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S&P Revises Freedom Holding Outlook To Positive On Stronger Fundamentals

by THEFUTURE.TEAM

September 7, 2026

S&P Global Ratings has revised the outlook on Freedom Holding Corp. and four core subsidiaries from stable to positive, citing lower banking-sector risks in Kazakhstan, stronger capitalization and more diversified earnings.

The agency affirmed the subsidiaries’ long- and short-term issuer credit ratings at BB-/B, while Freedom Holding Corp.’s rating remained at B-. The subsidiaries are Freedom Finance JSC, Freedom Finance Global PLC, Freedom Bank Kazakhstan JSC and Freedom Finance Europe Ltd., which operates under the Freedom24 brand.

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Ratings Action Reflects Stronger Fundamentals

S&P also raised the Kazakhstan national-scale ratings of Freedom Finance JSC and Freedom Bank Kazakhstan JSC to kzA from kzA-. The move marks the group’s second positive ratings action since June, when S&P raised the four operating subsidiaries’ long-term ratings from B+ to BB-, citing progress in consolidated risk management and compliance.

“The positive outlook is a meaningful vote of confidence in the direction of Freedom24 and the wider group,” said Evgenii Tiapkin, CEO of Freedom24. “It recognises the discipline we have built across capital management, compliance and risk governance.”

Kazakhstan’s Risk Profile Supports The Outlook

S&P lowered its industry risk score for Kazakhstan to 6 from 7, citing stronger banking regulation, higher capital levels and an improved sovereign backdrop. After Kazakhstan’s sovereign rating upgrade to BBB/A-2 on Aug. 21, 2026, the agency also moved its economic risk score to positive.

S&P expects easing inflation to support real disposable income and potentially increase participation in financial markets. Bank deposits currently offer interest rates above 10%, while lower rates could make securities markets more attractive and improve conditions for securities firms.

Capital And Earnings Diversification Remain Key

S&P said moderate balance-sheet growth and earnings diversified across sources and geographies should support Freedom’s capitalization. It also highlighted efforts to strengthen consolidated risk management and compliance across the group’s subsidiaries and jurisdictions.

The agency described Freedom as “the largest retail brokerage franchise in Kazakhstan, with an expanding presence in Europe,” supported by banking and insurance operations.

Stronger Results Add To The Momentum

The positive outlook follows Freedom’s first-quarter fiscal 2027 results for the three months ended June 30, 2026. Total net revenue rose 40% year over year to $732.5 million, while total assets increased to $14 billion from $13.2 billion at the end of March. Quarterly net income reached $31.7 million, driven mainly by the brokerage and banking businesses.

S&P said it could raise its assessment of Kazakhstan’s economic risk over the next 12 months. Any upgrade of Freedom’s operating subsidiaries would depend on such an improvement.

“As Freedom24 expands across Europe, we will continue to scale the business without compromising the standards that underpin client trust,” Tiapkin said.

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EU Agrees On Major Overhaul Of Financial Market Supervision

by THEFUTURE.TEAM

October 9, 2026

European Union finance ministers have reached agreement on a sweeping package designed to strengthen oversight of the bloc’s financial markets, in a move aimed at reducing fragmentation and improving the flow of capital across borders.

A Push To Deepen Capital Markets

The Market Integration and Supervision Package, or MISP, would grant the European Securities and Markets Authority direct supervision over major market operators that are currently regulated by national authorities. The reforms are intended to make Europe’s capital markets more integrated, more efficient and better able to channel savings into productive investment.

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According to the Irish presidency, the package is meant to help savings and investments move more freely across the European Union, improving access to finance for companies while giving households broader opportunities to earn returns on their savings.

What The Reform Would Change

Under the new framework, ESMA would take direct oversight of key trading venues, clearing houses, securities settlement bodies and crypto-asset service providers. The package would also establish a permanent, independent executive board within the regulator, strengthening its institutional capacity.

Market operators would be able to opt into a new EU-wide operating framework. In parallel, the reforms would seek to make national supervision more consistent and update rules governing trading, transaction completion, investment management and the use of blockchain technology.

Why The Agreement Matters

Supporters of deeper capital markets argue that Europe has long paid a price for regulatory inconsistency. While many rules are harmonised across the bloc, differences in enforcement and supervision have contributed to a patchwork system that can make cross-border investment slower and more costly.

A more integrated framework, proponents say, could lower costs for companies seeking funding and broaden the menu of investment options available to savers and institutional investors alike.

Outstanding Questions Remain

Despite the broad agreement, some important details remain unresolved. Trading venues operated by Deutsche Börse, the company behind the Frankfurt stock exchange, may remain outside ESMA’s direct supervision.

Euronews previously reported that Germany had secured an exemption for Deutsche Börse’s domestically focused trading venues, leaving part of the system under regional supervision. The latest announcement did not clarify whether that arrangement will stand.

A Step Forward For The Savings And Investments Union

Dutch Finance Minister Eelco Heinen welcomed the deal, calling it a major advance for the Capital Markets Union and saying Europe had made more progress in 10 months than in the previous 10 years.

The agreement is an important milestone in the Savings and Investments Union, the EU’s broader effort to channel more of Europeans’ savings into investments that can support growth, innovation and competitiveness across the bloc.