Core Insights - GCM Grosvenor reported a record $87 billion in assets under management (AUM), reflecting a 9% increase year-over-year, with strong investment performance across all business verticals [1][18] - The company achieved significant growth in fee-related earnings, adjusted EBITDA, and adjusted net income, all up 18% year-over-year, with a fee-related earnings margin of 45% [2][21] - Fundraising momentum remains strong, with $7.2 billion raised year-to-date, surpassing the total for the entire year of 2024, and $9.5 billion raised over the last twelve months, marking the highest fundraising period on record [5][12] Financial Performance - Fee-related earnings for the quarter increased by 18% year-over-year, with adjusted net income also up 18% [2][21] - The company’s gross unrealized carried interest balance reached an all-time high of $941 million, with $24 million in carried interest realized during the quarter [6][21] - Total management fees for the quarter were $101.4 million, a 7% increase year-over-year, with expectations for continued growth in the fourth quarter [19][21] Investment Strategies - Absolute Return Strategies (ARS) delivered a gross rate of return of 14.2% over the last twelve months, with management fees for ARS growing 6% year-over-year [1][19] - Infrastructure and credit strategies accounted for nearly two-thirds of the capital raised, indicating strong demand in these areas [12][13] - The company plans to launch new funds, including a private equity fund and a diversified infrastructure fund, to expand its market offerings [16][17] Growth Outlook - GCM Grosvenor aims to double its fee-related earnings to over $280 million by 2028 and increase adjusted net income per share to more than $1.20 [10][22] - The company’s client-first culture and scalable investment platform are expected to drive substantial AUM growth across various investment strategies over the next five years [8][11] - The firm is well-positioned strategically and financially, with a strong pipeline and high levels of activity in fundraising and investment [6][12]