Financial Performance - Net income per diluted share was $3.71 in Q3 2020, compared to $2.95 in Q3 2019[105] - Total sales reached $7.6 billion in Q3 2020, an increase of $2.9 billion, or 60.3%, from $4.8 billion in Q3 2019[105] - Total revenues for the three months ended September 30, 2020, were $154.8 million, an increase of $8.8 million, or 6.1%, compared to $145.9 million in the same period of 2019[124] - Net income for the three months ended September 30, 2020, was $40.9 million, representing an increase of $15.6 million, or 61.4%, compared to $25.4 million in the same period of 2019[123] - Total operating expenses for the three months ended September 30, 2020, were $113.8 million, an increase of $3.6 million, or 3.3%, compared to $110.2 million in the same period of 2019[130] Assets Under Management - Assets under management were $116.5 billion as of September 30, 2020, an increase of $12.4 billion, or 11.9%, from September 30, 2019[107] - Average long-term assets under management increased to $104.4 billion for the nine months ended September 30, 2020, up $5.0 billion, or 5.1%, from the prior year[108] - Open-End Funds assets under management increased by $2.2 billion, or 5.3%, to $43.4 billion as of September 30, 2020[110] - Retail Separate Accounts saw a significant increase of $5.9 billion, or 31.1%, to $24.7 billion as of September 30, 2020[110] - Institutional Accounts increased by $5.6 billion, or 18.2%, to $36.6 billion as of September 30, 2020[110] Market Performance - The company experienced market appreciation of $15.2 billion and $7.1 billion in Q2 and Q3 2020, respectively[103] - Market performance contributed $7,119 million to total long-term assets under management for the three months ended September 30, 2020[114] Inflows and Outflows - Open-End Funds experienced net inflows of $387 million for the three months ended September 30, 2020, compared to net outflows of $182 million in the same period of 2019[112] - Retail Separate Accounts saw net inflows of $1,110 million for the three months ended September 30, 2020, compared to $384 million in the same period of 2019[112] - Institutional Accounts had a net outflow of $306 million for the three months ended September 30, 2020, compared to a net outflow of $1,365 million in Q3 2019[112] Fees and Expenses - The average management fee for Open-End Funds increased to 59.5 basis points in Q3 2020 from 56.6 basis points in Q3 2019[119] - The average fee rate for all products increased to 46.6 basis points in Q3 2020 from 46.3 basis points in Q3 2019[119] - Investment management fees increased by $9.8 million, or 8.1%, for the three months ended September 30, 2020, and by $20.1 million, or 5.9%, for the nine months ended September 30, 2020, compared to the same periods in the prior year[125] - Employment expenses increased by $6.2 million, or 10.1%, for the three months ended September 30, 2020, totaling $67.5 million[131] - Distribution and service fees decreased by $0.6 million, or 6.2%, for the three months ended September 30, 2020, compared to the same period in 2019[127] Cash Flow and Debt - Operating cash flow for the nine months ended September 30, 2020 was a net outflow of $380.3 million, an increase of $277.3 million from the prior year[159] - Total debt decreased by $59.8 million, or 21.5%, from $277.8 million at December 31, 2019 to $218.0 million at September 30, 2020[151] - Cash and cash equivalents decreased by $19.6 million, or 8.8%, from $221.8 million at December 31, 2019 to $202.2 million at September 30, 2020[151] - Net cash provided by financing activities increased by $191.9 million to $305.8 million for the nine months ended September 30, 2020, compared to $113.9 million for the same period in 2019[161] Tax and Other Income - The estimated effective tax rate increased to 33.9% for the nine months ended September 30, 2020, compared to 24.0% for the same period in 2019[149] - Other income (expense), net decreased by $1.1 million, or 57.4%, for the nine months ended September 30, 2020 compared to the same period in the prior year[143] - Total other income increased by $10.8 million, or 234.4%, compared to the same period in 2019, reaching $6.2 million[139] Strategic Developments - The company entered into a strategic partnership with Allianz Global Investors, expected to close in Q1 2021[106] - There were no material changes in the company's contractual obligations since December 31, 2019[163] - The company is primarily exposed to market risk associated with unfavorable movements in interest rates and securities prices, with no material changes reported during the three and nine months ended September 30, 2020[166]

