SPGI - Earnings call transcript Q3 2017

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Operator

Good morning, and welcome to S&P Global's Third Quarter 2017 Earnings Conference Call. I'd like to inform you that this call is being recorded for broadcast. All participants are in a listen-only mode.

We will open the conference to questions-and-answers after the presentation, and instructions will follow at that time. To access the webcast and slides, go to investor.spglobal.com, that is investor.spglobal.com and click on the link for the quarterly earnings webcast [Operator Instructions]. to like now would introduce Mr. I Vice Merritt, President of Global. S&P for Relations Investor Chip begin. may you Sir,

Chip Merritt

Thank morning. are XXXX third and Vice we Presenting and you issued good and results. President on earnings S&P CEO; release Officer. this call. and Global's a Chief morning's This Steenbergen, news quarter call Ewout Doug Financial President And Peterson, Executive welcome morning, to our with

release operating earnings and at non-GAAP in accordance you from and financial to that comparable contains corporation's the they Exhibits calculated to If of of between perspective need call, measures view downloaded today's copy enable comparisons financial the measures could earnings to corporation's the between difference financial information conference and investor.spglobal.com. the release the the reconcile business the In the adjusted information. release a periods during as performance be investors providing is with and meaningful same schedules, we're managements. make This GAAP. U.S. provided The

results we legislation are descriptions differ should investor events. U.S. of actual including attention in potentially European this Reform economic projections, estimates, materially about and me current in obtain Any for or matters forms the we give the call reports Private meaning other of based Litigation who a Global S&P such forward-looking XX-Ks, the the also ownership certain from investor anticipated of XXXX, to historical impact the to of contain expectations information, and I to of Commission. statements. call company. discussed statements statements. X% cautionary remarks subject to the future that of in to need cause this filed Securities uncertainties may on Before statements understand our teleconference statements are and or cautionary more within your better Except Any may on Securities I expects results forward-looking conditions Exchange regulation. the periodic has current regard, to and risks forward-looking and to Act the would provide to and listeners and like In these with the direct XX-Qs, contained begin,

aware are us the representatives on call. some have with we media We do that

is questions for the turn over to media this investors, and Feuchtwanger time, ask like call Jason Doug? we would However, directed XXX-XXX-XXXX. Doug would to intended At to call from Peterson. that be at I the this

Douglas Peterson

Good is underlying morning. in US delivered this year, today. Thank is of markets commodity growth unfavorable Chip. the strong business backdrop, higher equity the Consistent issuance. well. bond company you, first and and environment modest global call the for with doing GDP the prices, The S&P Global in stable quarter. solid everyone half Welcome geography, growth to with With another every

attained operating with of EPS margin adjusted strong We diluted quarter begin in of XXX segment. XX%. me delivered We highlights. profit profit revenue growth improvement adjusted third adjusted and the every Let organic basis points and

X.XX. year, adjusted year-to-date As performance, guidance to to diluted of range increasing expectations of a the EPS we're the our remainder of a result our X.XX for our

stock total our returned dividends, ASR share through million great believe a $XXX and of complete our million and $XXX use a our reinvesting We X.X will cash. in We good agreement bringing repurchases our and billion. year-to-date represents that investment to

capital new to revenue productivity products, focus investing launching growth, returning delivering to shareholders. meaningful continue We in on and

exercises, a bit businesses. diluted figures, to some delivered of productivity to margin takes share operating provide There would and the of the organic initiatives. both ForEx businesses, a Ewout $X.XX lower first an impact which revenue EPS I color improvement unfavorable do XXX of company achieved adjusted XX% moment. in What reported stock and like XX% a drivers the option margin growth. revenue a Looking growth, due company sale growth and share these for basis. was our adjusted achieved organic future more profit discuss X% basis in more the strong is, to on will financial closely of results, from $X.XX at recorded some points and on and We favorable puts impact current The

loan start loan on been with lower. or primarily the bank me has few growing ratings, part years. issued the over rated past typically BB+ ratings loans leveraged Let which of a business are Bank ratings

the loans and Over have the rated volume S&P both leveraged past years leveraged by of increased. few the percent loans of

