(Mark One) | |||||||||||
☑ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | ||||||||||
FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, |
OR | |||||||||||
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | ||||||||||
FOR THE TRANSITION PERIOD FROM TO |
Delaware | 45-0969585 | |||||||
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | |||||||
875 E. Wisconsin Avenue, Suite 800 | 53202 | |||||||
Milwaukee, | WI | |||||||
(Address of principal executive offices) | (Zip Code) | |||||||
Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||
Class A common stock, par value $0.01 per share | APAM | New York Stock Exchange |
Large accelerated filer | ☑ | Accelerated filer | ☐ | ||||||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ☐ | ||||||||||||||
Emerging growth company | ☐ |
Page | ||||||||
Part I | Financial Information | |||||||
Item 1. | Unaudited Consolidated Financial Statements | |||||||
Unaudited Condensed Consolidated Statements of Financial Condition as of September 30, | ||||||||
Unaudited Consolidated Statements of Operations for the three and nine months ended September 30, | ||||||||
Unaudited Consolidated Statements of Comprehensive Income for the three and nine months ended September 30, | ||||||||
Unaudited Consolidated Statements of Changes in Stockholders’ Equity for the three and nine months ended September 30, | ||||||||
Unaudited Consolidated Statements of Cash Flows for the nine months ended September 30, | ||||||||
Item 2. | ||||||||
Item 3. | ||||||||
Item 4. | ||||||||
Part II | Other Information | |||||||
Item 1. | ||||||||
Item 1A. | ||||||||
Item 2. | ||||||||
Item 3. | ||||||||
Item 4. | ||||||||
Item 5. | ||||||||
Item 6. | ||||||||
September 30, 2022 | December 31, 2021 | September 30, 2023 | December 31, 2022 | |||||||||||||||||||
ASSETS | ASSETS | ASSETS | ||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents | $ | 168,123 | $ | 189,226 | Cash and cash equivalents | $ | 198,308 | $ | 114,832 | ||||||||||||
Accounts receivable | Accounts receivable | 103,434 | 115,850 | Accounts receivable | 96,062 | 98,634 | ||||||||||||||||
Investment securities | Investment securities | 78,240 | 47,878 | Investment securities | 139,630 | 85,415 | ||||||||||||||||
Property and equipment, net | Property and equipment, net | 47,398 | 35,313 | Property and equipment, net | 46,896 | 48,104 | ||||||||||||||||
Deferred tax assets | Deferred tax assets | 484,756 | 497,902 | Deferred tax assets | 446,491 | 477,024 | ||||||||||||||||
Restricted cash | 629 | 629 | ||||||||||||||||||||
Prepaid expenses and other assets | Prepaid expenses and other assets | 19,493 | 20,282 | Prepaid expenses and other assets | 18,986 | 20,053 | ||||||||||||||||
Operating lease assets | Operating lease assets | 104,774 | 88,642 | Operating lease assets | 91,662 | 101,410 | ||||||||||||||||
Assets of consolidated investment products | Assets of consolidated investment products | Assets of consolidated investment products | ||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents | 18,870 | 10,916 | Cash and cash equivalents | 32,221 | 28,416 | ||||||||||||||||
Accounts receivable and other | Accounts receivable and other | 52,865 | 6,408 | Accounts receivable and other | 10,993 | 4,977 | ||||||||||||||||
Investment assets, at fair value | Investment assets, at fair value | 264,302 | 195,001 | Investment assets, at fair value | 336,429 | 255,743 | ||||||||||||||||
Total assets | Total assets | $ | 1,342,884 | $ | 1,208,047 | Total assets | $ | 1,417,678 | $ | 1,234,608 | ||||||||||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS, AND STOCKHOLDERS’ EQUITY | LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS, AND STOCKHOLDERS’ EQUITY | LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS, AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Accounts payable, accrued expenses, and other | Accounts payable, accrued expenses, and other | $ | 26,276 | $ | 28,992 | Accounts payable, accrued expenses, and other | $ | 23,872 | $ | 24,414 | ||||||||||||
Accrued incentive compensation | Accrued incentive compensation | 105,971 | 7,521 | Accrued incentive compensation | 126,453 | 29,762 | ||||||||||||||||
Borrowings | Borrowings | 199,007 | 199,444 | Borrowings | 199,226 | 199,050 | ||||||||||||||||
Operating lease liabilities | Operating lease liabilities | 123,476 | 100,303 | Operating lease liabilities | 110,524 | 120,847 | ||||||||||||||||
Amounts payable under tax receivable agreements | Amounts payable under tax receivable agreements | 398,247 | 425,427 | Amounts payable under tax receivable agreements | 363,860 | 398,789 | ||||||||||||||||
Liabilities of consolidated investment products | Liabilities of consolidated investment products | Liabilities of consolidated investment products | ||||||||||||||||||||
Accounts payable, accrued expenses, and other | Accounts payable, accrued expenses, and other | 84,862 | 20,185 | Accounts payable, accrued expenses, and other | 37,379 | 26,358 | ||||||||||||||||
Investment liabilities, at fair value | Investment liabilities, at fair value | 21,051 | 19,179 | Investment liabilities, at fair value | 13,314 | 20,751 | ||||||||||||||||
Total liabilities | Total liabilities | 958,890 | 801,051 | Total liabilities | 874,628 | 819,971 | ||||||||||||||||
Commitments and contingencies | Commitments and contingencies | Commitments and contingencies | ||||||||||||||||||||
Redeemable noncontrolling interests | Redeemable noncontrolling interests | 128,881 | 111,035 | Redeemable noncontrolling interests | 219,726 | 135,280 | ||||||||||||||||
Common stock | Common stock | Common stock | ||||||||||||||||||||
Class A common stock ($0.01 par value per share, 500,000,000 shares authorized, 67,911,928 and 66,699,872 shares outstanding at September 30, 2022 and December 31, 2021, respectively) | 679 | 667 | ||||||||||||||||||||
Class B common stock ($0.01 par value per share, 200,000,000 shares authorized, 2,589,388 and 3,206,580 shares outstanding at September 30, 2022 and December 31, 2021, respectively) | 26 | 32 | ||||||||||||||||||||
Class C common stock ($0.01 par value per share, 400,000,000 shares authorized, 9,111,117 and 9,128,617 shares outstanding at September 30, 2022 and December 31, 2021, respectively) | 91 | 91 | ||||||||||||||||||||
Class A common stock ($0.01 par value per share, 500,000,000 shares authorized, 68,481,220 and 67,982,025 shares outstanding at September 30, 2023 and December 31, 2022, respectively) | Class A common stock ($0.01 par value per share, 500,000,000 shares authorized, 68,481,220 and 67,982,025 shares outstanding at September 30, 2023 and December 31, 2022, respectively) | 685 | 680 | |||||||||||||||||||
Class B common stock ($0.01 par value per share, 200,000,000 shares authorized, 2,456,534 and 2,583,884 shares outstanding at September 30, 2023 and December 31, 2022, respectively) | Class B common stock ($0.01 par value per share, 200,000,000 shares authorized, 2,456,534 and 2,583,884 shares outstanding at September 30, 2023 and December 31, 2022, respectively) | 25 | 26 | |||||||||||||||||||
Class C common stock ($0.01 par value per share, 400,000,000 shares authorized, 9,024,947 and 9,040,147 shares outstanding at September 30, 2023 and December 31, 2022, respectively) | Class C common stock ($0.01 par value per share, 400,000,000 shares authorized, 9,024,947 and 9,040,147 shares outstanding at September 30, 2023 and December 31, 2022, respectively) | 90 | 90 | |||||||||||||||||||
Additional paid-in capital | Additional paid-in capital | 163,769 | 141,835 | Additional paid-in capital | 187,764 | 171,416 | ||||||||||||||||
Retained earnings | Retained earnings | 78,641 | 134,889 | Retained earnings | 112,266 | 93,088 | ||||||||||||||||
Accumulated other comprehensive income (loss) | Accumulated other comprehensive income (loss) | (4,289) | (1,310) | Accumulated other comprehensive income (loss) | (3,246) | (3,079) | ||||||||||||||||
Total Artisan Partners Asset Management Inc. stockholders’ equity | Total Artisan Partners Asset Management Inc. stockholders’ equity | 238,917 | 276,204 | Total Artisan Partners Asset Management Inc. stockholders’ equity | 297,584 | 262,221 | ||||||||||||||||
Noncontrolling interests - Artisan Partners Holdings | Noncontrolling interests - Artisan Partners Holdings | 16,196 | 19,757 | Noncontrolling interests - Artisan Partners Holdings | 25,740 | 17,136 | ||||||||||||||||
Total stockholders’ equity | Total stockholders’ equity | $ | 255,113 | $ | 295,961 | Total stockholders’ equity | 323,324 | 279,357 | ||||||||||||||
Total liabilities, redeemable noncontrolling interests, and stockholders’ equity | Total liabilities, redeemable noncontrolling interests, and stockholders’ equity | $ | 1,342,884 | $ | 1,208,047 | Total liabilities, redeemable noncontrolling interests, and stockholders’ equity | $ | 1,417,678 | $ | 1,234,608 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
Revenues | Revenues | Revenues | ||||||||||||||||||||||||||||||||||||||||||||
Management fees | Management fees | $ | 234,191 | $ | 316,176 | $ | 766,901 | $ | 901,011 | Management fees | $ | 248,691 | $ | 234,191 | $ | 725,980 | $ | 766,901 | ||||||||||||||||||||||||||||
Performance fees | Performance fees | 121 | 398 | 397 | 11,189 | Performance fees | 31 | 121 | 154 | 397 | ||||||||||||||||||||||||||||||||||||
Total revenues | Total revenues | $ | 234,312 | $ | 316,574 | $ | 767,298 | $ | 912,200 | Total revenues | 248,722 | 234,312 | $ | 726,134 | $ | 767,298 | ||||||||||||||||||||||||||||||
Operating Expenses | Operating Expenses | Operating Expenses | ||||||||||||||||||||||||||||||||||||||||||||
Compensation and benefits | Compensation and benefits | 122,033 | 142,235 | 389,359 | 419,713 | Compensation and benefits | 130,648 | 122,033 | 392,593 | 389,359 | ||||||||||||||||||||||||||||||||||||
Distribution, servicing and marketing | Distribution, servicing and marketing | 5,593 | 8,131 | 18,952 | 23,707 | Distribution, servicing and marketing | 6,153 | 5,593 | 17,786 | 18,952 | ||||||||||||||||||||||||||||||||||||
Occupancy | Occupancy | 7,127 | 5,560 | 20,407 | 16,260 | Occupancy | 7,244 | 7,127 | 21,506 | 20,407 | ||||||||||||||||||||||||||||||||||||
Communication and technology | Communication and technology | 11,945 | 10,873 | 35,833 | 31,150 | Communication and technology | 12,974 | 12,441 | 38,395 | 37,704 | ||||||||||||||||||||||||||||||||||||
General and administrative | General and administrative | 8,888 | 6,717 | 28,622 | 18,700 | General and administrative | 9,548 | 8,392 | 28,690 | 26,751 | ||||||||||||||||||||||||||||||||||||
Total operating expenses | Total operating expenses | 155,586 | 173,516 | 493,173 | 509,530 | Total operating expenses | 166,567 | 155,586 | 498,970 | 493,173 | ||||||||||||||||||||||||||||||||||||
Total operating income | Total operating income | 78,726 | 143,058 | 274,125 | 402,670 | Total operating income | 82,155 | 78,726 | 227,164 | 274,125 | ||||||||||||||||||||||||||||||||||||
Non-operating income (expense) | Non-operating income (expense) | Non-operating income (expense) | ||||||||||||||||||||||||||||||||||||||||||||
Interest expense | Interest expense | (2,428) | (2,711) | (7,853) | (8,116) | Interest expense | (2,297) | (2,428) | (6,520) | (7,853) | ||||||||||||||||||||||||||||||||||||
Net gain (loss) on the tax receivable agreements | Net gain (loss) on the tax receivable agreements | 431 | 358 | 913 | 358 | Net gain (loss) on the tax receivable agreements | 505 | 431 | 505 | 913 | ||||||||||||||||||||||||||||||||||||
Net investment gain (loss) of consolidated investment products | Net investment gain (loss) of consolidated investment products | (3,936) | 2,824 | (14,605) | 18,068 | Net investment gain (loss) of consolidated investment products | 9,787 | (3,936) | 38,189 | (14,605) | ||||||||||||||||||||||||||||||||||||
Other net investment gain (loss) | Other net investment gain (loss) | (5,563) | (2,109) | (23,729) | 2,022 | Other net investment gain (loss) | (2,152) | (5,563) | 11,329 | (23,729) | ||||||||||||||||||||||||||||||||||||
Total non-operating income (expense) | Total non-operating income (expense) | (11,496) | (1,638) | (45,274) | 12,332 | Total non-operating income (expense) | 5,843 | (11,496) | 43,503 | (45,274) | ||||||||||||||||||||||||||||||||||||
Income before income taxes | Income before income taxes | 67,230 | 141,420 | 228,851 | 415,002 | Income before income taxes | 87,998 | 67,230 | 270,667 | 228,851 | ||||||||||||||||||||||||||||||||||||
Provision for income taxes | Provision for income taxes | 14,750 | 28,054 | 46,761 | 78,137 | Provision for income taxes | 14,570 | 14,750 | 51,663 | 46,761 | ||||||||||||||||||||||||||||||||||||
Net income before noncontrolling interests | Net income before noncontrolling interests | 52,480 | 113,366 | 182,090 | 336,865 | Net income before noncontrolling interests | 73,428 | 52,480 | 219,004 | 182,090 | ||||||||||||||||||||||||||||||||||||
Less: Net income attributable to noncontrolling interests - Artisan Partners Holdings | Less: Net income attributable to noncontrolling interests - Artisan Partners Holdings | 10,999 | 24,796 | 37,150 | 74,064 | Less: Net income attributable to noncontrolling interests - Artisan Partners Holdings | 11,319 | 10,999 | 35,493 | 37,150 | ||||||||||||||||||||||||||||||||||||
Less: Net income (loss) attributable to noncontrolling interests - consolidated investment products | Less: Net income (loss) attributable to noncontrolling interests - consolidated investment products | (2,754) | 2,157 | (9,007) | 10,903 | Less: Net income (loss) attributable to noncontrolling interests - consolidated investment products | 8,954 | (2,754) | 25,978 | (9,007) | ||||||||||||||||||||||||||||||||||||
Net income attributable to Artisan Partners Asset Management Inc. | Net income attributable to Artisan Partners Asset Management Inc. | $ | 44,235 | $ | 86,413 | $ | 153,947 | $ | 251,898 | Net income attributable to Artisan Partners Asset Management Inc. | $ | 53,155 | $ | 44,235 | $ | 157,533 | $ | 153,947 | ||||||||||||||||||||||||||||
Basic earnings per share | Basic earnings per share | $ | 0.65 | $ | 1.30 | $ | 2.17 | $ | 3.84 | Basic earnings per share | $ | 0.76 | $ | 0.65 | $ | 2.27 | $ | 2.17 | ||||||||||||||||||||||||||||
Diluted earnings per share | Diluted earnings per share | $ | 0.65 | $ | 1.30 | $ | 2.17 | $ | 3.84 | Diluted earnings per share | $ | 0.76 | $ | 0.65 | $ | 2.27 | $ | 2.17 | ||||||||||||||||||||||||||||
Basic weighted average number of common shares outstanding | Basic weighted average number of common shares outstanding | 62,623,434 | 59,965,549 | 62,329,756 | 59,519,634 | Basic weighted average number of common shares outstanding | 63,520,402 | 62,623,434 | 63,419,587 | 62,329,756 | ||||||||||||||||||||||||||||||||||||
Diluted weighted average number of common shares outstanding | Diluted weighted average number of common shares outstanding | 62,632,660 | 59,982,774 | 62,353,275 | 59,535,894 | Diluted weighted average number of common shares outstanding | 63,563,044 | 62,632,660 | 63,449,804 | 62,353,275 | ||||||||||||||||||||||||||||||||||||
Dividends declared per Class A common share | Dividends declared per Class A common share | $ | 0.60 | $ | 1.00 | $ | 3.11 | $ | 3.16 | Dividends declared per Class A common share | $ | 0.61 | $ | 0.60 | $ | 2.01 | $ | 3.11 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
Net income before noncontrolling interests | Net income before noncontrolling interests | $ | 52,480 | $ | 113,366 | $ | 182,090 | $ | 336,865 | Net income before noncontrolling interests | $ | 73,428 | $ | 52,480 | $ | 219,004 | $ | 182,090 | ||||||||||||||||||||||||||||
Other comprehensive income (loss) | Other comprehensive income (loss) | Other comprehensive income (loss) | ||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation gain (loss) | Foreign currency translation gain (loss) | (1,518) | (595) | (3,476) | (358) | Foreign currency translation gain (loss) | (770) | (1,518) | 144 | (3,476) | ||||||||||||||||||||||||||||||||||||
Total other comprehensive income (loss) | Total other comprehensive income (loss) | (1,518) | (595) | (3,476) | (358) | Total other comprehensive income (loss) | (770) | (1,518) | 144 | (3,476) | ||||||||||||||||||||||||||||||||||||
Comprehensive income | Comprehensive income | 50,962 | 112,771 | 178,614 | 336,507 | Comprehensive income | 72,658 | 50,962 | 219,148 | 178,614 | ||||||||||||||||||||||||||||||||||||
Comprehensive income attributable to noncontrolling interests - Artisan Partners Holdings | Comprehensive income attributable to noncontrolling interests - Artisan Partners Holdings | 10,800 | 24,697 | 36,654 | 74,028 | Comprehensive income attributable to noncontrolling interests - Artisan Partners Holdings | 11,204 | 10,800 | 35,727 | 36,654 | ||||||||||||||||||||||||||||||||||||
Comprehensive income (loss) attributable to noncontrolling interests - consolidated investment products | Comprehensive income (loss) attributable to noncontrolling interests - consolidated investment products | (2,754) | 2,157 | (9,007) | 10,903 | Comprehensive income (loss) attributable to noncontrolling interests - consolidated investment products | 8,954 | (2,754) | 25,978 | (9,007) | ||||||||||||||||||||||||||||||||||||
Comprehensive income attributable to Artisan Partners Asset Management Inc. | Comprehensive income attributable to Artisan Partners Asset Management Inc. | $ | 42,916 | $ | 85,917 | $ | 150,967 | $ | 251,576 | Comprehensive income attributable to Artisan Partners Asset Management Inc. | $ | 52,500 | $ | 42,916 | $ | 157,443 | $ | 150,967 |
Three months ended September 30, 2022 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | |||||||||||||||||||||||||||||||||||||||||||||||||
Three months ended September 30, 2023 | Three months ended September 30, 2023 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | ||||||||||||||||||||||||||||||||||||||||||||||||
Balance at July 1, 2022 | $ | 674 | $ | 31 | $ | 91 | $ | 153,134 | $ | 75,443 | $ | (2,971) | $ | 16,892 | $ | 243,294 | $ | 127,078 | ||||||||||||||||||||||||||||||||||||||||
Balance at July 1, 2023 | Balance at July 1, 2023 | $ | 685 | $ | 25 | $ | 90 | $ | 181,484 | $ | 101,243 | $ | (2,531) | $ | 25,741 | $ | 306,737 | $ | 206,288 | |||||||||||||||||||||||||||||||||||||||
Net income | Net income | — | — | — | — | 44,235 | — | 10,999 | 55,234 | (2,754) | Net income | — | — | — | — | 53,155 | — | 11,319 | 64,474 | 8,954 | ||||||||||||||||||||||||||||||||||||||
Other comprehensive income - foreign currency translation | Other comprehensive income - foreign currency translation | — | — | — | — | — | (1,294) | (224) | (1,518) | — | Other comprehensive income - foreign currency translation | — | — | — | — | — | (655) | (115) | (770) | — | ||||||||||||||||||||||||||||||||||||||
Cumulative impact of changes in ownership of Artisan Partners Holdings LP | Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | 889 | — | (24) | (865) | — | — | Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | (532) | — | (60) | 592 | — | — | ||||||||||||||||||||||||||||||||||||||
Amortization of equity-based compensation | Amortization of equity-based compensation | — | — | — | 8,660 | — | — | 1,499 | 10,159 | — | Amortization of equity-based compensation | — | — | — | 6,781 | — | — | 1,114 | 7,895 | — | ||||||||||||||||||||||||||||||||||||||
Deferred tax assets, net of amounts payable under tax receivable agreements | Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 1,378 | — | — | — | 1,378 | — | Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 32 | — | — | — | 32 | — | ||||||||||||||||||||||||||||||||||||||
Issuance of Class A common stock, net of issuance costs | Issuance of Class A common stock, net of issuance costs | — | — | — | (7) | — | — | — | (7) | — | Issuance of Class A common stock, net of issuance costs | — | — | — | (1) | — | — | — | (1) | — | ||||||||||||||||||||||||||||||||||||||
Forfeitures and employee/partner terminations | Forfeitures and employee/partner terminations | — | — | — | — | — | — | — | — | — | Forfeitures and employee/partner terminations | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Issuance of restricted stock awards | Issuance of restricted stock awards | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Employee net share settlement | Employee net share settlement | — | — | — | (285) | (1) | — | (48) | (334) | — | Employee net share settlement | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Exchange of subsidiary equity | Exchange of subsidiary equity | 5 | (5) | — | — | — | — | — | — | — | Exchange of subsidiary equity | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Capital contributions, net | Capital contributions, net | — | — | — | — | — | — | — | — | 4,557 | Capital contributions, net | — | — | — | — | — | — | — | — | 23,013 | ||||||||||||||||||||||||||||||||||||||
Impact of deconsolidation of CIPs | Impact of deconsolidation of CIPs | — | — | — | — | — | — | — | — | (18,529) | ||||||||||||||||||||||||||||||||||||||||||||||||
Distributions | Distributions | — | — | — | — | — | — | (12,026) | (12,026) | — | Distributions | — | — | — | — | — | — | (12,883) | (12,883) | — | ||||||||||||||||||||||||||||||||||||||
Dividends | Dividends | — | — | — | — | (41,036) | — | (31) | (41,067) | — | Dividends | — | — | — | — | (42,132) | — | (28) | (42,160) | — | ||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2022 | $ | 679 | $ | 26 | $ | 91 | $ | 163,769 | $ | 78,641 | $ | (4,289) | $ | 16,196 | $ | 255,113 | $ | 128,881 | ||||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2023 | Balance at September 30, 2023 | $ | 685 | $ | 25 | $ | 90 | $ | 187,764 | $ | 112,266 | $ | (3,246) | $ | 25,740 | $ | 323,324 | $ | 219,726 |
Three months ended September 30, 2021 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | |||||||||||||||||||||||||||||||||||||||||||||||||
Three months ended September 30, 2022 | Three months ended September 30, 2022 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | ||||||||||||||||||||||||||||||||||||||||||||||||
Balance at July 1, 2021 | $ | 648 | $ | 36 | $ | 106 | $ | 119,855 | $ | 100,429 | $ | (817) | $ | 20,207 | $ | 240,464 | $ | 90,458 | ||||||||||||||||||||||||||||||||||||||||
Balance at July 1, 2022 | Balance at July 1, 2022 | $ | 674 | $ | 31 | $ | 91 | $ | 153,134 | $ | 75,443 | $ | (2,971) | $ | 16,892 | $ | 243,294 | $ | 127,078 | |||||||||||||||||||||||||||||||||||||||