Financial Data and Key Metrics Changes - Long-term assets under management (AUM) reached $115 billion, increasing by nearly $8 billion or 7% sequentially due to market appreciation and positive net flows [9][16] - Operating income, as adjusted, was $54.1 million with a margin of 39.3%, up from $40.5 million and 34.3% in the previous quarter [14][31] - Earnings per share, as adjusted, increased 39% sequentially to $4.49, driven by higher revenues and lower operating expenses [14][33] - Net income per share under GAAP was $3.71, compared to $1.43 in the second quarter [34] Business Line Data and Key Metrics Changes - Positive net flows of $1.2 billion were recorded, with retail separate accounts contributing $1.1 billion and open-end funds contributing $0.4 billion [11][12] - Institutional net outflows were $0.3 billion, a decrease from $1.5 billion of inflows in the previous quarter [12] - Sales for the quarter totaled $7.6 billion, marking the second-best quarter of sales despite a sequential decline [10][24] Market Data and Key Metrics Changes - Domestic equity open-end fund net flows were positive $0.6 billion, with a year-to-date total of $1.8 billion, reflecting a 14% annualized organic growth rate [22] - Fixed-income assets declined as a percentage of total AUM to 26%, primarily due to rising equity markets [18] - Institutional net flows were positive over the trailing 12 months, despite a single client redemption in the current quarter [21] Company Strategy and Development Direction - The company is focused on a strategic partnership with Allianz Global Investors, expected to close in early 2021, which will enhance scale and diversify investment strategies [37][38] - The company maintains a balanced approach to capital management, with a 22% increase in quarterly dividends and a 26% reduction in debt over the past year [15][35] - The management emphasizes the importance of differentiated investment strategies and effective distribution to drive organic growth [50][52] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued positive trends in flows and sales, reflecting strong investment performance and effective distribution [8][13] - The company is well-positioned for future growth opportunities, with a low-leverage balance sheet providing flexibility for potential M&A activities [46][49] - Management highlighted the importance of retaining assets over merely raising them, focusing on long-term client relationships [56] Other Important Information - The company repurchased approximately 54,000 shares, resulting in a 0.7% reduction in shares outstanding [15][36] - The effective tax rate for the quarter was 27%, consistent with the previous quarter [32] Q&A Session Summary Question: Clarification on fee rates - Management confirmed that the fee rates presented are net to Virtus [44] Question: Views on recent M&A activity in the sector - Management stated that while M&A is a tool for growth, their long-term strategy is not solely dependent on it, and they remain selective in pursuing opportunities [46][49] Question: Strength of organic inflows despite sector headwinds - Management attributed the strength to differentiated boutique managers and effective distribution strategies [50][52] Question: Flow profile of Allianz partnership - Management noted that Allianz funds have generally performed well, but specific flow details were not disclosed as they are not Virtus funds [61][64] Question: Institutional sales traction and redemption details - Management clarified that the redemption was due to a client internalizing portfolio management, not performance-related, and highlighted balanced contributions from new mandates [72][73] Question: Opportunities in closed-end fund market - Management expressed optimism about closed-end funds as a compelling product structure and indicated ongoing exploration of opportunities in that space [75] Question: International distribution strategy - Management emphasized the importance of growing the non-U.S. client base and the flexibility in their distribution approach [80][82] Question: Performance of SGA business post-transaction - Management reported that SGA has exceeded expectations in terms of performance and client asset management [84] Question: Growth opportunities from Allianz transaction - Management highlighted the addition of compelling products and the establishment of a new boutique affiliate as key growth areas [86]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q VIRTUS INVESTMENT PARTNERS, INC. (Exact name of registrant as specified in its charter) Delaware 26-3962811 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) One Financial Plaza, Hartford, CT 06103 (Address of principal executive offices, including Zip Code) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended ...

