The AMP group, which became one of the major targets of the Hayne royal commission, is likely to take a further hit, after Moody's Investors Service downgraded the insurance financial strength rating of AMP Life Limited from Aa3 to A2. The downgrade of AMP Life's IFSR reflects "the weaker profitability and elevated product risk of the wealth protection business as well as lower levels of capital adequacy," according to Moody's reasoning. AMP's life business is in the process of being acquired by Resolution Life (Australia) Pty Limited, with the completed deal expected in the third quarter of calendar year 2019.Post-sale, the AMP group will no longer retain a licensed life insurance company, and with it will go a large chunk of cash. Consequently, the ratings of AMP Group Holdings and AMP Group Finance Services and the supported ratings of AMP Bank will no longer be driven by the credit quality of AMP Life.At the same time, the ratings agency also placed the ratings of other AMP-related entities AMP Group Holdings Limited, AMP Group Finance Services Limited and AMP Bank Limited on review for downgrade.The A2/(P)A2 senior unsecured ratings of AMP Group Finance Services Limited and AMP Bank Limited and the (P)A2 senior unsecured MTN programme rating of AMP Group Holdings Limited have been placed on review for downgrade.In a note to investors, Moody's noted that the ratings "could be confirmed if the financial profile of the wealth management and superannuation business exhibit very strong levels of profitability, very high levels of funds retention and low levels of financial leverage, along with an expected maintained strong business profile.""The ratings could be downgraded if fund retention is low, if profitability is volatile with low earnings growth and/or if financial leverage is high, or if AMP's overall business profile is expected to meaningfully weaken in the future," Moody's warned.