\/table><\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Types_of_credit_ratings\"><\/span><strong>Types of credit ratings:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>Bank Loan Credit Rating<\/li><li>Corporate Debt Rating<\/li><li>Corporate Governance Rating<\/li><li>Public Finance Rating<\/li><li>SME Rating etc.&nbsp;<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Difference_between_Credit_Rating_and_Credit_Score\"><\/span><strong>Difference between Credit Rating and Credit Score?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>While the phrases &#8220;credit score&#8221; and &#8220;credit rating&#8221; are sometimes used interchangeably, they are not synonymous.<\/p>\n\n\n\n<p>As discussed previously, a credit rating is used to assess a business&#8217;s or company&#8217;s creditworthiness. This simply refers to their likelihood of defaulting on payments. <strong>The alphabetical sequence of symbols is often used to show the rating. For example, &#8220;rating AAA&#8221; (triple-A) represents one of the most favorable grades, so any borrower with such a rating will be provided loans at an affordable interest rate.\u00a0<\/strong><\/p>\n\n\n\n<p>A credit score, on the other hand, is a number, often between 300 and 900, assigned to individuals to indicate their creditworthiness. Credit bureaus compute it using the individual&#8217;s credit information report, and it is used to determine whether or not they are authorized for loans and credit cards.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Importance_of_credit_report\"><\/span><strong>Importance of credit report:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>At the beginning of the report, we have the purpose of the report and the score afforded. Then, we have the rationale behind the ratings, (which is very important!)<\/p>\n\n\n\n<p>We also have <strong>SWOT <\/strong>analysis is done, where the rating agencies explain the companies&#8217; current strengths, weaknesses, opportunities, and threats being faced. And, then we get to the most important paragraph. That is the <strong>&#8220;liquidity analysis&#8221;<\/strong> where we get the company&#8217;s current cash position, the liquidity supports available, and then get to see a one-liner <strong>&#8220;rating sensitivity factors&#8221;,<\/strong> be it positive or negative.<\/p>\n\n\n\n<p>In conclusion, we have a brief about the company, the financials, and the rating table.<\/p>\n\n\n\n<p>So, reading a credit report gives an investor various aforementioned information and keeps an investor up-to-date with the company&#8217;s financial progress.\u00a0<\/p>\n\n\n\n<div class=\"wp-block-buttons is-horizontal is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-2 wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-outline\"><a class=\"wp-block-button__link has-text-color has-background\" href=\"https:\/\/zerodha.com\/open-account?c=PR4768\" style=\"border-radius:50px;background-color:#e4fa00;color:#0f0027\" rel=\"nofollow\"><strong>Open Zerodha Account Now!<\/strong><\/a><\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Importance_of_Credit_Rating\"><\/span><strong>Importance of Credit Rating:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>A credit rating is an evaluation of a borrower&#8217;s creditworthiness. A higher credit rating indicates that the business or organization is more likely to repay the borrowed credit. <\/strong>On the other hand, a lower credit rating may indicate a greater likelihood of becoming a defaulter. This can make borrowing money more difficult for them since lenders will view them as high-risk borrowers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Importance_For_Lenders\"><\/span><strong>Importance For Lenders: <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ol><li>With credit reports, lenders and investors may make better decisions regarding the company&#8217;s credit worthiness.\u00a0<\/li><li>When lenders are aware of a potential borrower&#8217;s credit rating, they may feel comfortable that their money will be repaid on time and with the right interest rate.<\/li><\/ol>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Importance_For_Borrowers\"><\/span><strong>Importance For Borrowers: <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ol><li>Businesses that have good credit are seen as less risky, so loan applications are more likely to be approved when they have good credit.<\/li><li>Lenders such as banks and financial institutions will provide lower interest rates on loans to organizations with better credit ratings.<\/li><\/ol>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Importance_of_Credit_Rating_in_India\"><\/span><strong>Importance of Credit Rating in India:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ol><li>Each credit rating agency comes up with its own way to figure out how good a company&#8217;s credit is based on things like how quickly it pays for goods and fees, how much cash it has, how much working capital it has, and how much money it has.<\/li><li>It happens once a month that these companies get information from their partner banks and other financial institutions about their customers&#8217; credit.<\/li><li>Once a credit rating request is submitted, these organizations gather information and compile a report based on these parameters.<\/li><li>They rate each person or business and give them a credit rating based on the information in their report.<\/li><li>Banks, financial institutions, and investors use this grade to determine whether to invest money, purchase bonds, or extend a loan or credit card.<\/li><li>The better the credit score, the more likely it is that a person will be able to get a loan with a lower interest rate.