Moody's lowered the outlook on Samsung Securities Co. Ltd. to negative from stable and affirmed its long and short-term foreign currency issuers rating at Baa1 and P-2, respectively.
The rating agency withdrew the outlook on the company's foreign currency long-term issuer rating for its own business reasons.
The outlook revision reflects the company's weakening funding and leverage profiles, mainly due to its increasing issuance of structured notes, Moody's said.
Meanwhile, the ratings incorporate the company's Baa3 standalone assessment, which reflects its relatively lower risk appetite and leverage and its modest but improving earnings.
Moody's assesses a moderate likelihood of affiliate support from the company's parent Samsung Life Insurance Co. Ltd., reflecting limited synergies between Samsung Securities and its affiliates.