https://www.icra.in/Rationale/ShowRationaleReport/?Id=99758
Rating sensitivities
Positive triggers – ICRA could change the outlook or upgrade the rating if MFL demonstrates a track record of good quality and profitable performance in the non-gold asset segments while limiting the share of the unsecured asset segments to 15% of the overall AUM. A sustained asset quality, capital profile and earnings performance, as per the expected levels, would also act as positive rating triggers.
Negative triggers – ICRA could change the outlook or downgrade MFL’s ratings if the asset quality weakens significantly, thereby impacting its earnings, or if the consolidated gearing increases beyond 4.5 times on a sustained basis