Case Study:Short Term Financing Bond Credit Rating For China Guodian North China Electric Power Co.,Ltd. By Dagong Global

Finance lease is an important means to promote the development of the real economy,after Short-term financing bond,issued on the inter-bank security market in the way of registration system by non-financial enterprises with legal personalities,is a security which agrees to repay investors capital and interest within a certain period of time less than one year.It has developed quickly because of its ability to ease liquidity crisis and many other advantages.With the expansion of short-term financing bond market,investors now pay more and more attention on credit rating reports provided by the rating agencies.Objective and impartial credit rating will lower the transaction costs and improve efficiency by transmitting the market signal which will play an important role in the process of investing short-term financing bond.Due to the issuance of short-term financing bonds threshold is not high,the possibility of default risk is bigger,credit default events bring short-term bond market,the enterprise credit risk of short-term securities problems become the focus in the industry at the moment.Investors want to short paper credit rating can play a greater investment.International rating agencies have also hope the internal management and market risk ratings to give more attention to short-term financing,so that the rating agencies can play a better rating function,to invest in the right direction,the market also began to re-examine the credit rating of short-term financing methods and procedures.For rating system and theory of external rating agencies,the article presents the whole process of using the rating agencies' rating model to determine credit rating of short-term bond based on the credit rating on the second period of short-term bond of North China Power Generation Co.,Ltd of Guodian Group in 2016 made by Dagong,whose market share on short-term bond rating ranks among the top three.Meanwhile through the qualitative-analysis-based operating analysis and quantitative-analysis-based financial analysis,the article explores in depth the specific way to increase the scientific rationality of credit rating,hoping to offer risk managers of commercial banks and rating agencies suggestions on how to quantify risks and regularize credit ratings.