Net income | Net income | — | — | — | — | 86,413 | — | 24,795 | 111,208 | 2,157 | Net income | — | — | — | — | 44,235 | — | 10,999 | 55,234 | (2,754) | ||||||||||||||||||||||||||||||||||||||
Other comprehensive income - foreign currency translation | Other comprehensive income - foreign currency translation | — | — | — | — | — | (489) | (106) | (595) | — | Other comprehensive income - foreign currency translation | — | — | — | — | — | (1,294) | (224) | (1,518) | — | ||||||||||||||||||||||||||||||||||||||
Cumulative impact of changes in ownership of Artisan Partners Holdings LP | Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | (412) | — | (7) | 419 | — | — | Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | 889 | — | (24) | (865) | — | — | ||||||||||||||||||||||||||||||||||||||
Amortization of equity-based compensation | Amortization of equity-based compensation | — | — | — | 8,029 | — | — | 1,716 | 9,745 | — | Amortization of equity-based compensation | — | — | — | 8,660 | — | — | 1,499 | 10,159 | — | ||||||||||||||||||||||||||||||||||||||
Deferred tax assets, net of amounts payable under tax receivable agreements | Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 1,154 | — | — | — | 1,154 | — | Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 1,378 | — | — | — | 1,378 | — | ||||||||||||||||||||||||||||||||||||||
Issuance of Class A common stock, net of issuance costs | Issuance of Class A common stock, net of issuance costs | — | — | — | (5) | — | — | — | (5) | — | Issuance of Class A common stock, net of issuance costs | — | — | — | (7) | — | — | — | (7) | — | ||||||||||||||||||||||||||||||||||||||
Forfeitures and employee/partner terminations | Forfeitures and employee/partner terminations | — | — | — | — | — | — | — | — | — | Forfeitures and employee/partner terminations | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Issuance of restricted stock awards | Issuance of restricted stock awards | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Employee net share settlement | Employee net share settlement | — | — | — | (285) | (1) | — | (48) | (334) | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Exchange of subsidiary equity | Exchange of subsidiary equity | 4 | — | (4) | — | — | — | — | — | — | Exchange of subsidiary equity | 5 | (5) | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Capital contributions, net | Capital contributions, net | — | — | — | — | — | — | — | — | 4,776 | Capital contributions, net | — | — | — | — | — | — | — | — | 4,557 | ||||||||||||||||||||||||||||||||||||||
Impact of deconsolidation of CIPs | Impact of deconsolidation of CIPs | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Distributions | Distributions | — | — | — | — | — | — | (25,629) | (25,629) | — | Distributions | — | — | — | — | — | — | (12,026) | (12,026) | — | ||||||||||||||||||||||||||||||||||||||
Dividends | Dividends | — | — | — | — | (65,345) | — | (44) | (65,389) | — | Dividends | — | — | — | — | (41,036) | — | (31) | (41,067) | — | ||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2021 | $ | 652 | $ | 36 | $ | 102 | $ | 128,621 | $ | 121,497 | $ | (1,313) | $ | 21,358 | $ | 270,953 | $ | 97,391 | ||||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2022 | Balance at September 30, 2022 | $ | 679 | $ | 26 | $ | 91 | $ | 163,769 | $ | 78,641 | $ | (4,289) | $ | 16,196 | $ | 255,113 | $ | 128,881 | |||||||||||||||||||||||||||||||||||||||
The accompanying notes are an integral part of the consolidated financial statements. | The accompanying notes are an integral part of the consolidated financial statements. | The accompanying notes are an integral part of the consolidated financial statements. |
Nine months ended September 30, 2022 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | ||||||||||||||||||||
Balance at January 1, 2022 | $ | 667 | $ | 32 | $ | 91 | $ | 141,835 | $ | 134,889 | $ | (1,310) | $ | 19,757 | $ | 295,961 | $ | 111,035 | |||||||||||
Net income | — | — | — | — | 153,947 | — | 37,150 | 191,097 | (9,007) | ||||||||||||||||||||
Other comprehensive income - foreign currency translation | — | — | — | — | — | (2,950) | (526) | (3,476) | — | ||||||||||||||||||||
Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | (262) | — | (29) | 291 | — | — | ||||||||||||||||||||
Amortization of equity-based compensation | — | — | — | 27,026 | — | — | 4,587 | 31,613 | — | ||||||||||||||||||||
Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 1,708 | — | — | — | 1,708 | — | ||||||||||||||||||||
Issuance of Class A common stock, net of issuance costs | — | — | — | (9) | — | — | — | (9) | — | ||||||||||||||||||||
Forfeitures and employee/partner terminations | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Issuance of restricted stock awards | 8 | — | — | (8) | — | — | — | — | — | ||||||||||||||||||||
Employee net share settlement | (2) | — | — | (6,521) | (26) | — | (1,205) | (7,754) | — | ||||||||||||||||||||
Exchange of subsidiary equity | 6 | (6) | — | — | — | — | — | — | — | ||||||||||||||||||||
Capital contributions, net | — | — | — | — | — | — | — | — | 36,126 | ||||||||||||||||||||
Impact of deconsolidation of CIPs | — | — | — | — | — | — | — | — | (9,273) | ||||||||||||||||||||
Distributions | — | — | — | — | — | — | (43,721) | (43,721) | — | ||||||||||||||||||||
Dividends | — | — | — | — | (210,169) | — | (137) | (210,306) | — | ||||||||||||||||||||
Balance at September 30, 2022 | $ | 679 | $ | 26 | $ | 91 | $ | 163,769 | $ | 78,641 | $ | (4,289) | $ | 16,196 | $ | 255,113 | $ | 128,881 |
Nine months ended September 30, 2021 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | ||||||||||||||||||||
Balance at January 1, 2021 | $ | 631 | $ | 45 | $ | 110 | $ | 107,738 | $ | 72,944 | $ | (991) | $ | 10,565 | $ | 191,042 | $ | 93,753 | |||||||||||
Net income | — | — | — | — | 251,898 | — | 74,064 | 325,962 | 10,903 | ||||||||||||||||||||
Other comprehensive income - foreign currency translation | — | — | — | — | — | (301) | (57) | (358) | — | ||||||||||||||||||||
Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | (1,256) | — | (21) | 1,277 | — | — | ||||||||||||||||||||
Amortization of equity-based compensation | — | — | — | 24,798 | — | — | 5,301 | 30,099 | — | ||||||||||||||||||||
Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 4,994 | — | — | — | 4,994 | — | ||||||||||||||||||||
Issuance of Class A common stock, net of issuance costs | 10 | — | — | 46,651 | — | — | — | 46,661 | — | ||||||||||||||||||||
Forfeitures and employee/partner terminations | (1) | — | — | 1 | — | — | — | — | — | ||||||||||||||||||||
Issuance of restricted stock awards | 7 | — | — | (7) | — | — | — | — | — | ||||||||||||||||||||
Employee net share settlement | (2) | — | — | (7,380) | — | — | (1,777) | (9,159) | — | ||||||||||||||||||||
Exchange of subsidiary equity | 7 | (2) | (5) | — | — | — | — | — | — | ||||||||||||||||||||
Purchase of equity and subsidiary equity | — | (7) | (3) | (46,918) | — | — | — | (46,928) | — | ||||||||||||||||||||
Capital contributions, net | — | — | — | — | — | — | — | — | 59,818 | ||||||||||||||||||||
Impact of deconsolidation of CIPs | — | — | — | — | — | — | — | — | (67,083) | ||||||||||||||||||||
Distributions | — | — | — | — | — | — | (67,889) | (67,889) | — | ||||||||||||||||||||
Dividends | — | — | — | — | (203,345) | — | (126) | (203,471) | — | ||||||||||||||||||||
Balance at September 30, 2021 | $ | 652 | $ | 36 | $ | 102 | $ | 128,621 | $ | 121,497 | $ | (1,313) | $ | 21,358 | $ | 270,953 | $ | 97,391 | |||||||||||
The accompanying notes are an integral part of the consolidated financial statements. |
Nine months ended September 30, 2023 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | ||||||||||||||||||||
Balance at January 1, 2023 | $ | 680 | $ | 26 | $ | 90 | $ | 171,416 | $ | 93,088 | $ | (3,079) | $ | 17,136 | $ | 279,357 | $ | 135,280 | |||||||||||
Net income | — | — | — | — | 157,533 | — | 35,493 | 193,026 | 25,978 | ||||||||||||||||||||
Other comprehensive income - foreign currency translation | — | — | — | — | — | (90) | 234 | 144 | — | ||||||||||||||||||||
Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | (696) | — | (77) | 773 | — | — | ||||||||||||||||||||
Amortization of equity-based compensation | — | — | — | 22,489 | — | — | 3,523 | 26,012 | — | ||||||||||||||||||||
Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 421 | — | — | — | 421 | — | ||||||||||||||||||||
Issuance of Class A common stock, net of issuance costs | — | — | — | (85) | — | — | — | (85) | — | ||||||||||||||||||||
Forfeitures and employee/partner terminations | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Issuance of restricted stock awards | 6 | — | — | (6) | — | — | — | — | — | ||||||||||||||||||||
Employee net share settlement | (2) | — | — | (5,775) | — | — | (981) | (6,758) | — | ||||||||||||||||||||
Exchange of subsidiary equity | 1 | (1) | — | — | — | — | — | — | — | ||||||||||||||||||||
Capital contributions, net | — | — | — | — | — | — | — | — | 76,997 | ||||||||||||||||||||
Impact of deconsolidation of CIPs | — | — | — | — | — | — | — | — | (18,529) | ||||||||||||||||||||
Distributions | — | — | — | — | — | — | (30,341) | (30,341) | — | ||||||||||||||||||||
Dividends | — | — | — | — | (138,355) | — | (97) | (138,452) | — | ||||||||||||||||||||
Balance at September 30, 2023 | $ | 685 | $ | 25 | $ | 90 | $ | 187,764 | $ | 112,266 | $ | (3,246) | $ | 25,740 | $ | 323,324 | $ | 219,726 |
Nine months ended September 30, 2022 | Class A Common Stock | Class B Common Stock | Class C Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Noncontrolling Interests - Artisan Partners Holdings | Total Stockholders’ Equity | Redeemable Noncontrolling Interests | ||||||||||||||||||||
Balance at January 1, 2022 | $ | 667 | $ | 32 | $ | 91 | $ | 141,835 | $ | 134,889 | $ | (1,310) | $ | 19,757 | $ | 295,961 | $ | 111,035 | |||||||||||
Net income | — | — | — | — | 153,947 | — | 37,150 | 191,097 | (9,007) | ||||||||||||||||||||
Other comprehensive income - foreign currency translation | — | — | — | — | — | (2,950) | (526) | (3,476) | — | ||||||||||||||||||||
Cumulative impact of changes in ownership of Artisan Partners Holdings LP | — | — | — | (262) | — | (29) | 291 | — | — | ||||||||||||||||||||
Amortization of equity-based compensation | — | — | — | 27,026 | — | — | 4,587 | 31,613 | — | ||||||||||||||||||||
Deferred tax assets, net of amounts payable under tax receivable agreements | — | — | — | 1,708 | — | — | — | 1,708 | — | ||||||||||||||||||||
Issuance of Class A common stock, net of issuance costs | — | — | — | (9) | — | — | — | (9) | — | ||||||||||||||||||||
Forfeitures and employee/partner terminations | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Issuance of restricted stock awards | 8 | — | — | (8) | — | — | — | — | — | ||||||||||||||||||||
Employee net share settlement | (2) | — | — | (6,521) | (26) | — | (1,205) | (7,754) | — | ||||||||||||||||||||
Exchange of subsidiary equity | 6 | (6) | — | — | — | — | — | — | — | ||||||||||||||||||||
Capital contributions, net | — | — | — | — | — | — | — | — | 36,126 | ||||||||||||||||||||
Impact of deconsolidation of CIPs | — | — | — | — | — | — | — | — | (9,273) | ||||||||||||||||||||
Distributions | — | — | — | — | — | — | (43,721) | (43,721) | — | ||||||||||||||||||||
Dividends | — | — | — | — | (210,169) | — | (137) | (210,306) | — | ||||||||||||||||||||
Balance at September 30, 2022 | $ | 679 | $ | 26 | $ | 91 | $ | 163,769 | $ | 78,641 | $ | (4,289) | $ | 16,196 | $ | 255,113 | $ | 128,881 | |||||||||||
The accompanying notes are an integral part of the consolidated financial statements. |
For the Nine Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||
2022 | 2021 | 2023 | 2022 | |||||||||||||||||||
Cash flows from operating activities | Cash flows from operating activities | Cash flows from operating activities | ||||||||||||||||||||
Net income before noncontrolling interests | Net income before noncontrolling interests | $ | 182,090 | $ | 336,865 | Net income before noncontrolling interests | $ | 219,004 | $ | 182,090 | ||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | Adjustments to reconcile net income to net cash provided by operating activities: | Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||||||||
Depreciation and amortization | Depreciation and amortization | 5,618 | 5,081 | Depreciation and amortization | 6,896 | 5,618 | ||||||||||||||||
Deferred income taxes | Deferred income taxes | 21,697 | 28,411 | Deferred income taxes | 32,286 | 21,697 | ||||||||||||||||
Noncash lease expense | 1,271 | (1,272) | ||||||||||||||||||||
Noncash lease expense (benefit) | Noncash lease expense (benefit) | (158) | 1,271 | |||||||||||||||||||
Net investment (gain) loss on nonconsolidated investment securities | Net investment (gain) loss on nonconsolidated investment securities | 23,777 | (2,230) | Net investment (gain) loss on nonconsolidated investment securities | (7,551) | 23,777 | ||||||||||||||||
Net (gain) loss on the tax receivable agreements | Net (gain) loss on the tax receivable agreements | (913) | (358) | Net (gain) loss on the tax receivable agreements | (505) | (913) | ||||||||||||||||
(Gain) loss on disposal of property and equipment | (Gain) loss on disposal of property and equipment | 38 | 1 | (Gain) loss on disposal of property and equipment | 2 | 38 | ||||||||||||||||
Amortization of debt issuance costs | Amortization of debt issuance costs | 329 | 304 | Amortization of debt issuance costs | 333 | 329 | ||||||||||||||||
Share-based compensation | Share-based compensation | 31,613 | 30,099 | Share-based compensation | 26,012 | 31,613 | ||||||||||||||||
Net investment (gain) loss of consolidated investment products | Net investment (gain) loss of consolidated investment products | 14,605 | (18,068) | Net investment (gain) loss of consolidated investment products | (38,189) | 14,605 | ||||||||||||||||
Purchase of investments by consolidated investment products | Purchase of investments by consolidated investment products | (319,093) | (190,614) | Purchase of investments by consolidated investment products | (325,922) | (319,093) | ||||||||||||||||
Proceeds from sale of investments by consolidated investment products | Proceeds from sale of investments by consolidated investment products | 151,198 | 127,863 | Proceeds from sale of investments by consolidated investment products | 224,288 | 151,198 | ||||||||||||||||
Change in assets and liabilities resulting in an increase (decrease) in cash: | Change in assets and liabilities resulting in an increase (decrease) in cash: | Change in assets and liabilities resulting in an increase (decrease) in cash: | ||||||||||||||||||||
Accounts receivable | Accounts receivable | 12,416 | (22,260) | Accounts receivable | 2,232 | 12,416 | ||||||||||||||||
Prepaid expenses and other assets | Prepaid expenses and other assets | 2,527 | (4,214) | Prepaid expenses and other assets | 431 | 2,527 | ||||||||||||||||
Accounts payable and accrued expenses | Accounts payable and accrued expenses | 94,611 | 113,355 | Accounts payable and accrued expenses | 100,060 | 94,611 | ||||||||||||||||
Net change in operating assets and liabilities of consolidated investment products | 84,838 | 1,205 | ||||||||||||||||||||
Net change in operating assets and liabilities of consolidated investment products including net investment income | Net change in operating assets and liabilities of consolidated investment products including net investment income | 23,583 | 84,838 | |||||||||||||||||||
Net cash provided by operating activities | Net cash provided by operating activities | 306,622 | 404,168 | Net cash provided by operating activities | 262,802 | 306,622 | ||||||||||||||||
Cash flows from investing activities | Cash flows from investing activities | Cash flows from investing activities | ||||||||||||||||||||
Acquisition of property and equipment | Acquisition of property and equipment | (5,284) | (1,791) | Acquisition of property and equipment | (585) | (5,284) | ||||||||||||||||
Leasehold improvements | Leasehold improvements | (11,007) | (3,338) | Leasehold improvements | (5,690) | (11,007) | ||||||||||||||||
Proceeds from sale of investment securities | Proceeds from sale of investment securities | 5,164 | 12,813 | Proceeds from sale of investment securities | 5,226 | 5,164 | ||||||||||||||||
Purchase of investment securities | Purchase of investment securities | (49,337) | (33,820) | Purchase of investment securities | (35,483) | (49,337) | ||||||||||||||||
Net cash used in investing activities | Net cash used in investing activities | (60,464) | (26,136) | Net cash used in investing activities | (36,532) | (60,464) | ||||||||||||||||
Cash flows from financing activities | Cash flows from financing activities | Cash flows from financing activities | ||||||||||||||||||||
Partnership distributions | Partnership distributions | (43,721) | (67,889) | Partnership distributions | (30,341) | (43,721) | ||||||||||||||||
Dividends paid | Dividends paid | (210,306) | (203,471) | Dividends paid | (138,451) | (210,306) | ||||||||||||||||
Payment of debt issuance costs | Payment of debt issuance costs | (543) | — | Payment of debt issuance costs | — | (543) | ||||||||||||||||
Proceeds from issuance of notes payable | Proceeds from issuance of notes payable | 90,000 | — | Proceeds from issuance of notes payable | — | 90,000 | ||||||||||||||||
Principal payments on notes payable | Principal payments on notes payable | (90,000) | — | Principal payments on notes payable | — | (90,000) | ||||||||||||||||
Payment under the tax receivable agreements | (33,109) | (31,250) | ||||||||||||||||||||
Net proceeds from issuance of common stock | — | 46,928 | ||||||||||||||||||||
Payment of costs directly associated with the issuance of Class A common stock | — | (244) | ||||||||||||||||||||
Purchase of equity and subsidiary equity | — | (46,928) | ||||||||||||||||||||
Payments under the tax receivable agreements | Payments under the tax receivable agreements | (35,757) | (33,109) | |||||||||||||||||||
Taxes paid related to employee net share settlement | Taxes paid related to employee net share settlement | (7,754) | (9,159) | Taxes paid related to employee net share settlement | (6,758) | (7,754) | ||||||||||||||||
Capital contributions to consolidated investment products, net | Capital contributions to consolidated investment products, net | 36,126 | 59,818 | Capital contributions to consolidated investment products, net | 76,997 | 36,126 | ||||||||||||||||
Net cash used in financing activities | Net cash used in financing activities | (259,307) | (252,195) | Net cash used in financing activities | (134,310) | (259,307) | ||||||||||||||||
Net increase (decrease) in cash, cash equivalents, and restricted cash | Net increase (decrease) in cash, cash equivalents, and restricted cash | (13,149) | 125,837 | Net increase (decrease) in cash, cash equivalents, and restricted cash | 91,960 | (13,149) | ||||||||||||||||
Net cash impact of deconsolidation of CIPs | Net cash impact of deconsolidation of CIPs | — | (34,823) | Net cash impact of deconsolidation of CIPs | (4,679) | — | ||||||||||||||||
Cash, cash equivalents and restricted cash | Cash, cash equivalents and restricted cash | Cash, cash equivalents and restricted cash | ||||||||||||||||||||
Beginning of period | Beginning of period | 200,771 | 199,450 | Beginning of period | 143,248 | 200,771 | ||||||||||||||||
End of period | End of period | $ | 187,622 | $ | 290,464 | End of period | $ | 230,529 | $ | 187,622 | ||||||||||||
Cash, cash equivalents and restricted cash as of the end of the period | Cash, cash equivalents and restricted cash as of the end of the period | Cash, cash equivalents and restricted cash as of the end of the period | ||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents | $ | 168,123 | $ | 273,253 | Cash and cash equivalents | $ | 198,308 | $ | 168,123 | ||||||||||||
Restricted cash | Restricted cash | 629 | 629 | Restricted cash | — | 629 | ||||||||||||||||
Cash and cash equivalents of consolidated investment products | Cash and cash equivalents of consolidated investment products | 18,870 | 16,582 | Cash and cash equivalents of consolidated investment products | 32,221 | 18,870 | ||||||||||||||||
Cash, cash equivalents and restricted cash | Cash, cash equivalents and restricted cash | $ | 187,622 | $ | 290,464 | Cash, cash equivalents and restricted cash | $ | 230,529 | $ | 187,622 | ||||||||||||
Supplementary information | Supplementary information | Supplementary information | ||||||||||||||||||||
Noncash activity: | Noncash activity: | Noncash activity: | ||||||||||||||||||||
Establishment of deferred tax assets | Establishment of deferred tax assets | $ | 8,327 | $ | 28,548 | Establishment of deferred tax assets | $ | 3,214 | $ | 8,327 | ||||||||||||
Establishment of amounts payable under tax receivable agreements | Establishment of amounts payable under tax receivable agreements | 5,929 | 23,206 | Establishment of amounts payable under tax receivable agreements | 828 | 5,929 | ||||||||||||||||
Increase in investment securities due to deconsolidation of CIPs | Increase in investment securities due to deconsolidation of CIPs | 9,970 | 20,900 | Increase in investment securities due to deconsolidation of CIPs | 19,612 | 9,970 | ||||||||||||||||
Operating lease assets obtained in exchange for operating lease liabilities | Operating lease assets obtained in exchange for operating lease liabilities | 32,070 | 2,434 | Operating lease assets obtained in exchange for operating lease liabilities | 78 | 32,070 | ||||||||||||||||
Settlement of franchise capital liability via transfer of investment securities | Settlement of franchise capital liability via transfer of investment securities | 3,204 | — |
As of September 30, 2022 | As of December 31, 2021 | As of September 30, 2023 | As of December 31, 2022 | |||||||||||||||||||
Investments in equity securities | Investments in equity securities | $ | 69,540 | $ | 37,179 | Investments in equity securities | $ | 128,822 | $ | 76,156 | ||||||||||||
Investments in equity securities accounted for under the equity method | Investments in equity securities accounted for under the equity method | 8,700 | 10,699 | Investments in equity securities accounted for under the equity method | 10,808 | 9,259 | ||||||||||||||||
