Using a sample of Chinese listed companies from 2009 to 2020, this study investigates the impact ESG ratings on corporate trade credit financing. The results suggest that performance by can significantly improve level positive effect rating financing is more pronounced when company hires “Big4” auditor, or locates in region with higher degree marketization, and followed analysts. still hold aft...

Both auditors and credit rating agencies have been linked to financial scandals in recent history. In the early 2000’s, several of the “big five” accounting firms issued favorable audit opinions to public companies employing deceptive accounting practices. Some of these companies even committed outright fraud. Once the investing public caught wind of these accounting irregularities, it lost tru...

By December 2008, structured finance securities accounted for over $11 trillion worth of outstanding U.S. bond market debt (35%). The lion’s share of these securities was highly rated by rating agencies. More than half of the structured finance securities rated by Moody’s carried a AAA rating—the highest possible credit rating. In 2007 and 2008, the creditworthiness of structured finance securi...

Credit ratings assigned by rating agencies to structured credit products have played an important role in the development of the structured credit market, which has been cast into the limelight by the recent credit crisis. This study aims at clarifying some misconceptions related to CDO ratings, their interpretation and their use. We first describe the rating approaches used by major agencies f...

Because financial crises are characterized by dangerous rare events that occur more frequently than those predicted by models with finite variances, we investigate the underlying stochastic process generating these events. In the 1960s Mandelbrot [Mandelbrot B (1963) J Bus 36:394-419] and Fama [Fama EF (1965) J Bus 38:34-105] proposed a symmetric Lévy probability distribution function (PDF) to ...