Moscow, 26th November 2019: Leading Russian financial services group BCS Financial Group (FG BCS) announced today that S&P Global Ratings affirmed its 'B/B' long- and short-term issuer credit ratings on FG BCS Ltd. This was accompanied by positive outlooks and 'B+/B' long- and short-term issuer credit ratings on FG BCS's operating subsidiaries:
- BrokerCreditService (Cyprus) Ltd.,
- BrokerCreditService Structured Products PLCS
- BCS Prime Brokerage Ltd.
S&Р Global Ratings notes that despite increased competition from large Russian banks and securities firms, BCS has retained its leading position in Russia. The company's geographic expansion of its operations and growth could ultimately lead to a more balanced profile and less volatile operating performance than that of domestic peers.
S&P Global Ratings positively views the firm’s decision to limit its market-sensitive losses through hedges, despite the temporary reduction in profitability, which is likely to recover in 2019. In addition, FG BCS' capital, leverage, and earnings are considered to be strong, reflecting solid capital buffers.
The positive outlook suggests that BCS entities could be upgraded over the next year if the Group continues to demonstrate a balanced risk profile and a more stable performance than its domestic peers.
Roman Lokhov, CEO of BCS Global Markets, commented:
The affirmation of the S&P Global ratings on FG BCS LTD and its subsidiaries reflects the positive assessment of our strategy and conservative approach in risk management in complicated market conditions by the Agency. Our business is continuing to develop in line with our business objectives and strategy. BCS GM and BCS Financial Group continue to deliver positive results and sustainable growth with ongoing investments in franchise. We are looking forward to the end of 2019, which looks positive.
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.