Total investment securities | Total investment securities | $ | 78,240 | $ | 47,878 | Total investment securities | $ | 139,630 | $ | 85,415 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Unrealized gain (loss) on investment securities held at the end of the period | $ | (6,675) | $ | (2,098) | $ | (24,145) | $ | 1,516 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||
Unrealized gain (loss) on investment securities held at the end of the period | $ | (3,901) | $ | (6,675) | $ | 6,458 | $ | (24,145) |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Net investment gain (loss) on nonconsolidated seed investments | $ | (1,649) | $ | (1,741) | $ | (4,585) | $ | 113 | |||||||||||||||
Net investment gain (loss) on franchise capital investments | (3,987) | (357) | (19,192) | 2,117 | |||||||||||||||||||
Other | 73 | (11) | 48 | (208) | |||||||||||||||||||
Other net investment gain (loss) | $ | (5,563) | $ | (2,109) | $ | (23,729) | $ | 2,022 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||
Net investment gain (loss) on nonconsolidated seed investments | $ | 214 | $ | (1,649) | $ | 1,424 | $ | (4,585) | |||||||||||||||
Net investment gain (loss) on franchise capital investments | (4,454) | (3,987) | 6,127 | (19,192) | |||||||||||||||||||
Interest income on cash and cash equivalents and other | 2,088 | 73 | 3,778 | 48 | |||||||||||||||||||
Other net investment gain (loss) | $ | (2,152) | $ | (5,563) | $ | 11,329 | $ | (23,729) |
Assets and Liabilities at Fair Value | Assets and Liabilities at Fair Value | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | NAV Practical Expedient (No Fair Value Level) | Level 1 | Level 2 | Level 3 | Total | NAV Practical Expedient (No Fair Value Level) | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2023 | September 30, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets | Assets | Assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Money market funds | $ | 19,556 | $ | — | $ | 19,556 | $ | — | $ | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Money market funds 1 | Money market funds 1 | $ | 167,310 | $ | — | $ | 167,310 | $ | — | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||
Equity securities | Equity securities | 78,240 | 8,296 | 69,944 | — | — | Equity securities | 139,630 | 10,306 | 129,324 | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
December 31, 2022 | December 31, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets | Assets | Assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Money market funds | $ | 37,861 | $ | — | $ | 37,861 | $ | — | $ | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Money market funds 1 | Money market funds 1 | $ | 3,297 | $ | — | $ | 3,297 | $ | — | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||
Equity securities | Equity securities | 47,878 | 9,975 | 37,903 | — | — | Equity securities | 85,415 | 8,835 | 76,580 | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
1 Money market funds are included within the cash and cash equivalents line of the Unaudited Condensed Consolidated Statements of Financial Condition. | 1 Money market funds are included within the cash and cash equivalents line of the Unaudited Condensed Consolidated Statements of Financial Condition. |
Maturity | As of September 30, 2022 | As of December 31, 2021 | Interest Rate Per Annum | Maturity(1) | As of September 30, 2023 | As of December 31, 2022 | Interest Rate Per Annum | |||||||||||||||||||||||||||||||||||||||
Revolving credit agreement | Revolving credit agreement | August 2027 | $ | — | $ | — | NA | Revolving credit agreement | August 2027 | $ | — | $ | — | NA | ||||||||||||||||||||||||||||||||
Senior notes | Senior notes | Senior notes | ||||||||||||||||||||||||||||||||||||||||||||
Series C | August 2022 | — | 90,000 | 5.82 | % | |||||||||||||||||||||||||||||||||||||||||
Series D | Series D | August 2025 | 60,000 | 60,000 | 4.29 | % | Series D | August 2025 | 60,000 | 60,000 | 4.29 | % | ||||||||||||||||||||||||||||||||||
Series E | Series E | August 2027 | 50,000 | 50,000 | 4.53 | % | Series E | August 2027 | 50,000 | 50,000 | 4.53 | % | ||||||||||||||||||||||||||||||||||
Series F | Series F | August 2032 | 90,000 | — | 3.10 | % | Series F | August 2032 | 90,000 | 90,000 | 3.10 | % | ||||||||||||||||||||||||||||||||||
Total gross borrowings | Total gross borrowings | $ | 200,000 | $ | 200,000 | Total gross borrowings | $ | 200,000 | $ | 200,000 | ||||||||||||||||||||||||||||||||||||
Debt issuance costs | Debt issuance costs | $ | (993) | $ | (556) | Debt issuance costs | $ | (774) | $ | (950) | ||||||||||||||||||||||||||||||||||||
Total borrowings | Total borrowings | $ | 199,007 | $ | 199,444 | Total borrowings | $ | 199,226 | $ | 199,050 | ||||||||||||||||||||||||||||||||||||
(1) The Company is not required to make principal payments on any of the outstanding obligations prior to contractual maturity. | (1) The Company is not required to make principal payments on any of the outstanding obligations prior to contractual maturity. |
2022 | $ | — | |||
2023 | — | ||||
2024 | — | ||||
2025 | 60,000 | ||||
2026 | — | ||||
Thereafter | 140,000 | ||||
Total | $ | 200,000 |
Assets and Liabilities at Fair Value | Assets and Liabilities at Fair Value | |||||||||||||||||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||||||||||
September 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2023 | September 30, 2023 | |||||||||||||||||||||||||||||||||||||||||||||
Assets | Assets | Assets | ||||||||||||||||||||||||||||||||||||||||||||
Money market funds | Money market funds | $ | 18,077 | $ | 18,077 | $ | — | $ | — | Money market funds | $ | 26,682 | $ | 26,682 | $ | — | $ | — | ||||||||||||||||||||||||||||
Equity securities - long position | Equity securities - long position | 40,885 | 38,625 | 2,260 | — | Equity securities - long position | 35,007 | 32,632 | 2,074 | 301 | ||||||||||||||||||||||||||||||||||||
Fixed income instruments - long position | Fixed income instruments - long position | 222,889 | — | 218,417 | 4,472 | Fixed income instruments - long position | 293,274 | — | 288,729 | 4,545 | ||||||||||||||||||||||||||||||||||||
Derivative assets | Derivative assets | 528 | 210 | 318 | — | Derivative assets | 843 | — | 843 | — | ||||||||||||||||||||||||||||||||||||
Short term investments | Short term investments | 7,305 | — | 7,305 | — | |||||||||||||||||||||||||||||||||||||||||
Liabilities | Liabilities | Liabilities | ||||||||||||||||||||||||||||||||||||||||||||
Equity securities - short position | $ | 2,322 | $ | 2,322 | $ | — | $ | — | ||||||||||||||||||||||||||||||||||||||
Fixed income instruments - short position | Fixed income instruments - short position | 17,173 | — | 17,173 | — | Fixed income instruments - short position | $ | 10,410 | $ | 364 | $ | 10,046 | $ | — | ||||||||||||||||||||||||||||||||
Derivative liabilities | Derivative liabilities | 1,556 | 1,433 | 123 | — | Derivative liabilities | 2,904 | — | 2,904 | — |
Assets and Liabilities at Fair Value | |||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||
December 31, 2021 | |||||||||||||||||||||||
Assets | |||||||||||||||||||||||
Money market funds | $ | 7,908 | $ | 7,908 | $ | — | $ | — | |||||||||||||||
Equity securities - long position | 33,583 | 31,838 | 1,745 | — | |||||||||||||||||||
Fixed income instruments - long position | 161,177 | — | 156,240 | 4,937 | |||||||||||||||||||
Derivative assets | 241 | — | 241 | — | |||||||||||||||||||
Liabilities | |||||||||||||||||||||||
Equity securities - short position | $ | 3,427 | $ | 3,427 | $ | — | $ | — | |||||||||||||||
Fixed income instruments - short position | 15,570 | — | 15,570 | — | |||||||||||||||||||
Derivative liabilities | 182 | 4 | 178 | — |
Assets and Liabilities at Fair Value | |||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||
December 31, 2022 | |||||||||||||||||||||||
Assets | |||||||||||||||||||||||
Money market funds | $ | 25,140 | $ | 25,140 | $ | — | $ | — | |||||||||||||||
Equity securities - long position | 32,388 | 30,179 | 2,209 | — | |||||||||||||||||||
Fixed income instruments - long position | 216,638 | — | 212,368 | 4,270 | |||||||||||||||||||
Derivative assets | 951 | 74 | 877 | — | |||||||||||||||||||
Short term investments | 5,766 | — | 5,766 | — | |||||||||||||||||||
Liabilities | |||||||||||||||||||||||
Equity securities - short position | $ | 256 | $ | 256 | $ | — | $ | — | |||||||||||||||
Fixed income instruments - short position | 17,273 | — | 17,273 | — | |||||||||||||||||||
Derivative liabilities | 3,222 | 2,462 | 760 | — |
As of September 30, 2022 | As of December 31, 2021 | As of September 30, 2023 | As of December 31, 2022 | |||||||||||||||||||
Net CIP assets included in the table above | Net CIP assets included in the table above | $ | 261,328 | $ | 183,730 | Net CIP assets included in the table above | $ | 349,797 | $ | 260,132 | ||||||||||||
Net CIP assets/(liabilities) not included in the table above | Net CIP assets/(liabilities) not included in the table above | (31,204) | (10,769) | Net CIP assets/(liabilities) not included in the table above | (20,847) | (18,105) | ||||||||||||||||
Total Net CIP assets | Total Net CIP assets | 230,124 | 172,961 | Total Net CIP assets | 328,950 | 242,027 | ||||||||||||||||
Less: redeemable noncontrolling interests | Less: redeemable noncontrolling interests | 128,881 | 111,035 | Less: redeemable noncontrolling interests | 219,726 | 135,280 | ||||||||||||||||
Artisan’s direct equity investment in CIPs | Artisan’s direct equity investment in CIPs | $ | 101,243 | $ | 61,926 | Artisan’s direct equity investment in CIPs | $ | 109,224 | $ | 106,747 |
Holdings GP Units | Limited Partnership Units | Total | APAM Ownership % | Holdings GP Units | Limited Partnership Units | Total | APAM Ownership % | |||||||||||||||||||||
Balance at December 31, 2021 | 66,699,872 | 12,335,197 | 79,035,069 | 84 | % | |||||||||||||||||||||||
Balance at December 31, 2022 | Balance at December 31, 2022 | 67,982,025 | 11,624,031 | 79,606,056 | 85 | % | ||||||||||||||||||||||
Holdings Common Unit Exchanges | Holdings Common Unit Exchanges | 634,692 | (634,692) | — | 1 | % | Holdings Common Unit Exchanges | 142,550 | (142,550) | — | — | % | ||||||||||||||||
Issuance of APAM Restricted Shares | Issuance of APAM Restricted Shares | 787,372 | — | 787,372 | — | % | Issuance of APAM Restricted Shares | 515,702 | — | 515,702 | 1 | % | ||||||||||||||||
Delivery of Shares Underlying RSUs (1) | 1,060 | — | 1,060 | — | % | |||||||||||||||||||||||
Delivery of Shares Underlying RSUs and PSUs (1) | Delivery of Shares Underlying RSUs and PSUs (1) | 46,146 | — | 46,146 | — | % | ||||||||||||||||||||||
Restricted Share Award Net Share Settlement (1) | Restricted Share Award Net Share Settlement (1) | (195,319) | — | (195,319) | — | % | Restricted Share Award Net Share Settlement (1) | (187,287) | — | (187,287) | — | % | ||||||||||||||||
Forfeitures from Employee Terminations (1) | Forfeitures from Employee Terminations (1) | (15,749) | — | (15,749) | — | % | Forfeitures from Employee Terminations (1) | (17,916) | — | (17,916) | — | % | ||||||||||||||||
Balance at September 30, 2022 | 67,911,928 | 11,700,505 | 79,612,433 | 85 | % | |||||||||||||||||||||||
Balance at September 30, 2023 | Balance at September 30, 2023 | 68,481,220 | 11,481,481 | 79,962,701 | 86 | % | ||||||||||||||||||||||
(1) The impact of the transaction on APAM’s ownership percentage was less than 1%. | (1) The impact of the transaction on APAM’s ownership percentage was less than 1%. | (1) The impact of the transaction on APAM’s ownership percentage was less than 1%. |
Statements of Financial Condition | Statements of Financial Condition | For the Nine Months Ended September 30, | Statements of Financial Condition | For the Nine Months Ended September 30, | ||||||||||||||||||
2022 | 2021 | 2023 | 2022 | |||||||||||||||||||
Additional paid-in capital | Additional paid-in capital | $ | (262) | $ | (1,256) | Additional paid-in capital | $ | (696) | $ | (262) | ||||||||||||
Noncontrolling interests - Artisan Partners Holdings | Noncontrolling interests - Artisan Partners Holdings | 291 | 1,277 | Noncontrolling interests - Artisan Partners Holdings | 773 | 291 | ||||||||||||||||
Accumulated other comprehensive income (loss) | Accumulated other comprehensive income (loss) | (29) | (21) | Accumulated other comprehensive income (loss) | (77) | (29) | ||||||||||||||||
Net impact to financial condition | Net impact to financial condition | $ | — | $ | — | Net impact to financial condition | $ | — | $ | — |
Outstanding | Outstanding | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Authorized | As of September 30, 2022 | As of December 31, 2021 | Voting Rights (1) | Economic Rights | Authorized | As of September 30, 2023 | As of December 31, 2022 | Voting Rights (1) | Economic Rights | |||||||||||||||||||||||||||||||||||||||||||||||||
Common shares | Common shares | Common shares | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Class A, par value $0.01 per share | Class A, par value $0.01 per share | 500,000,000 | 67,911,928 | 66,699,872 | 1 vote per share | Proportionate | Class A, par value $0.01 per share | 500,000,000 | 68,481,220 | 67,982,025 | 1 vote per share | Proportionate | ||||||||||||||||||||||||||||||||||||||||||||||
Class B, par value $0.01 per share | Class B, par value $0.01 per share | 200,000,000 | 2,589,388 | 3,206,580 | 1 vote per share | None | Class B, par value $0.01 per share | 200,000,000 | 2,456,534 | 2,583,884 | 1 vote per share | None | ||||||||||||||||||||||||||||||||||||||||||||||
Class C, par value $0.01 per share | Class C, par value $0.01 per share | 400,000,000 | 9,111,117 | 9,128,617 | 1 vote per share | None | Class C, par value $0.01 per share | 400,000,000 | 9,024,947 | 9,040,147 | 1 vote per share | None | ||||||||||||||||||||||||||||||||||||||||||||||
(1) The Company’s employees to whom Artisan has granted equity have entered into a stockholders agreement with respect to all shares of APAM common stock they have acquired from the Company and any shares they may acquire from the Company in the future, pursuant to which they granted an irrevocable voting proxy to a Stockholders Committee. As of September 30, 2022, Artisan’s employees held 5,302,997 restricted shares of Class A common stock and all 2,589,388 outstanding shares of Class B common stock, all of which were subject to the agreement. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(1) The Company’s employees to whom Artisan has granted equity have entered into a stockholders agreement with respect to all shares of APAM common stock they have acquired from the Company and any shares they may acquire from the Company in the future, pursuant to which they granted an irrevocable voting proxy to a Stockholders Committee. As of September 30, 2023, Artisan’s employees held 5,242,987 restricted shares of Class A common stock and all 2,456,534 outstanding shares of Class B common stock, all of which were subject to the agreement. | (1) The Company’s employees to whom Artisan has granted equity have entered into a stockholders agreement with respect to all shares of APAM common stock they have acquired from the Company and any shares they may acquire from the Company in the future, pursuant to which they granted an irrevocable voting proxy to a Stockholders Committee. As of September 30, 2023, Artisan’s employees held 5,242,987 restricted shares of Class A common stock and all 2,456,534 outstanding shares of Class B common stock, all of which were subject to the agreement. |
Type of Dividend | Type of Dividend | Class of Stock | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | Type of Dividend | Class of Stock | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Quarterly | Quarterly | Class A Common | $ | 0.60 | $ | 1.00 | $ | 2.39 | $ | 2.85 | Quarterly | Class A Common | $ | 0.61 | $ | 0.60 | $ | 1.66 | $ | 2.39 | ||||||||||||||||||||||||||||||||||||||||||||
Special Annual | Special Annual | Class A Common | $ | — | $ | — | $ | 0.72 | $ | 0.31 | Special Annual | Class A Common | $ | — | $ | — | $ | 0.35 | $ | 0.72 |
Total Stock Outstanding | Class A Common Stock(1) | Class B Common Stock | Class C Common Stock | Total Stock Outstanding | Class A Common Stock(1) | Class B Common Stock | Class C Common Stock | |||||||||||||||||||||||||||||||||
Balance at December 31, 2021 | 79,035,069 | 66,699,872 | 3,206,580 | 9,128,617 | ||||||||||||||||||||||||||||||||||||
Balance at December 31, 2022 | Balance at December 31, 2022 | 79,606,056 | 67,982,025 | 2,583,884 | 9,040,147 | |||||||||||||||||||||||||||||||||||
Holdings Common Unit Exchanges | Holdings Common Unit Exchanges | — | 634,692 | (617,192) | (17,500) | Holdings Common Unit Exchanges | — | 142,550 | (127,350) | (15,200) | ||||||||||||||||||||||||||||||
Restricted Share Award Grants | Restricted Share Award Grants | 787,372 | 787,372 | — | — | Restricted Share Award Grants | 515,702 | 515,702 | — | — | ||||||||||||||||||||||||||||||
Restricted Share Award Net Share Settlement | Restricted Share Award Net Share Settlement | (195,319) | (195,319) | — | — | Restricted Share Award Net Share Settlement | (187,287) | (187,287) | — | — | ||||||||||||||||||||||||||||||
Delivery of Shares Underlying RSUs | 1,060 | 1,060 | — | — | ||||||||||||||||||||||||||||||||||||
Delivery of Shares Underlying RSUs and PSUs | Delivery of Shares Underlying RSUs and PSUs | 46,146 | 46,146 | — | — | |||||||||||||||||||||||||||||||||||
Employee/Partner Terminations | Employee/Partner Terminations | (15,749) | (15,749) | — | — | Employee/Partner Terminations | (17,916) | (17,916) | — | — | ||||||||||||||||||||||||||||||
Balance at September 30, 2022 | 79,612,433 | 67,911,928 | 2,589,388 | 9,111,117 | ||||||||||||||||||||||||||||||||||||
Balance at September 30, 2023 | Balance at September 30, 2023 | 79,962,701 | 68,481,220 | 2,456,534 | 9,024,947 | |||||||||||||||||||||||||||||||||||
(1) There were 367,392 and 327,713 restricted stock units outstanding at September 30, 2022 and December 31, 2021, respectively. In addition, there were 231,170 and 135,230 performance share units outstanding at September 30, 2022 and December 31, 2021 respectively. Based on the quarter-end status of the market and performance conditions, the 231,170 unvested performance share units would ultimately result in the issuance of 231,173 shares of Class A common stock if all other vesting conditions were met. Restricted stock units and performance share units are not reflected in the table because they are not considered outstanding or issued stock. | ||||||||||||||||||||||||||||||||||||||||
(1) There were 415,112 and 367,392 restricted stock units outstanding at September 30, 2023 and December 31, 2022, respectively. In addition, there were 216,170 and 231,170 performance share units outstanding at September 30, 2023 and December 31, 2022, respectively. Based on the quarter-end status of the market and performance conditions, the 216,170 unvested performance share units would ultimately result in the issuance of 264,143 shares of Class A common stock if all other vesting conditions were met. Restricted stock units and performance share units are not reflected in the table because they are not considered outstanding or issued stock. | (1) There were 415,112 and 367,392 restricted stock units outstanding at September 30, 2023 and December 31, 2022, respectively. In addition, there were 216,170 and 231,170 performance share units outstanding at September 30, 2023 and December 31, 2022, respectively. Based on the quarter-end status of the market and performance conditions, the 216,170 unvested performance share units would ultimately result in the issuance of 264,143 shares of Class A common stock if all other vesting conditions were met. Restricted stock units and performance share units are not reflected in the table because they are not considered outstanding or issued stock. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
Holdings Partnership Distributions to Limited Partners | Holdings Partnership Distributions to Limited Partners | $ | 12,026 | $ | 25,629 | $ | 43,721 | $ | 67,889 | Holdings Partnership Distributions to Limited Partners | $ | 12,883 | $ | 12,026 | $ | 30,341 | $ | 43,721 | ||||||||||||||||||||||||||||
Holdings Partnership Distributions to APAM | Holdings Partnership Distributions to APAM | 64,441 | 110,555 | 227,165 | 285,007 | Holdings Partnership Distributions to APAM | 72,419 | 64,441 | 169,102 | 227,165 | ||||||||||||||||||||||||||||||||||||
Total Holdings Partnership Distributions | Total Holdings Partnership Distributions | $ | 76,467 | $ | 136,184 | $ | 270,886 | $ | 352,896 | Total Holdings Partnership Distributions | $ | 85,302 | $ | 76,467 | $ | 199,443 | $ | 270,886 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||
Management fees | |||||||||||||||||||||||
Artisan Funds | $ | 145,269 | $ | 135,919 | $ | 420,244 | $ | 445,260 | |||||||||||||||
Artisan Global Funds | 11,220 | 10,423 | 32,388 | 33,192 | |||||||||||||||||||
Separate accounts and other (1) | 92,202 | 87,849 | 273,348 | 288,449 | |||||||||||||||||||
Performance fees | |||||||||||||||||||||||
Separate accounts and other (1) | 31 | 121 | 154 | 397 | |||||||||||||||||||
Total revenues (2) | $ | 248,722 | $ | 234,312 | $ | 726,134 | $ | 767,298 | |||||||||||||||
(1) Separate accounts and other revenue consists of management fees and performance fees earned from vehicles other than Artisan Funds or Artisan Global Funds, and therefore includes revenue earned from traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds. | |||||||||||||||||||||||
(2) All management fees and performance fees from consolidated investment products were eliminated upon consolidation and therefore are omitted from this table. See Note 14, “Related Party Transactions.” |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Management fees | |||||||||||||||||||||||
Artisan Funds | $ | 135,919 | $ | 186,254 | $ | 445,260 | $ | 528,924 | |||||||||||||||
Artisan Global Funds | 10,423 | 12,822 | 33,192 | 35,568 | |||||||||||||||||||
Separate accounts and other (1) | 87,849 | 117,100 | 288,449 | 336,519 | |||||||||||||||||||
Performance fees | |||||||||||||||||||||||
Separate accounts and other (1) | 121 | 398 | 397 | 11,189 | |||||||||||||||||||
