Affiliated Managers Group, Inc. (NYSE:AMG) Q3 2023 Earnings Conference Call November 6, 2023 8:30 AM ET Company Participants Patricia Figueroa - IR Jay Horgen - CEO Thomas Wojcik - CFO Conference Call Participants Dan Fannon - Jefferies. Alex Blostein - Goldman Sachs. Craig Siegenthaler - Bank of America. Brian Bedell - Deutsche Bank Operator Greetings, and welcome to the AMG Third Quarter 2023 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to turn ...

Table of Contents Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock ($0.01 par value) AMG New York Stock Exchange 5.875% Junior Subordinated Notes due 2059 MGR New York Stock Exchange 4.750% Junior Subordinated Notes due 2060 MGRB New York Stock Exchange 4.200% Junior Subordinated Notes due 2061 MGRD New York Stock Exchange UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) O ...

Table of Contents Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock ($0.01 par value) AMG New York Stock Exchange 5.875% Junior Subordinated Notes due 2059 MGR New York Stock Exchange 4.750% Junior Subordinated Notes due 2060 MGRB New York Stock Exchange 4.200% Junior Subordinated Notes due 2061 MGRD New York Stock Exchange UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) O ...

Financial Data and Key Metrics Changes - Adjusted EBITDA for Q2 2023 was $214 million, which included $20 million of net performance fee earnings, reflecting ongoing execution of the growth strategy and strong performance in liquid alternative strategies [16] - Economic earnings per share increased by 10% year-over-year to $4.45, benefiting from share repurchases and discrete foreign tax benefits [16] - Net client cash outflows, excluding certain quantitative strategies, were $7 billion, primarily driven by global equities, which offset strength in alternatives [16] Business Line Data and Key Metrics Changes - Alternatives reported nearly $2 billion in net inflows during Q2 2023, with significant contributions from private market flows at Pantheon, EIG, and Comvest [17] - Liquid alternatives saw flat net flows, but absolute return-oriented strategies experienced strong demand with $1 billion in inflows, offset by lockup expirations on beta-sensitive strategies [18] - U.S. equities faced net outflows of approximately $2 billion, while multi-asset and fixed income flows remained flat [18] Market Data and Key Metrics Changes - Approximately half of the company's earnings in the last 12 months were generated by alternative strategies, including private markets and liquid alternatives [11] - The company expects the composition of earnings to reflect an even greater contribution from alternatives moving forward [11] Company Strategy and Development Direction - The company announced a new partnership with Forbion, marking its seventh investment in alternatives over the last four years, which aims to evolve the business towards in-demand strategies [4][5] - The focus remains on deploying additional capital toward private markets and liquid alternatives, leveraging financial flexibility and a disciplined capital allocation strategy [5][14] - The company aims to build a multi-generational firm by enhancing strategic capabilities and offering a broad array of partnership solutions to independent firms [7][8] Management's Comments on Operating Environment and Future Outlook - Management noted that while active equity outflows are impacting the current macro environment, the underlying momentum in alternatives remains strong [12] - The company is well-positioned to continue evolving its business through growth investments, supported by a robust financial position and a strong pipeline of opportunities [13][14] - Management expressed confidence in generating incremental value over time through disciplined capital allocation and strategic partnerships [25] Other Important Information - The company completed an accelerated share repurchase program, repurchasing additional shares worth $44 million in Q2 2023, totaling $269 million in share repurchases for the first half of 2023 [23] - The veritable transaction is expected to generate approximately $294 million in pre-tax proceeds, contributing to future earnings per share growth [23] Q&A Session Summary Question: Is wealth management an immediate term priority for the company? - Management confirmed that wealth management is a focus area, with strategies to invest in independent wealth management firms and expand access to private markets and liquid alternatives [28][30] Question: Will the company consider pruning traditional businesses? - Management indicated that the business shape is changing, with nearly half of EBITDA coming from alternatives, but there is no intention to move away from high-quality active equity affiliates [34][37] Question: How has the M&A pipeline evolved over the last six months? - Management noted a steady flow of opportunities in the M&A pipeline, with expectations that valuations have moderated, making it a constructive environment for potential transactions [42][44] Question: Is there a pipeline of larger, impactful deals? - Management stated that there is a diverse pipeline of small, medium, and large transactions, with a focus on maintaining discipline in capital deployment [50][52]

Table of Contents Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock ($0.01 par value) AMG New York Stock Exchange 5.875% Junior Subordinated Notes due 2059 MGR New York Stock Exchange 4.750% Junior Subordinated Notes due 2060 MGRB New York Stock Exchange 4.200% Junior Subordinated Notes due 2061 MGRD New York Stock Exchange UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) O ...

