Credit ratings provide an evaluation of an issuer's ability and willingness to repay debt. In India, credit ratings have become increasingly important and are now mandatory for some corporate debt instruments. CRISIL is India's leading credit rating agency and analyzes factors like financial statements and economic conditions to provide ratings. Ratings establish a link between risk and return that helps investors evaluate investment options. While credit ratings provide useful information, agencies have also received criticism for inaccuracies and a lack of transparency in their rating methodologies.
Because of the risk-return tradeoff, you must be aware of your personal risk tolerance when choosing investments for your portfolio. Taking on some risk is the price of achieving returns; therefore, if you want to make money, you can't cut out all risk. The goal instead is to find an appropriate balance - one that generates some profit, but still allows you to sleep at night.
Many investors mistakenly base the success of their portfolios on returns alone. Few consider the risk that they took to achieve those returns. Since the 1960s, investors have known how to quantify and measure risk with the variability of returns, but no single measure actually looked at both risk and return together. Today, we have three sets of performance measurement tools to assist us with our portfolio evaluations. The Treynor, Sharpe and Jensen ratios combine risk and return performance into a single value, but each is slightly different. Which one is best for you? Why should you care? Let's find out.
Portfolio performance measures should be a key aspect of the investment decision process. These tools provide the necessary information for investors to assess how effectively their money has been invested (or may be invested). Remember, portfolio returns are only part of the story. Without evaluating risk-adjusted returns, an investor cannot possibly see the whole investment picture, which may inadvertently lead to clouded investment decisions.
Because of the risk-return tradeoff, you must be aware of your personal risk tolerance when choosing investments for your portfolio. Taking on some risk is the price of achieving returns; therefore, if you want to make money, you can't cut out all risk. The goal instead is to find an appropriate balance - one that generates some profit, but still allows you to sleep at night.
Many investors mistakenly base the success of their portfolios on returns alone. Few consider the risk that they took to achieve those returns. Since the 1960s, investors have known how to quantify and measure risk with the variability of returns, but no single measure actually looked at both risk and return together. Today, we have three sets of performance measurement tools to assist us with our portfolio evaluations. The Treynor, Sharpe and Jensen ratios combine risk and return performance into a single value, but each is slightly different. Which one is best for you? Why should you care? Let's find out.
Portfolio performance measures should be a key aspect of the investment decision process. These tools provide the necessary information for investors to assess how effectively their money has been invested (or may be invested). Remember, portfolio returns are only part of the story. Without evaluating risk-adjusted returns, an investor cannot possibly see the whole investment picture, which may inadvertently lead to clouded investment decisions.
What is the role of credit rating agencies in our global financial system? Learn how credit ratings on securities are created and used. Part of a continuing series of introductory seminars for the financial services industry. We develop custom training, contact us for a quote or discussion of your needs.
CREDIT RATING - P. SAI PRATHYUSHA (PONDICHERRY UNIVERSITY)SaiLakshmi115
Introduction # origin # meaning and definition # importance # indications of the assigned ratings # factors affecting assigned ratings # nature of credit rating # instruments of credit ratings # rating other than debt instruments # advantages and disadvantages of credit rating
Credit Rating has become an important aspect when we talk of Finance these days; what are the major Credit rating agencies in India and other International companies in same business are mentioned here. The process followed by these companies are also touched upon this presentation
The Evolution of Non-Banking Financial Companies (NBFCs) in India: Challenges...beulahfernandes8
Role in Financial System
NBFCs are critical in bridging the financial inclusion gap.
They provide specialized financial services that cater to segments often neglected by traditional banks.
Economic Impact
NBFCs contribute significantly to India's GDP.
They support sectors like micro, small, and medium enterprises (MSMEs), housing finance, and personal loans.
Empowering the Unbanked: The Vital Role of NBFCs in Promoting Financial Inclu...Vighnesh Shashtri
In India, financial inclusion remains a critical challenge, with a significant portion of the population still unbanked. Non-Banking Financial Companies (NBFCs) have emerged as key players in bridging this gap by providing financial services to those often overlooked by traditional banking institutions. This article delves into how NBFCs are fostering financial inclusion and empowering the unbanked.
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
how to sell pi coins in South Korea profitably.DOT TECH
Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the telegram id of my personal pi merchant who i trade pi with.
Tele gram: @Pi_vendor_247
#pi #sell #nigeria #pinetwork #picoins #sellpi #Nigerian #tradepi #pinetworkcoins #sellmypi
how to sell pi coins effectively (from 50 - 100k pi)DOT TECH
Anywhere in the world, including Africa, America, and Europe, you can sell Pi Network Coins online and receive cash through online payment options.
Pi has not yet been launched on any exchange because we are currently using the confined Mainnet. The planned launch date for Pi is June 28, 2026.
