Good ideas and conversation. No ads, no tracking. Login or Take a Tour!
- I don't quite understand why some investors believe that every S&P ratings change should have a wild effect on markets. Presumably the information that causes the cut is already priced in to the relevant securities.
This. If the reality is that a ratings downgrade can have such massively wild effects on the market, then that means that our capital investment model is fundamentally broken. Not that I subscribe to that thinking, -I just think that if you do, the implications should have you absolutely scared shitless much more than a particular rating downgrade in a org/country you may have an interest.