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Investment grade

In the context of bond ratings, the rating level above which institutional investors have been authorized to invest.

Investment Grade

Describing a bond with a medium or high rating. Bonds rated Baa3 by Moody's or BBB- by S&P or Fitch. Investment-grade bonds are considered sufficiently low-risk that the law allows banks to invest in them. In addition to being low-risk, investment-grade bonds are low-return, greatly reducing the cost on the issuer. Most American Treasury and municipal bonds are investment-grade. See also: Junk, High-Rating.

Investment grade. When a bond is rated investment grade, its issuer is considered able to meet its obligations, exposing bondholders to minimal default risk.

Most US corporate and municipal bonds are rated by independent services such as Moody's Investors Service and Standard & Poor's (S&P).

The ratings are based on a number of criteria, including the likelihood that the bond issuer will be able to make interest payments and repay the principal in full and on time.

The four categories of bonds rated BBB and higher by S&P or Baa and higher by Moody's are considered investment grade.

Investment Grade

What Does Investment Grade Mean?

A rating that is assigned to a municipal or corporate bond that indicates its creditworthiness and likelihood of default. Bond rating firms such as Standard & Poor's, use different designations consisting of the uppercase and lowercase letters A and B to identify a bond's credit quality rating. AAA and AA (high credit quality) and A and BBB (medium credit quality) are considered investment grade. Credit ratings for bonds below these designations (BB, B, CCC, etc.) are considered low credit quality and thus are referred to commonly as junk bonds.

Investopedia explains Investment Grade

Investors should note that government bonds, or Treasuries, are not subject to credit quality ratings because they are considered to have the very highest credit quality. In the case of municipal and corporate bond funds, a fund prospectus and independent investment research reports will report an “average credit quality” for a fund's portfolio as a whole. Investors should be aware that an agency downgrade of a company's bonds from BBB to BB reclassifies the company's debt from investment-grade to junk status with just a one-step drop in quality. The repercussions of such an event can be highly problematic for the issuer and also adversely affect bond prices for investors. Safety-conscious fund investors should pay attention to a bond fund's portfolio credit quality breakdown.

Related Terms:
• Bond
• Bond Rating
• Credit Rating
• Fundamental Analysis
• Junk Bond

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Angel Bank-Grade Bond Rating Bono con categoria de investment grade Collateralized Bond Obligation collateralized mortgage backed securities Crossover Credit Fallen Angels Grado o clase de inversiones High-Grade High-Grade Bond High-Yield Bond Investment-Grade Investment-Grade Bonds Lehman Brothers California Municipal Bond Index Lehman Brothers Corporate Bond Index Lehman Brothers Municipal Bond Index Lehman Brothers New York Municipal Bond Index MIG	While the Kimberly mill has first-class paper machines and is operated by an excellent workforce, it doesn't have a pulp mill to support the paper operations. NewPage Closes Kimberly, Wisconsin Facility by PR Newswire Use first-class paper for your business cards, and definitely dress to impress. Avoid Using the Word Quality for More Effective Ads by Kaye Z. Marks / Advertising, marketing, public relations community Its strategy is straightforward: Having low cost converting operations near customers using first-class paper supplied by a company within your group translates to certain market share. Frantschach: painting a new "big picture"; the Frantschach Group's ... by Molony, Jane / Solutions - for People, Processes and Paper	Firm Order Firm Quote Firm's Net Value of Debt Firm-Specific News Firm-specific risk Firma no socia FIRREA First board First Call First Call Date First Coupon First Cruzeiro First Dollar Coverage First East African Shilling First Fundamental Welfare Theorem First Home First Icelandic Krona First In, First Out First market first mortgage First Notice Day First Position Day first preferred stock First Section First Sudanese Pound First-Class Paper first-generation space first-in, first-out First-pass regression First-Time Homebuyer first-year depreciation Fiscal agency agreement Fiscal Agency Services Fiscal Agent Fiscal Drag Fiscal Neutrality Fiscal Period Fiscal Policy Fiscal Quarter Fiscal stimulus fiscal year Fiscal Year-End Fiscalmente rilevante Fischer Black Fisco Fisher Effect Fisher's Separation Theorem Fishyback Fisk-Gould Scandal Fissazione del prezzo dell'oro Fit	First, do no harm First, do no harm First, Outer, Inner, Last First, Outside, Inside, Last first-aid first-aid first-aid First-Aid Dressing first-aid kit first-aid station first-aider first-aider first-aider first-aiders first-aiders first-aiders First-angle projection First-angle projection First-born first-calf First-Changed First-Out first-class first-class first-class First-class car first-class current first-class honours degree first-class mail first-class mail First-Class Mail International First-Class Paper First-class pulley First-class pulley First-come, first-served first-come-first-serve First-come-first-served First-day cover First-day cover first-day covers first-day covers First-degree First-degree First-degree first-degree block first-degree burn first-degree burn first-degree burn first-degree burn first-degree burn first-degree burns First-degree murder First-degree murder First-degree murder First-degree murder First-degree relatives First-degree relatives First-degree relatives First-degree relatives First-degree Stochastical Dominance first-dollar coverage first-dollar coverage

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Angel
Bank-Grade
Bond Rating
Bono con categoria de investment grade
Collateralized Bond Obligation
collateralized mortgage backed securities
Crossover Credit
Fallen Angels
Grado o clase de inversiones
High-Grade
High-Grade Bond
High-Yield Bond
Investment-Grade
Investment-Grade Bonds
Lehman Brothers California Municipal Bond Index
Lehman Brothers Corporate Bond Index
Lehman Brothers Municipal Bond Index
Lehman Brothers New York Municipal Bond Index
MIG

While the Kimberly mill has first-class paper machines and is operated by an excellent workforce, it doesn't have a pulp mill to support the paper operations.

NewPage Closes Kimberly, Wisconsin Facility by PR Newswire

Use first-class paper for your business cards, and definitely dress to impress.

Avoid Using the Word Quality for More Effective Ads by Kaye Z. Marks / Advertising, marketing, public relations community

Its strategy is straightforward: Having low cost converting operations near customers using first-class paper supplied by a company within your group translates to certain market share.

Frantschach: painting a new "big picture"; the Frantschach Group's ... by Molony, Jane / Solutions - for People, Processes and Paper

First, do no harm
First, do no harm
First, Outer, Inner, Last
First, Outside, Inside, Last
first-aid
first-aid
first-aid
First-Aid Dressing
first-aid kit
first-aid station
first-aider
first-aider
first-aider
first-aiders
first-aiders
first-aiders
First-angle projection
First-angle projection
First-born
first-calf
First-Changed First-Out
first-class
first-class
first-class
First-class car
first-class current
first-class honours degree
first-class mail
first-class mail
First-Class Mail International

First-Class Paper

First-class pulley
First-class pulley
First-come, first-served
first-come-first-serve
First-come-first-served
First-day cover
First-day cover
first-day covers
first-day covers
First-degree
First-degree
First-degree
first-degree block
first-degree burn
first-degree burn
first-degree burn
first-degree burn
first-degree burn
first-degree burns
First-degree murder
First-degree murder
First-degree murder
First-degree murder
First-degree relatives
First-degree relatives
First-degree relatives
First-degree relatives
First-degree Stochastical Dominance
first-dollar coverage
first-dollar coverage

Investment Grade (redirected from First-Class Paper)

Investment Grade
(redirected from First-Class Paper)