A Resistance-to-Shocks Rating Robot for a turbulent and complex economy. Beyond the concept of probability of default.
Overly complex businesses or portfolios are fragile in the face of market shocks and crises. How complex is your business? How fragile is your portfolio?
Measuring the Complexity and Resistance to Shocks of a business or a portfolio establishes a new paradigm in rating. Science, not opinions. Numbers, not sensations.
Now Available in BLOOMBERG Terminals
Science, not Opinions
Until today, rating has not been a science. Even rating agencies themselves claim that ratings are opinions. Our ratings are science. Numbers, not sensations.
Universal Ratings provides the first independent, transparent and objective RATING ROBOT which has been engineered specifically for a complex economy.
In a turbulent economy, resistance to shocks is the new key reflection of the sustainability of a corporation or an investment portfolio. Our ratings go beyond the outdated concept of Probability of Default (PoD) - UR computes a Resistance to Shocks Rating (RtS) Rating.
Since the global economy changes quickly, our rating goes beyond the concept of a 'static rating', computed, say, on an annual basis. We offer dynamic ratings which track the evolution of markets.
Universal Ratings also offers innovative ratings of systemic risks. We use supercomputers to take the concept of systemic risk rating to a totally new level, providing truly holistic and strategic information to the global investor.
Science, not opinions.
Contact us to obtain our White Paper
There are over 43000 listed companies which require a rating. However, there are also over 300 million private businesses that either don't need a rating - because they are not listed - or simply because they can't afford one.
One of the goals of Universal Ratings is to provide an automated rating tool which is accessible to even the smallest companies. This democratization of ratings will lead to a more healthy and resilient global economy.
A Resistance to Shocks rating is not just a measure of how well a business or a portfolio will react to shocks or turbulence - it also provides new and actionable information on how to improve a business. This turns our rating into an effective management tool.
A key feature of our rating system is that we can analyse and rate large ensembles of corporations, banks, funds, portfolios or markets, treating them as interacting systems. This allows us to understand systemic risks from a totally new and scientific perspective. Using super-computers we can rate the entire global economy and the financial system in its entirety. Every day.
Independence and Transparency
Our rating system is:
1 Independent – we are not controlled by banks or funds. There is no conflict of interest.
2 Transparent – any user can verify the results of our ratings as the method is available on-line.
3 Objective – no subjective weightings or scoring. There is no human in the loop.
The analytical engine which powers Universal Ratings may be accessed by users by simply uploading data, such as Balance Sheets, Income Statements, portfolios, etc. This means that it is possible for anyone to verify our ratings. It also means that two individuals will obtain the same result if they upload and process the same data.
This feature guarantees not only that the ratings we provide are consistent, it underscores our credibility and independence.
Objectivity is guaranteed by the fact that the entire process does not include any human-in-the-loop interventions. We do not resort to expert opinions, the rating procedure is fully automatic and cannot be tampered with.