Bass to head up Equitable Holdings investor relations

Equitable Holdings has reached out to a veteran life insurance analyst to take over duties as its new head of investor relations.

The financial services giant tapped Erik Bass, who for seven years was the lead U.S. life insurance analyst for Equitable’s global investment management firm, AllianceBernstein.

Bass was recognized by Institutional Investor as a top-rated analyst in the sector and also served as president of the Association of Insurance & Financial Analysts from 2017 to 2018. Before joining Alliance, he served as life insurance analyst for Citigroup after beginning his career at J.P. Morgan, working in both private banking and equity research.

He replaces Işıl Müderrisoğlu, who took a position as head of investor relations at Corebridge Financial.

“Erik’s knowledge and ability to produce valuable, industry-specific insights will enhance our relationships with investors and the market,” said Equitable’s CFO Robin M. Raju. “As a top analyst in our sector, Erik understands Equitable Holdings’ unique, integrated business model, and his experience will help advance our growth strategy.”

Indeed, Equitable Holdings seems poised for growth. Bass, in fact said it is currently a “pivotal time in its growth trajectory.”

In its second quarter earnings report released in August, the company said its businesses collectively delivered about $900 million of cash generation, including a $600 million dividend from its insurance entity in July.

“Given this progress, we are confident in our ability to achieve our 2023 cash generation guidance of $1.3 billion,” said Equitable’s CEO Mark Pearson. “Our capital ratio has remained resilient, with a combined insurance Company risk-based-capital ratio of approximately 425% to 450% as of quarter-end."

The company also reported record net inflows of $1.4 billion in its retirement segment, indicating strong demand and positive market outlook.

The company’s worldwide operations is divided into four segments: Individual Retirement, Group Retirement, Investment Management, Research, and Protection Solutions.

“Equitable has grown impressively in the last few years,” said a recent report by JB Research, a California-based market research firm. “The financial services it offers are diversified and have been a big reason for the company's growth. The earnings per share for example has been growing at a yearly rate of 15% over the last 5 years. That is quite impressive.”

But Wall Street hasn’t exactly been bowled over by Equitable’s performance. The company somewhat missed its earnings and revenue targets in the second quarter and its stock, which traded at a high around $33 per share early in the year, sunk to below $23 per share and is currently trading around $26 per share.

“While it is still early days, our distinct business model and growth strategy reinforce compelling and achievable 2027 financial targets, Pearson told analysts in August. “As we seek to grow cash generation to $2 billion, consistently deliver on our 60% to 70% payout ratio and drive 12% to 15% EPS growth.”

Doug Bailey is a journalist and freelance writer who lives outside of Boston. He can be reached at [email protected].

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Doug Bailey is a journalist and freelance writer who lives outside of Boston. He can be reached at [email protected].