Standard & Poor's Rating Services
has downgraded AllianceBernstein
. The ratings agency downgraded the firm's long-term debt from AA- to A+ and its short-term debt from A-1+ to A-1.
In the report
, published on Friday, S&P analysts wrote that outflows and a failure to meet benchmarks have reduced AllianceBernstein's future prospects, and predicted that further outflows are likely. But the downgrade is tempered with positive news -- it notes that the asset manager has a "sound" risk profile and a highly liquid balance sheet.
and P & I Online
picked up on the report.
It's been a year of strong headwinds for AllianceBernstein. Last month MFWire noted
that that the New York-based asset manager's AUM dropped 12 percent last fiscal year. In February, CEO Peter Kraus
was forced to lay off
about 90 employees.
Stay ahead of the news ... Sign up for our email alerts now