Carlyle Group hired a Goldman executive to lead its direct lending arm as the money manager works to grow its private credit business https://t.co/mwiOWzw9mA ...

Financial Data and Key Metrics Changes - The company reported a record total assets under management (AUM) of slightly over $2,000 billion, which is $157 billion or 8% higher than the end of the first quarter and $286 billion or 17% higher than the end of the second quarter of 2024 [28] - Average long-term AUM increased by 1% over the last quarter and 12% over the second quarter of last year, reaching $1,340 billion [28] - Adjusted diluted earnings per share were $0.36 for the second quarter, with net revenues of $1,100 million, which is $19 million higher than the same quarter last year [30][38] Business Line Data and Key Metrics Changes - The company generated $15.6 billion in net long-term asset inflows, representing a 4.7% annualized growth rate [10] - The global ETFs and index platform reported 10% annualized organic growth, with $12.6 billion of long-term net inflows in the quarter [11] - Fundamental fixed income garnered nearly $3 billion of net long-term inflows, while private markets experienced net outflows of $2 billion [29][22] Market Data and Key Metrics Changes - The Asia Pacific and EMEA regions accounted for 40% of overall long-term client AUM, generating $31 billion of net flows in the first half of 2025 [11] - The China joint venture and India capabilities delivered $5.6 billion of net long-term inflows, with a record high AUM of $105 billion in the China JV [21] - The company saw net outflows of $3.6 billion in fundamental equities, although there were positive flows from EMEA and Asia Pacific [22][23] Company Strategy and Development Direction - The company is focused on enhancing client outcomes, improving operating leverage, and strengthening its balance sheet [4] - A partnership with MassMutual and Barings aims to leverage private credit strengths and expand product offerings in the U.S. Wealth channel [6] - The company is pursuing a hybrid approach to investment management, utilizing platforms from both State Street and BlackRock to optimize outcomes for clients [40] Management's Comments on Operating Environment and Future Outlook - Management noted that the second quarter experienced pronounced market volatility, but strong momentum carried into July, leading to a global rebound for equities [10] - The company is optimistic about its ability to navigate market cycles due to a diversified asset mix and strong geographic presence [25][32] - Management emphasized the importance of improving operating cash flow to balance growth and deleveraging efforts [59][62] Other Important Information - The company completed the repurchase of $1 billion of preferred stock held by MassMutual, funded by bank term loans, which is expected to reduce preferred dividends significantly [30][44] - The company intends to continue common share repurchases and aims for a total payout ratio of near 60% from 2025 [45] - The filing of a preliminary proxy statement seeks approval to change the operational structure of the QQQ from a unit investment trust to an open-end fund ETF [35] Q&A Session Summary Question: Why is the company proposing changes to the QQQ structure now? - Management indicated that the proposal aims to modernize the structure to enhance outcomes for clients and shareholders, reflecting changes in market conditions since the QQQ was launched in 1999 [52][53] Question: How will the changes impact marketing spend and incremental margin? - The anticipated marketing budget for the trust is between $60 million to $100 million, translating to 2 to 3 basis points of annual assets, with an expected addition of four basis points to net revenue and operating income if approved [55] Question: How does the company balance deleveraging with growth? - Management stated that both growth and deleveraging are priorities, with a focus on improving operating cash flow to provide flexibility for growth initiatives [59][62] Question: What is the company's strategy for private markets? - The company is focused on partnerships and acquisitions to enhance its private markets capabilities, with a strong emphasis on organic growth as well [76] Question: How does the company view the potential for private markets in the 401(k) space? - Management believes there is promise for private markets in defined contribution plans, contingent on regulatory changes and market demand [84]

DeFi 策略 - Apollo 的私募信贷基金 ACRED 可在 Polygon 的 DeFi 中使用 [1] - 通过 @gauntlet_xyz 优化的 @MorphoLabs 金库循环收益，由 @Securitize 启用 [1] - 机构 DeFi 正在发挥作用 [1] RWA (Real World Assets) - 机构采用包括发行链下资产到链上 (RWA)，并在 DeFi 中使用 [1] - 端到端的私募信贷示例 [1]

Bank Regulation & Reform - The Federal Reserve is hosting a conference on bank regulation, signaling a potentially significant regulatory reset for the banking industry [1][2] - The goal is to reduce bureaucracy and red tape to enable banks to be more efficient and increase lending capacity [3][4] - The Treasury Secretary and Fed Chairman aim to deleverage the public sector and releverage the private sector through banks [4] - The industry views current regulations as too burdensome after 15 years since the global financial crisis, suggesting a need for reform [5] - Nine out of ten investors find the capital rules too confusing, highlighting the need for more understandable regulation [8] Potential Risks & Future Landscape - The next financial crisis is unlikely to mirror the last one, necessitating a more dynamic regulatory environment [9] - Private credit has grown significantly (5-10 times) since the global financial crisis, raising concerns about its procyclicality in a recession [11] - There are concerns about the leverage within some private credit funds and who bears the ultimate risk [14] - Banks have de-risked over the past 15 years, with capital and liquid assets roughly doubling [14] - Lending to non-bank financials, such as private credit firms, has increased, but more data is needed [15] Investment Opportunity - Wells Fargo analyst recommends Citigroup, citing its restructuring efforts and potential benefits from tariffs; the stock is up 43% for the year and 31% year-to-date [16][17]

Mubadala Investment and AXA IM Prime are taking minority stakes in European private credit firm Hayfin Capital, a statement seen by Bloomberg shows https://t.co/peWOQnyK32 ...

Market Prediction - Private credit 预计在一年内将成为 RWA 市场中至少 1000 亿美元的领域 [1] - 这种趋势已经开始显现 [1]

Regulatory Scrutiny - Australia's corporate watchdog is scrutinizing private credit manager Metrics Credit Partners [1] Company Focus - Metrics Credit Partners is under scrutiny [1]

Market Trends & Macroeconomic Factors - The market is receiving mixed signals regarding the Federal Reserve's interest rate path, especially with recent CPI increases [1] - While overall inflation has been relatively tame despite tariffs, the Fed is expected to observe a few more months of data before resuming rate cuts [2] - There's uncertainty surrounding the risk of inflation spiking and upward moves in bonds, particularly with the August 1 deadline looming [4] - The market appears to be largely shrugging off these concerns, hoping for trade deals or extensions [5] Company Earnings & Valuations - Attention is being paid to how tariffs and trade are impacting company earnings and margins, though no significant impact has been observed thus far [6] - NASDAQ and S&P are near or at all-time highs, indicating markets are priced for perfection [6] - Tech stocks have seen a surge since April lows, leading to stretched valuations [8][9] - Top 10 holdings in the S&P account for a significant concentration, representing 30-38% of the index and 32% of the earnings [9] - Despite high expectations, the market wants to see continued investment in AI and capex spending on data centers and infrastructure [10] Investment Opportunities - Both public and private investments are seen as good opportunities, particularly in illiquid investments across private capital, private equity, private credit, and private real estate [12][13] - Investing in alternative asset managers could benefit if more private investments are allowed in 401ks [11] - Private equity investments offer exposure to AI companies not readily available in public markets [13]

Apollo Global Management won the mandate to manage Singapore’s $1 billion private credit fund targeting local high growth enterprises https://t.co/zQbJONSAG3 ...

Private credit funds haven’t reached close to their peak and opportunistic strategies in the private capital sector will continue to grow in the next ten years, according to Marathon CEO Bruce Richards https://t.co/qepnJ1uh9k ...