Reselling to investors who want to hold until the mainnet launch in 2026 is currently the sole way to sell.
Consequently, right now. All you need to do is select the right pi network provider.
Who is a pi merchant?
An individual who buys coins from miners on the pi network and resells them to investors hoping to hang onto them until the mainnet is launched is known as a pi merchant.
debuts.
I'll provide you the Telegram username
@Pi_vendor_247
Financial Assets: Debit vs Equity Securities.pptxWrito-Finance
financial assets represent claim for future benefit or cash. Financial assets are formed by establishing contracts between participants. These financial assets are used for collection of huge amounts of money for business purposes.
Two major Types: Debt Securities and Equity Securities.
Debt Securities are Also known as fixed-income securities or instruments. The type of assets is formed by establishing contracts between investor and issuer of the asset.
• The first type of Debit securities is BONDS. Bonds are issued by corporations and government (both local and national government).
• The second important type of Debit security is NOTES. Apart from similarities associated with notes and bonds, notes have shorter term maturity.
• The 3rd important type of Debit security is TRESURY BILLS. These securities have short-term ranging from three months, six months, and one year. Issuer of such securities are governments.
• Above discussed debit securities are mostly issued by governments and corporations. CERTIFICATE OF DEPOSITS CDs are issued by Banks and Financial Institutions. Risk factor associated with CDs gets reduced when issued by reputable institutions or Banks.
Following are the risk attached with debt securities: Credit risk, interest rate risk and currency risk
There are no fixed maturity dates in such securities, and asset’s value is determined by company’s performance. There are two major types of equity securities: common stock and preferred stock.
Common Stock: These are simple equity securities and bear no complexities which the preferred stock bears. Holders of such securities or instrument have the voting rights when it comes to select the company’s board of director or the business decisions to be made.
Preferred Stock: Preferred stocks are sometime referred to as hybrid securities, because it contains elements of both debit security and equity security. Preferred stock confers ownership rights to security holder that is why it is equity instrument
<a href="https://www.writofinance.com/equity-securities-features-types-risk/" >Equity securities </a> as a whole is used for capital funding for companies. Companies have multiple expenses to cover. Potential growth of company is required in competitive market. So, these securities are used for capital generation, and then uses it for company’s growth.
Concluding remarks
Both are employed in business. Businesses are often established through debit securities, then what is the need for equity securities. Companies have to cover multiple expenses and expansion of business. They can also use equity instruments for repayment of debits. So, there are multiple uses for securities. As an investor, you need tools for analysis. Investment decisions are made by carefully analyzing the market. For better analysis of the stock market, investors often employ financial analysis of companies.
Exploring Abhay Bhutada’s Views After Poonawalla Fincorp’s Collaboration With...beulahfernandes8
The financial landscape in India has witnessed a significant development with the recent collaboration between Poonawalla Fincorp and IndusInd Bank.
The launch of the co-branded credit card, the IndusInd Bank Poonawalla Fincorp eLITE RuPay Platinum Credit Card, marks a major milestone for both entities.
This strategic move aims to redefine and elevate the banking experience for customers.
what is the best method to sell pi coins in 2024DOT TECH
The best way to sell your pi coins safely is trading with an exchange..but since pi is not launched in any exchange, and second option is through a VERIFIED pi merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and pioneers and resell them to Investors looking forward to hold massive amounts before mainnet launch in 2026.
I will leave the telegram contact of my personal pi merchant to trade pi coins with.
@Pi_vendor_247
where can I find a legit pi merchant onlineDOT TECH
Yes. This is very easy what you need is a recommendation from someone who has successfully traded pi coins before with a merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi network coins and resell them to Investors looking forward to hold thousands of pi coins before the open mainnet.
I will leave the telegram contact of my personal pi merchant to trade with
@Pi_vendor_247
what is the future of Pi Network currency.DOT TECH
The future of the Pi cryptocurrency is uncertain, and its success will depend on several factors. Pi is a relatively new cryptocurrency that aims to be user-friendly and accessible to a wide audience. Here are a few key considerations for its future:
Message: @Pi_vendor_247 on telegram if u want to sell PI COINS.
1. Mainnet Launch: As of my last knowledge update in January 2022, Pi was still in the testnet phase. Its success will depend on a successful transition to a mainnet, where actual transactions can take place.
2. User Adoption: Pi's success will be closely tied to user adoption. The more users who join the network and actively participate, the stronger the ecosystem can become.
3. Utility and Use Cases: For a cryptocurrency to thrive, it must offer utility and practical use cases. The Pi team has talked about various applications, including peer-to-peer transactions, smart contracts, and more. The development and implementation of these features will be essential.
