TRADING GLOSSARY
Credit rating
A credit rating is an agency’s opinion of an issuer’s or debt instrument’s creditworthiness, usually expressed through a letter-based scale. It assesses repayment risk but is not a guarantee, and ratings can change as financial or economic conditions develop.
EXAMPLE
In a hypothetical review, a rating agency downgrades a government’s debt after its finances weaken. Investors may then demand higher yields.
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Risk warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Glossary definitions are general education only and are not investment advice. Risk disclosure