<\/li><\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Credit ratings are used to determine the creditworthiness of individuals, groups, enterprises, not-for-profit organizations, governments, and even whole nations. When at the time of borrowing, the borrower&#8217;s ability to borrow is evaluated by proving with scores or grades. The higher the grade, the better their ability to service the debt (pay off interest). So, better interest rates.<\/p>\n\n\n\n<p><strong>Credit rating companies do a lot of research to come up with this rating. They look at various elements to evaluate the borrower&#8217;s history of borrowing and lending money, their ability to pay back debt, their debts from the past, and how well they might be able to make money in the future.<\/strong><\/p>\n\n\n\n<p>A favorable credit rating enhances trustworthiness and demonstrates a track record of repaying debts on time in the past. It helps banks and investors decide whether to give loans and how much interest they charge.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"For_more_information_check_our_YouTube_video\"><\/span><strong>For more information, check our YouTube video:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<div class=\"ast-oembed-container \" style=\"height: 100%;\"><iframe loading=\"lazy\" title=\"Credit rating for a Company and its Importance for an Investor!\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/qJGhaqFDF4k?start=2&#038;feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/div>\n<\/div><\/figure>\n\n\n\n<div class=\"wp-block-buttons is-horizontal is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-3 wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-outline\"><a class=\"wp-block-button__link has-text-color has-background\" href=\"https:\/\/zerodha.com\/open-account?c=PR4768\" style=\"border-radius:50px;background-color:#e4fa00;color:#0f0027\" rel=\"nofollow\"><strong>Open Zerodha Account Now!<\/strong><\/a><\/div>\n<\/div>\n\n\n\n<p><strong><strong>Disclaimer: <\/strong><\/strong>All the information on this website is published in good faith and for general information purposes only. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Also_read\"><\/span><strong>Also read:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul><li><strong><a href=\"https:\/\/rakshithpai.com\/best-investment-plans-india-middle-class\/\" target=\"_blank\" rel=\"noreferrer noopener\">Best Investment Plans in India for Middle Class<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/how-to-invest-in-stock-market-a-beginners-guide-to-investing\/\" target=\"_blank\" rel=\"noreferrer noopener\">How to Start Investing? A Beginners Guide to Investing<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/how-to-construct-a-profitable-investment-portfolio\/\" target=\"_blank\" rel=\"noreferrer noopener\">How To Construct a Profitable Investment Portfolio?<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/investing-in-your-20s\/\" target=\"_blank\" rel=\"noreferrer noopener\">Investing tips in your 20s<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/investing-in-your-30s\/\" target=\"_blank\" rel=\"noreferrer noopener\">Investing tips in your 30s<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/portfolio-allocation-asset-correlation-importance\/\" target=\"_blank\" rel=\"noreferrer noopener\">Portfolio Allocation, Asset Correlation &amp; its importance!<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/best-warren-buffett-quotes\/\" target=\"_blank\" rel=\"noreferrer noopener\">Best Warren Buffett Quotes<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/best-pharma-stocks\/\" target=\"_blank\" rel=\"noreferrer noopener\">Best Pharma stocks to buy in India<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/best-information-technology-stocks\/\" target=\"_blank\" rel=\"noreferrer noopener\">Best Information Technology stocks to buy in India<\/a><\/strong><\/li><li><strong><a href=\"https:\/\/rakshithpai.com\/best-electric-vehicle-stocks-to-buy\/\" target=\"_blank\" rel=\"noreferrer noopener\">Top 11 Electric Vehicle Companies to Invest in India<\/a><\/strong> <\/li><\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Introduction: A credit rating is an opinion expressed by a credit agency evaluating an entity&#8217;s ability and desire to meet its financial obligations on time. Additionally, a credit rating indicates the possibility of a debtor defaulting. It is an estimate of the ability of a person or organization to meet their financial commitments, based on [&hellip;]<\/p>\n<div class='heateor_sss_sharing_container heateor_sss_vertical_sharing heateor_sss_bottom_sharing' style='width:44px;right: -10px;top: 100px;background-color: Dark Blue' data-heateor-sss-href='https:\/\/rakshithpai.com\/wp-json\/wp\/v2\/posts\/2926'><div class=\"heateor_sss_sharing_ul\"><a aria-label=\"Facebook\" class=\"heateor_sss_facebook\" href=\"https:\/\/www.facebook.com\/sharer\/sharer.php?u=https%3A%2F%2Frakshithpai.com%2Fwp-json%2Fwp%2Fv2%2Fposts%2F2926\" title=\"Facebook\" rel=\"nofollow noopener\" target=\"_blank\" style=\"font-size:32px!important;box-shadow:none;display:inline-block;vertical-align:middle\"><span class=\"heateor_sss_svg\" style=\"background-color:#0765FE;width:40px;height:40px;margin:0;display:inline-block;opacity:1;float:left;font-size:32px;box-shadow:none;display:inline-block;font-size:16px;padding:0 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Professional Investor in Equities and other assets. 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Additionally, a credit rating indicates the possibility of a debtor defaulting. 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