Research Update: China Cinda Asset Management And China Cinda (HK) 'A-/A-2' Ratings Affirmed; Outlook Stable

China Cinda Asset Management Co. Ltd.'s leverage for its nonbank financial institution (NBFI) segment improved to below 6.5x in 2019 and is likely to remain at a moderate level over the next 12-24 months, in our view. The enhanced creditworthiness of the NBFI segment does not change our assessment of the group's stand-alone credit profile (SACP). We are affirming our 'A-/A-2' issuer credit ratings on China Cinda and its wholly owned core subsidiary China Cinda (HK) Holdings Co. Ltd. (Cinda HK). The stable outlook on both companies is based on our view that China Cinda will retain its very important role to, and very strong link with, the Chinese government. We expect the NBFI segment to maintain moderate leverage and

...- China Cinda Asset Management Co. Ltd.'s leverage for its nonbank financial institution (NBFI) segment improved to below 6.5x in 2019 and is likely to remain at a moderate level over the next 12-24 months, in our view. - The enhanced creditworthiness of the NBFI segment does not change our assessment of the group's stand-alone credit profile (SACP). - We are affirming our 'A-/A-2' issuer credit ratings on China Cinda and its wholly owned core subsidiary China Cinda (HK) Holdings Co. Ltd. (Cinda HK). - The stable outlook on both companies is based on our view that China Cinda will retain its very important role to, and very strong link with, the Chinese government. We expect the NBFI segment to maintain moderate leverage and relatively stable asset quality over the next 12-24 months....

Research Update