DBRS upgraded to A (high) from A the issuer rating of Sun Life Financial Inc.
The rating agency also raised Sun Life Assurance Co. of Canada's financial strength rating and issuer rating to AA from AA (low). The trends on all ratings are stable.
The upgrades acknowledge Sun Life Financial's enhanced franchise strength, the increasing diversification of earnings throughout its four core business segments, and its excellent capitalization, according to DBRS.
The ratings take into account the company's exposure to operational risk stemming from operating in multiple jurisdictions with varying degrees of geopolitical risk in Asia, as well as its guaranteed products in Canada that could lead to profit volatility, the rating agency said.