S&P Affirms Firstmac “Strong” Ranking
Firstmac Managing Director Kim Cannon said the ranking, which is the highest possible, confirmed Firstmac’s position as a prudent and sustainable lender.
“The S&P Global Ratings’ “Strong” ranking is a welcome demonstration of confidence from the world’s leading ratings agency,” Mr Cannon said.
“This ranking is based on a thorough review of our operations and confirms that our operations, risk management and corporate governance are world class.”
In its Servicer Evaluation, S&P Global Ratings' highlighted Firstmac’s experienced management team and use of technology.
“The overall STRONG prime residential loan servicer ranking on Firstmac Ltd. reflects S&P Global Ratings' opinion that Firstmac continues to demonstrate strong servicing quality,” S&P said.
“Firstmac has an experienced management team and effectively uses technology in its well-automated mortgage loan-servicing operations.”
It said that Firstmac's key strengths included:
· A well-established position as an experienced primary servicer of prime residential mortgages
· A comprehensive corporate governance and risk-management framework
· A well-designed internal-controls framework and internal audit program, supported by structured annual audit plans;
· Solid loan-processing and servicing infrastructure
· A robust training and development program
· Prudent servicing policy and procedures, contributing to a low arrears level that compares favourably with S&P's Performance Index (SPIN) for Australian prime RMBS transactions
S&P gave Firstmac a stable outlook, reflecting its view that that Firstmac would maintain its servicing strengths in the medium term through continued improvements in its processing and servicing practices.
Firstmac Limited is Australia’s largest non-bank lender, with more than 35 years’ experience in home and investment loans. Firstmac has written in excess of 100,000 home loans and manages approximately $8 billion in mortgages and $250 million in cash investments. Firstmac is a premier sponsor of the Brisbane Broncos.
Media enquiries to Duncan Macfarlane on 0434 184 264