A rating agency has given a large financial services company a higher grade.

Standard & Poor’s Ratings Services, New York, says it has increased its long-term counterparty credit rating on Prudential Financial Inc., Newark, N.J., to A, from A minus.

S&P has reaffirmed the AA minus counterparty credit and financial strength ratings of Prudential’s major life insurance subsidiaries.

The outlook on the companies is stable, S&P says.

S&P increased the parent company’s rating mainly because Prudential has diverse operations, a low level of leverage, and a very high ratio of cash to fixed debt payment obligations.