Article: A.M. Best Downgrades Al Fajer Retakaful Insurance Company KSCC.

A.M. Best Co. has downgraded the financial strength rating to B++ (Good) from A- (Excellent) and the issuer credit rating (ICR) to "bbb+" from "a-" of Al Fajer Retakaful Insurance Company KSCC (Al Fajer Re) (Kuwait).

The ratings remain under review with negative implications.

The downgrades and under review status with negative implications of Al Fajer Re reflect the lack of management controls over the investment strategy in the first year of the company's operation. A large portion (around 30 percent) of the company's total investments is placed with The Investment Dar (TID), (a Kuwaiti investment company) which has defaulted in May 2009.

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