Ridgepost Capital, Inc.

Mark Hood, EVP, Chief Administrative Officer. Mark, please go ahead.

Thank you, Operator. On today's call, we will be joined by Luke Sarsfield, Chairman and Chief Executive Officer, Amanda Cousins, EVP, Chief Financial Officer and Chief Compliance Officer. Additionally in the room with us today is RJ Jensen, our EVP and Head of Strategy at M&A. Before we begin, I'd like to remind everyone that this conference call, as well as the presentation slides, may constitute forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management's current plans, estimates, and expectations, and are inherently uncertain. Actual results for future periods may differ materially from those expressed or implied by these forward-looking statements due to a number of risks and uncertainties that are described in greater detail in our earnings release and in our periodic reports filed from time to time with the SEC. The forward-looking statements included are made only as of the date hereof. We undertake no obligation to update or revise any forward-looking statements as a result of new information or future events, except as otherwise required by law. During the call, we will also discuss certain non-GAAP measures which we believe could be useful in evaluating the company's performance. A reconciliation of these measures to the most comparable GAAP measure is available in our earnings release and our filings with the SEC. I will now turn the call over to Luke. Thank you, Mark. Good afternoon, everyone, and thank you for joining us today. Our second quarter performance demonstrates the strong momentum we have in our business underscores our ability to execute the strategic plan we laid out at the beginning of the year, and we believe positions PTEN well for the second half of 2024 and beyond. We raised and deployed $844 million in gross new fee-paying AUM and delivered record revenue of $71 million, representing 14% year-over-year growth. We delivered fee-related revenue, or FRR, of $68.3 million, a 12% increase compared to the prior year period, and generated approximately 33.6 million of fee-related earnings, or FRE, a 3% decrease from Q2 2023. This represents an FRE margin of 49%. Amanda will provide additional detail on our second quarter financial performance shortly. We have continued to gain traction with clients in the second quarter. We had 12 commingled funds in the market, providing multiple avenues to meet the particular investment objectives of our clients and achieve our organic growth goals. I want to take a minute to highlight some of our momentum on the fundraising front. Our NAV lending strategy, Hart Capital, closed Fund 4 at $645 million, meaningfully exceeding its target of $500 million. fund received strong re-ups from existing investors as well as significant new commitments and represented more than a 60% increase compared to its predecessor fund. As a credit strategy, HARC's fees are generated as capital is deployed, which means we will see the revenue contribution over time. Our Venture Lending Manager, WTI, closed the second quarter with $321 million of fee-paying assets in Fund 11, which remains in the market and continues to raise capital. Bond Accord, our strategy that provides growth capital to alternative asset managers through non-controlling equity interests, ended the second quarter with $890 million in capital raised for BCP Fund 2, which we expect to close later this year. Given the robust investing opportunities that we are seeing in this business, we continue to expect to launch BCP Fund 3 in 2025. TrueBridge, our venture capital strategy, closed its flagship Fund 8 at $880 million, exceeding its target of $750 million. TrueBridge expects to launch additional funds this year, including Blockchain 2 and Secondaries 2. RCP is positioned to deliver strong performance heading into the second half of the year. They recently launched Direct Fund 5 and anticipate launching Secondary Fund 5 later this year. We are excited about the investing opportunities that we are seeing and anticipate strong LP demand. Through two quarters, we've achieved 61% of our 2024 goal to organically raise and deploy $2.5 billion of gross new assets. We remain confident in meeting or exceeding this target and the financial guidance we provided the market in February. With the number of funds in the market scheduled to increase as the year goes on, we expect continued strength in the back half of the year. Next, I want to highlight the ongoing progress around our key strategic initiatives. We remain steadfast in our commitment to the corporate imperatives we laid out in February. We're creating value through doubling down on focus areas that are performing, eliminating ancillary processes, and implementing world-class systems that are set to yield tangible results. I will now run through some of the key second quarter highlights and comment on the progress we've made. First, I'm thrilled to share that last week, we announced the appointment of Sarita Narsan-Jairath as Executive Vice President and Global Head of Client Solutions, effective in mid-September. Sarita brings more than two decades of client-facing experience in the alternative space, at firms such as Blackstone, JPMorgan, and Goldman Sachs. She will be integral in developing a comprehensive framework to serve our growing investor base. Further, Sarita will help define the strategy and execution of our organic growth initiatives by expanding our client relationships and developing new products and offerings. We look forward to her leadership at the firm as we advance the platform's long-term growth strategy. As you will recall, When I let out our steady state P10 senior organizational structure in February, I contemplated a structure that would have four executive vice president level roles reporting directly to me and focused on four critical vectors. One, finance and compliance. Two, administration and operations.

Three, strategy and corporate development. And four, client solutions and capital formation.