Total revenues (2) | $ | 234,312 | $ | 316,574 | $ | 767,298 | $ | 912,200 | |||||||||||||||
(1) Separate accounts and other revenue consists of management fees and performance fees earned from vehicles other than Artisan Funds or Artisan Global Funds, and therefore includes revenue earned from traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds. | |||||||||||||||||||||||
(2) All management fees and performance fees from consolidated investment products were eliminated upon consolidation and therefore are omitted from this table. See Note 15, “Related Party Transactions”. |
Customer | As of September 30, 2022 | As of December 31, 2021 | |||||||||
Artisan Funds | $ | 4,087 | $ | 5,874 | |||||||
Artisan Global Funds | 4,065 | 5,433 | |||||||||
Separate accounts and other | 70,867 | 98,568 | |||||||||
Total receivables from contracts with customers | $ | 79,019 | $ | 109,875 | |||||||
Non-customer receivables | 24,415 | 5,975 | |||||||||
Accounts receivable | $ | 103,434 | $ | 115,850 |
Customer | As of September 30, 2023 | As of December 31, 2022 | |||||||||
Artisan Funds | $ | 6,096 | $ | 5,597 | |||||||
Artisan Global Funds | 4,578 | 4,453 | |||||||||
Separate accounts and other | 77,976 | 74,936 | |||||||||
Total receivables from contracts with customers | $ | 88,650 | $ | 84,986 | |||||||
Non-customer receivables | 7,412 | 13,648 | |||||||||
Accounts receivable | $ | 96,062 | $ | 98,634 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
Salaries, incentive compensation and benefits (1) | Salaries, incentive compensation and benefits (1) | $ | 109,563 | $ | 130,831 | $ | 352,221 | $ | 385,106 | Salaries, incentive compensation and benefits (1) | $ | 118,271 | $ | 109,563 | $ | 350,147 | $ | 352,221 | ||||||||||||||||||||||||||||
Long-term cash incentive compensation expense | Long-term cash incentive compensation expense | 2,453 | 1,806 | 7,065 | 4,941 | Long-term cash incentive compensation expense | 4,625 | 2,453 | 17,969 | 7,065 | ||||||||||||||||||||||||||||||||||||
Restricted share-based award compensation expense | Restricted share-based award compensation expense | 10,017 | 9,598 | 30,073 | 29,666 | Restricted share-based award compensation expense | 7,752 | 10,017 | 24,477 | 30,073 | ||||||||||||||||||||||||||||||||||||
Long-term incentive compensation expense | Long-term incentive compensation expense | 12,470 | 11,404 | 37,138 | 34,607 | Long-term incentive compensation expense | 12,377 | 12,470 | 42,446 | 37,138 | ||||||||||||||||||||||||||||||||||||
Total compensation and benefits | Total compensation and benefits | $ | 122,033 | $ | 142,235 | $ | 389,359 | $ | 419,713 | Total compensation and benefits | $ | 130,648 | $ | 122,033 | $ | 392,593 | $ | 389,359 | ||||||||||||||||||||||||||||
(1) Excluding long-term incentive compensation expense | (1) Excluding long-term incentive compensation expense | (1) Excluding long-term incentive compensation expense |
Weighted-Average Grant Date Fair Value | Restricted Stock Awards and Restricted Stock Units | ||||||||||
Unvested at January 1, 2022 | $ | 38.18 | 5,245,394 | ||||||||
Granted | 41.86 | 788,703 | |||||||||
Forfeited | 39.99 | (15,749) | |||||||||
Vested | 35.09 | (605,550) | |||||||||
Unvested at September 30, 2022 | $ | 39.06 | 5,412,798 |
Weighted-Average Grant Date Fair Value | Restricted Stock Awards and Restricted Stock Units | ||||||||||
Unvested at January 1, 2023 | $ | 39.09 | 5,396,343 | ||||||||
Granted | 34.99 | 517,386 | |||||||||
Forfeited | 43.40 | (17,916) | |||||||||
Vested | 37.55 | (542,487) | |||||||||
Unvested at September 30, 2023 | $ | 38.84 | 5,353,326 |
Weighted-Average Grant Date Fair Value | Performance Share Units | Weighted-Average Grant Date Fair Value | Performance Share Units | |||||||||||||||||||
Unvested at January 1, 2022 | $ | 61.42 | 135,230 | |||||||||||||||||||
Unvested at January 1, 2023 | Unvested at January 1, 2023 | $ | 58.13 | 231,170 | ||||||||||||||||||
Granted | Granted | 53.50 | 95,940 | Granted | — | — | ||||||||||||||||
Forfeited | Forfeited | — | — | Forfeited | — | — | ||||||||||||||||
Vested | Vested | — | — | Vested | 34.97 | (15,000) | ||||||||||||||||
Unvested at September 30, 2022 | $ | 58.13 | 231,170 | |||||||||||||||||||
Unvested at September 30, 2023 | Unvested at September 30, 2023 | $ | 54.89 | 216,170 | ||||||||||||||||||
(1) During the nine months ended September 30, 2023, the 60,000 PSUs granted in 2020 met the requisite three-year performance conditions, resulting in the potential vesting of 150% of the PSUs, or 90,000 shares of Class A common stock. 45,000 shares of Class A common stock were promptly delivered at that time, while the remaining 45,000 PSUs remain subject to the qualified retirement vesting condition. | (1) During the nine months ended September 30, 2023, the 60,000 PSUs granted in 2020 met the requisite three-year performance conditions, resulting in the potential vesting of 150% of the PSUs, or 90,000 shares of Class A common stock. 45,000 shares of Class A common stock were promptly delivered at that time, while the remaining 45,000 PSUs remain subject to the qualified retirement vesting condition. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||
Statement of Operations Section | Statement of Operations Line Item | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||
Operating expenses (benefit) | Compensation and benefits | $ | (1,490) | $ | 83 | $ | (4,138) | $ | 297 | |||||||||||||||||
Non-operating income (expense) | Other net investment gain (loss) | (3,987) | (356) | (19,192) | 2,117 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||
Statement of Operations Section | Statement of Operations Line Item | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||
Operating expenses (benefit) | Compensation and benefits | $ | (1,230) | $ | (1,490) | $ | 1,216 | $ | (4,138) | |||||||||||||||||
Non-operating income (expense) | Other net investment gain (loss) | (4,454) | (3,987) | 6,127 | (19,192) |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
Current: | Current: | Current: | ||||||||||||||||||||||||||||||||||||||||||||
Federal | Federal | $ | 5,934 | $ | 15,097 | $ | 19,606 | $ | 38,414 | Federal | $ | 4,240 | $ | 5,934 | $ | 14,546 | $ | 19,606 | ||||||||||||||||||||||||||||
State and local | State and local | 1,380 | 4,339 | 5,051 | 10,906 | State and local | 950 | 1,380 | 4,128 | 5,051 | ||||||||||||||||||||||||||||||||||||
Foreign | Foreign | 129 | 152 | 407 | 406 | Foreign | 337 | 129 | 703 | 407 | ||||||||||||||||||||||||||||||||||||
Total | Total | 7,443 | 19,588 | 25,064 | 49,726 | Total | 5,527 | 7,443 | 19,377 | 25,064 | ||||||||||||||||||||||||||||||||||||
Deferred: | Deferred: | Deferred: | ||||||||||||||||||||||||||||||||||||||||||||
Federal | Federal | 6,212 | 7,198 | 18,458 | 24,155 | Federal | 7,687 | 6,212 | 27,448 | 18,458 | ||||||||||||||||||||||||||||||||||||
State and local | State and local | 1,095 | 1,268 | 3,239 | 4,256 | State and local | 1,356 | 1,095 | 4,838 | 3,239 | ||||||||||||||||||||||||||||||||||||
Total | Total | 7,307 | 8,466 | 21,697 | 28,411 | Total | 9,043 | 7,307 | 32,286 | 21,697 | ||||||||||||||||||||||||||||||||||||
Income tax expense (benefit) | Income tax expense (benefit) | $ | 14,750 | $ | 28,054 | $ | 46,761 | $ | 78,137 | Income tax expense (benefit) | $ | 14,570 | $ | 14,750 | $ | 51,663 | $ | 46,761 |
Deferred Tax Asset - Amortizable Basis | Amounts Payable Under TRAs | Deferred Tax Asset - Amortizable Basis | Amounts Payable Under TRAs | |||||||||||||||||||
December 31, 2021 | $ | 459,893 | $ | 425,427 | ||||||||||||||||||
December 31, 2022 | December 31, 2022 | $ | 426,468 | $ | 398,789 | |||||||||||||||||
2022 Holdings Common Unit Exchanges | 8,050 | 6,842 | ||||||||||||||||||||
2023 Holdings Common Unit Exchanges | 2023 Holdings Common Unit Exchanges | 1,567 | 1,333 | |||||||||||||||||||
Amortization | Amortization | (31,581) | — | Amortization | (32,885) | — | ||||||||||||||||
Payments under TRAs | Payments under TRAs | — | (33,109) | Payments under TRAs | — | (35,757) | ||||||||||||||||
Change in estimate | Change in estimate | 10 | (913) | Change in estimate | (2) | (505) | ||||||||||||||||
September 30, 2022 | $ | 436,372 | $ | 398,247 | ||||||||||||||||||
September 30, 2023 | September 30, 2023 | $ | 395,148 | $ | 363,860 |
As of September 30, 2022 | As of December 31, 2021 | As of September 30, 2023 | As of December 31, 2022 | |||||||||||||||||||
Deferred tax assets: | Deferred tax assets: | Deferred tax assets: | ||||||||||||||||||||
Amortizable basis (1) | Amortizable basis (1) | $ | 436,372 | $ | 459,893 | Amortizable basis (1) | $ | 395,148 | $ | 426,468 | ||||||||||||
Other (2) | Other (2) | 48,384 | 38,009 | Other (2) | 51,343 | 50,556 | ||||||||||||||||
Total deferred tax assets | Total deferred tax assets | 484,756 | 497,902 | Total deferred tax assets | 446,491 | 477,024 | ||||||||||||||||
Less: valuation allowance (3) | Less: valuation allowance (3) | — | — | Less: valuation allowance (3) | — | — | ||||||||||||||||
Net deferred tax assets | Net deferred tax assets | $ | 484,756 | $ | 497,902 | Net deferred tax assets | $ | 446,491 | $ | 477,024 | ||||||||||||
(1) Represents the unamortized step-up of tax basis and other tax attributes from the merger and partnership unit sales and exchanges described above. These future tax benefits are subject to the TRA agreements. | (1) Represents the unamortized step-up of tax basis and other tax attributes from the merger and partnership unit sales and exchanges described above. These future tax benefits are subject to the TRA agreements. | (1) Represents the unamortized step-up of tax basis and other tax attributes from the merger and partnership unit sales and exchanges described above. These future tax benefits are subject to the TRA agreements. | ||||||||||||||||||||
(2) Represents the net deferred tax assets associated with the merger described above and other miscellaneous deferred tax assets. These future tax benefits are not subject to the TRA agreements. | ||||||||||||||||||||||
(2) Represents the net deferred tax assets associated with Artisan’s investment in Holdings, related primarily to incentive compensation plan deduction timing differences. These future tax benefits are not subject to the TRA agreements. | (2) Represents the net deferred tax assets associated with Artisan’s investment in Holdings, related primarily to incentive compensation plan deduction timing differences. These future tax benefits are not subject to the TRA agreements. | |||||||||||||||||||||
(3) Artisan assessed whether the deferred tax assets would be realizable and determined based on its history of taxable income that the benefits would more likely than not be realized. Accordingly, no valuation allowance is required. | (3) Artisan assessed whether the deferred tax assets would be realizable and determined based on its history of taxable income that the benefits would more likely than not be realized. Accordingly, no valuation allowance is required. | (3) Artisan assessed whether the deferred tax assets would be realizable and determined based on its history of taxable income that the benefits would more likely than not be realized. Accordingly, no valuation allowance is required. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
Basic and Diluted Earnings Per Share | Basic and Diluted Earnings Per Share | 2022 | 2021 | 2022 | 2021 | Basic and Diluted Earnings Per Share | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||
Numerator: | Numerator: | Numerator: | ||||||||||||||||||||||||||||||||||||||||||||
Net income attributable to APAM | Net income attributable to APAM | $ | 44,235 | $ | 86,413 | $ | 153,947 | $ | 251,898 | Net income attributable to APAM | $ | 53,155 | $ | 44,235 | $ | 157,533 | $ | 153,947 | ||||||||||||||||||||||||||||
Less: Allocation to participating securities | Less: Allocation to participating securities | 3,651 | 8,226 | 18,675 | 23,260 | Less: Allocation to participating securities | 4,691 | 3,651 | 13,799 | 18,675 | ||||||||||||||||||||||||||||||||||||
Net income available to common stockholders | Net income available to common stockholders | $ | 40,584 | $ | 78,187 | $ | 135,272 | $ | 228,638 | Net income available to common stockholders | $ | 48,464 | $ | 40,584 | $ | 143,734 | $ | 135,272 | ||||||||||||||||||||||||||||
Denominator: | Denominator: | Denominator: | ||||||||||||||||||||||||||||||||||||||||||||
Basic weighted average shares outstanding | Basic weighted average shares outstanding | 62,623,434 | 59,965,549 | 62,329,756 | 59,519,634 | Basic weighted average shares outstanding | 63,520,402 | 62,623,434 | 63,419,587 | 62,329,756 | ||||||||||||||||||||||||||||||||||||
Dilutive effect of nonparticipating share-based awards | Dilutive effect of nonparticipating share-based awards | 9,226 | 17,225 | 23,519 | 16,260 | Dilutive effect of nonparticipating share-based awards | 42,642 | 9,226 | 30,217 | 23,519 | ||||||||||||||||||||||||||||||||||||
Diluted weighted average shares outstanding | Diluted weighted average shares outstanding | 62,632,660 | 59,982,774 | 62,353,275 | 59,535,894 | Diluted weighted average shares outstanding | 63,563,044 | 62,632,660 | 63,449,804 | 62,353,275 | ||||||||||||||||||||||||||||||||||||
Earnings per share - Basic | Earnings per share - Basic | $ | 0.65 | $ | 1.30 | $ | 2.17 | $ | 3.84 | Earnings per share - Basic | $ | 0.76 | $ | 0.65 | $ | 2.27 | $ | 2.17 | ||||||||||||||||||||||||||||
Earnings per share - Diluted | Earnings per share - Diluted | $ | 0.65 | $ | 1.30 | $ | 2.17 | $ | 3.84 | Earnings per share - Diluted | $ | 0.76 | $ | 0.65 | $ | 2.27 | $ | 2.17 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
Anti-Dilutive Weighted Average Shares Outstanding | Anti-Dilutive Weighted Average Shares Outstanding | 2022 | 2021 | 2022 | 2021 | Anti-Dilutive Weighted Average Shares Outstanding | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||
Holdings limited partnership units | Holdings limited partnership units | 11,928,838 | 14,146,934 | 12,145,755 | 14,486,932 | Holdings limited partnership units | 11,487,400 | 11,928,838 | 11,517,987 | 12,145,755 | ||||||||||||||||||||||||||||||||||||
Unvested restricted share-based awards | Unvested restricted share-based awards | 5,668,508 | 5,417,353 | 5,587,842 | 5,438,556 | Unvested restricted share-based awards | 5,586,181 | 5,668,508 | 5,571,819 | 5,587,842 | ||||||||||||||||||||||||||||||||||||
Total | Total | 17,597,346 | 19,564,287 | 17,733,597 | 19,925,488 | Total | 17,073,581 | 17,597,346 | 17,089,806 | 17,733,597 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||
Lease Type | Classification | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||
Parking leases | Compensation and benefits | $ | 131 | $ | 130 | $ | 393 | $ | 388 | |||||||||||||||||
Office leases | Occupancy | 4,157 | 3,664 | 13,256 | 10,862 | |||||||||||||||||||||
Variable lease cost (1) | Occupancy | 410 | 14 | 486 | 44 | |||||||||||||||||||||
Short-term lease cost (1) | Occupancy | 268 | 97 | 699 | 257 | |||||||||||||||||||||
Sublease income | Occupancy | — | (100) | (133) | (167) | |||||||||||||||||||||
Office equipment leases | Communication and technology | 34 | 59 | 134 | 190 | |||||||||||||||||||||
Total operating lease expense | $ | 5,000 | $ | 3,864 | $ | 14,835 | $ | 11,574 | ||||||||||||||||||
(1) Variable and short-term lease costs are excluded from the measurement of operating lease liabilities. |
As of September 30, 2022 | ||||||||
2022 (excluding the nine months ended September 30, 2022) | $ | 3,787 | ||||||
2023 | 18,428 | |||||||
2024 | 18,595 | |||||||
2025 | 18,524 | |||||||
2026 | 17,783 | |||||||
Thereafter | 70,519 | |||||||
Total undiscounted lease payments | $ | 147,636 | ||||||
Adjustment to discount to present value | (24,160) | |||||||
Operating lease liabilities | $ | 123,476 | ||||||
For the Nine Months Ended September 30, | |||||||||||
2022 | 2021 | ||||||||||
Weighted average discount rate | 4.1 | % | 4.6 | % | |||||||
Weighted average remaining lease term | 9.1 years | 6.7 years | |||||||||
Operating cash flows for operating leases | $ | 12,392 | $ | 12,779 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
Artisan Funds | Artisan Funds | 2022 | 2021 | 2022 | 2021 | Artisan Funds | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||
Investment advisory fees (Gross of expense reimbursements) | Investment advisory fees (Gross of expense reimbursements) | $ | 136,216 | $ | 186,434 | $ | 446,417 | $ | 529,441 | Investment advisory fees (Gross of expense reimbursements) | $ | 145,738 | $ | 136,216 | $ | 421,459 | $ | 446,417 | ||||||||||||||||||||||||||||
Elimination of fees from consolidated investment products (1) | Elimination of fees from consolidated investment products (1) | (73) | — | (137) | — | Elimination of fees from consolidated investment products (1) | (67) | (73) | (265) | (137) | ||||||||||||||||||||||||||||||||||||
Consolidated investment advisory fees (Gross of expense reimbursements) | Consolidated investment advisory fees (Gross of expense reimbursements) | $ | 136,143 | $ | 186,434 | $ | 446,280 | $ | 529,441 | Consolidated investment advisory fees (Gross of expense reimbursements) | $ | 145,671 | $ | 136,143 | $ | 421,194 | $ | 446,280 | ||||||||||||||||||||||||||||
Expense reimbursements | Expense reimbursements | $ | 352 | $ | 180 | $ | 1,320 | $ | 517 | Expense reimbursements | $ | 517 | $ | 352 | $ | 1,400 | $ | 1,320 | ||||||||||||||||||||||||||||
Elimination of expense reimbursements from consolidated investment products (1) | Elimination of expense reimbursements from consolidated investment products (1) | (128) | — | (300) | — | Elimination of expense reimbursements from consolidated investment products (1) | (115) | (128) | (450) | (300) | ||||||||||||||||||||||||||||||||||||
Consolidated expense reimbursements | Consolidated expense reimbursements | $ | 224 | $ | 180 | $ | 1,020 | $ | 517 | Consolidated expense reimbursements | $ | 402 | $ | 224 | $ | 950 | $ | 1,020 | ||||||||||||||||||||||||||||
(1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. | (1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. | (1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
Artisan Global Funds | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Investment advisory fees (Gross of expense reimbursements) | $ | 10,471 | $ | 12,873 | $ | 33,301 | $ | 35,672 | |||||||||||||||
Elimination of fees from consolidated investment products(1) | (58) | (19) | (94) | (56) | |||||||||||||||||||
Consolidated investment advisory fees (Gross of expense reimbursements) | $ | 10,413 | $ | 12,854 | $ | 33,207 | $ | 35,616 | |||||||||||||||
Expense reimbursements | $ | 103 | $ | 147 | $ | 293 | $ | 334 | |||||||||||||||
Elimination of expense reimbursements from consolidated investment products (1) | (113) | (115) | (278) | (286) | |||||||||||||||||||
Consolidated expense reimbursements | $ | (10) | $ | 32 | $ | 15 | $ | 48 | |||||||||||||||
(1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
Artisan Global Funds | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||
Investment advisory fees (Gross of expense reimbursements) | $ | 11,331 | $ | 10,471 | $ | 32,663 | $ | 33,301 | |||||||||||||||
Elimination of fees from consolidated investment products(1) | (123) | (58) | (287) | (94) | |||||||||||||||||||
Consolidated investment advisory fees (Gross of expense reimbursements) | $ | 11,208 | $ | 10,413 | $ | 32,376 | $ | 33,207 | |||||||||||||||
Expense reimbursements | $ | 127 | $ | 103 | $ | 308 | $ | 293 | |||||||||||||||
Elimination of expense reimbursements from consolidated investment products (1) | (139) | (113) | (320) | (278) | |||||||||||||||||||
Consolidated expense reimbursements | $ | (12) | $ | (10) | $ | (12) | $ | 15 | |||||||||||||||
(1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
Artisan Private Funds | Artisan Private Funds | 2022 | 2021 | 2022 | 2021 | Artisan Private Funds | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||
Investment advisory fees (Gross of expense reimbursements) | Investment advisory fees (Gross of expense reimbursements) | $ | 3,592 | $ | 3,785 | $ | 11,651 | $ | 9,269 | Investment advisory fees (Gross of expense reimbursements) | $ | 2,781 | $ | 3,592 | $ | 9,170 | $ | 11,651 | ||||||||||||||||||||||||||||
Elimination of fees from consolidated investment products (1) | Elimination of fees from consolidated investment products (1) | (147) | (117) | (430) | (332) | Elimination of fees from consolidated investment products (1) | (311) | (147) | (702) | (430) | ||||||||||||||||||||||||||||||||||||
Consolidated investment advisory fees (Gross of expense reimbursements) | Consolidated investment advisory fees (Gross of expense reimbursements) | $ | 3,445 | $ | 3,668 | $ | 11,221 | $ | 8,937 | Consolidated investment advisory fees (Gross of expense reimbursements) | $ | 2,470 | $ | 3,445 | $ | 8,468 | $ | 11,221 | ||||||||||||||||||||||||||||
Expense reimbursements | Expense reimbursements | $ | 46 | $ | 67 | $ | 178 | $ | 221 | Expense reimbursements | $ | 82 | $ | 46 | $ | 194 | $ | 178 | ||||||||||||||||||||||||||||
Elimination of expense reimbursements from consolidated investment products (1) | Elimination of expense reimbursements from consolidated investment products (1) | (19) | (56) | (94) | (126) | Elimination of expense reimbursements from consolidated investment products (1) | (35) | (19) | (82) | (94) | ||||||||||||||||||||||||||||||||||||
Consolidated expense reimbursements | Consolidated expense reimbursements | $ | 27 | $ | 11 | $ | 84 | $ | 95 | Consolidated expense reimbursements | $ | 47 | $ | 27 | $ | 112 | $ | 84 | ||||||||||||||||||||||||||||
(1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. | (1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. | (1) Investment advisory fees and expense reimbursements related to consolidated investment products are eliminated from revenue upon consolidation. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
S&P 500 total returns | S&P 500 total returns | (4.9) | % | 0.6 | % | (23.9) | % | 15.9 | % | S&P 500 total returns | (3.3) | % | (4.9) | % | 13.1 | % | (23.9) | % | ||||||||||||||||||||||||||||
MSCI All Country World total returns | MSCI All Country World total returns | (6.8) | % | (1.1) | % | (25.6) | % | 11.1 | % | MSCI All Country World total returns | (3.4) | % | (6.8) | % | 10.1 | % | (25.6) | % | ||||||||||||||||||||||||||||
