TPG(US:TPG) Yahoo Finance·2026-02-11 13:39Core Insights - TPG reported a significant increase in capital raised, reaching approximately $51 billion in 2025, a 70% increase from $30 billion in 2024, and deployed just over $50 billion during the same year [1][7] - The firm emphasized a strategic shift towards diversification, with private equity now representing about 50% of total assets under management (AUM), down from approximately 80% at the time of its IPO [6][8] - TPG's fee-related earnings margin improved by roughly 800 basis points since the IPO, reaching 45% in 2025, with expectations to increase to around 47% in 2026 [5][12] Fundraising and Deployment - TPG's fundraising activities in 2025 included a strong performance in credit, with fundraising exceeding $20 billion, and plans to market approximately 35 products in 2026 [11][10] - The firm anticipates another robust fundraising year in 2026, expecting to exceed $50 billion again [11][10] Profitability and Earnings - Fee-related revenue for TPG reached $2.1 billion in 2025, with fee-related earnings around $950 million, showing significant growth from just over $300 million at the time of the IPO [7][8] - The firm has maintained a steady realization pace, averaging about $25 billion per year over the past five years [14] Strategic Initiatives - TPG is focusing on expanding its private wealth and insurance channels, with a notable partnership with Jackson Financial that starts at $12 billion and can scale to $20 billion [15][16] - The firm is also exploring inorganic growth opportunities while scaling its newer businesses [10] Market Position and Future Outlook - TPG's strategic priorities include completing ongoing fundraising campaigns and expanding into new asset classes, with a focus on real estate, which is expected to contribute significantly in 2026 [13][10] - The firm has positioned itself as a consistent generator of distributions to paid-in capital (DPI), which is a key metric for limited partners [14]