Corporate Governance Assessment and Rating Nowadays, it is not uncommon for an investor to reflect governance issues when deciding their investment decisions. 'investment. As a result, many companies are dedicated to evaluating the corporate governance procedures of public companies. Some companies offer credit ratings in addition to governance ratings. Starting in the 1970s, organizations have approached business ethics in a multitude of different approaches, including instituting compliance platforms and supervisors, adding ethics committees, initiating codes conduct, preparation and dissemination of the company's mission and values. Due to scandals in the recent past, American companies and government agencies are increasingly working to provide stronger structured governance and ethics platforms so that companies are accountable to communities in which they operate (Barrett, Todd, Schlaudecker and Perrin, 2004). Corporate governance rating companies have also started providing rating services. The service's customers are diverse and the audience continues to grow. Potential customers for rating services include small investors, fund managers, institutional investors, accounting firms, executive search firms, compensation and governance consulting firms, and insurance companies. Due to the questionable conduct of staff and company executives, vital questions have been raised about improving corporate ethics efforts and addressing the root reasons for these misconducts, in addition to the growing demand preventive, responsible and sustainable business procedures (Barrett, Todd, Schlaudecker and Perrin, 2004). Understanding the circumstances surrounding......middle of document......clusionThe importance of corporate governance ratings and how they will affect investors is still uncertain. Certainly, the usefulness of this type of rating is undermined by the apparent lack of uniformity among rating agencies. To the extent that the notes are comparative; they are also losing their importance since practices have greatly improved over time. Many institutional investors have individual platforms to calculate governance and do not rely on outside services to measure these concerns. Some investors fundamentally do not believe that these ratings are relevant in determining the value of a company or its management. However, issuers and investors may find it increasingly difficult to circumvent the consequences of governance ratings which could be seen as an indicator of a company's respect for the shareholder..