AAA is the highest bond grade. The higher the grade, the better the bond, and the grade can be used as a reference for selecting bonds. Bond rating refers to the analysis and evaluation of bond investment risks, which provides information services for investors' bond trading activities.
What is the reason for bond credit rating?
Facilitating investors' decision-making on bond investment is the main reason for bond credit rating, and investors have to bear certain risks when buying bonds. Due to the limitation of knowledge and information, it is impossible to analyze and select all bonds, so it is necessary for professional institutions to conduct a notarial evaluation of the bonds to be issued to facilitate investors' decision-making. It is very important for investors, especially small investors, to know the credit rating of bonds in advance.