A.M. Best
Definition of 'A.M. Best'One of the established ratings agencies recognized by the SEC. A.M. Best has traditionally focused exclusively on providing a letter rating for insurance carriers. It has recently branched out into rating financial securities such as bonds. The company basically measures one's ability to fulfill its debt obligations. Ratings range from A++ (superior) to S (suspended). |
|
Investopedia explains 'A.M. Best'Alfred M. Best founded the company named after him in 1899. The company moved from New York to New Jersey in 1965 and is currently headquartered in Oldwick. A.M. Best is a privately-owned enterprise and publishes several ratings periodicals using data reported to the NAIC. |
Related Definitions
Articles Of Interest
-
Is Your Insurance Company Going Belly Up?
When insurance companies go bankrupt or face financial difficulty, it's bad news for policy holders. -
When To Trust Bond Rating Agencies
Despite investor distrust, rating agencies can be helpful. Just be sure you use these ratings as a starting point. -
The Debt Ratings Debate
Lack of competition and potential conflicts of interest have called the value of these ratings into question. -
Why Bad Bonds Get Good Ratings
Credit ratings are not the only tool to rely on when assessing bonds. Find out why they sometimes fall short. -
The Bear On Bonds
Bond investing is a stable and low-risk way to diversify a portfolio. However, knowing which types of bonds are right for you is not always easy. -
What does investment grade mean?
Credit ratings provide a useful measure for comparing fixed-income securities, such as bonds, bills and notes. Most companies are issued a rating based on their financial strength, future prospects ... -
Equity Valuation: The Comparables Approach
The main purpose of equity valuation is to estimate a value for a firm or security. There are three primary equity valuation models: the discounted cash flow (DCF), cost and comparable approaches. ... -
Weighted Average Cost Of Capital (WACC)
Weighted average cost of capital may be hard to calculate, but it's a solid way to measure investment quality -
Understanding And Playing The Dow Jones Industrial Average
Learn strategies for investing in this price-weighted index and how to interpret its movements. -
Seadrill Still In Motion, But Delivering Better Utilization And Dividends
Still an aggressively-run company, Seadrill offers highly leveraged exposure to the growing offshore drilling market.
Free Annual Reports