Research Update: AXA Insurance Group Core Subsidiaries Upgraded To 'AA' On Capital And Earnings Improvement; Outlook Stable

We consider that AXA's strong profits in 2025, combined with capital-light growth strategy and the gain on the sale of AXA Investment Managers (AXA IM), has improved the group's capitalization under S&P Global Ratings' capital model. We also view that AXA's capital and earnings have become resilient to potential stress thanks to prudent reserving practices, modest market sensitivities, and wide business and geographic diversification. Despite market uncertainties, we forecast AXA will continue to grow its underlying net income over 2026-2027. We therefore raised our long-term issuer credit and financial strength ratings on AXA's core operating subsidiaries to 'AA' from 'AA-' and on AXA to 'AA-' from 'A+'. We also revised the assessment of AXA's financial risk profile to very strong.

...To From Business Risk Profile Very strong Very strong Competitive position Excellent Excellent IICRA Intermediate risk Intermediate risk Financial Risk Profile Very strong Strong Capital and earnings Very strong Strong Risk exposure Moderately low Moderately low Funding structure Neutral Neutral Anchor ## ##- Modifiers Governance Neutral Neutral Liquidity Exceptional Exceptional Comparable rating analysis 0 0 Current Credit Rating Local currency financial strength rating ##-/Stable/-- A+/Positive/-- Foreign currency financial strength rating -- -- Local currency issuer credit rating ##-/Stable/A-1+ A+/Positive/A-1+ Foreign currency issuer credit rating ##-/Stable/A-1+ A+/Positive/A-1+...

Research Update