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• It's like the FDIC, but for municipal bonds and other structured finance products.
• Think of it as a specialized insurance company, similar to AIG or Chubb, that guarantees timely payments on municipal bonds.

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• Financial Guaranty Insurance: This service involves providing credit enhancement by guaranteeing the timely payment of principal and interest on municipal bonds and other structured finance obligations.
• Asset Management: This service provides investment management solutions to institutional clients, primarily focused on various fixed-income strategies.

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Assured Guaranty Ltd. (symbol: AGO) is a financial guaranty insurance company. Due to the nature of its business, which involves guaranteeing debt obligations to enhance their creditworthiness, Assured Guaranty primarily sells its services to other entities and institutions rather than directly to individuals.

Its "major customers" are typically the issuers of the bonds and other financial obligations that Assured Guaranty guarantees. These include:

• Municipalities and Public Sector Entities: This category includes U.S. states, cities, counties, school districts, public authorities, and other governmental or quasi-governmental entities. They issue municipal bonds to finance public projects such as infrastructure, education, and utilities, and seek Assured Guaranty's guarantees to lower their borrowing costs and increase market access.
• Public Infrastructure Project Issuers: Entities developing and financing large-scale infrastructure projects globally, including those in transportation, energy, and social infrastructure, often issue debt that benefits from Assured Guaranty's financial guarantees to attract a wider range of investors.
• Structured Finance Transactions: While their primary focus has largely shifted to municipal finance since the global financial crisis, Assured Guaranty has a significant legacy book and some ongoing business in guaranteeing various structured finance products. The "customers" here are the special purpose vehicles (SPVs) or other entities that issue asset-backed securities (ABS), residential mortgage-backed securities (RMBS), commercial mortgage-backed securities (CMBS), and other structured debt.

It is important to note that financial guaranty companies like Assured Guaranty do not typically disclose a list of specific "major customer companies" with names and symbols, as their business is transactional. They guarantee specific debt issuances from a wide range of public and private sector entities over time, rather than maintaining long-term, direct product sales relationships with a fixed set of corporate customers in the traditional sense.

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Dominic J. Frederico, President and Chief Executive Officer

Dominic Frederico has served as the President and Chief Executive Officer of Assured Guaranty Ltd. since December 2003, and as a director since the company's 2004 initial public offering. Under his leadership, Assured Guaranty completed its initial public offering in 2004 and acquired the financial guaranty insurance company now named Assured Guaranty Municipal in 2009. Prior to joining Assured Guaranty, Mr. Frederico served as Vice Chair of ACE Limited (now Chubb Limited) from 2003 until 2004, and as President and Chief Operating Officer of ACE Limited and Chair of ACE INA Holdings, Inc. from 1999 to 2003. During his tenure at ACE Limited, he oversaw the successful acquisition and integration of the domestic and international property casualty operations acquired by ACE from CIGNA Corporation in July 1999 and the acquisition of Capital Re Corp., the predecessor company to Assured Guaranty, in December 1999. Before ACE Limited, he spent 13 years working for various subsidiaries of the American International Group (AIG), where his last position was Senior Vice President and Chief Financial Officer of AIG Risk Management.

Benjamin G. Rosenblum, Chief Financial Officer

Benjamin G. Rosenblum was appointed Chief Financial Officer of Assured Guaranty Ltd. as of January 1, 2024, succeeding Robert A. Bailenson. Mr. Rosenblum joined Assured Guaranty in 2004 and served as the Chief Actuary of Assured Guaranty Ltd. from 2021 through December 2023, and also Chief Actuary of Assured Guaranty Municipal Corp. and Assured Guaranty Corp. since 2010. In 2015, he was named Senior Managing Director in charge of Insurance Accounting and Financial Reporting. Prior to joining Assured Guaranty, he worked for nearly ten years as an actuary, primarily focusing on loss reserving and developing actuarial systems and financial projections in the insurance industry.

Robert A. Bailenson, Chief Operating Officer

Robert A. Bailenson was appointed Chief Operating Officer of Assured Guaranty Ltd. as of January 1, 2024. He previously served as Chief Financial Officer of Assured Guaranty Ltd. from June 2011 through December 2023. Mr. Bailenson has been with Assured Guaranty and its predecessor companies since 1990, holding various leadership positions including Managing Director and Chief Accounting Officer. He was instrumental in significant strategic initiatives, including the IPO of Assured Guaranty Ltd. and the acquisition of Financial Security Assurance Inc. (now Assured Guaranty Municipal Corp.). Before joining the company, Mr. Bailenson worked at Ernst & Young LLP.

Ling Chow, General Counsel and Secretary

Ling Chow has served as General Counsel and Secretary of Assured Guaranty Ltd. since January 2015. Prior to joining the company, Ms. Chow was an associate at law firms in New York City, where she was responsible for transactional work related to public and private mergers and acquisitions, venture capital investments, and private and public securities offerings.

Stephen Donnarumma, Chief Credit Officer

Stephen Donnarumma is a Senior Managing Director and Chief Credit Officer for the Assured Guaranty companies, responsible for overseeing the underwriting process. Mr. Donnarumma joined Assured Guaranty in 1993 and has held several key roles, including managing director of the Mortgage and Asset-Backed Securities Group, chief underwriting officer and chief operating officer of Assured Guaranty Mortgage Insurance Company, chief operating officer of Assured Guaranty Re Ltd., and chief risk officer of Assured Guaranty Corp.

