Artisan Partners Asset Management Inc. Class A

Welcome to the Artisan Partners Asset Management Business Update and Earnings Call.

Today's call will include remarks from Jason Gottlieb, CEO, and CJ Daley, CFO. Following these remarks, we will open the line for questions. Our latest results and investor presentation are available on the investor relations section of our website. Before we begin today, I would like to remind you that comments made during today's call, including responses to questions, may include forward-looking statements. These are subject to known and unknown risks and uncertainties, including but not limited to the factors set forth in our earnings release and detailed in our SEC filings. These risks and uncertainties may cause actual results to differ materially from those disclosed in the statement, and we assume no obligation to update or revise any of these statements following the presentation. In addition, some of our remarks today will include references to non-GAAP financial measures. You can find reconciliations of these measures to the most comparable GAAP measures in the earnings release and supplemental materials. which can be found on our investor relations website. Also, please note that nothing on this call constitutes an offer or solicitation to purchase or sell an interest in any Artisan investment product or a recommendation for any investment service. I will now turn it over to Jason.

Thank you, Ryan, and thank you for joining the call today. Since our founding in 1994, we have steadily expanded our capabilities across equities, credit, and most recently, alternatives. We have done this while remaining true to a consistent business philosophy and approach, high value-added investing, a talent-driven business model, and thoughtful growth, all in the pursuit of generating and compounding wealth for our clients over the long term. 2025, we generated significant absolute returns for our clients delivered strong results for our shareholders, and continued to expand our multi-asset class platform. Firm-wide asset-weighted investment returns exceeded 20% net of fees. Our investment strategies generated over $33 billion in returns for clients. Compared to 2024, we grew revenue by 8%, operating income and adjusted operating income by 9% and 12% respectively, and asset center management by nearly 12%. Turning to slide three, investment performance remains strong across our platform, with 79% of our AUM outperforming benchmarks for the three-year period, 74% for the five-year period, and 92% for the 10-year period gross of fees. Several strategies generated particularly strong results in 2025. In equities, six of our strategies generated over 500 basis points of outperformance net of fees, including US mid-cap growth, non-U.S. growth, global equity, global value, select equity, and sustainable emerging markets. The global equity, global value, and select equity strategies outperformed their benchmarks by 2,422, 1,188, and 1,175 basis points, respectively, net of fees. In credit, the emerging markets local opportunity strategy generated a calendar year return of over 24%, 527 basis points above its benchmark net of fees. In alternatives, credit opportunities returned nearly 8%, global unconstrained returned nearly 12%, and interior peak returned over 20% each net of fees. Longer-term performance across our platform is compelling and broad-based. All 12 Artisan strategies with track records over 10 years have outperformed their benchmark since inception net of fees. Fourteen of 17 strategies in equity, four of four credit strategies, and three of five alternative strategies have outperformed their respective benchmarks since inception, net of fees. Our only one-year performance has been weighed down by underperformance in two of our largest equity strategies, international value and global opportunities, both of which have very strong long-term track records. Turning to slide four, we ended the year with $180 billion in assets under management, an all-time high at year-end. driven by over $33 billion of investment gains. Our credit platform performed well in 2025. AUM grew by 29% compared to 2024 to $17.9 billion. Net inflows totaled $2.8 billion, and organic growth exceeded 20% for the third consecutive year. Our alternatives platform also experienced healthy growth, with AUM growing 20% from 2024 to $4 billion. with strong organic growth and global unconstrained in particular. Our equity platform was impacted by higher than expected outflows of $15.6 billion. Outflows were primarily concentrated in global opportunities, U.S. mid-cap growth, and non-U.S. small-mid growth strategies driven by challenging short-term performance, changing asset allocation preferences, and profit-taking on the back of strong long-term performance. Maintaining and growing AUM in public equities requires differentiated and compelling investment performance, asset allocation demand, the right vehicles and pricing, and effective sales and client service. The bar is high, but we believe we can continue to maintain and grow our equity businesses. In addition, we continue to make meaningful progress towards expanding the breadth of our platforms towards credit and alternatives. Slide 5 provides an overview of our newest investment franchise, Grandview Property Partners. Grandview is a real estate private equity firm specializing in originating, developing, acquiring, and managing middle market properties across the United States and joins Artisan as our 12th autonomous investment franchise. The Grandview team, led by founding partners Raj Menon, Dean Sautter, Eric Freeman, and Jeff Usis, has worked together for an average of 22 years. Since forming Grandview Partners in 2018, the team has delivered top quartile results and consistent DPI realization. Grandview's macro-driven investment approach focuses on growth markets supported by shifting demographic trends and regional supply-demand dynamics. Recent funds have emphasized industrial, residential, and power land themes. Grandview has raised three discretionary closed-end drawdown funds and currently manages approximately $880 million in institutional, assets across its flagship fund series and co-investment programs. The acquisition of Grandview advances our strategic expansion into alternative investments, establishes a foundation in private real estate, and creates new pathways for growth. It also aligns with our long-standing business model, high value-added investing, talent-driven, and thoughtful growth. We believe we can leverage our institutional and intermediated wealth relationships to further expand and develop Grandview's business. Marketing the team's next fund will be high on the priority list in 2026. With Grandview's acquisition, we have broadened the ways in which we can partner with and onboard differentiated investment talent. We intend to leverage our enhanced transactional and operational capacity to add additional capabilities across our platform, with a disciplined focus on allocating capital towards our highest conviction opportunities. I will now turn it over to CJ to review our recent financial results.