Business Standard Editorial: Rating the raters: Moody's HMV!
Editorial: Rating the raters: PThe US Securities and Exchange Commission's (SEC) report on its 10-month investigation into the manner in which rating agencies assessed structured financial products, and their role in the sub-prime crisis, makes for interesting reading...
Rating the raters
Brief, but an excellent summing up and analysis.
Enjoyed reading about the comment on 'definition of corruption'.
This applies to all parameters applied by rating agencies which parrot the feelings of their masters.
Just one example:
In Moody's land (United States), Government Debt to GDP Ratio was 106.10 in 2016. You thought, no comparison, where's India and where's US a 'developed' country!
The percentage averaged 61.14 from 1940 to 2016 (118.90 in 1946 and 31.70 in 1981).
US had a GDP figure @ US $18.57 trillion in 2016 which may cross $19 trillion next year. Ever wondered why US government should have a Public Debt figure at all? And where all the borrowed money goes?
M G Warrier