Benefits to the Issuers/Companies
Credit Rating of an issue would ensure due compliance with the relevant legal regulatory provisions of the Securities & Exchange Commission and Bangladesh Bank.
CRAB opinion would help the issuer company to broaden the market for their instruments. As ‘name recognition’ is replaced by objective opinions, the issuer company may access the securities market more comfortably.
Credit rating may help in stabilising issuers’ access to the market even when the market price of listed equities is relatively unfavourable in the prevailing market conditions.
Credit ratings of Entities would confer upon the companies a greater confidence of the market and enhance a greater access to the financing sources.
Values to the Investors & Creditors :
Credit rating gives market participants timely access to unbiased, objective, independent, expert, professional opinion on the quality of securities in a user friendly manner that may be relied upon for investment decisions
Rating opinion would facilitate the investors to decide their portfolios by choosing investment options in the market according to their profiles and preferences.
Credit rating would effect significant contribution towards developing the stock market investor confidence and enhancing the quality and perfection of the securities market, through provision of credible information for guidance of institutional and individual investors.
Values to the Economy & the Capital Market :
Assists in qualitative development of the money and capital markets and enhancement of transparency of financial information and governance of the corporate sector in Bangladesh.
Credit rating assists the regulators in promotion and enhancement of the precision of the financial markets.