Discover and read the best of Twitter Threads about #ratingagencies
Most recents (1)
The RATE-ARDs at $MCO Moody's and S&P $SPGI have too much influence over companies - case in point is $INVH which owns 80k single family homes with a loan-to-value (LTV) of just 32%. Somehow this company is NOT 'investment grade' and they are de-levering...
2/ to appease these idiot rating agencies. Consider that people typically put down only 5-10% of the purchase price of a home (the rest is financed with a mortgage at an LTV of 80%+). Of course there is one recent example of a situation where the US housing market blew up -caused
3/by rating agencies who in pursuit of fees did whatever $BAC $GS $MS $C $JPM etc told them too - rating hundred$ of billion$ in garbage debt as investment grade creating a housing bubble followed by a global financial crisis truthout.org/articles/the-i…