MSCI EAFE total returns | MSCI EAFE total returns | (9.4) | % | (0.4) | % | (27.1) | % | 8.3 | % | MSCI EAFE total returns | (4.1) | % | (9.4) | % | 7.1 | % | (27.1) | % | ||||||||||||||||||||||||||||
Russell Midcap® total returns | Russell Midcap® total returns | (3.4) | % | (0.9) | % | (24.3) | % | 15.2 | % | Russell Midcap® total returns | (4.7) | % | (3.4) | % | 3.9 | % | (24.3) | % | ||||||||||||||||||||||||||||
MSCI Emerging Markets Index | MSCI Emerging Markets Index | (11.6) | % | (8.1) | % | (27.2) | % | (1.2) | % | MSCI Emerging Markets Index | (2.9) | % | (11.6) | % | 1.8 | % | (27.2) | % | ||||||||||||||||||||||||||||
ICE BofA U.S. High Yield Master II Total Return Index | (0.7) | % | 0.9 | % | (14.6) | % | 4.7 | % | ||||||||||||||||||||||||||||||||||||||
ICE BofA US High Yield Index | ICE BofA US High Yield Index | 0.5 | % | (0.7) | % | 6.0 | % | (14.6) | % |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
(unaudited; dollars in millions) | (unaudited; dollars in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Assets under management at period end | Assets under management at period end | $ | 120,607 | $ | 173,623 | $ | 120,607 | $ | 173,623 | Assets under management at period end | $ | 136,495 | $ | 120,607 | $ | 136,495 | $ | 120,607 | ||||||||||||||||||||||||||||
Average assets under management (1) | Average assets under management (1) | $ | 132,946 | $ | 177,557 | $ | 146,244 | $ | 170,380 | Average assets under management (1) | $ | 142,199 | $ | 132,946 | $ | 138,982 | $ | 146,244 | ||||||||||||||||||||||||||||
Net client cash flows (2) | Net client cash flows (2) | $ | (1,073) | $ | 11 | $ | (4,621) | $ | 2,463 | Net client cash flows (2) | $ | (1,339) | $ | (1,073) | $ | (3,678) | $ | (4,621) | ||||||||||||||||||||||||||||
Total revenues | Total revenues | $ | 234.3 | $ | 316.6 | $ | 767.3 | $ | 912.2 | Total revenues | $ | 248.7 | $ | 234.3 | $ | 726.1 | $ | 767.3 | ||||||||||||||||||||||||||||
Weighted average management fee (3) | Weighted average management fee (3) | 70.0 | bps | 70.7 | bps | 70.2 | bps | 70.8 | bps | Weighted average management fee (3) | 69.5 | bps | 70.0 | bps | 70.0 | bps | 70.2 | bps | ||||||||||||||||||||||||||||
Operating margin | Operating margin | 33.6 | % | 45.2 | % | 35.7 | % | 44.1 | % | Operating margin | 33.0 | % | 33.6 | % | 31.3 | % | 35.7 | % | ||||||||||||||||||||||||||||
Adjusted operating margin (4) | Adjusted operating margin (4) | 32.9 | % | 45.2 | % | 35.1 | % | 44.2 | % | Adjusted operating margin (4) | 32.5 | % | 32.9 | % | 31.5 | % | 35.1 | % | ||||||||||||||||||||||||||||
(1) We compute average assets under management by averaging day-end assets under management for the applicable period. | (1) We compute average assets under management by averaging day-end assets under management for the applicable period. | (1) We compute average assets under management by averaging day-end assets under management for the applicable period. | ||||||||||||||||||||||||||||||||||||||||||||
(2) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (2) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (2) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | ||||||||||||||||||||||||||||||||||||||||||||
(3) We compute our weighted average management fee by dividing annualized investment management fees (which excludes performance fees) by average assets under management for the applicable period. | (3) We compute our weighted average management fee by dividing annualized investment management fees (which excludes performance fees) by average assets under management for the applicable period. | (3) We compute our weighted average management fee by dividing annualized investment management fees (which excludes performance fees) by average assets under management for the applicable period. | ||||||||||||||||||||||||||||||||||||||||||||
(4) Adjusted measures are non-GAAP measures and are explained and reconciled to the comparable GAAP measures in “Supplemental Non-GAAP Financial Information” below. | (4) Adjusted measures are non-GAAP measures and are explained and reconciled to the comparable GAAP measures in “Supplemental Non-GAAP Financial Information” below. | (4) Adjusted measures are non-GAAP measures and are explained and reconciled to the comparable GAAP measures in “Supplemental Non-GAAP Financial Information” below. |
For the Three Months Ended September 30, | Period-to-Period | For the Three Months Ended September 30, | Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 130,547 | $ | 175,214 | $ | (44,667) | (25.5) | % | Beginning assets under management | $ | 142,989 | $ | 130,547 | $ | 12,442 | 9.5 | % | ||||||||||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 6,898 | 6,942 | (44) | (0.6) | % | Gross client cash inflows | 5,601 | 6,898 | (1,297) | (18.8) | % | ||||||||||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (7,971) | (6,931) | (1,040) | (15.0) | % | Gross client cash outflows | (6,940) | (7,971) | 1,031 | 12.9 | % | ||||||||||||||||||||||||||||||||||
Net client cash flows (1) | Net client cash flows (1) | (1,073) | 11 | (1,084) | (9,854.5) | % | Net client cash flows (1) | (1,339) | (1,073) | (266) | (24.8) | % | ||||||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (2) | Artisan Funds' distributions not reinvested (2) | (81) | (39) | (42) | (107.7) | % | Artisan Funds' distributions not reinvested (2) | (75) | (81) | 6 | 7.4 | % | ||||||||||||||||||||||||||||||||||
Investment returns and other (3) | Investment returns and other (3) | (8,786) | (1,563) | (7,223) | (462.1) | % | Investment returns and other (3) | (5,080) | (8,786) | 3,706 | 42.2 | % | ||||||||||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 120,607 | $ | 173,623 | $ | (53,016) | (30.5) | % | Ending assets under management | $ | 136,495 | $ | 120,607 | $ | 15,888 | 13.2 | % | ||||||||||||||||||||||||||||
Average assets under management | Average assets under management | $ | 132,946 | $ | 177,557 | $ | (44,611) | (25.1) | % | Average assets under management | $ | 142,199 | $ | 132,946 | $ | 9,253 | 7.0 | % | ||||||||||||||||||||||||||||
For the Nine Months Ended September 30, | Period-to-Period | For the Nine Months Ended September 30, | Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 174,754 | $ | 157,776 | $ | 16,978 | 10.8 | % | Beginning assets under management | $ | 127,892 | $ | 174,754 | $ | (46,862) | (26.8) | % | ||||||||||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 22,397 | 25,814 | (3,417) | (13.2) | % | Gross client cash inflows | 15,889 | 22,397 | (6,508) | (29.1) | % | ||||||||||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (27,018) | (23,351) | (3,667) | (15.7) | % | Gross client cash outflows | (19,567) | (27,018) | 7,451 | 27.6 | % | ||||||||||||||||||||||||||||||||||
Net client cash flows (1) | Net client cash flows (1) | (4,621) | 2,463 | (7,084) | (287.6) | % | Net client cash flows (1) | (3,678) | (4,621) | 943 | 20.4 | % | ||||||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (2) | Artisan Funds' distributions not reinvested (2) | (169) | (114) | (55) | (48.2) | % | Artisan Funds' distributions not reinvested (2) | (190) | (169) | (21) | (12.4) | % | ||||||||||||||||||||||||||||||||||
Investment returns and other (3) | Investment returns and other (3) | (49,357) | 13,498 | (62,855) | (465.7) | % | Investment returns and other (3) | 12,471 | (49,357) | 61,828 | 125.3 | % | ||||||||||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 120,607 | $ | 173,623 | $ | (53,016) | (30.5) | % | Ending assets under management | $ | 136,495 | $ | 120,607 | $ | 15,888 | 13.2 | % | ||||||||||||||||||||||||||||
Average assets under management | Average assets under management | $ | 146,244 | $ | 170,380 | $ | (24,136) | (14.2) | % | Average assets under management | $ | 138,982 | $ | 146,244 | $ | (7,262) | (5.0) | % | ||||||||||||||||||||||||||||
(1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | ||||||||||||||||||||||||||||||||||||||||||||
(2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | (2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | (2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | ||||||||||||||||||||||||||||||||||||||||||||
(3) Includes the impact of translating the value of assets under management denominated in non-USD currencies into U.S. dollars. The impact was immaterial for the periods presented. | (3) Includes the impact of translating the value of assets under management denominated in non-USD currencies into U.S. dollars. The impact was immaterial for the periods presented. | (3) Includes the impact of translating the value of assets under management denominated in non-USD currencies into U.S. dollars. The impact was immaterial for the periods presented. |
Average Annual Value-Added(1) Since Inception (bps) | Average Annual Value-Added(1) Since Inception (bps) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Composite Inception | Strategy AUM (2) | Average Annual Total Returns (Gross) (%) | Composite Inception | Strategy AUM (2) | Average Annual Total Returns (Gross) (%) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment Team and Strategy | Investment Team and Strategy | Date | (in $MM) | 1 YR | 3 YR | 5 YR | 10 YR | Inception | Investment Team and Strategy | Date | (in $MM) | 1 YR | 3 YR | 5 YR | 10 YR | Inception | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Growth Team | Growth Team | Growth Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Global Opportunities Strategy | Global Opportunities Strategy | 2/1/2007 | $ | 18,077 | (30.08)% | 6.00% | 7.46% | 10.95% | 9.73% | 505 | Global Opportunities Strategy | 2/1/2007 | $ | 18,957 | 16.18% | (0.42)% | 7.95% | 10.35% | 10.10% | 452 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI All Country World Index | MSCI All Country World Index | (20.66)% | 3.74% | 4.44% | 7.28% | 4.68% | MSCI All Country World Index | 20.80% | 6.89% | 6.46% | 7.55% | 5.58% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Global Discovery Strategy | Global Discovery Strategy | 9/1/2017 | $ | 1,513 | (32.62)% | 6.93% | 10.34% | --- | 10.45% | 569 | Global Discovery Strategy | 9/1/2017 | $ | 1,364 | 17.91% | 1.14% | 9.53% | --- | 11.65% | 441 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI All Country World Index | MSCI All Country World Index | (20.66)% | 3.74% | 4.44% | --- | 4.76% | MSCI All Country World Index | 20.80% | 6.89% | 6.46% | --- | 7.24% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Mid-Cap Growth Strategy | U.S. Mid-Cap Growth Strategy | 4/1/1997 | $ | 10,789 | (35.70)% | 7.37% | 10.10% | 11.59% | 14.09% | 532 | U.S. Mid-Cap Growth Strategy | 4/1/1997 | $ | 11,927 | 13.87% | (1.27)% | 8.46% | 9.86% | 14.08% | 500 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Russell Midcap® Index | Russell Midcap® Index | (19.39)% | 5.18% | 6.48% | 10.29% | 9.58% | Russell Midcap® Index | 13.45% | 8.09% | 6.38% | 8.98% | 9.73% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Russell Midcap® Growth Index | Russell Midcap® Growth Index | (29.50)% | 4.26% | 7.62% | 10.85% | 8.77% | Russell Midcap® Growth Index | 17.47% | 2.61% | 6.97% | 9.94% | 9.08% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Small-Cap Growth Strategy | U.S. Small-Cap Growth Strategy | 4/1/1995 | $ | 3,140 | (37.41)% | 3.63% | 9.42% | 11.55% | 10.22% | 315 | U.S. Small-Cap Growth Strategy | 4/1/1995 | $ | 3,033 | 7.72% | (5.30)% | 4.36% | 9.14% | 10.13% | 298 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Russell 2000® Index | Russell 2000® Index | (23.50)% | 4.28% | 3.55% | 8.55% | 8.41% | Russell 2000® Index | 8.93% | 7.16% | 2.39% | 6.64% | 8.42% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Russell 2000® Growth Index | Russell 2000® Growth Index | (29.27)% | 2.93% | 3.59% | 8.80% | 7.07% | Russell 2000® Growth Index | 9.59% | 1.09% | 1.55% | 6.71% | 7.15% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Global Equity Team | Global Equity Team | Global Equity Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Global Equity Strategy | Global Equity Strategy | 4/1/2010 | $ | 440 | (30.68)% | 1.12% | 5.75% | 9.26% | 9.90% | 299 | Global Equity Strategy | 4/1/2010 | $ | 375 | 18.61% | (0.04)% | 5.80% | 8.53% | 10.52% | 264 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI All Country World Index | MSCI All Country World Index | (20.66)% | 3.74% | 4.44% | 7.28% | 6.91% | MSCI All Country World Index | 20.80% | 6.89% | 6.46% | 7.55% | 7.88% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-U.S. Growth Strategy | Non-U.S. Growth Strategy | 1/1/1996 | $ | 12,092 | (28.06)% | (3.35)% | 0.53% | 4.57% | 8.53% | 466 | Non-U.S. Growth Strategy | 1/1/1996 | $ | 12,461 | 22.73% | 1.00% | 3.56% | 4.41% | 9.01% | 443 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI EAFE Index | MSCI EAFE Index | (25.13)% | (1.83)% | (0.84)% | 3.67% | 3.87% | MSCI EAFE Index | 25.65% | 5.75% | 3.24% | 3.82% | 4.58% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-U.S. Small-Mid Growth Strategy | Non-U.S. Small-Mid Growth Strategy | 1/1/2019 | $ | 6,193 | (31.69)% | 3.53% | --- | 8.38% | 662 | Non-U.S. Small-Mid Growth Strategy | 1/1/2019 | $ | 6,629 | 13.03% | (1.13)% | --- | 9.34% | 400 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI All Country World Index Ex USA Small Mid Cap | MSCI All Country World Index Ex USA Small Mid Cap | (28.85)% | (1.28)% | --- | 1.76% | MSCI All Country World Index Ex USA Small Mid Cap | 19.95% | 3.24% | --- | 5.34% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
China Post-Venture Strategy | China Post-Venture Strategy | 4/1/2021 | $ | 161 | (37.59)% | --- | (28.73)% | 367 | China Post-Venture Strategy | 4/1/2021 | $ | 161 | 4.19% | --- | (17.05)% | 330 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI China SMID Cap Index | MSCI China SMID Cap Index | (39.51)% | --- | (32.40)% | MSCI China SMID Cap Index | 1.89% | --- | (20.35)% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Value Team | U.S. Value Team | U.S. Value Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Value Equity Strategy | Value Equity Strategy | 7/1/2005 | $ | 3,374 | (15.37)% | 6.65% | 5.92% | 9.05% | 7.89% | 105 | Value Equity Strategy | 7/1/2005 | $ | 3,722 | 29.94% | 16.06% | 9.39% | 9.90% | 8.99% | 175 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Russell 1000® Index | Russell 1000® Index | (17.22)% | 7.94% | 8.99% | 11.60% | 8.77% | Russell 1000® Index | 21.19% | 9.53% | 9.62% | 11.62% | 9.42% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Russell 1000® Value Index | Russell 1000® Value Index | (11.36)% | 4.36% | 5.28% | 9.17% | 6.84% | Russell 1000® Value Index | 14.44% | 11.05% | 6.22% | 8.44% | 7.24% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Mid-Cap Value Strategy | U.S. Mid-Cap Value Strategy | 4/1/1999 | $ | 2,743 | (14.28)% | 5.05% | 4.64% | 8.49% | 11.49% | 261 | U.S. Mid-Cap Value Strategy | 4/1/1999 | $ | 2,642 | 17.50% | 13.85% | 6.08% | 7.13% | 11.73% | 276 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Russell Midcap® Index | Russell Midcap® Index | (19.39)% | 5.18% | 6.48% | 10.29% | 8.79% | Russell Midcap® Index | 13.45% | 8.09% | 6.38% | 8.98% | 8.97% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Russell Midcap® Value Index | Russell Midcap® Value Index | (13.56)% | 4.49% | 4.75% | 9.43% | 8.88% | Russell Midcap® Value Index | 11.05% | 10.98% | 5.18% | 7.91% | 8.97% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Value Income Strategy | Value Income Strategy | 3/1/2022 | $ | 9 | --- | (16.34)% | 89 | Value Income Strategy | 3/1/2022 | $ | 11 | 11.71% | --- | (4.18)% | (459) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
S&P 500 Market Index | S&P 500 Market Index | --- | (17.23)% | S&P 500 Market Index | 21.62% | --- | 0.41% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
International Value Team | International Value Team | International Value Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
International Value Strategy | International Value Strategy | 7/1/2002 | $ | 26,602 | (17.39)% | 3.96% | 2.51% | 7.64% | 10.34% | 565 | International Value Strategy | 7/1/2002 | $ | 36,401 | 33.22% | 14.98% | 8.74% | 7.72% | 11.32% | 573 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI EAFE Index | MSCI EAFE Index | (25.13)% | (1.83)% | (0.84)% | 3.67% | 4.69% | MSCI EAFE Index | 25.65% | 5.75% | 3.24% | 3.82% | 5.59% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
International Explorer | International Explorer | 11/1/2020 | $ | 45 | (22.68)% | --- | 7.82% | 932 | International Explorer | 11/1/2020 | $ | 201 | 22.30% | --- | 12.58% | 748 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI All Country World Index Ex USA Small Cap | MSCI All Country World Index Ex USA Small Cap | (28.93)% | --- | (1.50)% | MSCI All Country World Index Ex USA Small Cap | 19.01% | --- | 5.10% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Global Value Team | Global Value Team | Global Value Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Global Value Strategy | Global Value Strategy | 7/1/2007 | $ | 19,745 | (20.21)% | 1.52% | 2.13% | 7.86% | 6.84% | 261 | Global Value Strategy | 7/1/2007 | $ | 22,398 | 29.51% | 12.35% | 6.39% | 8.00% | 8.11% | 293 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI All Country World Index | MSCI All Country World Index | (20.66)% | 3.74% | 4.44% | 7.28% | 4.23% | MSCI All Country World Index | 20.80% | 6.89% | 6.46% | 7.55% | 5.18% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Select Equity Strategy | Select Equity Strategy | 3/1/2020 | $ | 319 | (22.12)% | --- | 2.93% | (658) | Select Equity Strategy | 3/1/2020 | $ | 308 | 26.13% | 9.65% | --- | 8.94% | (382) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
S&P 500 Market Index | S&P 500 Market Index | (15.47)% | --- | 9.51% | S&P 500 Market Index | 21.62% | 10.15% | --- | 12.76% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sustainable Emerging Markets Team | Sustainable Emerging Markets Team | Sustainable Emerging Markets Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sustainable Emerging Markets Strategy | Sustainable Emerging Markets Strategy | 7/1/2006 | $ | 854 | (33.62)% | (3.58)% | (1.78)% | 2.13% | 3.75% | 34 | Sustainable Emerging Markets Strategy | 7/1/2006 | $ | 796 | 20.95% | (0.87)% | 2.30% | 4.17% | 4.67% | 79 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI Emerging Markets Index | MSCI Emerging Markets Index | (28.11)% | (2.06)% | (1.81)% | 1.05% | 3.41% | MSCI Emerging Markets Index | 11.70% | (1.73)% | 0.55% | 2.07% | 3.88% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Team | Credit Team | Credit Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
High Income Strategy | High Income Strategy | 4/1/2014 | $ | 6,856 | (10.35)% | 2.98% | 4.09% | --- | 5.75% | 281 | High Income Strategy | 4/1/2014 | $ | 8,387 | 11.59% | 4.72% | 5.22% | --- | 6.34% | 266 | ||||||||||||||||||||||||||||||||||||||||||||||||||
ICE BofA US High Yield Master II Total Return Index | (14.06)% | (0.67)% | 1.41% | --- | 2.94% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
ICE BofA US High Yield Index | ICE BofA US High Yield Index | 10.19% | 1.82% | 2.80% | --- | 3.68% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Opportunities Strategy | Credit Opportunities Strategy | 7/1/2017 | $ | 133 | (1.71)% | 14.89% | 11.22% | --- | 11.59% | 1,027 | Credit Opportunities Strategy | 7/1/2017 | $ | 199 | 18.64% | 15.04% | 12.96% | --- | 12.69% | 1,087 | ||||||||||||||||||||||||||||||||||||||||||||||||||
ICE BofA US Dollar LIBOR 3-month Constant Maturity Index | 0.41% | 0.73% | 1.32% | --- | 1.32% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
ICE BofA US Dollar 3-Month Deposit Offered Rate Constant Maturity Index | ICE BofA US Dollar 3-Month Deposit Offered Rate Constant Maturity Index | 4.54% | 1.70% | 1.86% | --- | 1.82% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Floating Rate Strategy | Floating Rate Strategy | 1/1/2022 | $ | 47 | --- | (2.96)% | 35 | Floating Rate Strategy | 1/1/2022 | $ | 52 | 14.36% | --- | 6.14% | 123 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Credit Suisse Leveraged Loan Total Return Index | Credit Suisse Leveraged Loan Total Return Index | --- | (3.31)% | Credit Suisse Leveraged Loan Total Return Index | 12.47% | --- | 4.91% |
Developing World Team | Developing World Team | Developing World Team | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Developing World Strategy | Developing World Strategy | 7/1/2015 | $ | 3,649 | (47.70)% | 2.21% | 3.49% | --- | 6.43% | 547 | Developing World Strategy | 7/1/2015 | $ | 3,223 | 23.82% | (8.56)% | 10.00% | --- | 8.40% | 620 | ||||||||||||||||||||||||||||||||||||||||||||||||||
MSCI Emerging Markets Index | MSCI Emerging Markets Index | (28.11)% | (2.06)% | (1.81)% | --- | 0.96% | MSCI Emerging Markets Index | 11.70% | (1.73)% | 0.55% | --- | 2.20% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Antero Peak Group | Antero Peak Group | Antero Peak Group | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Antero Peak Strategy | Antero Peak Strategy | 5/1/2017 | $ | 2,953 | (19.55)% | 8.01% | 14.11% | --- | 16.32% | 654 | Antero Peak Strategy | 5/1/2017 | $ | 2,055 | 10.26% | 4.17% | 9.57% | --- | 15.36% | 382 | ||||||||||||||||||||||||||||||||||||||||||||||||||
S&P 500 Market Index | S&P 500 Market Index | (15.47)% | 8.15% | 9.23% | --- | 9.78% | S&P 500 Market Index | 21.62% | 10.15% | 9.91% | --- | 11.54% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Antero Peak Hedge Strategy | Antero Peak Hedge Strategy | 11/1/2017 | $ | 807 | (16.64)% | 6.01% | --- | 10.30% | 141 | Antero Peak Hedge Strategy | 11/1/2017 | $ | 400 | 5.36% | 1.72% | 7.14% | --- | 9.45% | (149) | |||||||||||||||||||||||||||||||||||||||||||||||||||
S&P 500 Market Index | S&P 500 Market Index | (15.47)% | 8.15% | --- | 8.89% | S&P 500 Market Index | 21.62% | 10.15% | 9.91% | --- | 10.94% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
EMsights Capital Group | EMsights Capital Group | EMsights Capital Group | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Global Unconstrained Strategy | Global Unconstrained Strategy | 4/1/2022 | $ | 15 | --- | 3.00% | 243 | Global Unconstrained Strategy | 4/1/2022 | $ | 296 | 12.66% | --- | 10.43% | 708 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