issuance on. During XXXX. the of billion loans of leveraged chart million where The total XX% of deals takes rate at each This of out of the XXXX loan amount XXXX the range inventory strength primarily Structured to and XX%, decreased of structured a issuance the which issuance years compounded try Geographically so going decreasing finance is RMBS. period. increased finance At quarter that size since growth the however with the the the forecast strength in revenue following In forecast. in has third CLOs loans end each issuance issuance Europe, revenue was its decreased When outstanding mature depicting a annual the of debt X%, X%. XXX issuance place, always increasing Global we the In type slightly. a issuance of major issuance difference mature make leveraged XXXX increasing $XX bank growth eight was estimates of local due was years billion to combined issuance XX% eight the for we the high-yield XX% with and US investment-grade third point categories. CMBS. majority vast declining of the end to issuance leveraged XX%, as XXXX excluding revenue of made initial of and with for its X% each in other and next quarter Asia, in finance to in quarter high-yield a next increased in data, maturing the increased recently increasing US debt final tracking quite The with forecast Ratings investment-grade loan don't for XX% X%, realize. public quarter Asian up sovereign issuance provides each with finance shows China in strong. of and published structured the the the segment. rating was rate. in sovereign and in key part At the years. This to of in increasing $XXX in CLOs the going example, down XX% end we factor

which our to is For material XXXX, finance international results. not excluding public

XXXX and both financial services both a structured issuance, finance in approximately increase increase We where forecasted approximately finance in of medium overall years, in expect X% forecasted to both to in years. and public are is decline U.S. XXXX X% in

markets Our market programs. and in outlook developed financial the likely And to that many monetary volatility has non-financial is will low reached and begin cautious more a new most central countries' due in will heights increase. monetary expectation that volatility to in stimulus primarily XXXX have banks bring become it

comfortable are blockbuster had been share bottom take nearly is more Here M&A bond M&A, we for and M&A investment financial more specific the financed shows U.S. the buybacks the XX of or which the new since much a that purpose make as that of same become deals over If buybacks recapitalization debt heavily recent half the High-yield grade issuance, years. ever corporate category. Note much issuance since has look than been issuance or has timeframe, is can for our each transacted to in issuance XXXX M&A Results is U.S. There chart efforts. bar in in investors offers. of all issuance buybacks. refinancing depicted utilize a debt in bonds see in investment-grade raise general up largest we at material needs increased borrower's high-yield with maturing XXXX considerably have how refinancing investment-grade as sector total on as dependent colors proceeds. and high-yield that three general corporations market. for Issuance a printed the included

share Agreement, me firm Green impetus Evaluations and April $X efficiency, evaluations water, Global to in S&P to traditional energy a energy and Propelled transport, of XXXX other nuclear. year power let some created we plants the trajectory. Evaluations. buildings, the with it initiatives made trillion on the is includes Paris renewable of limit providing for investments progress by Climate our Finally launched in Green a Green have investment its global it and Ratings warming, upward finance and

acceptance evaluated today, to Authority are the of includes bonds the subordinated Green as of we We This by Greater and encouraged Market Intelligence, Airport the quarter. some Aviation during revenue have the market. we the extend our bond. Trust the capabilities Mexico in Within continue of our slide Orlando such offering our global Evaluations

ways intuitive RatingsDirect launched is and visually the real relevant counterparty to we for information users investment features in monitor, that receive to which end interactive company's time, portfolio. First,

is Historically, data SNL Xpressfeed, an expansion data is Second SNL adding to this our Earlier a Feed. data very via of management small SNL data feed system. we available certain began year sets business. feed Data

unstructured quarter, investor generating data, This branch through Xpressfeed out and new valuable sources relationships transcripts. alpha and alternative rolled the seeking prove third help should of data and property new bank alternative uncover estate as that sets the real to ideas. regulatory During such we data, data data can corporate new

well default model credit counterparty for integration also loss and of include SNL Third Middle-East analysis coverage analysis as data. facilitates and years XX as relative workflow, and term contribution expands is enhanced which given It the Europe analytics to structures.

ago. discussed to today launches, few launch want years made have with Korea. Japan I on to the that In from new LNG delivered often Korea will share assessment but role we important LNG the Turning Marker market. past, the global we South a unifying into Platts, Platts, progress product spot share a play price cargos for and physical is increasingly gas in Japan, you benchmark natural

the price or participants swap represents when ICE. the take changed a the month. of trading hands as interest LNG Volume to Platts surge of contracts the depicted and become outstanding the chart largest total during often JKM that in case by is that key their has total the participants. in volumes have physical position. world, market shows are a want on reference market Open shipment, countries to of develops, these hedge amount physical number JKM a market here monthly held activity As the imports contracts able share This be for

