BrokerCreditService (Cyprus) and BCS Structured Products have been upgraded by S&P Global Ratings as a result of improved funding and stable outlook.
Moscow, September 18th 2017 – BCS Global Markets, the largest securities broker on the Moscow Exchange, today announced that core group entities BrokerCreditService (Cyprus) Ltd and BrokerCreditService Structured Products PLC have been upgraded from B to B+.
S&P Global Ratings raised its long-term counterparty credit and also affirmed the ’B’ short-term counterparty credit ratings thanks an improved funding profile for the BCS Group. S&P explained that its improved view was based on the higher reliance on equity, deposits, and notes issued under structured products in the funding mix rather than on short-term wholesale funding at the BCS entities. This is reflected in the stable funding ratio, which has improved to around 100% in 2016-2017 from 70% in 2013-2014.
The assessment is further supported by BCS’s access to collateralised facilities from the Central Bank of Russia via its subsidiary bank if needed, which somewhat differentiates it from most domestic peers.
Roman Lokhov, CEO of BCS Global Markets said:
We are delighted that S&P has upgraded BrokerCreditService (Cyprus) Ltd. and BrokerCreditService Structured Products PLC, which acknowledges BCS’s commitment to continued stability. At BCS, we have invested heavily in both people and platform and we are now beginning to reap the benefits with not just solid growth in profits but also with a level of stability that is now being recognised internationally. This upgrade strengths our hand for the future expansion of our businesses and to continue to deliver excellence to our clients.
A message from management of BCS Global Markets
The continuously evolving nature of the global coronavirus situation has meant we at BCS Global Markets (BCS) are taking all necessary steps to keep business disruption to an absolute minimum.
Effective from today (Wednesday 18th March) employees from all divisions of the business based in our Russia, UK, USA and Cyprus offices who can work from home without creating any even minor possible risk for business continuity of the Group will be working remotely. It is very much business as usual at BCS. Our employees are equipped with secure access to our systems and will follow their normal working hours, keeping in regular contact with their colleagues and clients.
Despite ongoing disruption caused by COVID-19, we want to also assure you that following a sustained period of positive performance, our capital and liquidity position remains very strong. The business is well-placed to meet any subsequent financial challenges and will continue to go above and beyond for our clients.