Fitch Revises Cantor Fitzgerald's Outlook to Positive on Business Expansion

Fitch Ratings has revised its outlook on Cantor Fitzgerald, L.P. to Positive from Stable, signaling potential for a future credit upgrade for the financial services firm. The agency simultaneously affirmed Cantor's Long-Term Issuer Default Rating at 'BBB-' and its Short-Term rating at 'F3'.

Rationale for the Outlook Change

The Positive outlook reflects what Fitch described as a structural improvement in Cantor's business profile. The ratings agency highlighted several key drivers for the revision, including:

• The successful expansion of its investment banking franchise across multiple sectors and geographies.
• Strategic acquisitions in the interdealer brokerage and asset management businesses.
• A resilient revenue profile that has performed well through volatile market cycles.

Fitch indicated that a ratings upgrade could occur within the next 12 to 24 months if Cantor continues to grow its franchise while maintaining current profitability and keeping its net adjusted leverage at the lower end of Fitch’s 5.0x to 10.0x 'bbb' benchmark range.

Core Strengths and Financial Position

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The affirmation of the 'BBB-' rating is underpinned by Cantor's established position in middle-market investment banking and brokerage services. Fitch noted the firm's moderate risk profile, supported by its focus on brokering and financing high-quality government and agency securities. The rating also benefits from diversification provided by its consolidated subsidiaries, BGC Group, Inc. and Newmark Group, Inc.

As of the second quarter of 2026, Cantor’s consolidated adjusted leverage ratio was within Fitch's benchmark range for balance sheet-intensive securities firms. The company recently bolstered its liquidity by upsizing its senior unsecured credit facility to $700 million from $450 million.

Lingering Constraints

Despite the improved outlook, Fitch cautioned that the ratings remain constrained by the cyclical nature of Cantor's core businesses, such as capital markets and real estate activities, which have historically resulted in volatile performance. The agency also noted that while key person risk has been reduced following the departure of former Chairman and CEO Howard Lutnick, the firm's long-term strategic direction remains uncertain, though the current leadership is viewed as experienced and has maintained the existing strategy.