This paper examines the relationship between split bond ratings and bond yields at the notch level for newly issued corporate bonds. We find that split rated bonds average a 7-basis-point yield premium over non-split rated bonds of similar credit risk. The yield premium increases from 5 basis...

We examine the marginal impact of Fitch ratings on the at-issuance yields of industrial and utility bonds rated by Moody's and S&P. We find that Fitch ratings reduce the yield premiums on information opaque bonds by about 30% or 15 basis points. The finding is robust even when a Fitch rating...