Volatile stock market


Question: Bond investments have become much more prominent as many major pension plans have begun to invest more in bonds and less in the volatile stock market. Bond rating companies play a critical role in this process. What is their role? Who are the major rating companies? Some analysts say these companies played a major role in the financial crisis of 2008. Explain why and discuss some of the possible changes that might help avoid the problem in the future.

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Finance Basics: Volatile stock market
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