Moody's Investors Service (Moody) has become the second ratings house in days to downgrade the outlook for the Macquarie Group.
Moody downgraded its outlook on the Macquarie Group to stable from positive, after Standard & Poor's Ratings Services (S&P) revised the group's outlook to negative from stable.
"A global slowdown in equity markets appears to have the potential to impact the greatest number of Macquarie's businesses... [but] on a positive note, the group has a track record of successfully capturing opportunities during periods of market weakness," a statement from Moody said.
"Macquarie Group's stable rating outlook reflects its very strong liquidity and capital positions, and its minimal exposure to troubled asset classes and counterparties," Moody analyst Patrick Winsbury said.
Moody would continue to monitor market developments closely, particularly in regards to whether declines in market confidence could impact Macquarie's fundamental business operations, Winsbury said.
While S&P said there was roughly a one-in-three chance of a rating downgrade for Macquarie, it indicated the most likely scenario was that ratings would stay the same.
Despite current market challenges, the Macquarie Group remains profitable, well-capitalised and well-funded, with liquid assets of more than $20 billion as at June 30, 2008, Macquarie Group chief financial officer Greg Ward said.
