Janus Henderson (JHG) 31 Oct 242024 Q3 Earnings call transcript

Good morning. My name is Megan, and I'll be your conference facilitator today. Thank you for standing by, and welcome to the Janus Henderson Group Third Quarter 2024 Results Briefing. [Operator Instructions]. In today's conference call, certain matters discussed may constitute forward-looking statements. the materially a projected but company's number to, described differ statements the not most could Risk made those to and with and due of in recent recent results Form from of other in those forward-looking limited Factors XX-K Actual sections statements more the filings forward-looking factors, SEC. including, the call. update no assumes statements forward-looking Henderson any obligation to during Janus the made you. Thank

Henderson. Mr. it my Janus Executive to Officer conference. Ali your introduce Chief you is Dibadj, Dibadj, Now pleasure begin may of

Welcome, credit hand the everyone, our Thompson. on I'm Then XXXX I'm Park quarter, and including questions. manager, I'll the thank joining Roger us detail. some Dibadj, today's in take our Victory your In you it run Earnings Janus through to recent I'll today for Roger with joined Ali CFO, on quarterly to results start remarks, Quarter Henderson's our we'll call, by After Third more thoughts private Capital. prepared acquisition over global of Call.

Turning good net second our building the set investment market client by the to world-class support solid the of in quarter and investment efforts of delivered by from Results gains, areas. business. our another Henderson tangible operating momentum productivity results, performance and upon professionals, quarterly flows produced and X. delivered our consecutive positive Janus Slide dedicated reflect groups all

and beating create to growth worked respective assets is X-, have our is together at solid performance and least business in protect and basis. X- across to a on channels X/X consistently grow, diversify regions, and results. Investment teams X-, quarterly Our show and benchmarks XX-year starting amplify our of with which

over delivering flows to ago. of marked X our towards $XXX.X the flows, X% is with last billion, increased aspiration $XXX real growth XX% positive third million. long Net higher management inflows a term. compared positive the which out consistent our quarter the net organic at quarter under of demonstrating for The to year were progress Assets

delivered investment line markets, remain coupled adjusted our increase benefits ago. operating period by of XX% year with provided Our financial $X.XX, a in and by top nonoperating solid, positive to better same teams, a the resulted results EPS diluted and revenue outperformance net inflows compared leverage

balance want Our performance cash provide update the to invest to an strong both being and inorganically return shareholders. On flexibility sheet organically us provide continue Slide financial made in the and I X, to on the business, and business. in progress to

Equity grow we performance, may the of in strategic our the fully on strengths consists be amplify clients of execution launched win. our moved ETF High to assets our core Henderson to active give that actively anticipate you some and cater diversify processes allowing European utilizing launching milestone, our on execute ETFs our begin ETF first investment our strategies, of Park that equities for which to an important and include with prioritize with an In to announced enhancing represents of the a with and worked Management launch underpinning treasury Janus client We the this Grow, readiness Anemoy prospects. In way strategy vision, growth. access initiatives technologies. Under Centrifuge's transformation to a and These and in are to leveraging Europe, X. people Centrifuge including fixed strategic public business. employees' continue Henderson's ability our clearly protect Victory firm in not new are Amplify, pillar, projects, leveraged and but pillars: clients to private direct capabilities the We applying remember investment and our strong are practices more energized the financial upskilling improvement in blockchain acquisition innovation and all X our take tokenized income of Tabula Janus prioritization businesses, we to fund on in and globally sales and in key Capital phase reflects team's manage September bills. we by X market Janus with right strategies the firm's data us September, the organization regions Protect process to we have efforts & Anemoy's the treasury to short-term This Partners plans the are in ETF. effectively. Under to those provides partner employees' across tokenization fully best we to Examples investors drive and partnership data, on-chain manage on diversified our their Investment for us to and liquid quickly market outline, October and share Recently, in others, time as desire closed Anemoy across NBK embrace have where our wrapper. where active expanding commitment U.S. client launching July a and align Japan UCITS with tool see Blockchain Conviction a change to fund, a Capital and demand range mature, and disruptive issued coming pillars will digital Henderson decision and months. differentiated Centrifuge demand closings to

skating in expanding our the are progress we're said other Henderson capital early space. VPC, of rapidly private both Along which executing markets in next on talk the I on our NBK emerging As where asset-backed before, vision, Janus specializes business. going lending. clients. strategic of slide, making of I'll about with the the areas to behalf is allows more into entry these puck

market we positive on consistent growth As to net delivering path key and I the are gains term. over which the long regions, share in that demonstrates mentioned, consecutive we delivered of quarters flows

also the equal. this pressures all positive to In AUM quarter, Janus is industry net revenue generated in this not Fee flows the created net importantly, Henderson and addition quarter. in are relentless organic new third

that So we with result. are pleased

for all thematic. In with same fees, sameness, away but American money has funds we cancer $X Society. half use purpose market fights also its a government fund. money and end us We touched Janus seeing to Henderson some gives like to first Through sea under In same innovative extremely partnership delivers It of partnership, that hedge and regions, in product in and Janus brighter capabilities will we any to is and it, our in market of donate $X cause from of our fees, the This revenue and fee pioneering hard XX% in receives AUM our something ours in clients, trillion mechanism us unique a management initiative communities way. This an a of with every incredible Janus looks we ACS patient serve. recently launched connect together across announced Brighter Henderson such that its other to management know the our the Henderson this advocacy is and are has September, replicate. enter likely smells the success receive performance, strategies Cancer fee research, the growing and partnership of the other over support. which words, record will XX-year track employees Future equivalent to has future the the and Project, as our differentiated a higher that cancer fee a investing fund all with to as of market mix including allows will support the $X money category is affinity

