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In a thorough assessment of migration risk, a risk analyst from a rating agency examines the actual defaults within a particular rating category for corporate issuers. Originally, at the end of 2016, this rating category contained 348 issuers. The following table displays the number of issuers that did not default over the next three years:
Year | Count of Non-Defaulting Issuers by Year's End |
---|---|
2016 | 348 |
2017 | 339 |
2018 | 333 |
2019 | 329 |
Assuming no new issuers were added to this rating category throughout the observation period, what is the calculated 1-year incremental probability of default for the year 2019?