AGF Management Limited

Thank you for standing by and welcome to the Q2 2026 ATF Management Limited Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question during this session, you will need to press star 11 on your telephone. As a reminder, this call is being recorded. I would now like to introduce your host for today's conference, Mr. Zane. Sir, please begin.

Thank you, Operator, and good morning, everyone. I'm Ken Tsang, Chief Financial Officer of AGF Management Limited. Today, we will be discussing the financial results for the second quarter of 2026. Slides supporting today's call and webcast can be found in the Investor Relations section of AGF.com. Also speaking on the call today will be Judy Goldring, Chief Executive Officer, and Ash Lawrence, Head of AGF Capital Partners. For the question and answer period following the presentation, John Porter, Chief Investment Officer, will also be available to address questions. Slide 4 provides the agenda for today's call. After the prepared remarks, we will be happy to take questions. With that, I will now turn the call over to Judy.

Good morning, and thank you for joining us. Q2 was a strong quarter for AGF. At the end of May, we made a subsequent investment in New Holland Capital, where AGF now owns a 50% economic interest in the company. We are pleased with New Holland Capital's organic growth, with AUM increasing 44% to $11 billion since our initial investment two years ago. With the inclusion of New Holland's AUM of $11 billion, our AUM and fee-earning assets were $75 billion at the end of Q2, up 40% from a year ago. AGF Investments' Canadian Retail Mutual Funds reported the eighth consecutive quarter of positive retail mutual fund net sales with net sales of $6 million in the quarter. Our SMA and ETF business remained strong with AUM increasing by 74% year over year to $4.8 billion. Our Canadian SMA and ETF net flows were $155 million in the quarter. We reported adjusted diluted EPS of 72 cents and generated $36 million of free cash flow in the quarter. Our balance sheet remains strong with $435 million in the short and long-term investments, net debt at $51 million, with $145 million available on our credit facility. The strength of our balance sheet and capital position provides us with flexibility to deploy capital thoughtfully in line with our strategic priorities. During the quarter, AGF was added to the NASDAQ Broad Canadian Dividend Achievers Index. This is a testament to our track record of consistent dividend growth and our ongoing focus on returning capital to shareholders. Starting on slide six, we will provide updates on our business performance. On this slide, we break down our total AUM and fee-earning assets in the categories disclosed in our MD&A and show comparisons to the prior year. AJF Investments Mutual Fund AUM was $38 billion, up 23% year-over-year, outpacing the industry increase of 20%. The growth of our ETF and SMA AUM globally remains strong, up 74% year-over-year. I'll provide more color on our mutual fund, ETFs, and SMA sales in a moment. Segregated accounts and sub-advisory AUM increased by 3% compared to the prior year. We are expecting a $150 million redemption in the pipeline, which is expected to occur in Q3. The redemption is not performance-related. It was driven by the relative outperformance of our strategy, causing the client to rebalance the allocation back to target weight. Our private wealth AUM increased by 16% compared to prior year, reaching $10 billion. AJF Capital Partners AUM and fee-earning assets were $15.3 billion at the end of the quarter, which included $11 billion from New Holland Capital. Turning to slide 7, I'll provide some details on mutual fund sales. The Canadian mutual fund industry saw positive net sales of approximately $7 billion in the quarter, substantially driven by net flows into fixed income and specialty funds, which included liquid alternatives, crypto, and commodities products. ETF Investments' Canadian Retail Mutual Fund delivered its eighth consecutive quarter of positive net sales of $6 million. As previously highlighted, we also continue to see strong flows in our Canadian ETF and SMAs, As retail clients look to utilize different investment vehicles to access our investment capabilities, many of our leading mutual funds are also available via SMAs and ETFs. Accordingly, we are introducing a new view this quarter, combining our Canadian Retail Mutual Fund and ETF and SMA flows to better reflect this overall trend. As can be seen, our Canadian ETF and SMAs saw positive net flows over the past eight quarters and we have seen consistent year-over-year growth over the last two years. Turning to slide eight, you can see how the strong sales momentum has driven our ETF and SMA AUM. Our ETF and SMA products globally have grown at 64% on a compounded basis over the last two years, now reaching $4.8 billion. We continue to see consistent growth and momentum across U.S., Canada and Asia Many of our strategies are available on leading wealth management platforms. Now let me provide a brief update on our investment performance. AJF Investments measures mutual fund performance by comparing gross returns before fees relative to peers within the same category, with the first percentile being the best possible performance. Our one-year performance was in the 42nd percentile, our three-year performance was in the 43rd percentile, and our five-year performance was in the 40th percentile, and approximately 60% of our funds outperformed our peers on a three- and five-year basis. I will now pass it over to Ash Lawrence to provide an update on the AGF Capital Partners business.