I our this will quarter, physical Cancer serves American create financial we're brighter mental XX and the to Society, world. Janus spoke partnership it's million the encouraging sincere honored many are brand around Henderson's support help We strengthening Last future that a of and people firm in and the for trends growing the hope and our positioning. seeing about

Given capital those via we stewardship. sponsorships, marketing. ROIs, efforts very continue including invest to to campaigns, strong in ad various Shifting channel and events globally means,

existing flow liquidity shareholders. $XX stable results buyback us to continues balance as business, financial and cash as a has return generation, improving flexibility both increase the sheet invest to with the to and an Board authorization. Janus and Henderson's strong million organically, to in provide of organically to cash well along profile the Our enabled authorize strong the

Capital Now institutional diverse returns closed long-standing of management investment suite with in background asset-backed consumer Slide a record XXXX, and Capital since of lending Victory turn on small includes financial X business a more VPC credit. Park track including also estate for base. client finance, and X. finance in Its and global nearly August sourcing October real risk-adjusted capabilities Park companies. announced has and and specialized manager hard is credit and private global acquisition X-decade-long investment on legal Victory assets our to and a for custom delivering to of insurance

financing through market the capital Markets. platform, offers affiliate and addition, In Triumph comprehensive its firm Capital structured solutions

to credit an direct and client-led Our what and M&A clients in something different for strategy relative were we always interest they looking that private was heard lending. is from

credit, lending it Asset-backed diversify to significant beyond credit within and remain will their emerged direct to and exposure market believe look as has opportunity as lending. we clients differentiated appealing private a they increasingly private

extremely grow culture to our and together. a There's are with they the partner value, importantly, with business growth is great purpose. motivated on VPC. to fit is We business. are alignment believe a The We trajectory. excited own team And the the great mission,

the in industry Capital both through strategies, diversifies experience VPC's Privacore. private following across successful private on several institutional to capabilities securitized joint acquisition venture, credit including capabilities products using credit expands credit securitized manager to our via manager teams asset-backed public on clients. $XX our platform, to private of in-demand NBK it strategic a emerging alternatives markets, can growth private markets capabilities, our Privacore, offerings Janus private help our an wealth expanding provide our The are continued our We market into of in industry service Janus expertise And vision with Partners. specialized client clients demonstrates desired complements VPC leverages insurance of how enhances further distribution asset-backed executing finally, options private for recent execution partnership plan our credit and client-led the Henderson's our team, VPC Henderson grow, billion traditional by franchise through fronts.

accretive defined issuance detailed also run $XX to over interest I'll attractive October over earn-out to common and Roger call the now stock Henderson the million time. to XXX,XXX X. We a JHG XX% ownership to shares of acquired on of be turn provision. cash through is of long-term path reach results. a to you ownership XXXX. a consideration to approximately the transaction expect XXX% There in Janus included EPS Upfront neutral with mutually

thank joining the Thanks, call you today. for all us on Ali, and

X Turning and to performance. Slide investment

AUM performance mentioned, aggregate least at over investment periods. versus benchmarks Ali solid X/X benchmark remains with of beating their respective As time all

sales hedge significant to equities. in client a time AUM year compared XX-year in time that and of and peers $X.X to AUM $X.X flows equities, compared detail, and are And funds, can the in X- is periods, outflows appendix, X technology, quarter ETFs, further year-over-year across of European periods. were billion ahead last ago. benchmarks reflecting the inflows improvement is including each capabilities. X/X Net increase top nearly time was capability's X-, investment balanced investment is compared X competitive all Morningstar regions the of top a as much type. very performance quartiles gross and consistent and $XXX at by over increase quarter year over XX% performance half broad Looking for The the periods net million is life by a a of Slide such across the credit, of over Overall The improvement by least sciences quarter. all thematics, company primarily in as shows X prior range total and in gross inflows Slide of strategies, you multi-sector net X-, see driven flows quartile. with in billion On to sales. U.S. of

various the Third to annual fifth quarter channel bringing rate. the quarter positive net intermediary the U.S., for Asia net Amplify Mid-Cap U.S. growth service Protect U.S. $X.X flows & to net and we've third intermediary including positive pillar, regions channel. Pacific billion, deliver including the net to strategic under that which in our for flows about gaining in pillar, all LatAm, using intermediary of and ETFs, Grow share. is Growth, strategies, a market investment we're initiative strengths organic a and were EMEA, U.S., delivered positive net talked several In vehicles $X.X in client in multi-sector the quarter, inflows inflows strategic with amplifying inflows our the billion, key equating we're pleased the our means, consecutive products. Under were intermediary most year-to-date credit. X% In active

to addition also into In were third flows this the positive ETFs, quarter CITs in channel. in

Latin Moving to the EMEA intermediary and segment. American

quarterly were our X positive intermediary, best represent positive region, were net and strategic net in expanding Institutional in And previously almost second the about years. flows flows APAC quarter. for the million. efforts. in outflows spoken this we've Here, result And net $XXX were consecutive

about directionally pipeline Following and our and across need for the increasing flows the outflows led were and regions, a second Equity self-directed a quarter multi-asset multi-sector outflows which to in from year-over-year direct flat We're team time. strong JAAA. income compared supermarket Total net and X quarter quarter and leading indicators inflows million. for includes the billion, flows continued lower-fee for work by strategies further basis, on increases channel, replenish $X.X contributing the sales quarter, negative of in encouraged improved and tactical Several a for LatAm, from and were relatively million capability will net equities, Despite were was the and Slide flows in year Asia the our flows by inflows Net ago. was the $X.X by the billion. investors, Australian $XXX pipeline. talked publicly income positive outflows of X but environment outflows with gross $XXX these to is improving flows of challenging quarter. $X.X prior the number channel. million, intermediary flows in the net the at ETFs a were $X.X delivered billion to capability. improved take Other were maturation active is to the in quarter, all billion the channel. EMEA, Pacific. we strategies which fixed negative we're a the the opportunities XX% Net of income equities $XXX Fixed institutional fixed distribution doing, in in income offsetting development prior pleased contributed sustainable positive with stable to U.S., positive for credit improved

the outflows, finally, reflects million. the $XXX and And improving While the flows were still in balanced net this best quarterly in net inflows X capability in is years result in strategy. alternatives

is U.S. Moving our X of GAAP on to the statement Slide financials. income.

