KBRA assigns a senior unsecured debt rating of BBB with a Stable Outlook to the senior unsecured notes issued by BGC Partners, Inc. (NASDAQ: BGCP) (“BGC” or “the company”). The notes are scheduled to mature on May 25, 2028. BGC is a leading global wholesale brokerage and financial technology company serving an array of financial and capital market participants. BGC’s customers encompass governments, corporations, and financial institutions, including banks, brokers, investment funds, and hedge funds.

Key Credit Considerations

The ratings are underpinned by management’s long record of producing mostly consistent operating results, adapting to regulatory changes and market evolution, and ongoing emphasis of risk and liquidity management. In addition, BGC’s agency brokerage business model and concomitant higher quality balance sheet comprised of assets with low credit and market risk also reinforce the ratings.

Rating Sensitivities

The issuer is well positioned at the current rating. Although not anticipated, an erosion in business fundamentals that precipitated a declining trend in revenues would cause the rating to be re-evaluated. In addition, a change in capital management such that leverage were to be managed above 5x or a decline in profitability that pressured the interest coverage to deteriorate to below 4x on a regular basis would also trigger reconsideration of the current ratings.

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Methodologies

Financial Institutions: Securities Firm Global Rating Methodology

ESG Global Rating Methodology

Disclosures

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

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