Rating Scales
Define credit rating grades, score ranges, and PD boundaries
Total Grades
10
Investment Grade
5
AAA, AA, A, BBB, BB
Speculative Grade
5
B, CCC, CC...
Score Range
0 - 1000
Rating SpectrumPD 0.000% → 100.0%
AAA
AA
A
BBB
BB
B
CCC
CC
C
D
0.000%100.0%
Rating Scale Definitions
Editable grade matrix with spectrum overview
Grade Spectrum10 grades configured
AAA
0.00%0.10%AA
0.10%0.50%A
0.50%1.00%BBB
1.00%2.00%BB
2.00%5.00%B
5.00%10.00%CCC
10.00%20.00%CC
20.00%35.00%C
35.00%50.00%D
50.00%100.00%Rating Scale Definitions
Credit grade definitions
| Grade | Score Range | PD Range | Description | Actions |
|---|---|---|---|---|
| AAA | 850 - 1000 | 0.00% - 0.10% | Highest credit quality | |
| AA | 750 - 849 | 0.10% - 0.50% | Very high credit quality | |
| A | 700 - 749 | 0.50% - 1.00% | High credit quality | |
| BBB | 650 - 699 | 1.00% - 2.00% | Good credit quality | |
| BB | 600 - 649 | 2.00% - 5.00% | Speculative grade | |
| B | 550 - 599 | 5.00% - 10.00% | Highly speculative | |
| CCC | 500 - 549 | 10.00% - 20.00% | Substantial credit risk | |
| CC | 450 - 499 | 20.00% - 35.00% | Very high credit risk | |
| C | 400 - 449 | 35.00% - 50.00% | Extremely high credit risk | |
| D | 0 - 399 | 50.00% - 100.00% | Default |
Model Integration
Champion model and scoring pipeline linkage
Champion Model
Model Version
Grade Output
Rating Scale Visualization
AAA
0.0% - 0.1%
AA
0.1% - 0.5%
A
0.5% - 1.0%
BBB
1.0% - 2.0%
BB
2.0% - 5.0%
B
5.0% - 10.0%
CCC
10.0% - 20.0%
CC
20.0% - 35.0%
C
35.0% - 50.0%
D
50.0% - 100.0%
Score Distribution by Grade
Histogram with KDE overlay and rating thresholds
Score Distribution by Grade
Grade Distribution
Sample portfolio
AAA-AA
45%
A-BBB
30%
BB-B
18%
CCC-D
7%
Average PD by Grade
AAA0.05%
AA0.30%
A0.75%
BBB1.50%
BB3.50%
Scale Statistics
Total Grades10
Investment Grade4 (AAA-BBB)
Speculative Grade6 (BB-D)
Score Range0 - 1000
Not synced