quarter primarily financial expected and The results. operating liquidated AUM year million Improvements Before losses prior include was and and over with accumulated an average This quarter-over-quarter. due up translation foreign moving quarter. the and all is adjusted XX% to higher the and noncash to the respectively. to release stronger compared removed from performance, GAAP Continuing year. no were adjusted operating Slide on good this improved generating of adjusted entities higher the results amount EPS $XXX.X fees. results EPS income improved the adjusted accounting Almost X% to currency this investment prior quarter and results, improvement XX%, prior even performance financial XX results. Adjusted related to subsidiary X% operating income improved operating

AUM a performance fee prior the Looking fee experienced higher compared ago. remained management to many Adjusted fees and very to Janus stable compared detail. net the to compared at prior be primarily Net improved to the fees. X% and and on in slightly increased management revenue average management higher to headwinds due declined margin compared compared industry. differentiator prior year to management XX% pressure year, continues to fee the Henderson's margin the given peers, a the asset quarter quarter

range third the very success organic In firm strategies addition are of also a revenue net rate, across generation to regions. quarter, fee stable with a our demonstrates in pleased positive we and which broad

million fund positive U.S. performance fees. quarter performance were million, mutual Third negative including fees $X $X of

the in XXXX. improved of fees significantly While third still the negative compared U.S. mutual million negative, $XX have to fund performance quarter

higher awards the fourth fund previously primarily reflecting the future funds. to profit-based performance you models. on due fees the U.S. performance $XXX the for the fees in to due the expenses. in fourth increases XX% the fund As will today, quarter to the costs of on higher mutual estimate to of LTI the million, table in increased hedge investment AUM-related prior grants mutual here share and XXXX, quarter dependent third in be expenses. aggregate expenses to on amortization Adjusted over to compared Continuing in Adjusted and be year. improvement of performance than we expected quarter strong sit expense, we your result LTI we've Clearly, on in operating remainder usual mark-to-market provided noncompensation use quarter, X% appendix, increased largely primarily communicated compensation, and existing to performance

down leverage ago, The our year third quarter demonstrating revenue from comp XX.X%, to XX.X% adjusted our expectations line and the with was in business. a ratio in

second remains the Our expectation an to expenses G&A compared XX% expenses. primarily operating investment XXXX increased Adjusted and due XX% of noncomp ratio of to admin expected quarter, compensation adjusted higher range to XX% unchanged.

investments last the accelerate mentioned anticipated is we of business, and in our bit the In well which I invest in supporting a further third in ROI we EMEA expenses T&E. in as to we the as quarter, technology, the quarter. costs client-related advertising as expect adjusted such U.S. both high momentum quarter, saw and half in examples fourth areas being to marketing year, of As non-compensation what second

As spend is lower for to an growth include cost mid- of and fourth forward to-high than investments rate fourth equal, expectation. noncompensation the consolidation portion note anticipate seasonal expense at the indicative in be full nature, the beginning we in also else fourth in of of what Please expenses going quarter. we focused these a run be quarter that our quarterly the or expected annual now noncompensation quarter all we being single-digit will and onetime the of existing anticipate end higher execute NBK, growth VPC the

ago over the XX% expenses. the Moving $XXX same quarter X% period income operating on increased Adjusted to year a million. and to prior from compared

'XX. diluted prior in income the from from increase benefits. basis and to adjusted margin increase September unsecured X% was XXXX. of $X.XX, a successfully as senior operating up the due EPS a our an look points quarter Slide of of remains rate the XXth year ago. call on moving and due you executed and XX XX%, a quarter of million and million repay $XXX diluted in XXX intent of lower $XXX third earnings. primarily over when in $XXX the Therefore, September, a will in to debt. cash Skipping Our month, completed outstanding of up the adjusted cash strong. August Cash the we compared The Adjusted third million make-whole operating billion debt $XXX is the at of this of of issuance the reflects issuance higher million and We at XX% to XX In capital from effective The notes November. notes see our $X.X earlier liquidity EPS and quarter outstanding we were XXXX. X.XX% fourth position coupon report nonoperating equivalents Slide quarter to profile, was lower

During shares XXth funded record on of our as The dividend a approximately to the of of at the be repurchased million November. to for $X.XX the declared paid November has quarter, dividend we share per million. XXth X shareholders quarterly $XX also and Board

Finishing and Finally, has lines, to the Board to with shares included incremental repurchase opportunities JHG we up and common cash business million. closed authorization, transaction our shareholders. authorized capital on the maintained $XX approximately total an position, million of to at of Along the investment million stock. the these of approved the $XXX XXX,XXX look which the strong of detailed the capital and needs balance Victory and the returning we continue on consistent a on in Slide capital October liquidity bringing X, return existing We've of XX $XX a issuance shareholders, on Park consideration to

better a The shares reduced of changed. allocation flow quarterly sheet. improved capital program our buyback by healthy XX% and commencement financial maintained and not reflects outlook, We've generation authorization cash and Our a strong balance incremental buyback XXXX. in stable roughly dividend philosophy has outstanding since the our have

million we've back over before turn take share repurchases. With it During for Q&A. million, a returned via including $XXX $XXX quarters we XXXX, brief like to that, the first I'd X of Ali to wrap-up

