Page info: *Author: Mathiesen, H. *Document version: 2.5. *Copyright 1997-2017, ViamInvest. Legal notice.




Exhibition: Deciding on fundamentals - The stylized case of credit ratings

 

Introduction: The message of this exhibition is that both organizational form (part 1) and specialization among experts (part 2) serve to improve the quality of complex decisions on corporate fundamentals.

 

 

Part 1: Organigram for a global rating service

 

Notes: 1) This part borrows from figure 3 in “Global Credit Analysis” [1991, page 92]. By Moody’s Investors Service. 2) The dotted lines means that recruitment for the rating committees (and the analytical team) also may come form other departments than the corporate department.

 

Part 2: Moody’s ongoing analyses of rated issuers

 

Notes: This part borrows from “Global Credit Analysis” [1991, figure 1, page 88]. By Moody’s Investors Service. The decision process is not less general because it comes from Moody’s. Other rating agencies are working in a similar fashion.

 

- Copyright 1997-2017, ViamInvest. Reproduced with permission of the copyright owner. Further reproduction prohibited without permission. Legal notice.