Credit Spreads vs Ratings: Spread to the AAA Curve
This lesson is part of the course
In this lesson
You measure each muni's spread over the AAA benchmark curve in basis points, average the spreads by rating, flag wide spreads and price a new A-rated issue.
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Lessons in this course
- Tax-Equivalent Yield: Federal Only and Federal + State Locked
- Break-Even Tax Bracket: When Does the Muni Win? Locked
- Yield to Maturity & Yield to Call with RATE Locked
- Yield to Worst: the Lowest Yield over the Call Schedule Locked
- GO vs Revenue Bonds: Debt Service Coverage from Pledged Revenues Locked
- Credit Spreads vs Ratings: Spread to the AAA Curve Locked
- Premium & Discount Munis: the De Minimis Rule (Simplified) Locked
- Muni vs Corporate vs Treasury after Tax (Chart) Locked