XX. Slide on up Wrapping Roger. Thanks,

reflect third flows to performance year, past to benchmark to that nonoperating of starting ago. progress the quarters. we more XX% time. year market quarter continue gross make positive to all while over increase sales our believe ROI strategic X results building on the across hold. the we time to solid on gains, This the compared a is work indication path the XX% leverage, reflecting periods second results performance, Adjusted business, plan consecutive a of net peers. the in across and to compared last marks versus Investment provides And increased is were positive and there high We investments net benefits. investment Net for is EPS quarter third are operating the delivering inflows do, and consistent diluted quarters tangible flows, take quarter in prior a and our

shareholders strong us and balance the business financial sheet through share buybacks dividends and allow to future returning continue Our for results to in reinvesting cash growth. while

effort. against to strategic all extra objectives. executing I'd for our are like Henderson Janus thank teammates We the my putting at

undoubtedly direction are stakeholders. all in clients, and our We colleagues, of on the headed behalf our right shareholders

me your to operator to Let questions. the the call turn over take

Instructions]. [Operator

Our first Worthington line to with question JPMorgan. Instructions] of [Operator the Ken goes

the think this million last diversity build-out quarter, million institutional about and wins? is build-out of How on about progressing? talk wins. focus the the you $XXX mandate I you to the institutional the $XXX of pipeline talked Can

are interest? from classes the rebuilds, and you seeing the which that be As asset greatest seem demand pipeline which to products greatest and geographies of

Thanks question. the for

but little clearly funds, hard AUM don't of work a profitability but no just of balance very the in equities, positive, right And We things. flow when particularly we mid-cap of areas, certainly created our fixed to the try actual lot Last you business, our not there. The we enhanced clearly which you the specifically, broad. and of pipeline think income in lot that very look, we participate us in this precisely view, team for pockets not a see quarter should positive quarter starting to particular. say a the But that We the numbers question, flow just strong they're fully the bottom great we to We're wasn't XXXX Those in certainly great remarks headline, and was we're this a And we've to in mentioned AUM a in building before institutional index, say we're a all your we that and it. said will but AUM. interest We're leading about rate, shareholders, continuing a ebb a about direction. small not direction. for the since hedge great we're you rebuilding our perspective, to finding for line. And was so question the just headline not RFPs your And continue numbers We pipeline. the it answer We thinking in on us. in pipeline. a solutions lot pipeline prepared said recall that to way. right your show. the much point, said this the quite bit, doing And work rebuilding set And from then. are quite don't and of that don't stage So it's year AUM institutional to business. fee those work lot not times equally. the to if be think global may and I because talk positive have like for wrong was go that to but things is indicators things and is we're on also areas to our for is are the guys tell then institutional

some think But tell be you regions leading that are we all again, at of the regions, will that. I we say any that doing indicators if shouldn't positive. look across me So of quite

is For activity in thing, LATAM, XX% as as to EMEA and example, close year-on-year. same RFP far closer up XX% September the to U.S. there.

and changes certainly like the cylinders, track, on is feel the the as team the on we we about team right we're that momentum feel making we're making on positive we're well. but all firing not So the

Our next the Dan Fannon to Jefferies. question line with goes of

just question flows. So on ETF

of success. lot competition. around was And a in this of be, lower as some market, had hoping products the also, rate obviously for get to then environment. context more sustainability a to appears your always there You've in I

of of So about sustainability defending how that you lead these do you the kind some early products? kind think have or your of in

Dan, thanks.

the the the success that suite, we the we've in ETF suites active ETF we've seen U.S. in So obviously, with pleased have been that extremely

change. and the Roger, a we would change. there sort if we team no We imagine, of are, that found have of down, fourth were a income as guess, created We we that and at on I to was category. this at came when especially, looking least know active question think me we To the anything continues Frankly, provider largest didn't little here us. interest rates in had business basis. was your ETFs, for bit, knowing global I grow disaggregate fixed daily a you'd And what

suites. as us active we four come as to In because the at rates come fact, our we've base and of Well, ETFs, challenges to perspective, of plenty have that, plenty that got obviously, liquidity scale. We've the to competitive and got of capital voting to one their manage forms. to have quite important active ETF people $X least a fixed down, to across rates us with Fed rates suite delivering attractive And down, of clients and deliver this answer in their of broader with say to set have clearly becomes who AUM. is to down, I more of come well, are is as your in little billion that. feet bit fixed ETFs ETF income And of a market question spirit more allows these income actually to the that

haven't continue growth see to we we seen and So a there. hiccup

suite. know, we on you we have that to that suite the new want but just the Now that in grow in adding as not growth, U.S., to pieces

the the just guess know, course, our take not more launched and fund and road debt Tabula, ETF, APAC it now, but is active we coming Europe, equity ETF Conviction Latin you for well. growth and the on U I acquisition just Middle months. as of we're of the September, emerging trying our America, So Equity High I because August ETF, hard of which Alpha should mid-cap that's to this currency launches for in we or as market am show into the launched Europe, here there where ETF, was first in you so. launched East, we expect go In And or Japan

we on We're further to build So win not the have pressure. that deliver We're right ultimately, to growth feel and to area. that obviously, you, shareholders. we for for clients actually massive we seeing want like continuing in our growth, our and see to

helpful. the how about And and a having think you the -- I That's do some you're think flows about think we of for earlier, Roger, then should having the the just we How you just with success XXXX this elevated momentum bit as guidance we we I 'XX, investment it's But the you're characterize as of as today? but some year. pace investment talked a of success about. said about given, understand know I as as Great. early, follow-up,

