Why S&P Ratings Matter:

When it comes to securing a commercial lease, both tenants and landlords want the same thing: certainty. Traditionally, that certainty came from bank guarantees. But times have changed – there’s now alternative options.

At eGuarantee, we provide Commercial Lease Bonds – a modern bank guarantee alternative that frees up business capital while giving landlords reliable protection. And what truly sets our Lease Bonds apart is their foundation: they’re backed by HDI Global Specialty SE, an insurer with an S&P AA- rating.

S&P Global Ratings is one of the world’s most trusted financial referees. Their credit ratings act as a benchmark for stability, giving businesses and investors confidence in the financial strength behind an institution. When you see an S&P rating, you’re seeing an independent measure of credibility.

When you get a S&P rating, they typically conduct a full company review of their credit rating once a year. This is to ensure the rating reflects the most up-to-date financial position and market environment. Beyond the annual review, S&P monitors rated entities continuously. If there’s a significant financial, economic, or industry change, S&P may update the rating at any time to reflect it’s financial strength.

The ratings are determined through a team of credit analysts studying the company’s financial statements, debt profile, business strategy, market conditions and risk exposure. The findings are then presented to a credit rating committee – a group of senior experienced analysts – who decide on the final rating.

S&P’s ratings run from AAA (the strongest) down to D (default). An AA- rating sits right near the top—a global signal of very strong financial health and a very low risk of default.

For example, other financial institutions in Australia are currently (Aug 2025) rated by S&P

• National Australia Bank (NAB) AA- rated as of May 2025
• Westpac AA- rated
• Commonwealth Bank (CBA) AA- rated as of May 2025
• HSBC A- rated as of May 2025

In practice, that means:

• Confidence in resilience, even in challenging markets.

• Recognition of reliability worldwide.

• Strength that’s just one step below AAA, the financial equivalent of a gold medal finish.

For both tenants and landlords, an AA- rating means trust. It proves that the security behind a Commercial Lease Bond is stable, recognised, and dependable.

Credit ratings don’t just measure financials; they are used to influence trust and decision-making with an entity or product.

• High ratings = lower risk and greater confidence.

• Low or no ratings = uncertainty, leaving landlords and tenants exposed to potential instability.

That’s why partnering with a product backed by a high S&P rating matters—it’s about knowing you’re protected by strength you can rely on.

eGuarantee’s Commercial Lease Bonds provides a smarter way for tenants to secure their leases without tying up capital in a bank guarantee. Instead of locking away cash, businesses can redirect working capital toward growth while landlords still receive reliable security.

The key difference? Our Lease Bonds are backed by HDI Global Specialty SE, a leading global insurer with an S&P AA- credit rating.

This means:

• For tenants: You can use a bank guarantee alternative that doesn’t drain your cash flow.

• For landlords: You can accept Lease Bonds knowing they’re underpinned by one of the strongest-rated insurers in the world.

An S&P AA- rating is more than a symbol—it’s proof of resilience and reliability. By choosing eGuarantee’s Commercial Lease Bonds, you gain a bank guarantee alternative that offers flexibility for businesses and trusted security for landlords, backed by one of the world’s strongest insurers.

Want to learn more? Contact eGuarantee today and discover how our AA- backed Commercial Lease Bonds can transform your leasing experience.