- CFA Exams
- CFA Level I Exam
- Topic 6. Fixed Income
- Learning Module 47. Fundamentals of Credit Analysis
- Subject 3. Credit Ratings
CFA Practice Question
Which statement is true?
B. In general, the lower the senior unsecured rating, the smaller the notching adjustment will be.
C. The senior unsecured rating and notching adjustment have no direct relationship.
A. In general, the higher the senior unsecured rating, the smaller the notching adjustment will be.
B. In general, the lower the senior unsecured rating, the smaller the notching adjustment will be.
C. The senior unsecured rating and notching adjustment have no direct relationship.
Correct Answer: A
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