KBRA Affirms Ratings for Corient Holdings Inc.

KBRA affirms the issuer and senior unsecured debt ratings of A- for Corient Holdings Inc. ("Corient" or "the firm"). The rating Outlook is Stable.

Key Credit Considerations

The ratings are supported by Corient’s resilient business model, underpinned by an integrated professional services partnership that offers employees equity stakes in the RIA business, driving alignment of interests and incentivizing employees, while creating value for the firm’s client base. Following its unique partnership model, Corient has grown rapidly since its inception in 2020 via a combination of organic and acquisitive growth that has encompassed targets that meet the firm’s stringent criteria. Notably, the recently announced additions of Stonehage Fleming and Stanhope Capital Group will meaningfully expand the firm’s international presence upon close in 2026, adding ~C$300 billion client assets. We acknowledge Corient’s limited standalone operating history, though note that the firm’s parent, CI Financial Corp. ("CI"), has a long track record and strong brand recognition. Moreover, following CI's August 2025 acquisition by an affiliate of Mubadala Capital, the alternative asset management division of Mubadala Investment Company, which is Abu Dhabi’s state-owned investment fund, the firm gained access to Mubadala Capital's global network and resources. With the support of Mubadala Capital, the next stage of CI’s growth is expected to center on the continued expansion of Corient, in line with Mubadala Capital's strategic focus on accelerating the expansion of its private wealth platform. Corient’s granular client base of high net worth and ultra-high net worth individuals has access to a broad range of wealth management, investment, and family office services that benefit from expertise and extensive networking. Rigorous risk management practices govern customized investment portfolio construction with active monitoring and rebalancing functions. EBITDA margins are high and projected to average above 40% over the forecast period, which compares favorably versus many peers. Any future debt obligations are expected to be issued in accordance with the firm’s current debt financing strategy and leverage targets, including projected debt/EBITDA of <3x while interest coverage is anticipated to remain adequate.

Rating Sensitivities

A rating upgrade is not expected over the next 1-2 years. Over the longer term, continued AUM expansion, with favorable trends in revenue and EBITDA, and maintenance of low leverage metrics versus peers would be viewed favorably. An unforeseen decline in AUM or other financial issues that impact revenue generation and cash flow would pressure the ratings. Materially higher-than-expected leverage could also negatively affect ratings.

To access ratings and relevant documents, click here.

Methodologies