Cornerstone Financial Holdings Limited is celebrating a resounding vote of confidence in its growth strategy after regional ratings agency Caribbean Information and Credit Rating Services, CariCRIS, upgraded the company’s credit ratings by one notch across every category.

The ratings agency similarly handed the company a stable outlook to match.

Chevon Campbell, tells us more.

The upgrade lifts Cornerstone to jmA+ from jmA for local currency obligations on the Jamaican national scale and to jmA from jmA- for foreign currency obligations.

On the regional scale, the group climbs to CariA- from CariBBB+ and to CariBBB+ from CariBBB for foreign currency.

The CariCRIS says the upgrade reflects a markedly improved business risk profile at Cornerstone and its subsidiaries, following a year of bold reorganisation and acquisition.

The agency points to a stronger market position, sharper operating efficiency, better risk management and a richer, more diversified stream of earnings.

CariCRIS says its stable outlook rests on the high likelihood of sustained growth and improving efficiency across the Cornerstone Financial Holdings’ subsidiaries over the next twelve to fifteen months, underpinned by strategic partnerships, expanding digital capabilities and healthy capital and liquidity.

Founder, Group President and Chief Executive Officer Paul Simpson hails the upgrade as independent recognition of the work done to strengthen the group.

A centrepiece of the review period was the completion of the group’s reorganisation under a financial holding company structure.

It’s a move designed to enable consolidated supervision by the Bank of Jamaica and to sharpen governance, risk oversight and capital management.

Barita Financial Group Limited now stands as the holding company, with Barita Investments and Barita Merchant Bank folded into the reorganised structure.

Cornerstone Financial Holdings has also been expanding fast.

Barita widened its asset management platform with the acquisition of JN Fund Managers, since renamed Barita Fund Managers, deepening its reach in pension funds, mutual funds and long-term investment products.

On the technology front, Barita Merchant Bank secured the Bank of Jamaica’s non-objection in June to launch the first product on its new digital banking platform, now rolling out in phases from a pilot group.

Cornerstone is similarly pressing ahead on roughly two-thousand acres of prime real estate along Jamaica’s oceanfront and urban corridors, with its strategic partnership with the Proven Group expected to open further opportunities across development and regional growth.

Simpson says the stronger ratings vindicate the strategy but insists the group is not resting on the win.

The Group says the upgrade marks another step in an evolution that now spans investment banking, wealth and asset management, banking, financial technology and real estate development.

Photo: Paul Simpson