Prudential A+ credit rating 'under threat'

clock

Life and pensions giant Prudential could see its A+ credit rating downgraded by Standard & Poor's (S&P), the FT reports.

The paper said there was a one in three chance the ratings agency would cut the insurer's rating due to low interest rates creating big risks for the insurance sector. S&P added Prudential's plans to focus less on its historic base in the UK and more on risker overseas markets meant its rating was place on "negative" outlook. The FT said the threatened downgrade came as shares in Prudential, the country's biggest insurance firm, were trading at levels close to their highest in 12 years. S&P has rated the Pru at A+ since 2006. It said this could be reduced within the next two years.

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Service

L&G ploughs £40k into stroke awareness campaign

Legal & General has agreed to provide £40,000 in sponsorship for Action on Stroke Month in May 2014.

clock 10 January 2014 •

Zurich chairman resigns after CFO 'suicide'

The chairman of Zurich insurance group has resigned days after the apparent suicide of chief financial officer Pierre Wauthier.

Carmen Reichman
clock 29 August 2013 •

Zurich CFO found dead

The chief financial officer of insurer Zurich Group was found dead at his home yesterday morning.

Carmen Reichman
clock 27 August 2013 •