What is the difference between IG and HY credit rating?
Investment grade and high yield bonds
It is widely accepted that bonds classified as investment grade tend to be less risky than those designated as high yield and usually deliver a lower return. High yield bonds typically offer higher returns, but with more risk, because the issuers are considered to have a greater chance of default.
Investment grade is a measure of a company's credit. Higher rated companies are considered investment grade, suggesting strong underlying fundamentals and a good capacity to pay a bond's principal and interest.
Junk bonds have a lower credit rating than investment-grade bonds, and therefore have to offer higher interest rates to attract investors. Junk bonds are generally rated BB[+] or lower by Standard & Poor's and Ba[1] or lower by Moody's. The rating indicates the likelihood that the bond issuer will default on the debt.
A high-yield bond, or junk bond, is a corporate bond that represents debt issued by a firm with the promise to pay interest and return the principal at maturity.
Higher quality bond issuers (AAA to BBB-) are considered investment-grade or good quality. Issuers with a rating of BB+ to below are seen as riskier, and they are typically referred to as non-investment grade, speculative grade or high yield.
There are actually a couple of meanings for “IG.” In perhaps the more well-known meaning of the acronym, IG stands for “Instagram,” referring to the social media platform Instagram. Another, perhaps more novel meaning of IG is “I guess.” Determining the meaning of the shorthand depends entirely on context.
Highest credit quality
'AAA' ratings denote the lowest expectation of default risk. They are assigned only in cases of exceptionally strong capacity for payment of financial commitments. This capacity is highly unlikely to be adversely affected by foreseeable events.
A triple-A (AAA) is the highest credit quality. A C or D (depending on the agency issuing the rating) is the lowest or junk quality.
The AAA-rated bonds are rated as the highest Safety Bonds. AAA denotes the highest credit rating assigned by a credit rating agency.
Why are high-yield bonds risky?
A high-yield corporate bond is a type of corporate bond that offers a higher rate of interest because of its higher risk of default. When companies with a greater estimated default risk issue bonds, they may be unable to obtain an investment-grade bond credit rating.
Junk bonds are a high-risk investment, but they offer the potential for higher returns than investment-grade bonds. Junk bonds, also known as high-yield bonds, are best suited for investors who are willing to take on more risk in order to achieve higher returns.
Rank | Fund | Yield |
---|---|---|
1 | Vanguard High-Yield Corporate Fund Investor Shares (VWEHX) | 6.40% |
2 | T. Rowe Price High Yield Fund (PRHYX) | 7.02% |
3 | PGIM High Yield Fund Class A (PBHAX) | 7.22% |
4 | Fidelity Capital & Income Fund (fa*gIX) | 6.16% |
Bonds rated below Baa3 by ratings agency Moody's or below BBB by Standard & Poor's and Fitch Ratings are considered “speculative grade” or high-yield bonds. Sometimes also called junk bonds, these bonds offer higher interest rates to attract investors and compensate for the higher level of risk.
Investment-grade refers to bonds rated Baa3/BBB- or better. High-yield (also referred to as "non-investment-grade" or "junk" bonds) pertains to bonds rated Ba1/BB+ and lower.
Instagram is a great way to stay connected with friends and family, and to meet new people. It's a platform for creative expression, where you can share your photos and videos with others. It's a powerful marketing tool for businesses and brands. It's free to use and easy to get started.
- Assess Your Use. ...
- Consider a Full Detox. ...
- Deactivate Instagram. ...
- Identify New Limits. ...
- Identify Alternative Activities. ...
- Install an Instagram Blocker. ...
- Turn Off Push Notifications. ...
- Keep Your Phone Somewhere Else.
So, what is Instagram used for? According to recent research, the top activity on Instagram is posting photos and/or videos, done by 70.4% of Instagram users. In other words, more than two out of every three active users of Instagram use the platform to share photos and videos with their followers.
In texting, "IG" also means "I guess" or "Instagram." If you're texting someone and they're not quite sure how they feel, they may respond with "IG." Whenever you're messaging about something social media-related (like followers, likes, and Instagram Live videos), they're most likely referring to Instagram.
Immunoglobulins (Ig) or antibodies are glycoproteins produced by plasma cells. B cells are instructed by specific immunogens, for example, bacterial proteins, to differentiate into plasma cells.
Who started IG?
Instagram is a photo and video-sharing social media application that was launched in 2010 by Kevin Systrom. The first prototype of Instagram was a web app called Burbn, which was inspired by Systrom's love of fine whiskeys and bourbons. The Instagram app was launched on Oct.
The average FICO credit score in the US is 717, according to the latest FICO data. The average VantageScore is 701 as of January 2024. Credit scores, which are like a grade for your borrowing history, fall in the range of 300 to 850. The higher your score, the better.
Making on-time payments to creditors, keeping your credit utilization low, having a long credit history, maintaining a good mix of credit types, and occasionally applying for new credit lines are the factors that can get you into the 800 credit score club.
Age Bracket | 2022 |
---|---|
18–25 | 679 (Good) |
26–41 | 687 (Good) |
42–57 | 706 (Good) |
58–76 | 742 (Very Good) |