Financial Data and Key Metrics Changes - Long-term assets under management (AUM) increased by nearly $18 billion or 20% to $107.1 billion as of June 30, driven by market appreciation and positive net flows [12][20] - Operating income as adjusted was $40.5 million with a margin of 34.3%, up from $40.1 million and 31.5% in the previous quarter [18][36] - Earnings per share as adjusted decreased by 2% to $3.24, primarily due to lower revenues [38] Business Line Data and Key Metrics Changes - Positive net flows for the quarter totaled $2.5 billion, with strong contributions from various asset classes [14][23] - Open-end net flows were positive at $0.4 billion, with domestic equity leading the way [15][25] - Retail separate accounts saw positive net flows of $0.8 billion, marking 18 consecutive quarters of positive flows [15][24] - Institutional net flows were positive at $1.5 billion, reflecting the attractiveness of the investment strategies [16][112] Market Data and Key Metrics Changes - Total sales for the quarter reached $9.1 billion, a 30% sequential increase and 77% year-over-year growth [27] - Domestic equity net flows were positive at $1.2 billion, a significant improvement from the previous quarter [25] - Fixed income fund net outflows improved to $0.3 billion from $1.4 billion in the first quarter [26] Company Strategy and Development Direction - The company announced a strategic partnership with Allianz Global Investors, expected to add approximately $24 billion in AUM and enhance fund offerings and distribution capabilities [11][43] - The partnership is structured to align interests without requiring upfront payments, focusing on growth and profitability [50][84] - The company aims to leverage existing infrastructure to maximize growth opportunities and maintain a balanced capital structure [66][70] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strong organic growth rate of 11% annualized and the broad-based contributions across product categories [9][23] - The management highlighted the importance of maintaining relationships and adapting to a work-from-home environment to sustain sales momentum [75][76] - Future expectations include continued positive trends in sales and net flows, with a focus on sustainable growth and long-term value creation [70][112] Other Important Information - The company repurchased approximately 75,000 shares, representing about 1% of shares outstanding, and reduced debt by 25% over the past year [19][40] - The effective tax rate as adjusted for the quarter was 27%, down from 29% in the prior quarter [37] Q&A Session Summary Question: Background on the Allianz partnership - Management characterized the partnership as a growth-oriented collaboration rather than a transaction, emphasizing alignment of interests [55][56] Question: Expected incremental margin from the partnership - The expected incremental margin is projected to be in the range of 50% to 60%, leveraging existing infrastructure [60][61] Question: Impact of the partnership on debt levels - The partnership is structured to ensure that payments will be a subset of revenues earned, maintaining a favorable capital structure [66][67] Question: Institutional sales composition - Institutional sales included both new mandates and significant contributions from existing clients, indicating broad-based growth [108][112] Question: Retail separate accounts performance - Retail separate accounts have seen 17 consecutive quarters of positive flows, driven by strong investment performance across multiple distribution platforms [116]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-10994 VIRTUS INVESTMENT PARTNERS, INC. (Exact name of registrant as specified in its charter) Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2020 OR Delaware 26-3962811 (State or other jurisdic ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 (Exact name of registrant as specified in its charter) Delaware 26-3962811 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) One Financial Plaza, Hartford, CT 06103 (Address of principal executive offices) Registrant's telephone nu ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-10994 VIRTUS INVESTMENT PARTNERS, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorpor ...

Commission File Number: 001-10994 VIRTUS INVESTMENT PARTNERS, INC. UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019 OR ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-10994 VIRTUS INVESTMENT PARTNERS, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporatio ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2018 or ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-10994 VIRTUS INVESTMENT PARTNERS, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of in ...