Athene Holding, one of Bermuda’s leading retirement services companies, has seen its operating companies’ credit rating boosted from A- to A by global ratings firm S&P Global, which Chief Executive Jim Belardi believes will benefit the company’s product distribution and accelerate growth.
“This upgrade reflects our stellar financial results and will accelerate the strong momentum of our business,” said Belardi. “We have achieved significant growth and greater diversification while prudently managing risk.”
“We believe this ratings upgrade will further strengthen our multi-channel distribution model, and we look forward to establishing new partnerships and engaging as a financial solutions provider to a broader market.”
S&P also upgraded the rating on Athene Holding to BBB+ from BBB; the outlook of these credit ratings is Stable.
The Athene entities receiving financial strength ratings upgrade from S&P include Athene Annuity & Life Assurance Company, Athene Annuity & Life Assurance Company of New York, Athene Annuity and Life Company, Athene Life Re, and Athene Holding.
S&P cited Athene’s improved business diversification as the primary reason for the improved rating.
“Historically, Athene’s business has been concentrated in retail annuities, which made up over 85% of deposits in 2014,” S&P said.
“Since then, management has successfully diversified into flow reinsurance and pension risk transfers. The improved business diversification drives the overall improvement in our view of its competitive position and business risk profile.”
