文章基本信息

标题：Do Credit Rating Agencies Sacrifice Timeliness by Pursuing Rating Stability? Evidence from Equity Market Reactions to CreditWatch Events
本地全文：下载
作者：Jenny Gu ; Jeffrey S. Jones ; Pu Liu 等
期刊名称：Theoretical Economics Letters
印刷版ISSN：2162-2078
电子版ISSN：2162-2086
出版年度：2014
卷号：04
期号：05
页码：311-322
DOI：10.4236/tel.2014.45042
语种：English
出版社：Scientific Research Publishing
摘要：In this paper we examine how well CreditWatch is used by credit rating agencies to balance two conflicting goals: rating timeliness and rating stability. Examining equity market reactions around CreditWatch events in 2002-2005, we find evidence that while CreditWatch has improved rating timeliness, its intended purpose has not been completely achieved. Equity prices start to change days before companies are listed on CreditWatch and abnormal equity returns of firms prior to being listed on CreditWatch are effective predictors of the ultimate change in ratings. The findings in the study suggest that in the pursuit of rating stability, rating agencies may have sacrificed rating timeliness.
关键词：CreditWatch; Credit Ratings; Rating Stability; Rating Timeliness