4. Regulatory Environment: The regulatory environment for cryptocurrencies is evolving globally. How Pi navigates and complies with regulations in various jurisdictions will significantly impact its future.
5. Technology Development: The Pi network must continue to develop and improve its technology, security, and scalability to compete with established cryptocurrencies.
6. Community Engagement: The Pi community plays a critical role in its future. Engaged users can help build trust and grow the network.
7. Monetization and Sustainability: The Pi team's monetization strategy, such as fees, partnerships, or other revenue sources, will affect its long-term sustainability.
It's essential to approach Pi or any new cryptocurrency with caution and conduct due diligence. Cryptocurrency investments involve risks, and potential rewards can be uncertain. The success and future of Pi will depend on the collective efforts of its team, community, and the broader cryptocurrency market dynamics. It's advisable to stay updated on Pi's development and follow any updates from the official Pi Network website or announcements from the team.
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just telegram this number below. I sold about 3000 pi coins to him and he paid me immediately.
Telegram: @Pi_vendor_247
2. INTRODUCTION
• With the increasing market orientation of the Indian economy, investors
value a systematic assessment of two types of risks, namely ―business
risk‖ arising out of the ―open economy‖ and linkages between money,
capital and foreign exchange markets and ―payments risk‖.
• With a view to protect small investors, who are the main target for
unlisted corporate debt in the form of fixed deposits with companies,
credit rating has been made mandatory.
• Given the slump faced by economies globally and the rise in the number
of defaultees, it is about time that the channel had a credit rating system
in place to ensure smooth operation for the entire chain.
3. • Credit rating is the opinion of the rating agency on the relative ability and
willingness of the issuer of a debt instrument to meet the debt service
obligations as and when they arise.
• Rating is usually expressed in alphabetical or alphanumeric symbols.
Symbols are simple and easily understood tools which help the investor to
differentiate between debt instruments on the basis of their underlying
credit quality.
• A credit rating evaluates the credit worthiness of an issuer of specific
types of debt, specifically, debt issued by a business enterprise such as a
corporation or a government.
• It is an evaluation made by a credit rating agency of the debt issuers’
likelihood of default. Credit ratings are determined by credit ratings
agencies.
• The credit rating represents the credit rating agency's evaluation of
qualitative and quantitative information for a company or government;
including non-public information obtained by the credit rating agencies
analysts.
• Credit ratings are not based on mathematical formulas. Instead, credit
rating agencies use their judgment and experience in determining what
public and private information should be considered in giving a rating to a
particular company or government.
4. SOVEREIGN CREDIT RATINGS
• A sovereign credit rating is the credit rating of a sovereign entity,
i.e., a national government. The sovereign credit rating indicates
the risk level of the investing environment of a country and is used
by investors looking to invest abroad. It takes political risk into
account.
5. ROLE OF CREDIT RATING
• Credit rating establishes a link between risk and return. They thus
provide a yardstick against which to measure the risk inherent in
any instrument.
• An investor uses the ratings to assess the risk level and compares
the offered rate of return with this expected rate of return (for the
particular level of risk) to optimize his risk-return trade-off.
• The risk perception of a common investor, in the absence of a
credit rating system, largely depends on his familiarity with the
names of the promoters or the collaborators. It is not feasible for
the corporate issuer of a debt instrument to offer every prospective
investor the opportunity to undertake a detailed risk evaluation.
• It is very uncommon for different classes of investors to arrive at
some uniform conclusion as to the relative quality of the
instrument. Moreover they do not possess the requisite skills of
credit evaluation. Thus, the need for credit rating in today’s world
cannot be overemphasized.
6. CREDIT RATING IN INDIA
• Credit ratings are playing an increasingly important role in
financial markets. The most significant change in the recent
relates to emphasis on their accountability and more
important, the caution in regulators' use of ratings.
• In India, rating is a more recent phenomenon, but the
changing global perspectives on the subject do impact the
financial system.
• India was perhaps the first amongst developing countries to
set up a credit rating agency in 1988. The function of credit
rating was institutionalized when RBI made it mandatory for
the issue of Commercial Paper (CP) and subsequently by SEBI,
when it made credit rating compulsory for certain categories
of debentures and debt instruments.
7. • In June 1994, RBI made it mandatory for Non-Banking Financial
Companies (NBFCs) to be rated. Credit rating is optional for Public
Sector Undertakings (PSUs) bonds and privately placed nonconvertible debentures up to Rs. 50million.
• In India, CRISIL (Credit Rating and Information Services of India Ltd.)
was setup in 1987 as the first rating agency followed by ICRA Ltd.
(formerly known as Investment Information & Credit Rating Agency
of India Ltd.) in 1991, and Credit Analysis and Research Ltd. (CARE)
in 1994. All the three agencies have been promoted by the All-India
Financial Institutions. The rating agencies have established their
creditability through their independence, professionalism,
continuous research, consistent efforts and confidentiality of
information. Duff and Phelps has tied up with two Indian NBFCs to
set up Duff and Phelps Credit Rating India (P) Ltd. in 1996.