Affiliated Managers Group Inc. (NYSE:AMG) Q1 2023 Results Conference Call May 1, 2023 8:30 AM ET Company Participants Patricia Figueroa - IR Jay Horgen - CEO Tom Wojcik - CFO Conference Call Participants Bill Katz - Credit Suisse Daniel Fannon - Jefferies Craig Siegenthaler - Bank of America Alex Blostein - Goldman Sachs Brian Bedell - Deutsche Bank Patrick Davitt - Autonomous Research Operator Greetings, and welcome to the AMG First Quarter 2023 Earnings Call. At this time, all participants are in a listen ...

Table of Contents ___________________________________________________________________________ __________________________________________________________________________ Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock ($0.01 par value) AMG New York Stock Exchange 5.875% Junior Subordinated Notes due 2059 MGR New York Stock Exchange 4.750% Junior Subordinated Notes due 2060 MGRB New York Stock Exchange 4.200% Junior Subordinated Notes due 2061 MGRD New York Stock E ...

Affiliated Managers Group, Inc. (NYSE:AMG) Q4 2022 Earnings Conference Call February 6, 2023 8:30 AM ET Company Participants Patricia Figueroa - Head of Investor Relations Jay Horgen - President and Chief Executive Officer Tom Wojcik - Chief Financial Officer Conference Call Participants Alex Blostein - Goldman Sachs Craig Siegenthaler - Bank of America Bill Katz - Credit Suisse Dan Fannon - Jefferies Brian Bedell - Deutsche Bank Operator Greetings, and welcome to the AMG Fourth Quarter 2022 Earnings Call. ...

Investor Overview Q4 2022 AMG: Partner to Industry-Leading Independent Investment Firms 30 year partnership history with leading investment specialists 35+ independent Affiliates offering diverse suite of investment products >$1 billion EBITDA across outstanding return-oriented strategies Industry-Leading Independent Managers Attractive partnership model self-selects entrepreneurial, growing firms and enables access to specialist capabilities at scale Multi-Faceted Growth Strategy Unique combination of grow ...

Financial Data and Key Metrics Changes - AMG reported economic earnings per share of $4.21, reflecting a 5% year-over-year growth, driven by new investment activity and share repurchases, which offset market declines and foreign exchange impacts [18][21][22] - The company expects earnings per share to grow approximately 10% in 2022, building on a 37% growth in 2021 [5][15] Business Line Data and Key Metrics Changes - Alternatives businesses reported $3 billion in net inflows, primarily from private markets fundraising at affiliates like Pantheon and Comvest [18][19] - In the liquid alternatives segment, performance remains strong, with expectations for increased client demand for differentiated return sources [19][57] - Global equities faced net outflows of $6.5 billion, with redemptions concentrated in growth-oriented strategies, although U.S. equities showed long-term performance resilience [20][54] Market Data and Key Metrics Changes - Net client cash outflows for the quarter totaled $8.8 billion, with $6.5 billion excluding certain quantitative strategies [18] - The company noted that the market environment has shifted, impacting client behavior and portfolio construction strategies [8][10] Company Strategy and Development Direction - AMG's strategy focuses on investing in a diversified group of independent managers across various asset classes, enhancing earnings power and stability [7][12] - The recent minority investment in Peppertree Capital Management aligns with AMG's strategy to increase participation in private markets and real assets [12][13] - The company emphasizes disciplined capital allocation and has returned significant capital to shareholders, repurchasing over 25% of shares in the past three years [14][27] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of portfolio construction and diversification in the current market environment, which has been characterized by volatility and geopolitical risks [5][8] - The outlook remains positive, with confidence in the company's strategy and affiliates' positioning to benefit from emerging trends in active management and liquid alternatives [15][28] Other Important Information - AMG's adjusted EBITDA for the third quarter was $220 million, including $23 million from net performance fee earnings [21] - The company expects fourth-quarter adjusted EBITDA to range between $330 million and $380 million, reflecting strong net performance fee earnings [22][23] Q&A Session Summary Question: Capital deployment opportunities in the current environment - Management noted that the pipeline for new opportunities remains full, with a focus on high-quality independent firms and strategic partnerships [30][34] Question: Outlook for performance fees and future growth - Performance fee earnings are expected to be strong, driven by absolute return products, with increasing client demand for uncorrelated return streams [37][40] Question: Investor sentiment across asset classes - Management indicated mixed sentiment, with strong performance in U.S. equities and challenges in global equities, while private markets and liquid alternatives show strong fundraising and client interest [50][54] Question: Impact of higher interest rates on debt and investments - The company maintains a strong balance sheet with a majority of fixed-rate debt, and liquidity is viewed as increasingly valuable in the current market environment [61][66] Question: Fundraising outlook for private markets - Management expects continued strong fundraising in private markets, particularly in infrastructure and real assets, while noting a shift towards quality-focused investments [71][73]