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A low rated potentially higher paying bond is called a high-yield or junk bond. These bonds typically offer higher interest rates to compensate for the higher risk of default associated with lower credit ratings. Investors are attracted to these bonds for their potential for higher returns, but they also come with increased risk.
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Why are bonds evaluated by rating agencies?
Bonds are evaluated by rating agencies to assess the creditworthiness of the issuer. The ratings help investors gauge the risk associated with investing in a particular bond. Higher-rated bonds are considered less risky and typically offer lower interest rates, while lower-rated bonds are riskier with higher potential returns.
What is cost diamond purity?
Diamond purity or clarity per se is not valued separately from the other qualities: it is rated. Higher-rated clarity is more expensive than lower-rated clarity. However, the overall value of a diamond includes its carat weight, its colour and its cut.
Which bond would you expect to be more expensive a bond with AAA rating or a bond with a BBB rating?
A bond with a AAA rating would generally be expected to be less expensive than a bond with a BBB rating. This is because the AAA rating indicates higher creditworthiness and lower risk of default, making it more attractive to investors. As a result, AAA-rated bonds typically offer lower interest rates.
What do you think will happen if a thick copper wire is used as a fuse?
Using a thick copper wire as a fuse is not recommended because copper wire has low resistance and will not effectively limit the current flow in case of an overload. This can lead to damage of the circuit or equipment and potentially cause a fire hazard due to excessive current passing through the wire. It's important to use the appropriate fuse rated for the circuit to ensure safety.
What is the top rated detergent?
The top rated detergent, rated by different polls and data gathering is Tide laundry detergent. Tide has a long track record for treating stains and now also comes in several different scents.
What is a low rated potentially high paying bond?
A low rated bond, also known as a high-yield or junk bond, has a higher risk of default but offers potentially higher returns to compensate for the increased risk. Investors seeking higher yields may consider investing in low rated bonds with the potential for higher payouts, but should also be aware of the increased risk associated with these investments.
When Running a processor at a speed higher than its rated clock speed is?
It's called "overclocking".
What are the ratings and certificates for Paying Guest - 1957?
Paying Guest - 1957 is rated/received certificates of: India:A
What are the ratings and certificates for Paying the Penalty - 1913 I?
Paying the Penalty - 1913 I is rated/received certificates of: UK:A
What are the ratings and certificates for Kunwara Paying Guest - 2007?
Kunwara Paying Guest - 2007 is rated/received certificates of: India:A
How are magnets rated in terms of their strength and performance?
Magnets are rated based on their magnetic field strength, which is measured in units called gauss or tesla. The higher the gauss or tesla rating, the stronger the magnet's performance. Magnets with higher ratings are able to attract or repel objects with greater force.
What percentage of tornadoes are rated at F4 or higher?
About 1.1% of tornadoes are rated F4, and less than .1% are rated F5.
What are the ratings and certificates for The Cuckoo Waltz - 1975 Paying Your Way 1-3?
The Cuckoo Waltz - 1975 Paying Your Way 1-3 is rated/received certificates of: UK:PG
How many percent of tornadoes are f3 or higher?
About 4-5% of tornadoes are rated F3 or higher.
What are the ratings and certificates for Alonzo Bodden Who's Paying Attention - 2011 TV?
Alonzo Bodden Who's Paying Attention - 2011 TV is rated/received certificates of: USA:TV-MA
What is the movie called Tokyo rated?
Sorry but the movie was not rated.
Do higher coupon bonds give a higher rate of return?
according to the come rates the returns we get if we purchase higher rated coupon bonds we get higher returns