8. ROLE OF CREDIT RATING AGENCIES
• Credit rating agencies (CRAs) specialize in analyzing and evaluating
the creditworthiness of corporate and sovereign issuers of debt
securities. Issuers with lower credit ratings pay higher interest rates
embodying larger risk premiums than higher rated issuers.
Moreover, ratings determine the eligibility of debt and other
financial instruments for the portfolios of certain institutional
investors due to national regulations that restrict investment in
speculative-grade bonds.
• In making their ratings, CRAs analyze public and non-public
financial and accounting data as well as information about
economic and political factors that may affect the ability and
willingness of a government or firms to meet their obligations in a
timely manner.
• However, CRAs lack transparency and do not provide clear
information about their methodologies. Ratings tend to be sticky,
lagging markets, and then to overreact when they do change.
9. • This overreaction may have aggravated financial crises in the recent
past, contributing to financial instability and cross-country
contagion.
• The failure of big CRAs to predict the 1997–1998 Asian crisis and
the bankruptcies of Enron, WorldCom and Parmalat has raised
questions concerning the rating process and the accountability of
the agencies and has prompted legislators to scrutinize rating
agencies.
10. CRISIL
• Credit Rating and Information Services of India Ltd. (CRISIL)
(BSE: 500092, NSE: CRISIL) is India's leading Ratings, Research,
Risk and Policy Advisory Company based in Mumbai. CRISIL’s
majority shareholder is Standard & Poor's, a division of The
McGraw-Hill Companies and the world's foremost provider of
financial market intelligence.
• A CRISIL rating reflects CRISIL's current opinion on the relative
likelihood of timely payment of interest and principal on the
rated obligation. It is an unbiased, objective, and independent
opinion as to the issuer's capacity to meet its financial
obligations.
11. • The debt obligations rated by CRISIL include:
i. Non-convertible debentures/bonds/preference shares
ii. Commercial papers/certificates of deposits/short-term debt
iii. Fixed deposits
iv. Loans
v. Structured debt
• CRISIL's credit ratings are
i. An opinion on probability of default on the rated obligation
ii. Forward looking
iii. Specific to the obligation being rated
• But they are not
iv. A comment on the issuer's general performance
v. An indication of the potential price of the issuers' bonds or equity
shares
vi. Indicative of the suitability of the issue to the investor
vii. A recommendation to buy/sell/hold a particular security
viii. A statutory or non-statutory audit of the issuer
ix. An opinion on the associates, affiliates, or group companies, or the
promoters,directors, or officers of the issuer
12. CRISIL rates a wide range of entities,
including:
•
•
•
•
•
•
•
•
•
x. Industrial companies
xi. Banks
xii. Non-banking financial companies (NBFCs)
xiii. Infrastructure entities
xiv. Microfinance institutions
xv. Insurance companies
xvi. Mutual funds
xvii. State governments
xviii. Urban local bodies
13.
14.
15. RESEARCH OBJECTIVE
1. To understand the Credit Rating Framework and its
implementation in the Indian Market
2. To conduct a comparative Analysis of various bonds
and securities by a Major Credit Rating Agency in
India, CRISIL.
16. Methodology
1. Data requirement : We will begin by identifying major 3-4
companies that have been recently given a credit rating by
an Indian Credit Rating Agency, CRISIL. The objective would
be to identify such companies which would later be assessed
and analyzed to check their credit worthiness. It is essential
that these companies have been given a credit rating by
CRISIL.
2. Data sources: The source of our information would be the
official website of CRISIL, wherein we will search for financial
statements and credit rating reports of the identified
companies. Moreover, to conduct the comparative analysis
we will be verifying the credibility of the ratings via the
means of various resources online.
17. 3. Data Analysis: Tracking the performance of the companies
identified and verifying whether or not the credit rating
given by CRISIL is credible and justified.
4.
Data Representation: To clearly represent the readings and
findings by using graphical representation and mathematical
tools to derive a final conclusion.
18. CONCLUSION
• It is an undisputed fact that CRAs play a key role in financial markets
by helping to reduce the informative asymmetry between lenders
and investors, on one side, and issuers on the other side, about the
creditworthiness of companies (corporate risk) or countries
(sovereign risk).
• An investment grade rating can put a security, company or country
on the global radar, attracting foreign money and boosting a
nation's economy. Indeed, for emerging market economies, the
credit rating is key to showing their worthiness of money from
foreign investors.
• Credit rating helps the market regulators in promoting stability and
efficiency in the securities market. Ratings make markets more
efficient and transparent.