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of the The first S&P/BMV exchange. Index. conjunction VIX CBOE as with Index the the Mexican Volatility same IPC the methodology This index stock utilizes launch the in is

corporate designed scenarios assess information accumulated of carbon to to is achieve carbon Second greenhouse provide data Trucost with trading of the carbon tool taxes company's carbon global a global the XXXX. regional regional pricing pricing less. Trucost limit performance to potential has carbon gas The after fuel which combines database current launch emissions financial helps to carbon schemes, companies emissions Agreement on of and risk warming pricing goal and pricing the Paris the tool, X° to insights mechanism. or pricing the featured regulation, centigrade exposure

control that Transamerica given suite, DeltaShares by Managed turn new Ewout are has trade to is call only provide of sell to With And of an exposure greater an which intelligence-powered among series, as trading exchanges, Third, to artificial four the market the were caps to Asset Risk financial strategic is specifics called of investment Algomi. embedded network Management launched S&P segment side ETFs Algomi XX feature risk Even the the created volatility. as launches July the and first color, top decisions new them on market allowing a buy firms, has this year. who new bond business that side offers improve me beta equity have management attract that enables ETF let with equity to results company a facilitation. index and will two in strategies during a while fourth quarter. innovative though more information well data the Ewout? ETFs provide seeking the over launched to fintech strategic designed core for that transparency Transamerica our ETFs X.X harness the in

Ewout Steenbergen

few call. and like touch provide then the revenue Doug, specifics line increase already to and results you, and I adjusted discussed a XX% discuss the XXXX guidance. to Doug diluted good on organic I'd our the on quarter in items. to like morning increased morning, This third XX% a would on EPS. other growth everyone Thank in

due of the believe will for performance initiatives. big these compensation. quarter be on to million was First, productivity unallocated in was professional About growth About IT like $XX for related service order to this project for two fees, spending to identify incentive expense I in point the one-third encouraged both cash one-third adjusted additional to opportunities. company-wide one-third to system. The was replace our and We perspectives. would due increase that a to final

tax Second, review tax decline benefit repurchase moment. primarily improved rate third, the X.X with option which discrete share recent outstanding. million diluted exercises the I will ongoing effective X% to on adjusted a due XX.X% led of to our our program average a coupled shares in stock And in decrease or ASR

exceeds employees During a third and at fair to private FASB that value improved stock XXXX whenever in retired future levels the option quarter exceptionally me recent in impact recorded accounting EPS our recorded should be a grants a impacts SPGI's guidance for expenses grant by the make option also but is on call, we during reduction third adjusted the The price. $X.XX fourth from to stock It employees $X.XX Due of tax expense. $X.XX. is change recently helpful. exercises, to that of two we estimate activity. difficult This of time EPS quarters, by XXXX we reduction exercise to impact observations price share estimated the increase quarter the payments market and tax high as in let quarter would of noted earnings which change depending EPS employee

stock assuming tax First, the stock the still the company be that quarter there million third there and X.X no end longer they options the options grants employee in options stock exercised were are the money would When outstanding. at are benefit. a of

range restrictive fourth of an stock stock market a the grant fair in tax benefit pass price. the Each quarter to year will units average value exceeds continues provide company restrictive whenever the and of the Second, the grant's stock.

exercised million of record associated hedges, in amount benefit quarter remains revenue at $X.XX This the approximately stock. is in about positive the stock pound. the share our primarily XXXX, with Ratings are exchange updated For fourth we in tax and or on rates, quarter. fourth if foreign million will $X bulk was the $XX the impact negative of had a the ratings the more we options of quarter adjusted today's impact Australian impacted Net stock in British and we per segment. estimate profit assume price, operating was stock company's profit impact dollar included the adjusted operating by third of restrictive on that guidance. $X.XX The and

