Key Takeaways ARES reported record $46B 4Q25 investment and a record-high January 2026 pipeline.Ares Management is expanding its digital infrastructure, launching a $2.4B data center fund.ARES reaffirmed 16-20% FRE growth, more than 20% RI growth and raised its Q1 dividend 20%.At the 34th Annual Financial Services Conference hosted by Bank of America, Michael Arougheti, co-founder and CEO of Ares Management Corporation (ARES) , delivered an optimistic outlook on the firm’s prospects for 2026. Management ind ...

On recent headlines around AI disruption, Arougheti said private market investors try not to get “whipsawed” by daily headlines and argued it is “quite odd” that public markets have “woken up” to AI disruption as a theme. He emphasized that AI can create opportunities as well as risks, noting that while some companies may be disrupted, others may see improved productivity and margin expansion.He also said that, as of the end of January, Ares’ pipeline tracked across all businesses was at a record high, whic ...

Core Viewpoint - Ares Management Corp is positioned as a strong long-term investment opportunity, with significant growth potential highlighted by its recent performance and strategic initiatives [1][4]. Financial Performance - For Q4 2025, Ares Management reported an EPS of $1.45 and revenue of $1.5 billion, which were below analyst expectations of $1.70 EPS and $1.52 billion in revenue [3]. - The company achieved a 27% year-over-year increase in management fees and surpassed $100 billion in fundraising for the year, raising its assets under management to over $600 billion [3]. Growth Strategy - CEO Michael Arougheti outlined growth priorities including expansion in private credit, digital infrastructure, and real estate, with a focus on AI integration to enhance efficiency [2]. - The company has set ambitious targets of 16%–20% annual growth in fee-related earnings (FRE) and over 20% growth in revenue [2]. Market Position and Outlook - Ares Management has $150 billion in dry powder and a strong deal pipeline, indicating confidence in capitalizing on favorable market conditions [2]. - Raymond James upgraded ARES stock to a Strong Buy with a price target of $157, citing a robust outlook for fee-related earnings growth through 2028 [4]. Dividend and Investment Case - Ares Management offers a 4.1% common dividend yield, which supports the investment case for ARES stock, especially considering that over $100 billion of its assets under management are not yet earning fees [5]. Company Overview - Ares Management Corp is a global alternative investment manager with nearly $623 billion in assets under management, operating across private equity, credit, and real estate markets [6].

美国私募信贷行业对软件行业的实际贷款敞口可能远超其披露水平。 以Pricefx为例，该公司在其网站上高调标榜自己为"排名第一的领先定价软件"，然而其主要贷款方之一Sixth Street Partners却将其归类为"商业服务"公司而非软件公司。 Sixth Street在文件中表示，公司按终端市场对投资进行分组，因此软件不作为单独类别显示，尽管其承认许多 投资组合公司主要提供软件产品或服务，这也使其面临该行业的下行风险。 此外，Apollo将自称为"IT管理软件"公司的Kaseya归类为"专业零售"，而Blackstone和Golub则将其归入软件类 别。 更甚者，Golub将自称为"后台餐厅系统软件"提供商的Restaurant365标记为"食品产品"，与路易斯安那炸鱼粉和 Bazooka口香糖制造商并列；而Ares则将其归入软件和服务类持仓。 巴克莱策略师Corry Short指出，这种不一致性使得比较整个市场的软件敞口变得异常困难。 2月13日，据彭博对七家主要商业开发公司(BDC)的数千笔持仓进行审查后发现，至少250笔投资、价值超过90亿美元的贷 款未被贷方标注为软件行业贷款，尽管这些借款公司被其 ...

阿波罗(APO.US)、Ares(ARES.US)、黑石(BX.US)、KKR(KKR.US)和其他私募股权公司的管理层正努力 说服股市投资者，他们的投资组合不会受到软件行业抛售潮的影响。这场抛售潮的根源在于人们担心人 工智能会使软件行业失去竞争力。 另类资产管理公司主要投资于传统股票和债券市场之外的资产，它们一直未能摆脱去年底以来对私募信 贷风险的担忧。如今，尽管数十亿美元的新客户资金涌入，且并购活动复苏(分析师认为这应该会转化 为更多收入和利润)，但软件股的抛售潮仍然进一步拉低了这些资产管理公司的股价。 过去两周，高管们在公布财报时力挺其投资组合的质量，这有助于近期收复部分失地，但不足以扭转持 续数月的颓势。 颠覆性风险 Ares旗下大型债务基金的首席执行官Kort Schnabel在2月4日的基金财报电话会议上表示："人工智能可能 是我们所能想象的最具颠覆性的技术风险。我不想粉饰太平。但我们仍然坚信，我们构建的投资组合将 能够高度抵御这种风险。" Ares上周公布财报时告诉投资者，其集团整体资产中约有6%投资于软件公司。首席执行官Michael Arougheti表示，其软件投资组合高度多元化，其中"极 ...