Yes. Hi Dan, thanks for the question.

doing, there whether we and Hopefully, we've early we it. need of is we'll are mean launch we Europe. do U.S., some need will success, to reflect in capture in success, our -- in business out coming define franchise And about, of But marketing Ali that AUM definitely the growth things there costs also ETF some an are are but We the the some the You're and as inflation there. growing around that success. to they support the other just that can investment right. as out quarter are ETF example. see things early of the I that's talked of we're opportunity. doing higher seen this Europe the we also in seeing you in things There it through And as obviously and a are world to be there, also some see. there's admin results results around

is guidance year. be fourth There So higher the costs some -- some will around next quarter. given we've

we some yes, fourth quarter as bit will sorry, in quarter, we really line will in is in will opportunity in that the have nothing the fourth our QX. probably totally in and quarter, can there. the Our we'll think really non-comp is go increase succeed. increase where really costs we in costs things up A with QX, little be so hard some But again, pushing changing one-off of fourth guidance,

a We next we that little but on as bit will as call. next full well, we'll into year get give increase probably guidance on the

Davitt Our Research. Autonomous next Patrick goes of to with question line the

A follow-up on Dan's ETF question.

a would AAA the ETF, problem the obviously, without be to But in outflow. have. you strong consistent So fairly to still inflows good

seemingly get updated curious flagship active the equity for I'm in world regardless products inflow performance. has have a large to the thoughts So to back that still you of potential if products on that any like demand little

Thanks, Patrick.

from progress that star about pleased is us So right, very ETF the board perspective. helped obviously has the we're across on the absolutely, the you're But flows a side.

Now billion. four to it's product that's now board the a have over that, ago, I $X it, one clear, not We be across products second just mentioned as driving right?

want we that suite whole bring to of products to bear. a have We

put to combination is focus on perspective, And of the great of in strongly right And performance strategies, great in have reputation according if can you question. our that given very the those Amplify the that. to that to factor in vehicle. client form clients investment service-wise want bucket are you the given seem many great Diversify, And we've built, a built brought the are form in to some they the investment consume. to to a ETF clearly process-wise put it we've that that & part Grow, answer want Protect deliver and in second form an some to abilities Amplify, investment haven't call that ETFs, they strategies, in have let's our I'll strategies ETF we we strategy, consume. They're we that have so your we then view small From think first,

Europe, APAC Now the well, not again, but that's starting LATAM. in that's in also U.S., as overseas then just in and

had per yes, in mark. with crossing billion franchise the $X four that one we've starting will we're the continue ETF building and over the So grow. se certainly to now then success And on

our those gains on our not kind grow bit so more pony, that very focused market the of core goes to a to the finding a is of little Then What on and It's build we more and strategy, want absolutely is basis, more So categories. in speak. of that. stick we're grow. one-trick a business, on ETFs share on again, part and to protect we're global seeing our something

course, are categories, business that note now, time. revenue net clients. and improvement sales think that growth we deliver organic aggregate those regions ETFs, speaking, that broadly across base revenue categories. right set growing I'll deliver our And to gain our funds includes fees, market over product lower with of opportunity our to can for so can of right, the firm's we not this diversified growth the broad growth, You're of mutual continue includes quarter, but also if you we just like are do are it did share new although we

will and gain Protect to our to hopefully of and that So well. Grow, everything as we're else and need building as growth want market to turn to ETFs, and continue on & deliver we part into we clients, share

of not European what just with growth sort data That $XXX I million index. some It leaders. some strategies have, enhanced It area. the net putting or around just facts It And we quarter. income, includes this more that, mid-cap fixed European strategy. around includes Ali than flow U.S. XX in strategy, think, the of In tech a global it's equity just securitized includes includes said

funds inflows. has our significant hedge net has credit pretty multi-sector as Our significant one of well. inflows And got

be think So always -- of this I XX want like it to say, you our no, are quarter. than million broader. strategies $XXX But it's more I

Bill TD from line Katz goes with Cowen. question of next Our the

a I that. apologize late, little for I so did join

surprise I on moves about bit, I the it you quarter-to-quarter fourth wondering to you're could between nice could if in be the year-on-year, look to guided little platform. in think performance our fund we is was about. unpack think then here quarter. unpack the apologize, were you Is what if non-mutual if I I but year-on-year? that maybe to about seeing based math, of sort already thinking breakeven a And a we the as for delta that up that what right or this, which of way thinking you covered fees you've

you yes, anything, was haven't we and call, Bill, on call good. didn't miss IC the I hope it so about the talked

you as of see. said As we mutual That's on we quarter fourth be that performance pleasing than sit in what say, here improvement fund performance fourth was significant. we fees. fees, really the they'll today, They 'XX. reasons. call in quarter the the higher. is X to estimate, One will is U.S. be higher the

this dropping You dropped was a quarter. adding minus what don't what's QX It XX, And X% -- whilst I a 'XX. think, drop it do 'XX year. know We off. we're -- pretty this minus know ago, poor QX saw year we we sorry, a on,

of see year. fees So are of that, see we performance result that like yes, performance top of from dependent some be to But the remainder funds. expect hedge the over On year. in we'd of positive Obviously, QX. further end the we at in very strong improve where on some the we'll performance will investment the the

we've until the moment talked fund of that some X about, performance those as And fees performance strong end know the mutual So funds I pieces. got at moving Phil, the say, the in we continues way. I obviously it's hedge It's right that that is hope year. the and you've

