Asset opaqueness and split bond ratings

By M. Livingston, Anthony Naranjo, Lili Zhou. 2007

116 citations recorded by the source corpus.

We examine the relation between asset opaqueness and split ratings. We find that firms with asset opaqueness problems are more likely to receive split bond ratings from Moody s and S&P rating agencies. Our results suggest that there is a causal link between asset opaqueness and split ratings.

Subfields: Accounting, Finance

View Paper: https://www.semanticscholar.org/paper/c45eea592658e3012816229d63192e216ff808b4

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In Accounting

1. Levent Guntay
2. Dirk Hackbarth
3. Syed Aliya Zahera
4. Rohit Bansal

In Finance

1. Levent Guntay
2. Dirk Hackbarth
3. Syed Aliya Zahera
4. Rohit Bansal

Citations in the corpus

• Financial statement comparability and credit risk (2013, unknown): “Table 2 Panel A reports that split ratings occur for 65 % (53 %) of outstanding bonds rated by at least two of the top three (the top two) rating agencies, percentages consistent with prior literature (Akins 2012; Cheng 2012; Livingston et al. 2007; Morgan 2002; Cantor and Packer 1997).”
• Corporate Bond Credit Spreads and Forecast Dispersion (2010, result): “Third, we follow recent studies by Livingston et al. (2007, 2008) to see whether our findings are influenced by corporate bonds with notch-level or letter-level split ratings.”
• The impact of narrative disclosure readability on bond ratings and the cost of debt (2017, unknown): “We follow Morgan (2002) and Livingston et al. (2007) for controls for bond rating disagreement.”