# Credit ratings

`kaal:entity:credit-ratings`

**Status.** derived

This node is assembled mechanically from the 3 claims that carry the concept tag `credit-ratings`. It is a roster of what the corpus says under this term. It is **not** an adjudicated definition: no single statement here has been ruled canonical, and no first-appearance call has been made. Read the claims and judge for yourself.

## Every claim under this term

3 claims across 3 works, 2011 to 2025.

**2011**

- [1908473-012](https://wulfkaal.github.io/claims/1908473-012) [failure/argued] *(failure mode)* -- Because contingent capital is a hybrid instrument that pays fixed returns while bearing equity like risk, it may receive low or no ratings, attract a much smaller investor base, and carry higher funding costs.
  > As a hybrid security, contingent capital may receive low or no ratings and may have a much smaller investor base and higher costs of funding.
  Wulf A. Kaal, Christoph Henkel, Contingent Capital with Sequential Triggers (2011). SSRN: https://ssrn.com/abstract=1908473

**2025**

- [5454054-009](https://wulfkaal.github.io/claims/5454054-009) [empirical/evidenced] -- Because LER voucher redemptions generate revenue at fiat parity, they can improve issuer credit ratings and lower borrowing costs, with large issuers projected to save up to $440 million annually through debt refinancing.
  > Because LER voucher reward redemptions generate revenue at fiat parity, LER enhance throughput and potentially improve LER issuers' credit ratings and lower borrowing costs. Large LER issuers are projected to save up to $440 million annually through debt refinancing.
  Wulf A. Kaal, Liquid Equity Rewards (2025). SSRN: https://ssrn.com/abstract=5454054
- [5583610-027](https://wulfkaal.github.io/claims/5583610-027) [empirical/argued] -- For large issuers, the favorable accounting treatment and fiat-parity redemption revenue could improve credit ratings enough to save as much as $440 million a year in interest through debt refinancing.
  > For large firms, the favorable accounting treatment could result in annual savings of up to $440 million through debt refinancing, as enhanced credit ratings lower interest expenses.
  Wulf A. Kaal, Liquid Equity Rewards in Corporate America (2025). SSRN: https://ssrn.com/abstract=5583610

## Verify

Every claim above resolves to a record carrying a verbatim source quote, the sha256 of the source PDF, and a preformatted citation. Nothing here asks to be taken on trust.

    curl -s https://wulfkaal.github.io/entities/credit-ratings.md | sha256sum

**Canonical form.** This markdown file is the canonical hashed representation of this entity node. Its sha256 is the content hash.