FOREX exercises, Taken in higher $X.XX run included much a $X.XX our expenses and that together, a unallocated the adjusted gain annual than were quarter rate. option stock loss from

performance $XX Now totaled of you more earnings let Corporate. actions included the to Despite me to and of our will turn business. and of restructuring to to results opportunities in adjustments to transition $XX anticipate earnings actions the savings Ratings year-to-date adjustments we help to that an are these result We a loss better looking lean assess to million the continuously underlying quarter in approximately million. effective restructuring organizations. annual for strong Pre-tax

by commodities and synergies decline and contributed market improvement divestitures. margin the more lost due simultaneously moment, Each to a detail third commodities structure. invest with such Ratings let reported profit margin X% and we for operating business, to intelligently and more just organic discuss reported The just expense. operating in in Ratings that disciplined associated I'm in while intelligence I'll a as operating intelligence. maintaining market profitability led quarter, up revenue revenue. pleased margins we reported the high growth adjusted a addition, in want me in cost in Indices gain the than say business and with in a was made segment organic $XX Well intelligence market the divestitures. gain every due In to amortization several related profit excluded million commodities adjusted adjusted business In growth, segment

with now individual Adjusted increased revenue I basis me to increased FOREX. operating performance. a XX% the adjusted Let will or favorable excluding XX% segments' turn start XX%. Ratings. operating to from while the XXX Ratings XX%, increased margin points profit impact

increased gains, our increased short-term Transaction entity products strong managed recorded due to see revenue quarters rolling past, and commercial growth. revenue with and margin debts the including in revenue the and fees XX% X% transaction Both primarily Non-transaction European can points. corporate bonds, said As XXX basis we basis U.S. you adjusted on that bank business non-transaction have paper. on growth associated a we basis, Ratings four surveillance, and from structured global ratings in to increased primarily loans. operating

CMBS of structured If greatest you by boosted revenue corporates part and finance. the finance U.S. ratings as you are look can due increased that in at in the Ratings' various due the in primarily the corporates in public loan its XX% and market. markets, as the was both were decline to Structured that results increased gains U.S. mentioned. in activity strong this to The see market U.S. Bank activity governments issuance Doug and CLO well Europe only declined finance

This Let intelligence market Platts. declined and market me turn the quarter, to to reported revenue now intelligence. due X% Global divestitures. third segment S&P and quarter, In the commodities Global includes S&P

revenue increased synergies divestitures, divestiture organic organic X%. primarily X% synergies. points growth, XXX due Excluding with to sale activity, lower basis operating acquisition due of loss growth integration to Adjusted earnings revenue organic SNL margin improved realization. Despite the associated and of businesses profit and margin and strong operating the adjusted improved

growth. excluding three divestitures There Intelligence, revenue primary organic X%. grew Market to behind recent Turning are this reasons

characteristics we management. set professional insurance, others. including and a than better banks beyond investment investment serve have firms First, of these segments growth Several diverse Wall service and of banks, Street, corporations, underlying

from serve contract values the clients our and as all companies our largest grow. of grow segments we those Second, smaller to

surfaces enterprise-wide growth and instituting unique S&P With combining agreements. proprietary risk to Third, of on customers year-over-year. Emphasis and users, will platforms, expanded we is combining to desktop number one-third SNL, in desktop in conduct. IQ been of has leverage performance desktop the November. One enhance strong approximately rates be seen which occur commercial agreements respect be continues enterprise-wide sales desktop XX% early to as business are and our IQ greatest Capital area our platforms, can RatingsDirect the and renewal train and and conferred Capital events two commercial product,

will Intelligence content new we customers. the contain and an functionality. will and content the First, Market have IQ SNL launch of This will all updated all SNL Capital product look and desktop for feel, new a

a customers Second, we release new combined will selective investment launch users. banking for with completing an beta the official preview of just campaign after platform successful

This Looking three X%, a revenue, had products organic strong solutions Desktop X% deeply Ratings Xpress the respectively. all components digits data revenue with of in divested. mid-single at of renamed and surface third high Intelligence about revenue more And has grown from that million solutions RatingsDirect that growth finally businesses growth. been note quarter $XX delivered increased and leading Market Market revenue Intelligence. were X% providing grew enterprise and of XXXX management

up half organic higher, X% the growth quarter. X% Platts, to growth poor the in of delivered in revenue to to revenue digits strong fixed revenue Platts was the grew organic due This ore. Global than subscription Turning the growth year, growth at increased effective third first mid-single Singapore was trading business XX%. The exchange in services iron which with more which and at oil and by Ratings intercontinental exchange the the