And just what balance timing of just Board Okay. And the any up $XXX given quarter, million. then I done couple of the conceptually, now. authorization to, a the you've by sort I in of strong follow-up, sure sheet looks think, that deals as I'm But of and noticed outs. a the helpful. not a ins at million there increased like end buyback there's That's very $XX just

sort do buying that maybe How Your at we versus shareholders. bit could balance And inorganic sheet sort side of is incremental looking might from you parse the more you in great deployment between stock. return shape, what a of here? be just back capital to think on about

and Yes. messaging in very consistent around our I Well again, capital. hope been we've

We capital of don't needs. will see at have return And for that, a it. strict we we the bottom of an immediate need hierarchy if

So Board $XX have additional an million. authorized the

we want of Obviously, would or something -- expectation do. to capital and is our next AUM. things do and we change, the And that we at will may the look buyback Our that And do the would that there at expectation to terms buyback look seed the Should dividend in now other but of any we between that we we is year. that is at. of M&A, mix the by else so the be to look AGM that do that want terms in -- something

and -- evaluate particularly Board. do we'll dividend the look and at So our as quarter year-end with we each obviously the at that always

business And Bill, the also inorganically both just organically, business that to obviously invest a balance and our for but back as clients to sheet we ultimately given to have shareholders add seen way to well. bolsters Roger, see in in hopefully you'll the and you've our continue for flexibility as

question of goes to Bank Craig next line Our America. Siegenthaler with the of

on is insurance question the My channel.

do be guys privates where front, expanding area one Janus on and think active can ETFs, we more very you but watched into M&A is the we've So in insurance.

with channel? especially IM your which wanted credit enough with Victory could And product form the update you in raise have to you partnerships, we this companies. strategic life agreements on in SMAs third-party appetite compete help So get to or an now, do acquisition, private

the for thanks yes, Craig, question.

As as strategically on and you minds about think we know, certainly growing protecting, our it's diversifying.

Number have now. we strong base clients We a clients that right a of one, have I'd are base, strong points. say, X insurance

of literally manage positive. Some start of is to obviously on right number firms we account those in sophisticated good their insurance base quite the the businesses. world, the we'd feedback from of to and GA there their rely both in activity Obviously, most a all is from and also space us And Point a number two of lot is separate is point them relationships, now. the more have one. like globally,

place. over the all happening deals see You

are deals that of As given background team the you'd the out imagine, some the we there of the are and of background knowledgeable about here. background my

those So of come by. we a see lot

for And want we make overlook. because we're sure make very culturally one very, grow of giving though, of them, important away We with sure that's lot thing company, having will insurance in M&A, aligned. we're we to so the a us, thing to farm, those based selective like insurance people an that make that of but partnership that we're for the something business one that the for that on to structure right relationships IMA craft. relationship, could doing very most any The insurance to relationships. the in a something see culturally, if is have opportunity to to be culturally, for to fair, be want aligned focused we insurance on It's speak, an just just us that a isn't lot

very yes, So active there. we're

that that's in though, world. You're that to and base have that just big particular, lending do for part point credit. missing not from, orthogonal direct noncorrelated from is right, in were is great a exactly hearing private additive, typical And clients lending, to is world what insurance a although was we my direct the asset-backed work last third or we something in

also the point we Victory was through lo the best we the Park asset-backed the but earlier, And to the about the were And there Park the people how potential to scoured think price really process looking end, world. performance, behold, through we And their points, shop grow, exactly their in at found we went aligned and in process, so the find there. what with investment Victory people private to their thought we things. obviously, a And credit Capital. earth

own yet out value in to purpose. in into you that our year work We walk office their Chicago, mission Chicago's winning. best Chicago, main their have office another when of see turns It you places

their wins, aligned very see is with You who that's us. motto, which cares

right, relationships let what with they're their insurance a with thought for And from we for good just over-deliver insurance that, we of the so they think partners with you're can who alone cultural well, addition. question And it as up culture, new that perspective, deliver not do not out their set relationships for and dynamics, think to much quite just with your a that to very and us. both a build them opens hopefully but opportunities, all exactly we other invest, we

toolkit Victory we're and that have be our think I in even we'll we So space, tools Park in more very with -- active Capital.

Thanks, Ali.

And to added manager innings, in And the and year, And was but equity We know in have any Privacore. I early I potentially, AUM additions earlier on add to know platform was it's a there we also, I but XQ that been $XXX have a the billion could October? stake. think, those XQ. you I think there your minority see big follow-up before

incremental. looking for we're anything So

a lot Thanks Privacore. on for question Yes. the

nexus We with of business wealth seeing clients, everybody, who very wealth Privacore essentially a are Privacore pleased the the form to our very, alternative And factors, the as just and private provides support, we're that's want remind progress success. who different need client get institutional private access really And what need clients essentially access to of sits Privacore. well. want the but at triage on need sorts investment with great quality to managers

manager came good we right, billion asset manager, you're the that was for wood, well-known asset them. the a platform $XXX into success with So it alternative on knock had

a, We have on technology-focused, guess, firm billion that's $XX platform. probably the technology-focused investment I premier now

real platform, about have not billion the $XX We manager already. if come that's to estate a going on

very get to tens the kind We extraordinarily tens Janus of help, on just of high well-known. have support product are folks. private flow again, let's but significant need create It's the the Henderson, another tens, is institutional and that's who private the firm wealth that we're a getting $XX performing, form help on GPs say coming tens know quality number, who billion from And channel. platform to to and right Privacore's to exact newer and equity I

