What are High Grade Bonds?

Definition: High Grade Bonds are bonds with the highest credit rating (AAA and AA). High Grade Bonds offer the best possible security, because the credit quality of the debtor has been proofed as outstanding.

 

Importance of High Grade Bonds

High Grade Bonds count as safe haven in the financial universe. Big investors like pension funds and asset manager invest mainly in High Grade Bonds, in order to place the entrusted money as safe as possible. High Grade Bonds are an asset class of huge size and importance. They are used as collateral in credit transactions and swaps. The yield of High Grade Bonds is considered as the risk-free benchmark-rate.

Selection of High Grade Issuers

(as of 2012-08-14)

AAA-Rating:

  • Germany
  • Switzerland
  • Australia
  • Canada
  • Denmark
  • Norway
  • Sweden
  • EUROPEAN INVESTMENT BANK
  • EUROPEAN UNION
  • NORDIC INVESTMENT BANK
  • ASIAN DEVELOPMENT BANK
  • WORLDBANK

AA-Rating:

  • United States of America
  • Austria
  • France
  • New Zealand
  • GENERAL ELECTRIC
  • NIPPON TELEGR & TELEPH
  • RABOBANK NEDERLAND
  • ALLIANZ FINANCE