Professional Documents
Culture Documents
ADVANTAGES
DISADVANTAGES
Evaluation Is Highly
Controversial
Type
Subsidiary
Industry
Predecessor
Founded
1909
Headquarters
Parent
Moody's Corporation
Website
www.moodys.com/researchandratings
Type
Industry
Financial services
Founded
Founder
Headquarters
Key people
Douglas L. Peterson(President)
Revenue
Number of employees
10,000 (approximate)
Parent
Website
standardandpoors.comspratings.com
Type
Subsidiary
Industry
Financial services
Founded
1914
Founder
Headquarters
Key people
Paul Taylor
President & CEO
Revenue
Owner
Number of employees
2,000 (approximate)
Website
www.fitchratings.com
Full service credit rating agency exclusively set up for micro, small
and medium enterprises (MSME) in India and has grown to rate
SME, mid & large corporate.
Type - Public
Founded - 2005
Headquarters - Mumbai, Maharashtra, India
Key people - Mr. Sankar Chakraborti, CEO
Services - Ratings, Research and Policy Advisory
Small loans
distributed at high
rate of interest
Money is Invested
HIGH profits
FINANCIAL INSTITUTUION/
INVESTMENT BANK
CONTINUED..
A silent storm brewed in international financial markets with origins
in the US housing market, which witnessed an unprecedented boom
since 2001
The boom was led by rising housing prices, low interest rates.
Housing prices in USA began to drop in 2006. Rising interest rates
& falling housing prices led to rise in sub prime mortgage
delinquencies & resultant foreclosure
Result: The housing bubble burst in Aug 2006
SEQUENCE OF EVENTS
BUBBLE BURST
CONTINUED.
Home prices reached their peak in the second quarter of 2006.
They did not fall drastically at first.
Home prices fell by less than 2 percent from the 2nd quarter of
2006 to the 4th quarter of 2006.
The foreclosure start rates increased by 43 percent over these two
quarters, and increased by 75 percent in 2007 compared to 2006.
This implies that mortgage default rates began to rise as soon as
home prices began to fall.
CONTINUED.
IMPACT ON INDIA
Year
Growth Rate
2005-06
9.5
2006-07
9.6
2007-08
9.3
2008-09
6.8
2009-10
8.0
2010-11
8.6
Open
High
Low
Close
January
20325.27
21,206.77
15,332.42
17468.71
February
17820.67
18,895.34
16,457.74
17578.72
March
17227.56
17,227.56
14,677.24
15644.44
April
15771.72
17,480.74
15,297.96
17287.31
May
17560.15
17,735.70
16,196.02
16415.57
June
16591.46
16,632.72
13,405.54
13461.60
July
13480.02
15,130.09
12,514.02
14355.75
August
14064.26
15,579.78
14,002.43
14564.53
September
14412.99
15,107.01
12,153.55
12860.43
October
13006.72
13,203.86
7,697.39
9788.06
November
10209.37
10,945.41
8,316.39
9092.72
December
9162.94
10,188.54
8,467.43
9647.31
FALL OF INR
Dec 30th 08 : 1USD =48INR
Jan 1st 08 : 1USD =39INR
GREEK CRISIS
CRISIS TIMELINE
CRISIS TIMELINE
THANK YOU