Term of the Day: Downgrade

TERM OF THE DAY - OCTOBER 17, 2011 Add Investopedia to Safe Sender List Find Investopedia on Downgrade What Does it Mean? A negative change in the rating of a security. This situation occurs when analysts feel that the future prospects for the security have weakened from the orginal recommendation, usually due to a material and fundamental change in the company's operations, future outlook or industry.  Investopedia Says... Analysts place recommendations on securities to give their clients or investors a general idea on the expected performance of that security looking forward. These... Read more » TODAY'S NEWSLETTER IS SPONSORED BY: Slideshow - Top 6 Uses For Bonds Individuals and institutions can use bonds in many ways: from the most basic, such as for preserving principal or saving and maximizing income, to more advanced uses, like managing interest-rate risk and diversifying a portfolio.  View the Slideshow » Special Feature - International Investing Discover your options for diversifying any portfolio and implementing international strategies. Click here for more. Related Terms Buy Hold Laggard Monoline Insurance Company Outperform See More » Related Links The Debt Ratings Debate Analyst Recommendations: Do Sell Ratings Exist? Why There Are Few Sell Ratings On Wall Street See More » Find Term of the Day Useful? Check out our other FREE newsletters! • Investing Basics • Forex Weekly • Stock Watch Weekly • Warren Buffett Watch • News To Use • The Chart Advisor Report • Professionals in the Money You are currently subscribed to term-of-the-day as: newsforward@autoforextradingpro.com To unsubscribe or change your email settings, please click here. Copyright © 2010 - All rights reserved. Investopedia ULC.