ICE BofA 3-month Treasury Bill Index | ICE BofA 3-month Treasury Bill Index | --- | 0.57% | ICE BofA 3-month Treasury Bill Index | 4.47% | --- | 3.35% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Emerging Markets Debt Opportunities Strategy | Emerging Markets Debt Opportunities Strategy | 5/1/2022 | $ | 41 | --- | (0.18)% | 766 | Emerging Markets Debt Opportunities Strategy | 5/1/2022 | $ | 81 | 17.56% | --- | 11.96% | 1,025 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
J.P. Morgan EMB Hard Currency/Local currency 50-50 Index | J.P. Morgan EMB Hard Currency/Local currency 50-50 Index | --- | (7.84)% | J.P. Morgan EMB Hard Currency/Local currency 50-50 Index | 11.15% | --- | 1.71% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Emerging Markets Local Opportunities Strategy | Emerging Markets Local Opportunities Strategy | 8/1/2022 | $ | 10 | --- | (3.81)% | 119 | Emerging Markets Local Opportunities Strategy | 8/1/2022 | $ | 416 | 15.77% | --- | 9.66% | 332 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
J.P. Morgan GBI-EM Global Diversified | J.P. Morgan GBI-EM Global Diversified | --- | (5.00)% | J.P. Morgan GBI-EM Global Diversified | 13.10% | --- | 6.34% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Assets Under Management | Total Assets Under Management | $ | 120,607 | Total Assets Under Management | $ | 136,495 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
1 Value-added is the amount, in basis points, by which the average annual gross composite return of each of our strategies has outperformed or underperformed its respective benchmark. The High Income strategy holds loans and other security types that are not included in its benchmark, which, at times, causes material differences in relative performance. The Credit Opportunities strategy is benchmark agnostic and has been compared to the 3-month LIBOR for reference purposes only. The Antero Peak and Antero Peak Hedge strategies' investments in initial public offerings (IPOs) made a material contribution to performance. IPO investments may contribute significantly to a small portfolio’s return, an effect that will generally decrease as assets grow. IPO investments may be unavailable in the future. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2 AUM for certain strategies include the following amounts for which Artisan Partners provides investment models to managed account sponsors (reported on a one-month lag): Artisan Sustainable Emerging Markets $76 million. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
1 Value-added is the amount, in basis points, by which the average annual gross composite return of each strategy has outperformed or underperformed its respective benchmark. | 1 Value-added is the amount, in basis points, by which the average annual gross composite return of each strategy has outperformed or underperformed its respective benchmark. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2 AUM for certain strategies include the following amounts for which Artisan Partners provides investment models to managed account sponsors (reported on a one-month lag): Artisan Sustainable Emerging Markets $55 million. | 2 AUM for certain strategies include the following amounts for which Artisan Partners provides investment models to managed account sponsors (reported on a one-month lag): Artisan Sustainable Emerging Markets $55 million. |
By Investment Team | By Investment Team | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | Three Months Ended | Growth | Global Equity | U.S. Value | International Value | Global Value | Sustainable Emerging Markets | Credit | Developing World | Antero Peak Group | EMsights Capital Group | Total | Three Months Ended | Growth | Global Equity | U.S. Value | International Value | Global Value | Sustainable Emerging Markets | Credit | Developing World | Antero Peak Group | EMsights Capital Group | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2022 | (unaudited; in millions) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2023 | September 30, 2023 | (unaudited; in millions) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 33,964 | $ | 21,643 | $ | 6,775 | $ | 29,391 | $ | 22,390 | $ | 1,003 | $ | 7,085 | $ | 4,136 | $ | 4,126 | $ | 34 | $ | 130,547 | Beginning assets under management | $ | 38,586 | $ | 21,109 | $ | 6,648 | $ | 36,786 | $ | 23,974 | $ | 873 | $ | 8,198 | $ | 3,572 | $ | 3,129 | $ | 114 | $ | 142,989 | ||||||||||||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 2,996 | 549 | 65 | 1,257 | 834 | 27 | 712 | 235 | 192 | 31 | 6,898 | Gross client cash inflows | 1,181 | 311 | 84 | 1,957 | 376 | 17 | 799 | 131 | 43 | 702 | 5,601 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (2,319) | (1,807) | (296) | (1,185) | (936) | (62) | (655) | (378) | (333) | — | (7,971) | Gross client cash outflows | (2,755) | (662) | (212) | (1,123) | (952) | (58) | (422) | (228) | (527) | (1) | (6,940) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Net client cash flows (1) | Net client cash flows (1) | 677 | (1,258) | (231) | 72 | (102) | (35) | 57 | (143) | (141) | 31 | (1,073) | Net client cash flows (1) | (1,574) | (351) | (128) | 834 | (576) | (41) | 377 | (97) | (484) | 701 | (1,339) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (2) | Artisan Funds' distributions not reinvested (2) | — | — | — | (33) | — | — | (48) | — | — | — | (81) | Artisan Funds' distributions not reinvested (2) | — | — | — | — | — | — | (75) | — | — | — | (75) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | (1,122) | (1,499) | (418) | (2,783) | (2,224) | (114) | (58) | (344) | (225) | 1 | (8,786) | Investment returns and other | (1,731) | (1,132) | (145) | (1,018) | (692) | (36) | 138 | (252) | (190) | (22) | (5,080) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 33,519 | $ | 18,886 | $ | 6,126 | $ | 26,647 | $ | 20,064 | $ | 854 | $ | 7,036 | $ | 3,649 | $ | 3,760 | $ | 66 | $ | 120,607 | Ending assets under management | $ | 35,281 | $ | 19,626 | $ | 6,375 | $ | 36,602 | $ | 22,706 | $ | 796 | $ | 8,638 | $ | 3,223 | $ | 2,455 | $ | 793 | $ | 136,495 | ||||||||||||||||||||||||||||||
Average assets under management | Average assets under management | $ | 36,491 | $ | 21,362 | $ | 6,937 | $ | 29,231 | $ | 22,203 | $ | 963 | $ | 7,241 | $ | 4,231 | $ | 4,229 | $ | 58 | $ | 132,946 | Average assets under management | $ | 37,406 | $ | 20,762 | $ | 6,655 | $ | 37,286 | $ | 23,780 | $ | 874 | $ | 8,474 | $ | 3,488 | $ | 2,917 | $ | 557 | $ | 142,199 | ||||||||||||||||||||||||||||||
September 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2022 | September 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 53,517 | $ | 34,166 | $ | 7,929 | $ | 29,720 | $ | 26,515 | $ | 998 | $ | 7,785 | $ | 10,314 | $ | 4,270 | $ | — | $ | 175,214 | Beginning assets under management | $ | 33,964 | $ | 21,643 | $ | 6,775 | $ | 29,391 | $ | 22,390 | $ | 1,003 | $ | 7,085 | $ | 4,136 | $ | 4,126 | $ | 34 | $ | 130,547 | ||||||||||||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 1,125 | 955 | 68 | 1,943 | 885 | 86 | 819 | 733 | 328 | — | 6,942 | Gross client cash inflows | 2,996 | 549 | 65 | 1,257 | 834 | 27 | 712 | 235 | 192 | 31 | 6,898 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (2,631) | (1,143) | (150) | (874) | (816) | (7) | (383) | (770) | (157) | — | (6,931) | Gross client cash outflows | (2,319) | (1,807) | (296) | (1,185) | (936) | (62) | (655) | (378) | (333) | — | (7,971) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Net client cash flows (1) | Net client cash flows (1) | (1,506) | (188) | (82) | 1,069 | 69 | 79 | 436 | (37) | 171 | — | 11 | Net client cash flows (1) | 677 | (1,258) | (231) | 72 | (102) | (35) | 57 | (143) | (141) | 31 | (1,073) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (2) | Artisan Funds' distributions not reinvested (2) | — | — | — | — | — | — | (39) | — | — | — | (39) | Artisan Funds' distributions not reinvested (2) | — | — | — | (33) | — | — | (48) | — | — | — | (81) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | 1,169 | (161) | (68) | (814) | (811) | (95) | 76 | (944) | 85 | — | (1,563) | Investment returns and other | (1,122) | (1,499) | (418) | (2,783) | (2,224) | (114) | (58) | (344) | (225) | 1 | (8,786) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 53,180 | $ | 33,817 | $ | 7,779 | $ | 29,975 | $ | 25,773 | $ | 982 | $ | 8,258 | $ | 9,333 | $ | 4,526 | $ | — | $ | 173,623 | Ending assets under management | $ | 33,519 | $ | 18,886 | $ | 6,126 | $ | 26,647 | $ | 20,064 | $ | 854 | $ | 7,036 | $ | 3,649 | $ | 3,760 | $ | 66 | $ | 120,607 | ||||||||||||||||||||||||||||||
Average assets under management | Average assets under management | $ | 54,948 | $ | 34,706 | $ | 7,944 | $ | 30,320 | $ | 26,200 | $ | 1,010 | $ | 8,041 | $ | 9,732 | $ | 4,656 | $ | — | $ | 177,557 | Average assets under management | $ | 36,491 | $ | 21,362 | $ | 6,937 | $ | 29,231 | $ | 22,203 | $ | 963 | $ | 7,241 | $ | 4,231 | $ | 4,229 | $ | 58 | $ | 132,946 | ||||||||||||||||||||||||||||||
(1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | (2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | (2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. |
By Investment Team | By Investment Team | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended | Nine Months Ended | Growth | Global Equity | U.S. Value | International Value | Global Value | Sustainable Emerging Markets | Credit | Developing World | Antero Peak Group | EMsights Capital Group | Total | Nine Months Ended | Growth | Global Equity | U.S. Value | International Value | Global Value | Sustainable Emerging Markets | Credit | Developing World | Antero Peak Group | EMsights Capital Group | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2023 | September 30, 2023 | (unaudited; in millions) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 33,977 | $ | 20,623 | $ | 6,088 | $ | 30,210 | $ | 21,767 | $ | 873 | $ | 7,140 | $ | 3,466 | $ | 3,676 | $ | 72 | $ | 127,892 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 2,905 | 1,196 | 195 | 6,149 | 1,304 | 63 | 2,542 | 488 | 311 | 736 | 15,889 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (5,093) | (2,870) | (556) | (3,222) | (3,130) | (217) | (1,506) | (1,277) | (1,695) | (1) | (19,567) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net client cash flows (1) | Net client cash flows (1) | (2,188) | (1,674) | (361) | 2,927 | (1,826) | (154) | 1,036 | (789) | (1,384) | 735 | (3,678) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (2) | Artisan Funds' distributions not reinvested (2) | — | — | — | — | — | — | (190) | — | — | — | (190) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | 3,492 | 677 | 648 | 3,465 | 2,765 | 77 | 652 | 546 | 163 | (14) | 12,471 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net transfers(3) | Net transfers(3) | — | — | — | — | — | — | — | — | — | — | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 35,281 | $ | 19,626 | $ | 6,375 | $ | 36,602 | $ | 22,706 | $ | 796 | $ | 8,638 | $ | 3,223 | $ | 2,455 | $ | 793 | $ | 136,495 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Average assets under management | Average assets under management | $ | 36,812 | $ | 21,167 | $ | 6,489 | $ | 35,210 | $ | 23,203 | $ | 882 | $ | 8,118 | $ | 3,593 | $ | 3,260 | $ | 248 | $ | 138,982 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2022 | September 30, 2022 | (unaudited; in millions) | September 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 52,434 | $ | 32,998 | $ | 8,053 | $ | 31,816 | $ | 26,744 | $ | 1,173 | $ | 8,157 | $ | 8,102 | $ | 5,277 | $ | — | $ | 174,754 | Beginning assets under management | $ | 52,434 | $ | 32,998 | $ | 8,053 | $ | 31,816 | $ | 26,744 | $ | 1,173 | $ | 8,157 | $ | 8,102 | $ | 5,277 | — | $ | 174,754 | |||||||||||||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 6,008 | 2,805 | 450 | 5,906 | 2,404 | 243 | 2,111 | 1,431 | 974 | 65 | 22,397 | Gross client cash inflows | 6,008 | 2,805 | 450 | 5,906 | 2,404 | 243 | 2,111 | 1,431 | 974 | 65 | 22,397 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (6,771) | (7,232) | (814) | (3,798) | (2,698) | (133) | (2,169) | (2,451) | (952) | — | (27,018) | Gross client cash outflows | (6,771) | (7,232) | (814) | (3,798) | (2,698) | (133) | (2,169) | (2,451) | (952) | — | (27,018) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Net client cash flows (1) | Net client cash flows (1) | (763) | (4,427) | (364) | 2,108 | (294) | 110 | (58) | (1,020) | 22 | 65 | (4,621) | Net client cash flows (1) | (763) | (4,427) | (364) | 2,108 | (294) | 110 | (58) | (1,020) | 22 | 65 | (4,621) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (2) | Artisan Funds' distributions not reinvested (2) | — | — | — | (33) | — | — | (136) | — | — | — | (169) | Artisan Funds' distributions not reinvested (2) | — | — | — | (33) | — | — | (136) | — | — | — | (169) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | (18,152) | (9,685) | (1,563) | (7,244) | (6,386) | (429) | (927) | (3,433) | (1,539) | 1 | (49,357) | Investment returns and other | (18,152) | (9,685) | (1,563) | (7,244) | (6,386) | (429) | (927) | (3,433) | (1,539) | 1 | (49,357) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Net transfers(3) | Net transfers(3) | — | — | — | — | — | — | — | — | — | — | $ | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 33,519 | $ | 18,886 | $ | 6,126 | $ | 26,647 | $ | 20,064 | $ | 854 | $ | 7,036 | $ | 3,649 | $ | 3,760 | $ | 66 | $ | 120,607 | Ending assets under management | $ | 33,519 | $ | 18,886 | $ | 6,126 | $ | 26,647 | $ | 20,064 | $ | 854 | $ | 7,036 | $ | 3,649 | $ | 3,760 | $ | 66 | $ | 120,607 | ||||||||||||||||||||||||||||||
Average assets under management (3) | $ | 39,888 | $ | 25,249 | $ | 7,405 | $ | 30,858 | $ | 24,306 | $ | 1,030 | $ | 7,674 | $ | 5,289 | $ | 4,514 | $ | 45 | $ | 146,244 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
September 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning assets under management | $ | 52,685 | $ | 32,056 | $ | 7,149 | $ | 24,123 | $ | 22,417 | $ | 679 | $ | 6,338 | $ | 8,853 | $ | 3,476 | $ | — | $ | 157,776 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross client cash inflows | 5,324 | 3,625 | 257 | 5,990 | 3,781 | 367 | 2,643 | 2,811 | 1,016 | — | 25,814 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gross client cash outflows | (9,180) | (3,789) | (918) | (3,138) | (2,938) | (33) | (1,021) | (2,002) | (332) | — | (23,351) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net client cash flows (1) | (3,856) | (164) | (661) | 2,852 | 843 | 334 | 1,622 | 809 | 684 | — | 2,463 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (2) | — | — | — | — | — | — | (114) | — | — | — | (114) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment returns and other | 4,351 | 1,925 | 1,291 | 3,000 | 2,513 | (31) | 412 | (329) | 366 | — | 13,498 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending assets under management | $ | 53,180 | $ | 33,817 | $ | 7,779 | $ | 29,975 | $ | 25,773 | $ | 982 | $ | 8,258 | $ | 9,333 | $ | 4,526 | $ | — | $ | 173,623 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Average assets under management | $ | 53,250 | $ | 33,738 | $ | 7,785 | $ | 28,377 | $ | 25,096 | $ | 874 | $ | 7,370 | $ | 9,691 | $ | 4,199 | $ | — | $ | 170,380 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Average assets under management (4) | Average assets under management (4) | $ | 39,888 | $ | 25,249 | $ | 7,405 | $ | 30,858 | $ | 24,306 | $ | 1,030 | $ | 7,674 | $ | 5,289 | $ | 4,514 | $ | 45 | $ | 146,244 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
(1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | (1) Net client cash flows excludes Artisan Funds' income and capital gain distributions that were not reinvested. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | (2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | (2) Artisan Funds' distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(3) For the EMsights Capital Group, average assets under management is for the period beginning March 31, 2022, when the team’s first strategy began investment operations. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(3) Net transfers represent certain amounts that we have identified as having been transferred out of one investment strategy, investment vehicle or account and into another strategy, vehicle or account. | (3) Net transfers represent certain amounts that we have identified as having been transferred out of one investment strategy, investment vehicle or account and into another strategy, vehicle or account. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(4) For the EMsights Capital Group, average assets under management is for the period beginning March 31, 2022, when the team’s first strategy began investment operations. | (4) For the EMsights Capital Group, average assets under management is for the period beginning March 31, 2022, when the team’s first strategy began investment operations. |
As of September 30, 2022 | As of September 30, 2021 | As of September 30, 2023 | As of September 30, 2022 | |||||||||||||||||||||||||||||||||||||||||||
$ in Millions | % of Total | $ in Millions | % of Total | $ in Millions | % of Total | $ in Millions | % of Total | |||||||||||||||||||||||||||||||||||||||
(unaudited) | (unaudited) | (unaudited) | (unaudited) | |||||||||||||||||||||||||||||||||||||||||||
Institutional | Institutional | $ | 76,780 | 63.6 | % | $ | 109,721 | 63.2 | % | Institutional | $ | 85,770 | 62.8 | % | $ | 76,780 | 63.6 | % | ||||||||||||||||||||||||||||
Intermediary | Intermediary | 38,561 | 32.0 | % | 55,912 | 32.2 | % | Intermediary | 45,435 | 33.3 | % | 38,561 | 32.0 | % | ||||||||||||||||||||||||||||||||
Retail | Retail | 5,266 | 4.4 | % | 7,990 | 4.6 | % | Retail | 5,290 | 3.9 | % | 5,266 | 4.4 | % | ||||||||||||||||||||||||||||||||
Ending Assets Under Management | Ending Assets Under Management | $ | 120,607 | 100.0 | % | $ | 173,623 | 100.0 | % | Ending Assets Under Management | $ | 136,495 | 100.0 | % | $ | 120,607 | 100.0 | % | ||||||||||||||||||||||||||||
(1) The allocation of assets under management by distribution channel involves the use of estimates and the exercise of judgment. | (1) The allocation of assets under management by distribution channel involves the use of estimates and the exercise of judgment. | (1) The allocation of assets under management by distribution channel involves the use of estimates and the exercise of judgment. |
Three Months Ended | Three Months Ended | Artisan Funds & Artisan Global Funds | Separate Accounts and Other (1) | Total | Three Months Ended | Artisan Funds & Artisan Global Funds | Separate Accounts and Other (1) | Total | ||||||||||||||||||||||||||
September 30, 2022 | (unaudited; in millions) | |||||||||||||||||||||||||||||||||
September 30, 2023 | September 30, 2023 | (unaudited; in millions) | ||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 63,033 | $ | 67,514 | $ | 130,547 | Beginning assets under management | $ | 69,144 | $ | 73,845 | $ | 142,989 | ||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 3,784 | 3,114 | 6,898 | Gross client cash inflows | 3,313 | 2,288 | 5,601 | ||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (4,607) | (3,364) | (7,971) | Gross client cash outflows | (3,440) | (3,500) | (6,940) | ||||||||||||||||||||||||||
Net client cash flows (2) | Net client cash flows (2) | (823) | (250) | (1,073) | Net client cash flows (2) | (127) | (1,212) | (1,339) | ||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | Artisan Funds' distributions not reinvested (3) | (81) | — | (81) | Artisan Funds' distributions not reinvested (3) | (75) | — | (75) | ||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | (4,141) | (4,645) | (8,786) | Investment returns and other | (2,297) | (2,783) | (5,080) | ||||||||||||||||||||||||||
Net transfers (4) | Net transfers (4) | (149) | 149 | — | Net transfers (4) | (15) | 15 | — | ||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 57,839 | $ | 62,768 | $ | 120,607 | Ending assets under management | $ | 66,630 | $ | 69,865 | $ | 136,495 | ||||||||||||||||||||
Average assets under management | Average assets under management | $ | 63,978 | $ | 68,968 | $ | 132,946 | Average assets under management | $ | 69,042 | $ | 73,157 | $ | 142,199 | ||||||||||||||||||||
September 30, 2021 | ||||||||||||||||||||||||||||||||||
September 30, 2022 | September 30, 2022 | |||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 85,687 | $ | 89,527 | $ | 175,214 | Beginning assets under management | $ | 63,033 | $ | 67,514 | $ | 130,547 | ||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 5,293 | 1,649 | 6,942 | Gross client cash inflows | 3,784 | 3,114 | 6,898 | ||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (4,089) | (2,842) | (6,931) | Gross client cash outflows | (4,607) | (3,364) | (7,971) | ||||||||||||||||||||||||||
Net client cash flows (2) | Net client cash flows (2) | 1,204 | (1,193) | 11 | Net client cash flows (2) | (823) | (250) | (1,073) | ||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | Artisan Funds' distributions not reinvested (3) | (39) | — | (39) | Artisan Funds' distributions not reinvested (3) | (81) | — | (81) | ||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | (1,236) | (327) | (1,563) | Investment returns and other | (4,141) | (4,645) | (8,786) | ||||||||||||||||||||||||||
Net transfers (4) | Net transfers (4) | (224) | 224 | — | Net transfers (4) | (149) | 149 | — | ||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 85,392 | $ | 88,231 | $ | 173,623 | Ending assets under management | $ | 57,839 | $ | 62,768 | $ | 120,607 | ||||||||||||||||||||
Average assets under management | Average assets under management | $ | 86,819 | $ | 90,738 | $ | 177,557 | Average assets under management | $ | 63,978 | $ | 68,968 | $ | 132,946 | ||||||||||||||||||||
Nine months ended | Artisan Funds & Artisan Global Funds | Separate Accounts and Other (1) | Total | |||||||||||||||||||||||||||||||
Nine Months Ended | Nine Months Ended | Artisan Funds & Artisan Global Funds | Separate Accounts and Other (1) | Total | ||||||||||||||||||||||||||||||
September 30, 2023 | September 30, 2023 | (unaudited; in millions) | ||||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 60,811 | $ | 67,081 | $ | 127,892 | |||||||||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 11,294 | 4,595 | 15,889 | ||||||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (11,074) | (8,493) | (19,567) | ||||||||||||||||||||||||||||||
