TOPEKA, Kan. (WIBW) - A vote of confidence for Topeka's Security Benefit.
Standard and Poors upgraded the company's financial strength rating to an A-. S&P says the rating means a stable outlook for Security Benefit's insurance entities.
Security Benefit CEO Michael Kiley says the company has diversified its business profile and has a strengthened capital position. He also cited the recent integration of the company's asset management division into Guggenheim's broader investment platform.
Guggenheim Partners officially acquired Security Benefit in August 2010.
Complete news release from Security Benefit:
Security Benefit Corporation, a leading provider of retirement savings and income vehicles throughout the nation, today announced it has received a financial strength ratings upgrade from Standard & Poor’s (S&P) to A- with a stable outlook for its insurance entities, Security Benefit Life Insurance Company and its affiliate, First Security Benefit Life Insurance and Annuity Company of New York.
“We’ve delivered an improved and more competitive market position; consistently strong operating results; and a strengthened capital position along with important improvements in the quality of our capital,” said Michael P. Kiley, Chief Executive Officer, Security Benefit Corporation. “We are on a positive trajectory as we’ve established our position as a leader in the retirement savings and income marketplace. We’ve diversified our business profile generating asset flows from multiple channels of distribution.”
Kiley said the quantity and quality of Security Benefit’s capital continues to improve and was recently further enhanced through a transaction whereby the company’s Asset Management division was integrated into Guggenheim’s broader investment platform. Security Benefit is a Guggenheim Partners Company.
At a time when strong financial ratings have never been more important, nor more difficult to achieve, in the past two years Security Benefit has recorded four upgrades, which is especially impressive in the insurance industry.
“We are extremely pleased that S&P has upgraded our firm and believe the improved credit rating validates our long-term business strategy,” said Kiley. “Our targeted focus to help Americans save for and manage income through retirement, coupled with the backing and support of Guggenheim, positions us for further expansion and growth, giving us a business model others can only envy. We’re optimistic that with continued strong performance, more upgrades are in our future.”