Harvey’s in current context I our put three macro and results with on you and with to everyone. outlook particular financial environment. an want the start Thank good Harvey, that morning complement areas comments
the respect of private to towards we did that further capital this from credit has skewed raise with investment year fundraising continue fundraising, First corporate equity. to we year, and solutions less to though than last global expect and composition more
CLO well secondaries of expect to see as to solutions. resume in fundraising and products, raising year, this capital number the addition Over and we co-investment incremental strategies our balance a investment issuance for credit in as of
decline fund in for While and buy-out believe the buy-out their we no size we be that significant across next these capital a most predecessors expect attract longer funds, amount sizes same as to geographies. a aggregate in funds to the our we now expect see of vintage will of
lower the continue performance-related have to capital in carry next strong and carry earnings. you capital years. of level in in transaction on to result as markets the a $X near activity that accrued muted realizations, will believe Harvey fees, that That Second, said, heard slowdown pressure and indicate, term few expect markets the monetize over net billion ability we be firm’s will we
[indiscernible] XXXX our outlook. Third,
including market XXXX is slower fundraising be from current in Given and a to below last modestly the a lower FRE transactional environment uncertainty conditions, outlook, impact buy-out year. our likely
line to see into continued and also year, this fee investments businesses. growth expect we we expect see top our teams While to
is be Fortitude. We will our our growth the time, time well supporting across managing same ensuring the while at markets positioned credit grow notably capital at global extending expenses over continued capabilities of team and firm to disciplined our platform, the
X% Fee-related our credit of year-over-year, the a into management of from Top under $XXX platform me Now strategic driven completed from $XXX dig over earning time a drivers growth by billion results. $XX in billion quarter first the impact fundraising and major last let deeper increased management fees of same organic transactions period last transactions the assets of of XX% last XX% growth up XXXX. of were year. bit that million year. strongest Fee $XXX through over earnings the our million year, global increased with of combination the first strategic alongside quarter line
as it growth. a to and provider days is Fortitude fixed a its X, Fortitude its broad balance ago strategy to strong announced become reinsure products. to great to of example pursue $XX of on Two solutions an insurers transaction This capabilities and global May large preferred life annuity agreement sheet leverages billion
Fortitude customary close mid-XXXX, in regulatory this expects to transaction pending approvals.
transaction The XX% assets earnings the with of directly and invested investment will assets Carlyle the the fee-related reinsurance strategic this for related of outlook impact services our management included the advisory transaction over to of was agreement to When our part increase we be account Carlyle’s fee-earnings the transaction time year. under transaction general strategies. into about this in updated Fortitude, by amount closes, expect as of
was while was up Fee-related year first real $XX quarter muted down global core as $XX estate last the first from of contribution more than performance fee-related the from XX%. performance revenue million credit the million quarter, revenue in was plus in
Looking in crystallizing because equity. the will in quarters. to a forward the of plus This to in the next performance we following core significant global expect real level fee-related revenue benefit from quarter we expect moderate estate, private higher which substantially quarter, second gains then a in of step-up is
noted, the in every generate of previously FRE others. directly vary fee-related XX% year, revenue’s compensation item Also to in at mind about certain that revenues our significant compensation though line line, expense, quarters be captured revenue. which will is keep in will have we throughout As expect performance than this year higher we
from XX% last in margin modestly XX% year. was of FRE quarter, first down the this quarter
FRE to X%, the compared While to total were leading up fee margin compression. revenues expenses increased last year, X%
we effectively scaling compared be to in FRE remains a full Longer see key the resume and XXXX. their For modestly year, XXXX. term, we firm margin expect expect operating the priority, lower to FRE upward and to trend margins
appreciation quarter the XX of to and same with of All-Country over higher time relative markets, choppy MSCI portfolio public continues X% well X% our to period. perform portfolio in carry is to our the relative on, well a first months. overall X% Moving Index past World in over This decline funds that the across appreciation
still is XX rose quarter up amidst and in flat our in over Appreciation year. quarter Our portfolio and corporate appreciation was infrastructure carry resources energy the solutions the X% the past quarter X% and portfolio up portfolio prices, private our and XX up volatile quarter months, equity but global fund the over last X% XX% portfolio is past investment the last over the credit also in the up and in in X% global while over in our funds was range-bound the year. was but X% this X% months, natural
in compensation million few as last A grants quick increased million of other the in employees $XX elevated began $XX Equity-based new first results. expense level grants equity quarter points. CEO impact to and from of our February an to year
this the tick see to quarter second level. expect elevated then We at and in remain higher an expense
authorization $XXX our million. first our quarter, repurchased of directors repurchase the increased $XXX million reset in of March and We board and in shares as XX to
sheet nothing drawn $X our $X and cash balance over remains revolver. billion billion solid, against in Our
valuable if opportunistic capital. prospects We arise to remain have our deploy the to flexibility
As said still quarterly basis, average than to on before, around tax and was on we a volatile be quarter it lower likely basis. rate DE normal XX% we it this expect to have an annualized our effective but is
optimistic and some term are are we for short opportunities growth there while creation. and sum, long challenges, see In term value
the that, call like a let few make to me who over closing Harvey, With turn to remarks. would back