Net client cash flows (2) | Net client cash flows (2) | 220 | (3,898) | (3,678) | ||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | Artisan Funds' distributions not reinvested (3) | (190) | — | (190) | ||||||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | 5,804 | 6,667 | 12,471 | ||||||||||||||||||||||||||||||
Net transfers (4) | Net transfers (4) | (15) | 15 | — | ||||||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 66,630 | $ | 69,865 | $ | 136,495 | |||||||||||||||||||||||||||
Average assets under management | Average assets under management | $ | 67,110 | $ | 71,872 | $ | 138,982 | |||||||||||||||||||||||||||
September 30, 2022 | September 30, 2022 | (unaudited; in millions) | September 30, 2022 | |||||||||||||||||||||||||||||||
Beginning assets under management | Beginning assets under management | $ | 84,363 | $ | 90,391 | $ | 174,754 | Beginning assets under management | $ | 84,363 | $ | 90,391 | $ | 174,754 | ||||||||||||||||||||
Gross client cash inflows | Gross client cash inflows | 15,067 | 7,330 | 22,397 | Gross client cash inflows | 15,067 | 7,330 | 22,397 | ||||||||||||||||||||||||||
Gross client cash outflows | Gross client cash outflows | (17,843) | (9,175) | (27,018) | Gross client cash outflows | (17,843) | (9,175) | (27,018) | ||||||||||||||||||||||||||
Net client cash flows (2) | Net client cash flows (2) | (2,776) | (1,845) | (4,621) | Net client cash flows (2) | (2,776) | (1,845) | (4,621) | ||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | Artisan Funds' distributions not reinvested (3) | (169) | — | (169) | Artisan Funds' distributions not reinvested (3) | (169) | — | (169) | ||||||||||||||||||||||||||
Investment returns and other | Investment returns and other | (23,366) | (25,991) | (49,357) | Investment returns and other | (23,366) | (25,991) | (49,357) | ||||||||||||||||||||||||||
Net transfers (4) | Net transfers (4) | (213) | 213 | — | Net transfers (4) | (213) | 213 | — | ||||||||||||||||||||||||||
Ending assets under management | Ending assets under management | $ | 57,839 | $ | 62,768 | $ | 120,607 | Ending assets under management | $ | 57,839 | $ | 62,768 | $ | 120,607 | ||||||||||||||||||||
Average assets under management | Average assets under management | $ | 70,544 | $ | 75,700 | $ | 146,244 | Average assets under management | $ | 70,544 | $ | 75,700 | $ | 146,244 | ||||||||||||||||||||
September 30, 2021 | ||||||||||||||||||||||||||||||||||
Beginning assets under management | $ | 74,746 | $ | 83,030 | $ | 157,776 | ||||||||||||||||||||||||||||
Gross client cash inflows | 18,560 | 7,254 | 25,814 | |||||||||||||||||||||||||||||||
Gross client cash outflows | (13,115) | (10,236) | (23,351) | |||||||||||||||||||||||||||||||
Net client cash flows (2) | 5,445 | (2,982) | 2,463 | |||||||||||||||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | (114) | — | (114) | |||||||||||||||||||||||||||||||
Investment returns and other | 5,617 | 7,881 | 13,498 | |||||||||||||||||||||||||||||||
Net transfers (4) | (302) | 302 | — | |||||||||||||||||||||||||||||||
Ending assets under management | $ | 85,392 | $ | 88,231 | $ | 173,623 | ||||||||||||||||||||||||||||
Average assets under management | $ | 82,721 | $ | 87,659 | $ | 170,380 |
(1) Separate accounts and other consists of AUM we manage in or through vehicles other than Artisan Funds or Artisan Global Funds. This AUM includes assets we manage in traditional separate accounts, | |||||||||||||||||
(2) Net client cash flows excludes Artisan Funds’ income and capital gain distributions that were not reinvested. | |||||||||||||||||
(3) Artisan Funds’ distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | |||||||||||||||||
(4) Net transfers represent certain amounts that we have identified as having been transferred out of one investment strategy, investment vehicle or account and into another strategy, vehicle or account. |
Three Months Ended | Equity (1) | Fixed Income (1) | Alternative (1) | Total | |||||||||||||||||||
September 30, 2023 | (unaudited; in millions) | ||||||||||||||||||||||
Beginning assets under management | $ | 131,384 | $ | 8,103 | $ | 3,502 | $ | 142,989 | |||||||||||||||
Gross client cash inflows | 4,056 | 1,225 | 320 | 5,601 | |||||||||||||||||||
Gross client cash outflows | (5,990) | (422) | (528) | (6,940) | |||||||||||||||||||
Net client cash flows (2) | (1,934) | 803 | (208) | (1,339) | |||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | — | (75) | — | (75) | |||||||||||||||||||
Investment returns and other | (5,002) | 104 | (182) | (5,080) | |||||||||||||||||||
Net transfers (4) | — | — | — | — | |||||||||||||||||||
Ending assets under management | $ | 124,448 | $ | 8,935 | $ | 3,112 | $ | 136,495 | |||||||||||||||
Average assets under management | $ | 130,084 | $ | 8,787 | $ | 3,328 | $ | 142,199 | |||||||||||||||
September 30, 2022 | |||||||||||||||||||||||
Beginning assets under management | $ | 119,101 | $ | 6,974 | $ | 4,472 | $ | 130,547 | |||||||||||||||
Gross client cash inflows | 5,962 | 738 | 198 | 6,898 | |||||||||||||||||||
Gross client cash outflows | (6,983) | (653) | (335) | (7,971) | |||||||||||||||||||
Net client cash flows (2) | (1,021) | 85 | (137) | (1,073) | |||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | (33) | (48) | — | (81) | |||||||||||||||||||
Investment returns and other | (8,464) | (57) | (265) | (8,786) | |||||||||||||||||||
Net transfers (4) | — | — | — | — | |||||||||||||||||||
Ending assets under management | $ | 109,583 | $ | 6,954 | $ | 4,070 | $ | 120,607 | |||||||||||||||
Average assets under management | $ | 121,231 | $ | 7,148 | $ | 4,567 | $ | 132,946 | |||||||||||||||
Nine Months Ended | Equity (1) | Fixed Income (1) | Alternative (1) | Total | |||||||||||||||||||
September 30, 2023 | (unaudited; in millions) | ||||||||||||||||||||||
Beginning assets under management | $ | 116,832 | $ | 7,059 | $ | 4,001 | $ | 127,892 | |||||||||||||||
Gross client cash inflows | 12,299 | 2,962 | 628 | 15,889 | |||||||||||||||||||
Gross client cash outflows | (16,365) | (1,504) | (1,698) | (19,567) | |||||||||||||||||||
Net client cash flows (2) | (4,066) | 1,458 | (1,070) | (3,678) | |||||||||||||||||||
Artisan Funds' distributions not reinvested (3) | — | (190) | — | (190) | |||||||||||||||||||
Investment returns and other | 11,682 | 608 | 181 | 12,471 | |||||||||||||||||||
Net transfers (4) | — | — | — | — | |||||||||||||||||||
Ending assets under management | $ | 124,448 | $ | 8,935 | $ | 3,112 | $ | 136,495 | |||||||||||||||
Average assets under management | $ | 127,181 | $ | 8,165 | $ | 3,636 | $ | 138,982 | |||||||||||||||
September 30, 2022 | |||||||||||||||||||||||
Beginning assets under management | $ | 161,083 | $ | 8,037 | $ | 5,634 | $ | 174,754 | |||||||||||||||
Gross client cash inflows | 19,235 | 2,135 | 1,027 | 22,397 | |||||||||||||||||||
Gross client cash outflows | (23,895) | (2,158) | (965) | (27,018) | |||||||||||||||||||
Net client cash flows (2) | (4,660) | (23) | 62 | (4,621) |
Artisan Funds' distributions not reinvested (3) | (33) | (136) | — | (169) | |||||||||||||||||||
Investment returns and other | (46,807) | (924) | (1,626) | (49,357) | |||||||||||||||||||
Net transfers (4) | — | — | — | — | |||||||||||||||||||
Ending assets under management | $ | 109,583 | $ | 6,954 | $ | 4,070 | $ | 120,607 | |||||||||||||||
Average assets under management | $ | 133,827 | $ | 7,562 | $ | 4,855 | $ | 146,244 | |||||||||||||||
(1) Equity includes the following investment strategies: Mid-Cap Growth, Small-Cap Growth, Mid-Cap Value, Non-U.S. Growth, International Value, Global Opportunities, Global Equity, Value Equity, Global Value, Sustainable Emerging Markets, Global Discovery, Developing World, Non-U.S. Small-Mid Growth, International Explorer, Select Equity, and Value Income. Fixed Income includes the following investment strategies: High Income, Floating Rate, Emerging Markets Debt Opportunities, and Emerging Markets Local Opportunities. Alternative includes the following investment strategies: Antero Peak, Antero Peak Hedge, China Post-Venture, Credit Opportunities, and Global Unconstrained. | |||||||||||||||||||||||
(2) Net client cash flows excludes Artisan Funds’ income and capital gain distributions that were not reinvested. | |||||||||||||||||||||||
(3) Artisan Funds’ distributions not reinvested represents the amount of income and capital gain distributions that were not reinvested in the Artisan Funds. | |||||||||||||||||||||||
(4) Net transfers represent certain amounts that we have identified as having been transferred out of one investment strategy, investment vehicle or account and into another strategy, vehicle or account. |
For the Three Months Ended September 30, | For the Period-to-Period | For the Three Months Ended September 30, | For the Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
Statements of operations data: | Statements of operations data: | (unaudited; in millions, except share and per-share data) | Statements of operations data: | (unaudited; in millions, except share and per-share data) | ||||||||||||||||||||||||||||||||||||||||||
Revenues | Revenues | $ | 234.3 | $ | 316.6 | $ | (82.3) | (26) | % | Revenues | $ | 248.7 | $ | 234.3 | $ | 14.4 | 6 | % | ||||||||||||||||||||||||||||
Operating Expenses | Operating Expenses | Operating Expenses | ||||||||||||||||||||||||||||||||||||||||||||
Total compensation and benefits | Total compensation and benefits | 122.1 | 142.2 | (20.1) | (14) | % | Total compensation and benefits | 130.7 | 122.1 | 8.6 | 7 | % | ||||||||||||||||||||||||||||||||||
Other operating expenses | Other operating expenses | 33.5 | 31.3 | 2.2 | 7 | % | Other operating expenses | 35.8 | 33.5 | 2.3 | 7 | % | ||||||||||||||||||||||||||||||||||
Total operating expenses | Total operating expenses | 155.6 | 173.5 | (17.9) | (10) | % | Total operating expenses | 166.5 | 155.6 | 10.9 | 7 | % | ||||||||||||||||||||||||||||||||||
Total operating income | Total operating income | 78.7 | 143.1 | (64.4) | (45) | % | Total operating income | 82.2 | 78.7 | 3.5 | 4 | % | ||||||||||||||||||||||||||||||||||
Non-operating income (expense) | Non-operating income (expense) | Non-operating income (expense) | ||||||||||||||||||||||||||||||||||||||||||||
Interest expense | Interest expense | (2.5) | (2.7) | 0.2 | 7 | % | Interest expense | (2.3) | (2.5) | 0.2 | 8 | % | ||||||||||||||||||||||||||||||||||
Other non-operating income (expense) | Other non-operating income (expense) | (8.9) | 1.0 | (9.9) | (990) | % | Other non-operating income (expense) | 8.1 | (8.9) | 17.0 | 191 | % | ||||||||||||||||||||||||||||||||||
Total non-operating income (expense) | Total non-operating income (expense) | (11.4) | (1.7) | (9.7) | (571) | % | Total non-operating income (expense) | 5.8 | (11.4) | 17.2 | 151 | % | ||||||||||||||||||||||||||||||||||
Income before income taxes | Income before income taxes | 67.3 | 141.4 | (74.1) | (52) | % | Income before income taxes | 88.0 | 67.3 | 20.7 | 31 | % | ||||||||||||||||||||||||||||||||||
Provision for income taxes | Provision for income taxes | 14.8 | 28.0 | (13.2) | (47) | % | Provision for income taxes | 14.6 | 14.8 | (0.2) | (1) | % | ||||||||||||||||||||||||||||||||||
Net income before noncontrolling interests | Net income before noncontrolling interests | 52.5 | 113.4 | (60.9) | (54) | % | Net income before noncontrolling interests | 73.4 | 52.5 | 20.9 | 40 | % | ||||||||||||||||||||||||||||||||||
Less: Noncontrolling interests - Artisan Partners Holdings | Less: Noncontrolling interests - Artisan Partners Holdings | 11.0 | 24.8 | (13.8) | (56) | % | Less: Noncontrolling interests - Artisan Partners Holdings | 11.3 | 11.0 | 0.3 | 3 | % | ||||||||||||||||||||||||||||||||||
Less: Noncontrolling interests - consolidated investment products | Less: Noncontrolling interests - consolidated investment products | (2.7) | 2.2 | (4.9) | (223) | % | Less: Noncontrolling interests - consolidated investment products | 9.0 | (2.7) | 11.7 | 433 | % | ||||||||||||||||||||||||||||||||||
Net income attributable to Artisan Partners Asset Management Inc. | Net income attributable to Artisan Partners Asset Management Inc. | $ | 44.2 | $ | 86.4 | $ | (42.2) | (49) | % | Net income attributable to Artisan Partners Asset Management Inc. | $ | 53.1 | $ | 44.2 | $ | 8.9 | 20 | % | ||||||||||||||||||||||||||||
Share Data | Share Data | Share Data | ||||||||||||||||||||||||||||||||||||||||||||
Basic earnings per share | Basic earnings per share | $ | 0.65 | $ | 1.30 | Basic earnings per share | $ | 0.76 | $ | 0.65 | ||||||||||||||||||||||||||||||||||||
Diluted earnings per share | Diluted earnings per share | $ | 0.65 | $ | 1.30 | Diluted earnings per share | $ | 0.76 | $ | 0.65 | ||||||||||||||||||||||||||||||||||||
Basic weighted average number of common shares outstanding | Basic weighted average number of common shares outstanding | 62,623,434 | 59,965,549 | Basic weighted average number of common shares outstanding | 63,520,402 | 62,623,434 | ||||||||||||||||||||||||||||||||||||||||
Diluted weighted average number of common shares outstanding | Diluted weighted average number of common shares outstanding | 62,632,660 | 59,982,774 | Diluted weighted average number of common shares outstanding | 63,563,044 | 62,632,660 |
Separate Accounts and Other (1) | Artisan Funds and Artisan Global Funds | Separate Accounts and Other (1) | Artisan Funds and Artisan Global Funds | |||||||||||||||||||||||||||||||||||||||||||
For the Three Months Ended September 30, | For the Three Months Ended September 30, | 2022 | 2021 | 2022 | 2021 | For the Three Months Ended September 30, | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||
(unaudited; dollars in millions) | (unaudited; dollars in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Investment advisory fees | Investment advisory fees | $ | 87.9 | $ | 117.5 | $ | 146.4 | $ | 199.1 | Investment advisory fees | $ | 92.3 | $ | 87.9 | $ | 156.4 | $ | 146.4 | ||||||||||||||||||||||||||||
Weighted average management fee (2) | Weighted average management fee (2) | 50.6 bps | 51.3 bps | 90.8 bps | 91.0 bps | Weighted average management fee (2) | 50.1 bps | 50.6 bps | 90.1 bps | 90.8 bps | ||||||||||||||||||||||||||||||||||||
Percentage of ending AUM | Percentage of ending AUM | 52 | % | 51 | % | 48 | % | 49 | % | Percentage of ending AUM | 52 | % | 52 | % | 48 | % | 48 | % | ||||||||||||||||||||||||||||
(1) Separate accounts and other consists of assets we manage in or through vehicles other than Artisan Funds or Artisan Global Funds, including assets we manage in traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds, as well as assets under advisement related to investment models, for which we provide consulting advice but do not have discretionary investment authority. | (1) Separate accounts and other consists of assets we manage in or through vehicles other than Artisan Funds or Artisan Global Funds, including assets we manage in traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds, as well as assets under advisement related to investment models, for which we provide consulting advice but do not have discretionary investment authority. | (1) Separate accounts and other consists of assets we manage in or through vehicles other than Artisan Funds or Artisan Global Funds, including assets we manage in traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds, as well as assets under advisement related to investment models, for which we provide consulting advice but do not have discretionary investment authority. | ||||||||||||||||||||||||||||||||||||||||||||
(2) We compute our weighted average management fee by dividing annualized management fees (which excludes performance fees) by average assets under management for the applicable period. | (2) We compute our weighted average management fee by dividing annualized management fees (which excludes performance fees) by average assets under management for the applicable period. | (2) We compute our weighted average management fee by dividing annualized management fees (which excludes performance fees) by average assets under management for the applicable period. |
For the Three Months Ended September 30, | Period-to-Period | For the Three Months Ended September 30, | Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Salaries, incentive compensation and benefits(1) | Salaries, incentive compensation and benefits(1) | $ | 109.7 | $ | 130.8 | $ | (21.1) | (16) | % | Salaries, incentive compensation and benefits(1) | $ | 118.3 | $ | 109.7 | $ | 8.6 | 8 | % | ||||||||||||||||||||||||||||
Long-term incentive compensation awards | Long-term incentive compensation awards | 12.4 | 11.4 | 1.0 | 9 | % | Long-term incentive compensation awards | 12.4 | 12.4 | 0.0 | 0 | % | ||||||||||||||||||||||||||||||||||
Total compensation and benefits | Total compensation and benefits | $ | 122.1 | $ | 142.2 | $ | (20.1) | (14) | % | Total compensation and benefits | $ | 130.7 | $ | 122.1 | $ | 8.6 | 7 | % | ||||||||||||||||||||||||||||
(1) Excluding long-term incentive compensation awards | (1) Excluding long-term incentive compensation awards | (1) Excluding long-term incentive compensation awards |
For the Three Months Ended September 30, | Period-to-Period | For the Three Months Ended September 30, | Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Interest expense | Interest expense | $ | (2.5) | $ | (2.7) | $ | 0.2 | (7) | % | Interest expense | $ | (2.3) | $ | (2.5) | $ | 0.2 | (8) | % | ||||||||||||||||||||||||||||
Net investment gain (loss) of consolidated investment products | Net investment gain (loss) of consolidated investment products | (3.9) | 2.7 | (6.6) | (244) | % | Net investment gain (loss) of consolidated investment products | 9.8 | (3.9) | 13.7 | 351 | % | ||||||||||||||||||||||||||||||||||
Net gain (loss) on the tax receivable agreements | Net gain (loss) on the tax receivable agreements | 0.5 | 0.4 | 0.1 | 25 | % | Net gain (loss) on the tax receivable agreements | 0.5 | 0.5 | 0.0 | 0 | % | ||||||||||||||||||||||||||||||||||
Other investment gain (loss) | (5.5) | (2.1) | (3.4) | (162) | % | |||||||||||||||||||||||||||||||||||||||||
Net investment gain (loss) on nonconsolidated seed investments | Net investment gain (loss) on nonconsolidated seed investments | 0.2 | (1.6) | 1.8 | 113 | % | ||||||||||||||||||||||||||||||||||||||||
Net investment gain (loss) on franchise capital investments | Net investment gain (loss) on franchise capital investments | (4.5) | (4.0) | (0.5) | (13) | % | ||||||||||||||||||||||||||||||||||||||||
Interest income on cash and cash equivalents and other | Interest income on cash and cash equivalents and other | 2.1 | 0.1 | 2.0 | 2,000 | % | ||||||||||||||||||||||||||||||||||||||||
Total non-operating income (expense) | Total non-operating income (expense) | $ | (11.4) | $ | (1.7) | $ | (9.7) | (571) | % | Total non-operating income (expense) | $ | 5.8 | $ | (11.4) | $ | 17.2 | 151 | % |
For the Nine Months Ended September 30, | Period-to-Period | For the Nine Months Ended September 30, | Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
Statements of operations data: | Statements of operations data: | (unaudited; in millions, except share and per share data) | Statements of operations data: | (unaudited; in millions, except share and per share data) | ||||||||||||||||||||||||||||||||||||||||||
Revenues | Revenues | $ | 767.3 | $ | 912.2 | $ | (144.9) | (16) | % | Revenues | $ | 726.1 | $ | 767.3 | $ | (41.2) | (5) | % | ||||||||||||||||||||||||||||
Operating Expenses | Operating Expenses | Operating Expenses | ||||||||||||||||||||||||||||||||||||||||||||
Total compensation and benefits | Total compensation and benefits | 389.4 | 419.7 | (30.3) | (7) | % | Total compensation and benefits | 392.6 | 389.4 | 3.2 | 1 | % | ||||||||||||||||||||||||||||||||||
Other operating expenses | Other operating expenses | 103.8 | 89.8 | 14.0 | 16 | % | Other operating expenses | 106.3 | 103.8 | 2.5 | 2 | % | ||||||||||||||||||||||||||||||||||
Total operating expenses | Total operating expenses | 493.2 | 509.5 | (16.3) | (3) | % | Total operating expenses | 498.9 | 493.2 | 5.7 | 1 | % | ||||||||||||||||||||||||||||||||||
Total operating income | Total operating income | 274.1 | 402.7 | (128.6) | (32) | % | Total operating income | 227.2 | 274.1 | (46.9) | (17) | % | ||||||||||||||||||||||||||||||||||
Non-operating income (expense) | Non-operating income (expense) | Non-operating income (expense) | ||||||||||||||||||||||||||||||||||||||||||||
Interest expense | Interest expense | (7.9) | (8.1) | 0.2 | 2 | % | Interest expense | (6.5) | (7.9) | 1.4 | 18 | % | ||||||||||||||||||||||||||||||||||
Other non-operating income (expense) | Other non-operating income (expense) | (37.3) | 20.4 | (57.7) | (283) | % | Other non-operating income (expense) | 50.0 | (37.3) | 87.3 | 234 | % | ||||||||||||||||||||||||||||||||||
Total non-operating income (expense) | Total non-operating income (expense) | (45.2) | 12.3 | (57.5) | (467) | % | Total non-operating income (expense) | 43.5 | (45.2) | 88.7 | 196 | % | ||||||||||||||||||||||||||||||||||
Income before income taxes | Income before income taxes | 228.9 | 415.0 | (186.1) | (45) | % | Income before income taxes | 270.7 | 228.9 | 41.8 | 18 | % | ||||||||||||||||||||||||||||||||||
Provision for income taxes | Provision for income taxes | 46.8 | 78.1 | (31.3) | (40) | % | Provision for income taxes | 51.7 | 46.8 | 4.9 | 10 | % | ||||||||||||||||||||||||||||||||||
Net income before noncontrolling interests | Net income before noncontrolling interests | 182.1 | 336.9 | (154.8) | (46) | % | Net income before noncontrolling interests | 219.0 | 182.1 | 36.9 | 20 | % | ||||||||||||||||||||||||||||||||||
Less: Noncontrolling interests - Artisan Partners Holdings | Less: Noncontrolling interests - Artisan Partners Holdings | 37.2 | 74.1 | (36.9) | (50) | % | Less: Noncontrolling interests - Artisan Partners Holdings | 35.5 | 37.2 | (1.7) | (5) | % | ||||||||||||||||||||||||||||||||||
Less: Noncontrolling interests - consolidated investment products | Less: Noncontrolling interests - consolidated investment products | (9.0) | 10.9 | (19.9) | (183) | % | Less: Noncontrolling interests - consolidated investment products | 26.0 | (9.0) | 35.0 | 389 | % | ||||||||||||||||||||||||||||||||||
