In the good books
1. CHALLENGER (CGF) was upgraded to Hold from Sell by Deutsche Bank
The relationship between Challenger and its Japanese partner is deepening and Deutsche Bank notes MS Primary will now provide to Challenger an annual amount of reinsurance, across both Australian and US dollar annuities, of at least JPY50bn (circa $640m) per year for a minimum of five years. The revised arrangement remains subject to review in the event of any material adverse change for either of the parties and comes also with an increased equity stake in Challenger. Target price jumps to $8 from $7. Rating has been upgraded to Hold from Sell.