Credit Rating

Credit rating is an opinion from a rating organization about the relative credit risk of an issuer or obligation, not a guarantee of repayment.

Why this matters to income investors

A rating summarizes an agency’s credit opinion and can change after conditions deteriorate.

How to use credit rating in your research

Read the borrower or issuer disclosures for collateral, payment priority, covenant terms, and missed payments. Then check how a deterioration could reduce interest income or the value available to support future dividends.

This material is general education and information, not individualized investment, tax, or legal advice.