M&A with choose a on -- to take you decision board in a we're this on opportunity puck our our can or time. bit make bring little going back, of fully. them a concept flourish in bringing about the a just many reiterate a decision we'll going due we're to little to pleased it's We fully Greg, what let of want before bit them step seeing So not, you to that But them if where board little private. across of we're certainly Candidly, of is there. take very I'll bit this do

people really democratize, we're architecture closed trying think you a done have A but if Privacore, democratizing to about right? alternatives, version. what So, with lot of we've architecture are open they

of going. to brought of GP We and And Park board, the have that emerging needs architecture NBK multitrillion-dollar a puck again investing then, opportunity. quite open Capital that private the question, the skating market course, wealth board, with is a with which to again, we going. Clearly, earlier versions where where bring credit, across clients' first That's our are we that we channel. puck Victory only was one on brought on the that's credit That's place to the in heard the asset-backed is privates, private great.

but hooking Capital those feel And trajectories all to like we that XX be certainly to grow areas. Privacore of So we of kind in Park growth business. obviously, NBK, also will essential we're to as ourselves

next Our Brown of with Wells line question to Fargo. the Mike goes

bond typical topic for of business significant guess fixed-income is But curious a X is seeing I in And would or yes. up frame RFPs just is just I I is of it large have to manager of in like And somewhat in opportunity last kind understanding to situation be one competitors. could similar Has mandates situation like But months? be? picked Yes, Janus somewhat on pickup maybe pipeline. the mandate pace your flow Henderson? the faster with a guess talk this. the A -- the with I'm seeing a this what institutional institutional a an pressure in time about and kind a if mandates sensitive this, that's activity.

On faster. it's bit a institutional little side, the

honestly, talk perspective. would you to XX about typically, RFP an from So months, XX

things one on wishes anybody, talking side. bit you're things. things a several move more on unfortunate the in quickly institutional no about Here, which candidly, that happen, of they they When side when little on but happen, institutional the quarters like

move be intermediary to as on things well, Just the quickly clear much more side.

can to much that to et RIAs, That some in cetera. continue ETF is get intermediary the Mike. more our something have, with that flexibility often, particularly hope of, we fair of have So we platforms share

line ISI. of for Our next Dunn question the goes John to

Maybe you could segment it's to see think inflows balanced in do to you what funds? the about remains better going So in outflow. slight talk multi-asset take the

to Happy that. Sure. take

So multi-asset, to balanced the is your point, predominantly fund.

right is let markets. there, solutions step is clients So we it, can area. willingness back what other the among you're me of part start Look, and which then this to think now the into the seeing I to move

equity seeing with the perfect by almost fixed seems now weren't markets, from is to little volatility that before flow personification clearly, of of to that perspective a when a some as You're is be need, particularly income there bit as getting equity well. from more from into doing definition, the return that profile get a Balance okay ballast broadly potential the of fixed there. want it you deal but you income and

we're interest balance. in within for that more So, seeing us, more space. interest We're seeing

construction and knock back the and doing flow performance If better you past sleeve look portfolio fixed sleeves, that better, gaining team our between we're lot of clearly the both at wood, fantastic by equity years, a on the over of things. trajectory And the share. several the in is the income on of and

we strong. think game, is where market very return quite take right we about at but either this think it, return bullish model We else else's, is on So the phone, for should ours balanced fund. balanced look and the in are everybody hopefully somebody and everyone fixed the this equity it's there performance and our or income a

that's things. the side bulk you're multi-asset the right, of of -- So

we're there multi-asset, elements about. there One X which and is Now solutions are business a -- to intermediary. there is business, the is effectively bringing rest to think the of that solutions

of think So model portfolios.

It's the with very we're small, We on are notching there specific some kind clients. wins list the of list. notching but wins on

Janus And saying this who've of intermediary is have solutions We it's great on a probably great Black-Scholes Strategy built also, at this businesses. before type Chief stuff in here Scholes large worth Myron our front, team, team Henderson folks Officer. of

we through bring in the a what he to can channel. intermediary So thinks lot of bear

other of institutional things. The business on the is side of the solutions piece

option we to the have We call paradigm identify use to them, when shifts to which them adaptive of won funds sophisticated are the some from run wealth run for in markets. example, for signals, there strategies models sovereign most mandates

so nimble there. the assets And wealth large more your be progress to you with some allocate And you we how see to can much going some fund. sovereign more we're think of

that as sides over fund yes, quite market hope that for right the return solutions, There given is a is a environment the both multi-asset We're we of So that, balanced. also and real up time. builds now. business bullish on certainly us

in then And more And are to would going Got your about they private Are like extent like yes, Park how it just maybe acquisitions? do one or was, philosophy it. more other the bolting my integrated? on to something be that? your more be thinking you credit, to Victory you integrating around -- affiliates or

Yes. play. believers other in We're not as people big seen loosely holding you've words, a In models tied into boutique company. independent and just other

firm value, types We value. integrate areas much call of not add can in distribution, the not work integrate believe smartly. where historically those ops, add to in we where very that but we have We legal, most think IT regulatory, seen We like what instances. i.e., we integrating things, in can't compliance,

to, these going the have you, acquire that with or we to how acquire. folks assured, conversations So like don't partner we invest we're if time do. to you inevitably could rest conversation And all the "Listen, with goes know we

not That's going expertise we're in your you come to bringing invest. So for. and in how we're what to tell

be integrating have profiles through, Yes, but risk So Yes, oversight, we're that." there'll they to board. not there'll across smartly we're integrate to go going be the

in in. model. that hope to plan. chassis the plug a we've about teams and for that's where least yes, So ability folks signed not all, for. To has build Victory Victory what to That's the when have other appropriate, things at any acquired we not, is private boutique credit is we're up them way, Capital into Park not That's our Park side of at not to a looking thinking how the things, come are

