CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.1% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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What is a long-term rating?

Long-term rating

Credit rating agencies issue long-term ratings for gilts and bonds to denote the likelihood that a company or government will default on loans that last for longer than a year.

Where have you heard about long-term ratings?

Top credit rating agencies Standard & Poor’s, Moody’s and Fitch are famous for issuing long-term ratings. You’ll hear about it if a country’s rating is downgraded. The UK's credit rating dropped following the Brexit vote.

What you need to know about long-term ratings.

Long-term credit ratings are denoted with a letter grading system. Each agency does it slightly differently, but AAA or similar is the top rating of credit worthiness, while anything below a B is considered high risk.

If you decide to invest in government or corporate bonds, it’s important to know the risks involved. A long-term credit rating doesn’t give you any guarantees that an investment is safe, but it may act as a good guide for bonds with maturity dates of longer than 12 months.

Find out more about long-term ratings.

Read our definitions of credit rating and credit rating agency to learn more about the ratings system.

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