Fitch lifts Chailease view to positive

Fitch Ratings said it revised the outlook on Chailease Finance Co, Ltd.'s long-term issuer default rating and national long-term rating to positive from stable.

The outlooks on the national long-term ratings of Chailease's subsidiaries, Fina Finance & Trading Co., Ltd. and Chailease Consumer Finance Co., Ltd., also were revised to positive from stable.

The outlook revision reflects Chailease's sustained franchise and resilient business model, as evident in its competitive positioning and pricing strength in Taiwan's SME financing sector, which is supported by a competent management team, Fitch explained.

The positive outlook also considers the incremental enhancement in its liquidity management, the agency said.

The ratings are constrained by the inherent weakness in its funding strategy, which relies on short-term wholesale funding, Fitch added.

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