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Core Insights - The presentation is part of Bank of America's 34th Annual Financial Services Conference, highlighting the importance of financial services in the current market landscape [1] Company Overview - Michael Arougheti is introduced as the Co-Founder, CEO, and Director of Ares Management, indicating his significant role in the company [1]

Ares Management Conference Call Summary Company Overview - Ares Management (NYSE: ARES) is one of the largest alternative asset managers globally, with a significant presence in non-investment grade private credit. The firm's assets under management (AUM) have increased from approximately $200 billion five years ago to $600 billion currently, marking a threefold growth [3][4]. Macro Environment and Industry Outlook - The macroeconomic backdrop for 2026 is viewed positively, with expectations for increased IPOs and M&A activity. The Federal Reserve's rate cuts and a pro-business administration are seen as supportive factors for the deal environment [4][5]. - Ares Management reported a record fourth quarter in 2025, deploying about $46 billion in capital, with a record-high pipeline as of January 2026, indicating strong transaction volumes anticipated in the first half of the year [5][6]. - The firm is optimistic about the impact of AI on investment opportunities, emphasizing that while some companies may face disruption, others will benefit from improved margins and productivity [10][11]. Strategic Priorities - Ares Management's strategic priorities for the year include: 1. Expansion in digital infrastructure, particularly in Japan, where the firm aims to diversify its product offerings [15][18]. 2. Continued development of a vertically integrated real estate approach, focusing on owning and managing real estate assets [19][20]. 3. Capturing margin opportunities across the business through technology investments and organizational redesign [20]. 4. While private equity is not a top priority, the firm remains open to expanding its capabilities in this area to meet client demand and enhance value creation [21][22]. Financial Guidance - Ares Management has reaffirmed its growth targets, aiming for a 16%-20% annual growth in fee-related earnings (FRE) and over 20% growth in revenue income (RI) [27][28]. The firm also announced a 20% increase in its dividend, reflecting confidence in its financial outlook [28]. Private Credit Insights - Ares Management is recognized as a leading non-investment grade private credit lender, with a strong performance track record attributed to its origination-led strategy and deep industry expertise [32][37]. - The firm maintains a selective investment approach, approving only 3%-5% of transactions, which contributes to its high asset selectivity and performance [32][35]. - The private credit market is characterized by a concentration of capital among top managers, with Ares Management positioned favorably due to its scale and incumbency advantages [53][54]. Market Dynamics and Competition - The relationship between banks and private credit managers is described as symbiotic rather than competitive. Ares Management benefits from banks' de-risking strategies, which create opportunities for private credit to fill the gap in the market [48][50]. - Despite some negative narratives surrounding private credit, Ares Management reports positive net flows and a strong appetite for private credit among institutional clients [43][44]. Wealth Management Strategy - Ares Management has strategically built its wealth management channel, focusing on ensuring a right-to-win in the market. The firm has achieved a top 3 distributor position in the wealth channel and aims to deepen relationships with existing distribution partners [60][62]. - The firm is cautious about adding new products, preferring to scale existing offerings and ensure they align with the overall business strategy [64][65]. AI Implementation - Ares Management has integrated AI capabilities into its operations, focusing on enhancing productivity and investment outcomes. The firm is actively deploying AI tools across various functions, including investment analysis and sales optimization [68][70]. - The early results from AI initiatives have shown promise, contributing to a slowdown in organic headcount growth while maintaining productivity levels [71]. Conclusion - Ares Management is well-positioned for growth in 2026, with a strong focus on strategic priorities, financial performance, and leveraging technology to enhance its operations and investment capabilities. The firm remains optimistic about the macroeconomic environment and the opportunities presented by AI and digital infrastructure.

Group 1 - Ares Management is providing $2.4 billion in debt financing to Vantage Data Centers, with part of the funds potentially supporting infrastructure for Oracle's collaboration with OpenAI [1] - Ares has agreed to a financing commitment of $1.6 billion to Vantage and has already allocated approximately $330 million for the project [1] - The funds will be used for the development, construction, and operation of data centers within Vantage's North American portfolio, as well as refinancing existing debt [1] Group 2 - Vantage's portfolio includes 17 campuses primarily supporting cloud computing and artificial intelligence technologies, with assets leased to major cloud service providers [2] - Vantage is backed by DigitalBridge Group Inc., which agreed to be acquired by SoftBank Group for approximately $3 billion at the end of last year [2] - The portfolio also includes several digital infrastructure operators, including Aims Group, AtlasEdge, DataBank, Switch, and Yondr Group [2]

Group 1 - Ares Management Corporation (NYSE:ARES) is recognized as one of the top 10 financial stocks for long-term investment, with a significant upside potential indicated by recent price target adjustments from analysts [1] - Morgan Stanley raised its price target for Ares Management from $175 to $178, suggesting a 42.4% upside from current levels, which aligns with the median upside of 41.38% from 19 analysts covering the stock [1] - Oppenheimer also increased its price target for Ares Management from $190 to $224 while maintaining a Buy rating, reflecting a broader review of price targets in the alternative asset management sector [3] Group 2 - The company is experiencing increased deal activity, which is expected to support alternative asset managers through the fourth quarter and into 2026, leading to an upward revision of earnings per share estimates by Morgan Stanley [2] - The adjusted earnings per share estimates have been increased by 4%, now standing 1% above the consensus among analysts, indicating rising confidence in the company's short-term performance [2] - Ares Management operates in various segments including Direct Lending, Private Equity, and Real Estate, and has a global presence in the United States, Asia, and Europe [4]