Net income attributable to Artisan Partners Asset Management Inc. | Net income attributable to Artisan Partners Asset Management Inc. | $ | 153.9 | $ | 251.9 | $ | (98.0) | (39) | % | Net income attributable to Artisan Partners Asset Management Inc. | $ | 157.5 | $ | 153.9 | $ | 3.6 | 2 | % | ||||||||||||||||||||||||||||
Share Data | Share Data | Share Data | ||||||||||||||||||||||||||||||||||||||||||||
Basic earnings per share | Basic earnings per share | $ | 2.17 | $ | 3.84 | Basic earnings per share | $ | 2.27 | $ | 2.17 | ||||||||||||||||||||||||||||||||||||
Diluted earnings per share | Diluted earnings per share | $ | 2.17 | $ | 3.84 | Diluted earnings per share | $ | 2.27 | $ | 2.17 | ||||||||||||||||||||||||||||||||||||
Basic weighted average number of common shares outstanding | Basic weighted average number of common shares outstanding | 62,329,756 | 59,519,634 | Basic weighted average number of common shares outstanding | 63,419,587 | 62,329,756 | ||||||||||||||||||||||||||||||||||||||||
Diluted weighted average number of common shares outstanding | Diluted weighted average number of common shares outstanding | 62,353,275 | 59,535,894 | Diluted weighted average number of common shares outstanding | 63,449,804 | 62,353,275 |
Separate Accounts and Other (2) | Artisan Funds and Artisan Global Funds | Separate Accounts and Other (1) | Artisan Funds and Artisan Global Funds | |||||||||||||||||||||||||||||||||||||||||||
For the Nine Months Ended September 30, | For the Nine Months Ended September 30, | 2022 | 2021 | 2022 | 2021 | For the Nine Months Ended September 30, | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||||||||||
(unaudited; dollars in millions) | (unaudited; dollars in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Investment advisory fees | Investment advisory fees | $ | 288.8 | $ | 347.7 | $ | 478.5 | $ | 564.5 | Investment advisory fees | $ | 273.5 | $ | 288.8 | $ | 452.6 | $ | 478.5 | ||||||||||||||||||||||||||||
Weighted average management fee | Weighted average management fee | 51.0 bps | 51.4 bps | 90.7 bps | 91.2 bps | Weighted average management fee | 51.0 bps | 51.0 bps | 90.3 bps | 90.7 bps | ||||||||||||||||||||||||||||||||||||
Percentage of ending AUM | Percentage of ending AUM | 52 | % | 51 | % | 48 | % | 49 | % | Percentage of ending AUM | 52 | % | 52 | % | 48 | % | 48 | % | ||||||||||||||||||||||||||||
(1) We compute our weighted average management fee by dividing annualized management fees (which excludes performance fees) by average assets under management for the applicable period. | ||||||||||||||||||||||||||||||||||||||||||||||
(2) Separate accounts and other consists of assets we manage in or through vehicles other than Artisan Funds or Artisan Global Funds, including assets we manage in traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds, as well as assets under advisement related to investment models, for which we provide consulting advice but do not have full discretionary investment authority. | ||||||||||||||||||||||||||||||||||||||||||||||
(1) Separate accounts and other consists of assets we manage in or through vehicles other than Artisan Funds or Artisan Global Funds, including assets we manage in traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds, as well as assets under advisement related to investment models, for which we provide consulting advice but do not have discretionary investment authority. | (1) Separate accounts and other consists of assets we manage in or through vehicles other than Artisan Funds or Artisan Global Funds, including assets we manage in traditional separate accounts, Artisan-branded collective investment trusts and Artisan Private Funds, as well as assets under advisement related to investment models, for which we provide consulting advice but do not have discretionary investment authority. | |||||||||||||||||||||||||||||||||||||||||||||
(2) We compute our weighted average management fee by dividing annualized management fees (which excludes performance fees) by average assets under management for the applicable period. | (2) We compute our weighted average management fee by dividing annualized management fees (which excludes performance fees) by average assets under management for the applicable period. |
For the Nine Months Ended September 30, | Period-to-Period | For the Nine Months Ended September 30, | Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Salaries, incentive compensation and benefits (1) | Salaries, incentive compensation and benefits (1) | $ | 352.3 | $ | 385.1 | $ | (32.8) | (9) | % | Salaries, incentive compensation and benefits (1) | $ | 350.1 | $ | 352.3 | $ | (2.2) | (1) | % | ||||||||||||||||||||||||||||
Long-term incentive compensation awards | Long-term incentive compensation awards | 37.1 | 34.6 | 2.5 | 7 | % | Long-term incentive compensation awards | 42.5 | 37.1 | 5.4 | 15 | % | ||||||||||||||||||||||||||||||||||
Total compensation and benefits | Total compensation and benefits | $ | 389.4 | $ | 419.7 | $ | (30.3) | (7) | % | Total compensation and benefits | $ | 392.6 | $ | 389.4 | $ | 3.2 | 1 | % | ||||||||||||||||||||||||||||
(1) Excluding long-term incentive compensation awards | (1) Excluding long-term incentive compensation awards | (1) Excluding long-term incentive compensation awards |
For the Nine Months Ended September 30, | Period-to-Period | For the Nine Months Ended September 30, | Period-to-Period | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||||||||||||||||||||||||||
Interest expense | Interest expense | $ | (7.9) | $ | (8.1) | $ | 0.2 | (2) | % | Interest expense | $ | (6.5) | $ | (7.9) | $ | 1.4 | (18) | % | ||||||||||||||||||||||||||||
Net investment gain (loss) of consolidated investment products | Net investment gain (loss) of consolidated investment products | (14.6) | 18.0 | (32.6) | (181) | % | Net investment gain (loss) of consolidated investment products | 38.2 | (14.6) | 52.8 | 362 | % | ||||||||||||||||||||||||||||||||||
Net gain (loss) on the tax receivable agreements | Net gain (loss) on the tax receivable agreements | 1.0 | 0.4 | 0.6 | 150 | % | Net gain (loss) on the tax receivable agreements | 0.5 | 1.0 | (0.5) | (50) | % | ||||||||||||||||||||||||||||||||||
Other investment gain (loss) | (23.7) | 2.0 | (25.7) | (1,285) | % | |||||||||||||||||||||||||||||||||||||||||
Net investment gain (loss) on nonconsolidated seed investments | Net investment gain (loss) on nonconsolidated seed investments | 1.4 | (4.6) | 6.0 | 130 | % | ||||||||||||||||||||||||||||||||||||||||
Net investment gain (loss) on franchise capital investments | Net investment gain (loss) on franchise capital investments | 6.1 | (19.2) | 25.3 | 132 | % | ||||||||||||||||||||||||||||||||||||||||
Interest income on cash and cash equivalents and other | Interest income on cash and cash equivalents and other | 3.8 | 0.1 | 3.7 | 3,700 | % | ||||||||||||||||||||||||||||||||||||||||
Total non-operating income (expense) | Total non-operating income (expense) | $ | (45.2) | $ | 12.3 | $ | (57.5) | (467) | % | Total non-operating income (expense) | $ | 43.5 | $ | (45.2) | $ | 88.7 | 196 | % |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||
(unaudited; in millions, except per share data) | (unaudited; in millions, except per share data) | |||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of non-GAAP financial measures: | Reconciliation of non-GAAP financial measures: | Reconciliation of non-GAAP financial measures: | ||||||||||||||||||||||||||||||||||||||||||||
Net income attributable to Artisan Partners Asset Management Inc. (GAAP) | Net income attributable to Artisan Partners Asset Management Inc. (GAAP) | $ | 44.2 | $ | 86.4 | $ | 153.9 | $ | 251.9 | Net income attributable to Artisan Partners Asset Management Inc. (GAAP) | $ | 53.1 | $ | 44.2 | $ | 157.5 | $ | 153.9 | ||||||||||||||||||||||||||||
Add back: Net income attributable to noncontrolling interests - Artisan Partners Holdings | Add back: Net income attributable to noncontrolling interests - Artisan Partners Holdings | 11.0 | 24.8 | 37.2 | 74.1 | Add back: Net income attributable to noncontrolling interests - Artisan Partners Holdings | 11.3 | 11.0 | 35.5 | 37.2 | ||||||||||||||||||||||||||||||||||||
Add back: Provision for income taxes | Add back: Provision for income taxes | 14.8 | 28.0 | 46.8 | 78.1 | Add back: Provision for income taxes | 14.6 | 14.8 | 51.7 | 46.8 | ||||||||||||||||||||||||||||||||||||
Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | (1.6) | 0.1 | (4.4) | 0.3 | Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | (1.3) | (1.6) | 1.2 | (4.4) | ||||||||||||||||||||||||||||||||||||
Add back: Net (gain) loss on the tax receivable agreements | Add back: Net (gain) loss on the tax receivable agreements | (0.5) | (0.4) | (1.0) | (0.4) | Add back: Net (gain) loss on the tax receivable agreements | (0.5) | (0.5) | (0.5) | (1.0) | ||||||||||||||||||||||||||||||||||||
Add back: Net investment (gain) loss of investment products attributable to APAM | Add back: Net investment (gain) loss of investment products attributable to APAM | 7.1 | 1.6 | 30.0 | (8.9) | Add back: Net investment (gain) loss of investment products attributable to APAM | 3.6 | 7.1 | (19.2) | 30.0 | ||||||||||||||||||||||||||||||||||||
Less: Adjusted provision for income taxes | Less: Adjusted provision for income taxes | 18.6 | 34.7 | 64.9 | 97.6 | Less: Adjusted provision for income taxes | 20.0 | 18.6 | 55.9 | 64.9 | ||||||||||||||||||||||||||||||||||||
Adjusted net income (Non-GAAP) | Adjusted net income (Non-GAAP) | $ | 56.4 | $ | 105.8 | $ | 197.6 | $ | 297.5 | Adjusted net income (Non-GAAP) | $ | 60.8 | $ | 56.4 | $ | 170.3 | $ | 197.6 | ||||||||||||||||||||||||||||
Average shares outstanding | Average shares outstanding | Average shares outstanding | ||||||||||||||||||||||||||||||||||||||||||||
Class A common shares | Class A common shares | 62.6 | 60.0 | 62.3 | 59.5 | Class A common shares | 63.5 | 62.6 | 63.4 | 62.3 | ||||||||||||||||||||||||||||||||||||
Assumed vesting or exchange of: | Assumed vesting or exchange of: | Assumed vesting or exchange of: | ||||||||||||||||||||||||||||||||||||||||||||
Unvested Class A restricted share-based awards | Unvested Class A restricted share-based awards | 5.8 | 5.4 | 5.7 | 5.5 | Unvested Class A restricted share-based awards | 5.7 | 5.8 | 5.7 | 5.7 | ||||||||||||||||||||||||||||||||||||
Artisan Partners Holdings units outstanding (noncontrolling interests) | Artisan Partners Holdings units outstanding (noncontrolling interests) | 11.9 | 14.2 | 12.2 | 14.5 | Artisan Partners Holdings units outstanding (noncontrolling interests) | 11.5 | 11.9 | 11.5 | 12.2 | ||||||||||||||||||||||||||||||||||||
Adjusted shares | Adjusted shares | 80.3 | 79.6 | 80.2 | 79.5 | Adjusted shares | 80.7 | 80.3 | 80.6 | 80.2 | ||||||||||||||||||||||||||||||||||||
Basic earnings per share (GAAP) | Basic earnings per share (GAAP) | $ | 0.65 | $ | 1.30 | $ | 2.17 | $ | 3.84 | Basic earnings per share (GAAP) | $ | 0.76 | $ | 0.65 | $ | 2.27 | $ | 2.17 | ||||||||||||||||||||||||||||
Diluted earnings per share (GAAP) | Diluted earnings per share (GAAP) | $ | 0.65 | $ | 1.30 | $ | 2.17 | $ | 3.84 | Diluted earnings per share (GAAP) | $ | 0.76 | $ | 0.65 | $ | 2.27 | $ | 2.17 | ||||||||||||||||||||||||||||
Adjusted net income per adjusted share (Non-GAAP) | Adjusted net income per adjusted share (Non-GAAP) | $ | 0.70 | $ | 1.33 | $ | 2.47 | $ | 3.74 | Adjusted net income per adjusted share (Non-GAAP) | $ | 0.75 | $ | 0.70 | $ | 2.11 | $ | 2.47 | ||||||||||||||||||||||||||||
Operating income (GAAP) | Operating income (GAAP) | $ | 78.7 | $ | 143.1 | $ | 274.1 | $ | 402.7 | Operating income (GAAP) | $ | 82.2 | $ | 78.7 | $ | 227.2 | $ | 274.1 | ||||||||||||||||||||||||||||
Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | (1.6) | 0.1 | (4.4) | 0.3 | Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | (1.3) | (1.6) | 1.2 | (4.4) | ||||||||||||||||||||||||||||||||||||
Adjusted operating income (Non-GAAP) | Adjusted operating income (Non-GAAP) | $ | 77.1 | $ | 143.2 | $ | 269.7 | $ | 403.0 | Adjusted operating income (Non-GAAP) | $ | 80.9 | $ | 77.1 | $ | 228.4 | $ | 269.7 | ||||||||||||||||||||||||||||
Operating margin (GAAP) | Operating margin (GAAP) | 33.6 | % | 45.2 | % | 35.7 | % | 44.1 | % | Operating margin (GAAP) | 33.0 | % | 33.6 | % | 31.3 | % | 35.7 | % | ||||||||||||||||||||||||||||
Adjusted operating margin (Non-GAAP) | Adjusted operating margin (Non-GAAP) | 32.9 | % | 45.2 | % | 35.1 | % | 44.2 | % | Adjusted operating margin (Non-GAAP) | 32.5 | % | 32.9 | % | 31.5 | % | 35.1 | % | ||||||||||||||||||||||||||||
Net income attributable to Artisan Partners Asset Management Inc. (GAAP) | Net income attributable to Artisan Partners Asset Management Inc. (GAAP) | $ | 44.2 | $ | 86.4 | $ | 153.9 | $ | 251.9 | Net income attributable to Artisan Partners Asset Management Inc. (GAAP) | $ | 53.1 | $ | 44.2 | $ | 157.5 | $ | 153.9 | ||||||||||||||||||||||||||||
Add back: Net income attributable to noncontrolling interests - Artisan Partners Holdings | Add back: Net income attributable to noncontrolling interests - Artisan Partners Holdings | 11.0 | 24.8 | 37.2 | 74.1 | Add back: Net income attributable to noncontrolling interests - Artisan Partners Holdings | 11.3 | 11.0 | 35.5 | 37.2 | ||||||||||||||||||||||||||||||||||||
Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | (1.6) | 0.1 | (4.4) | 0.3 | Add back: Compensation expense (reversal) related to market valuation changes in compensation plans | (1.3) | (1.6) | 1.2 | (4.4) | ||||||||||||||||||||||||||||||||||||
Add back: Net (gain) loss on the tax receivable agreements | Add back: Net (gain) loss on the tax receivable agreements | (0.5) | (0.4) | (1.0) | (0.4) | Add back: Net (gain) loss on the tax receivable agreements | (0.5) | (0.5) | (0.5) | (1.0) | ||||||||||||||||||||||||||||||||||||
Add back: Net investment (gain) loss of investment products attributable to APAM | Add back: Net investment (gain) loss of investment products attributable to APAM | 7.1 | 1.6 | 30.0 | (8.9) | Add back: Net investment (gain) loss of investment products attributable to APAM | 3.6 | 7.1 | (19.2) | 30.0 | ||||||||||||||||||||||||||||||||||||
Add back: Interest expense | Add back: Interest expense | 2.5 | 2.7 | 7.9 | 8.1 | Add back: Interest expense | 2.3 | 2.5 | 6.5 | 7.9 | ||||||||||||||||||||||||||||||||||||
Add back: Provision for income taxes | Add back: Provision for income taxes | 14.8 | 28.0 | 46.8 | 78.1 | Add back: Provision for income taxes | 14.6 | 14.8 | 51.7 | 46.8 | ||||||||||||||||||||||||||||||||||||
Add back: Depreciation and amortization | Add back: Depreciation and amortization | 2.0 | 1.8 | 5.5 | 5.1 | Add back: Depreciation and amortization | 2.4 | 2.0 | 6.9 | 5.5 | ||||||||||||||||||||||||||||||||||||
Adjusted EBITDA (Non-GAAP) | Adjusted EBITDA (Non-GAAP) | $ | 79.5 | $ | 145.0 | $ | 275.9 | $ | 408.3 | Adjusted EBITDA (Non-GAAP) | $ | 85.5 | $ | 79.5 | $ | 239.6 | $ | 275.9 |
September 30, 2022 | December 31, 2021 | September 30, 2023 | December 31, 2022 | |||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents | $ | 168.1 | $ | 189.2 | Cash and cash equivalents | $ | 198.3 | $ | 114.8 | ||||||||||||
Accounts receivable | Accounts receivable | $ | 103.4 | $ | 115.9 | Accounts receivable | $ | 96.1 | $ | 98.6 | ||||||||||||
Seed investments(1) | Seed investments(1) | $ | 118.0 | $ | 71.9 | Seed investments(1) | $ | 144.6 | $ | 124.8 | ||||||||||||
Undrawn commitment on revolving credit facility | Undrawn commitment on revolving credit facility | $ | 100.0 | $ | 100.0 | Undrawn commitment on revolving credit facility | $ | 100.0 | $ | 100.0 | ||||||||||||
(1) Seed investments include Artisan's direct equity investments in consolidated and nonconsolidated Artisan-sponsored investment products. The balance excludes $61.5 million of investments made related to funded long-term incentive compensation plans. | ||||||||||||||||||||||
(1) Seed investments include Artisan's direct equity investments in consolidated and nonconsolidated Artisan-sponsored investment products. The balance excludes $104.2 million of investments made related to long-term incentive compensation plans. | (1) Seed investments include Artisan's direct equity investments in consolidated and nonconsolidated Artisan-sponsored investment products. The balance excludes $104.2 million of investments made related to long-term incentive compensation plans. |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
(unaudited, in millions) | |||||||||||||||||||||||
Holdings Partnership Distributions to Limited Partners | $ | 12.0 | $ | 25.6 | $ | 43.7 | $ | 67.9 | |||||||||||||||
Holdings Partnership Distributions to APAM | 64.5 | 110.6 | 227.2 | 285.0 | |||||||||||||||||||
Total Holdings Partnership Distributions | $ | 76.5 | $ | 136.2 | $ | 270.9 | $ | 352.9 |
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||
(unaudited, in millions) | |||||||||||||||||||||||
Holdings Partnership Distributions to Limited Partners | $ | 12.9 | $ | 12.0 | $ | 30.3 | $ | 43.7 | |||||||||||||||
Holdings Partnership Distributions to APAM | 72.4 | 64.5 | 169.1 | 227.2 | |||||||||||||||||||
Total Holdings Partnership Distributions | $ | 85.3 | $ | 76.5 | $ | 199.4 | $ | 270.9 |
Type of Dividend | Type of Dividend | Class of Stock | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | Type of Dividend | Class of Stock | For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||||||||||||||||||
Quarterly | Quarterly | Class A Common | $ | 0.60 | $ | 1.00 | $ | 2.39 | $ | 2.85 | Quarterly | Class A Common | $ | 0.61 | $ | 0.60 | $ | 1.66 | $ | 2.39 | ||||||||||||||||||||||||||||||||
Special Annual | Special Annual | Class A Common | $ | — | $ | — | $ | 0.72 | $ | 0.31 | Special Annual | Class A Common | $ | — | $ | — | $ | 0.35 | $ | 0.72 |
For the Nine Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||||||||
2022 | 2021 | 2023 | 2022 | |||||||||||||||||||
(unaudited; in millions) | (unaudited; in millions) | |||||||||||||||||||||
Cash, cash equivalents and restricted cash as of January 1 | Cash, cash equivalents and restricted cash as of January 1 | $ | 200.8 | $ | 199.5 | Cash, cash equivalents and restricted cash as of January 1 | $ | 143.2 | $ | 200.8 | ||||||||||||
Net cash provided by operating activities | Net cash provided by operating activities | 306.6 | 404.2 | Net cash provided by operating activities | 262.8 | 306.6 | ||||||||||||||||
Net cash used in investing activities | Net cash used in investing activities | (60.5) | (26.2) | Net cash used in investing activities | (36.5) | (60.5) | ||||||||||||||||
Net cash used in financing activities | Net cash used in financing activities | (259.3) | (252.2) | Net cash used in financing activities | (134.3) | (259.3) | ||||||||||||||||
Net impact of deconsolidation of consolidated investment products | Net impact of deconsolidation of consolidated investment products | — | (34.8) | Net impact of deconsolidation of consolidated investment products | (4.7) | — | ||||||||||||||||
Cash, cash equivalents and restricted cash as of September 30 | Cash, cash equivalents and restricted cash as of September 30 | $ | 187.6 | $ | 290.5 | Cash, cash equivalents and restricted cash as of September 30 | $ | 230.5 | $ | 187.6 |
Exhibit No. | Description | Form | File No. | Exhibit | Filing Date | Filed or Furnished Herewith | ||||||||||||||||||||||||||||||||
10.1 | 8-K | 001-35826 | 10.1 | August 17, 2022 | ||||||||||||||||||||||||||||||||||
31.1 | X | |||||||||||||||||||||||||||||||||||||
31.2 | X | |||||||||||||||||||||||||||||||||||||
32.1 | X | |||||||||||||||||||||||||||||||||||||
32.2 | X | |||||||||||||||||||||||||||||||||||||
101 | The following Extensible Business Reporting Language (XBRL) documents are collectively included herewith as Exhibit 101: (i) the Unaudited Condensed Consolidated Statements of Financial Condition as of September 30, 2022 and December 31, 2021; (ii) the Unaudited Consolidated Statements of Operations for the three and nine months ended September 30, 2022 and 2021; (iii) the Unaudited Consolidated Statements of Comprehensive Income for the three and nine months ended September 30, 2022 and 2021; (iv) the Unaudited Consolidated Statements of Changes in Stockholders’ Equity for the three and nine months ended September 30, 2022 and 2021; (v) the Unaudited Consolidated Statements of Cash Flows for the nine months ended September 30, 2022 and 2021 (vi) the Notes to Unaudited Consolidated Financial Statements as of and for the three and nine months ended September 30, 2022 and 2021. | X | ||||||||||||||||||||||||||||||||||||
104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) | X |
Exhibit No. | Description | Form | File No. | Exhibit | Filing Date | Filed or Furnished Herewith | ||||||||||||||||||||||||||||||||
31.1 | X | |||||||||||||||||||||||||||||||||||||
31.2 | X | |||||||||||||||||||||||||||||||||||||
32.1 | X | |||||||||||||||||||||||||||||||||||||
32.2 | X | |||||||||||||||||||||||||||||||||||||
101 | The following Extensible Business Reporting Language (XBRL) documents are collectively included herewith as Exhibit 101: (i) the Unaudited Condensed Consolidated Statements of Financial Condition as of September 30, 2023 and December 31, 2022; (ii) the Unaudited Consolidated Statements of Operations for the nine months ended September 30, 2023 and 2022; (iii) the Unaudited Consolidated Statements of Comprehensive Income for the nine months ended September 30, 2023 and 2022; (iv) the Unaudited Consolidated Statements of Changes in Stockholders’ Equity for thenine months ended September 30, 2023 and 2022; (v) the Unaudited Consolidated Statements of Cash Flows for the nine months ended September 30, 2023 and 2022 (vi) the Notes to Unaudited Consolidated Financial Statements as of and for the nine months ended September 30, 2023 and 2022. | X | ||||||||||||||||||||||||||||||||||||
104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) | X | ||||||||||||||||||||||||||||||||||||
(1) Indicates a management contract or compensatory plan or arrangement. |
By: | /s/ Eric R. Colson | ||||
Eric R. Colson Chief Executive Officer (principal executive officer) | |||||
/s/ Charles J. Daley, Jr. | |||||
Charles J. Daley, Jr. Executive Vice President, Chief Financial Officer and Treasurer (principal financial and accounting officer) |