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The key risks to Assured Guaranty's business include exposure to systemic credit events, declining net premiums earned, and risks associated with its international portfolio's credit quality.

1. Systemic Credit Events and Economic Downturns: As a financial guaranty insurance provider, Assured Guaranty's business is highly correlated with systemic financial risks. Economic downturns, market volatility, and budget or pension shortfalls in state, territorial, and local governments can lead to increased credit losses or impairments on the obligations Assured Guaranty insures or reinsures. This directly impacts the company's core operations, as its insurance responds to missed interest or principal payments on loans.
2. Declining Net Premiums Earned and Revenue Projections: Assured Guaranty has experienced a decline in net premiums earned over recent years, with a 6.2% annual decrease over the last four years. Analysts project a significant drop in revenue, with expectations of a 24.2% decrease over the next 12 months. This prolonged slide in premium revenues suggests demand headwinds and a tougher sales cycle for its insurance products, posing a challenge to the company's revenue growth and profitability.
3. International Exposure and Credit Quality: Assured Guaranty conducts a notable portion of its business internationally, with approximately 20% of its total par value of insurance contracts written originating outside the U.S. The credit quality within this international segment is poorer compared to its overall portfolio, with 13% of the risk classified as below investment grade, in contrast to only 4% for the entire portfolio. This elevated exposure to lower-rated international risks increases the potential for losses in the event of adverse economic conditions or credit events in those regions.

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Assured Guaranty Ltd. (AGO) primarily operates in the financial guaranty insurance sector, covering U.S. municipal bonds, public finance, infrastructure, and structured finance markets both domestically and internationally. The company also has an interest in the asset management sector.

The addressable markets for Assured Guaranty's main products and services are as follows:

• U.S. Municipal Bond Insurance: The total U.S. municipal bond market had $4.3 trillion in outstanding debt as of the second quarter of 2025. For new issuance, municipal bond insurers collectively wrapped $41.166 billion of debt in 2024. In the first half of 2025, the insured share of total municipal issuance in the U.S. was approximately 7.9%.

• Global Financial Guarantee Market (including Public Finance, Infrastructure, and Structured Finance): This broader market, encompassing Assured Guaranty's core insurance activities, was valued at approximately USD 35.73 billion globally in 2023 and is projected to grow to USD 80.34 billion by 2032. North America is a dominant region within this market. Other estimates place the global financial guarantee market size at USD 42.3 billion in 2024, expected to reach USD 72.6 billion by 2033, or $45.76 billion in 2024, projected to reach $77.8 billion in 2029.

• Global Structured Finance Market: As a specific segment within financial guarantees, the global structured finance market was valued at USD 2,513.45 billion in 2025 and is projected to reach USD 7,498.53 billion by 2034.

• Asset Management: Assured Guaranty has a 30% ownership interest in Sound Point Capital Management. Following the combination of Assured Guaranty's asset management business (AssuredIM) with Sound Point Capital Management in 2023, Sound Point Capital's pro forma assets under management (AUM) were anticipated to be approximately $47 billion.

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Assured Guaranty (NYSE: AGO) is expected to drive future revenue growth over the next 2-3 years through several key areas:

1. Growth in U.S. Public Finance New Business Production: Assured Guaranty has demonstrated strong performance in the U.S. public finance market, with significant growth in new business production. The company reported a substantial increase in gross written premiums (GWP) for U.S. Public Finance in Q3 2025, more than double the amount from the prior year, and an increased municipal market penetration. This indicates a continued ability to capture new opportunities and expand its market share in its core business.
2. Expansion in Secondary Municipal Market and Global Structured Finance: The company is actively targeting growth opportunities in the secondary municipal market, as evidenced by a significant increase in the par amount of municipal secondary market policies written in the first nine months of 2025 compared to the previous year. Additionally, Assured Guaranty sees growth potential and plans to expand its global market presence, particularly in Europe and Australia, within the global structured finance sector.
3. Increased Investment Income: Investment performance is a crucial component of Assured Guaranty's revenue. The company reported an increase in net investment income in Q3 2025, with an improved overall investment portfolio yield. Continued effective management of its investment portfolio and capitalizing on favorable market conditions are expected to contribute to revenue growth.
4. Focus on Shorter-Term, Higher-Return Transactions: Assured Guaranty is strategically targeting shorter-term, higher-return transactions. This approach aims to optimize the profitability of its underwriting activities and accelerate revenue generation from new business.

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Share Repurchases

• Assured Guaranty repurchased $502 million of its common shares in 2024, exceeding its $500 million target.
• As of August 6, 2025, the company had repurchased $296 million of common shares, with a target of $500 million in repurchases for the full year 2025.
• The Board authorized an additional $300 million for share repurchases in August 2025.

Share Issuance

• The number of outstanding shares has consistently decreased over the last five years, from 83.2 million in 2020 to 48.9 million in November 2025, indicating no significant share issuances by the company.

Outbound Investments

• In 2023, Assured Guaranty transformed its asset management business by contributing substantially all of AssuredIM to Sound Point Capital Management, LP.
• This transaction resulted in Assured Guaranty receiving an approximately 30% interest in the combined entity, along with a $222 million pre-tax gain from the Sound Point transaction and a separate sale of the remainder of its asset management business.