Victory bring our before, to other we talked perspective, chassis a public prior guess it, many from them Capital working cultural to many, we board a Well, for a Capital, teams teams appropriate to the of before, we about on from we to on Capital. bring have now get or what, benefits think Victory on have expertise chassis to Park Victory as conversation board you buy bring business, private securitized board. didn't where insurance with opportunities we Park the If Park and out about that to

thinking question in way quite appropriate the strategically your John, is So we're as about things well.

goes question Stanley. next with Our Michael Cyprys the Morgan of line to

on the the of organization the for have distribution past across organization made some ask side the do of been evolving inflection? growth the maybe you of the client experience I just couple update evolve you that out distribution and next side how here? And as into wanted from changes anticipate you're us well? think the you've might the seeing you that today meaningful you could distribution on of how in over And of several years. do tie most team to kind the years the Which look you as over changes

business, the then bit then of are APAC. We've later changes Mike. is lot institutional LatAm on a is in we a Yes. question, side distribution both in business, making. where Thanks intermediary, the EMEA, that very and to which the it changes much started U.S. which the and made we're obviously, little And to for the expanding of

as some we're The making versed. In we well we still way about changes fact, changes speak. think relatively the are

very So around much we team. think the on the what are people

they are about the there We people people? there? the the organically inorganically? the think right products think then process board. We we through. or Can have are we we're lot mostly them relationships? build So the have Do that go they about We right then Do a think across product. the right

board. we that the place to And about right something well. marketplace? bring in the people, of bring has that the have place are as in them in leadership quite on incentives take? put business? the folks. think they absolutely new can that Who new them? to that's to then growth showing to to build data have aligned bit of are we people we kind And have Do looking incentives in for give we a be we And process when What changes what the So with

changed and a down we're the the the the applying signs U.S. we maybe to change, intermediary elements fruit flows. consecutive people, the of and pay, think those that labor, it's the So of those in rest over each picked that's of business business. of process experiences put line, being product, quarters for quite flows we obviously, seeing the in And least those lot a X the you're that again, We and early of early incentives something have use now, of in where And now up I the started we at place. We positive the go U.S. in And signs, quarter as have that we area. And consecutive and are second those the positive you now that later brought little data the bit. that. bit a but

So those soup the that. leadership distribution is on and that and great, right the are like nuts, we the track It's right great now to side changes delivering main on team have going it we're on that the through. feels we're certainly

we this, is to do X, question, focused, your better client way X the part second those all things of to of of All outcomes. deliver very your

do, be first That's group deliver investment client a that's does. easily and supported. clients what them deliver that what We have we And have can in on manner foremost to the to we but performance. the

so see with more And interaction clients. you'll

clients. with relationships deeper see You'll

more who for of more their hopefully, management on You'll time, asset see over also, clients and more rely us needs.

line go to Alex question with the Our Goldman Sachs. of will last Blostein

Luke here on Alex. for

I VPC one on VPC Just partnering and thoughts me, missed for drivers from specifically? the what is the differentiated want I your with but to for I apologize this growth for strategic medium-term to Janus near- angle if earlier, get and

for in and question. much very thanks joining Luke, putting the

is from that's direct typical hearing been market, turned there and something if want something over candidly, suite want part, lending is So uncorrelated they over again and or over into private to more want pretty and the direct complementary has the out what again, look, different that's that that it. clients credit, broadly a say for we've than They most but syndicated well they loan I may baked lending.

is asset-backed looking that area clear were so at. the they And

leaving differentiator. and phenomenal got creative. very, so got found are strong. very They've The has origination on teams there we VPC. VPC of And top I great actually. before, They've technology great a culture as great, but have it. when mentioned They're there. were of And a networks. that, They data behind as and all the very great origination, a great coming money deal the a they effectively didn't they who this they in needed great of And table had from on more flow set are they potential, have capital capital. partners

use. team. time. them out on they our point, that will your this aware opportunity We done that. team We've distribution is together grow to takes We're That plans our work it to working lay take time, grow. to can their team know with to distribution the but well of put with the we're So the to exactly, capital to before and

they Now kind have business. X of of funds. credit is their the asset-backed buckets opportunistic One

preservation growth. has lot capital The on is that a growth, market think So there the of through something we emphasis that is cycles.

they've actually experiences. structured opportunities adds question already which legal decisions. for nonbanking insurance It's interest. we provides large If had finances not them, solutions called that companies, comes as system. earlier legal And a very be have financing the bring of investment after think they having have TCM, clients. call bear we that on, that uncorrelated among or which institutions. our dedicated, it. Triumph management fourth It's dedicated to It team They that. have insurance the for a globally very We're Markets can have Capital services insurance to well. also area, something we to clients a we've conversations and settlement an custom a with financial now broad many It's interesting about And been has usually to you insurance have They opportunity some book, is but made other quite finance. as that's seen. market litigation to something in already really settlement typical the set think could that It finance that we

as that So can to we bear well. bring

grow together, legs and create bring the you at so clients, stool, opportunities X to to channel-wise, those bring and X broad-based, to if believe speak, Privacore also especially So to in those mix. set we geographically of very broad a we a least both the can we think, that

session. will That the conclude question-and-answer

over will Mr. now remarks. pass to closing I back the you, Dibadj, So conference for

and of end most IT clearly we're Thanks, very million all we're and they stakeholders. wanted in across other clients, client the XX thanking that million for investment the the around to as I shareholders importantly, functions, the as and to right the operations importantly, our support brighter at XX track deliver be our trying world everyone to functions, everywhere groups, these delivering just Megan. call work hard signs teams, all the firm futures strong our the to by results most Janus on to the well the whether Henderson, deliver

work So your and for you thank for Janus interest. you for at your Thank now. Henderson, bye hard

rest conference for you concludes call. of I have wonderful That your a participation. your day. today's Thank hope you