Question

Looking back at the crossover bonds we discussed in the chapter, why do you think split ratings such as these occur? 

   Looking back at the crossover bonds we discussed in the chapter, why do you think split ratings such as these occur?
Fundamentals of Corporate Finance
Fundamentals of Corporate Finance
Stephen A. Ross;… 11th Edition
Chapter 7, Problem 11 ↓

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Crossover bonds are bonds that are issued by companies that have both investment-grade and high-yield ratings from different credit rating agencies. These split ratings occur because different rating agencies may have different methodologies and criteria for  Show more…

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Looking back at the crossover bonds we discussed in the chapter, why do you think split ratings such as these occur?
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