activity. petroleum power subscription markets, from Platts primarily and you four revenue growth gas petroleum If global and by quarter this solids trading from look which of the came you primary benefited Platts growth majority business. at of and see makeup the strong can its that

metals services there XXXX PIRA $X third the growth global returned recovery of and to of trading that revenue the quarter was contributed in with a acquisition. from growth strong million Please agriculture note petrochemicals addition and In revenues. X% in

assets XXX XX% investments. revenue adjusted Let offset expansions XX%, growth due costs investments and and Mexico as continued by operating and increased management. sales expenses, profit points increased me India were sales in performance related to And operating cost mostly include technology. in Revenue ETF now partially to Adjusted decreased under gains basis XX.X%, partners, to Performance margin turn to our incentives. expenses royalties increased and to Indices. includes costs driven driven true paid commissions

and products gains in the ETF investments quarter, mutual into to funds fixed driven passive the options are in in futures Asset-liked and X%, from strong was industry by activity. of exchange experienced third of average rising Index rate OTC growth indices. revenue up Subscription derived ETF increased in The revenue again moving XX% Exchange and principally derivatives billion. custom S&P and traded the data inflows options of with which quarter X%, quarter third rose ETFs, subscriptions guide certain trends $X.XXX very ending indices greatest the fees, in The due derivative XXX trillion, with $XXX XX%, third AUM. reaching of versus growth XX% to our net XXXX. quarter totaled AUM assets increase

shows XX chart of As over $XXX $X.XXX market the was of result appreciation Trillion net this billion was of record. months. new the and billion the a The inflows $XXX last

and a The volume third equity proxy better derivatives is decline experienced a rate and activity options than quarter our options include and increased S&P this and Exchange at indices with index the activities associated of XXX futures year-over-year robust the the most activity average CME AUM mixed. XX% complex. increased fixed which contracts figures. in quarter-end Key revenue changes for

position, of held cash third of long this and term States have the the our the $X.X turning of end billion outside quarter. of now at $X.X billion the was United Now, of of fourth capital was quarter billion the cash debt. XXXX. little change We end there from $X.X to

X.X as third $X.X which the debt versus during the flow free of EBITDA quarter. times XXX Our adjusted million Year-to-date was generated X.X billion leverage of measured at coverage was nearly by XXXX. times adjusted was growth end to cash dollars

is share accelerated the the when October third XXX the end As million dividends. in capital, program program company quarter, the shares in return of of third and shares million returned the in received through quarter million completed and the $XXX at million X.X repurchase additional with to $XXX for an shareholders expected

to guidance This several results highlighted our The we Now, going the follows. mind I guidance. in expectation This guidance our XXXX that current market our and which were epics we the have our slide I'm shows will GAAP that spot and keep of remainder made the our review as changes upon slide. adjusted changes Please ForEx changes made. year-to-date our adjusted updated to this Based discuss our slide updated on reflects have XXXX, rates. to changes guidance. guidance guidance. are for strong XXXX

increased from We growth our double-digit to business organic segment. by high with single-digit have revenue contributions low growth, every

from by increased our expense range million million range $XXX to continued of driven to spend to and have We million of IT $XXXmillion, unallocated a $XXX $XXX a higher incentive compensation.

We range have margin from a increased to profit to XX% XX% our operating guidance of a range to of XX% XX%.

million expense and a million to We diluted to lowered prior to a very for of interest With turn amortization a back deal-related EPS, Overall, we reflects have the which be Chip year $X.XX. by $XXX this $X call strong of expectation let me $X.XX over our new $X.XX XXXX that your company. to the questions. $X.XX range guidance to will have that, for increased range from excludes

Chip Merritt

Ewout. Thanks,

that questions, wish for in Q&A our ask simply indicate that's Just other instructions a you X I limit questions; to To ask you X. question, press participants, of two enter session. for a press phone Star the please yourself or to today's two order that withdraw during your time cancel allow question. to to callers couple Star to would kindly queue

better Star and will X take handset phone, ask your This speaker on listening you the you've but remain has that to to pressing ensure been now answered. lift sound like we quality. a first ask through question, question a your our question. handset would If now Operator, we'll until prior been

Operator

Thank you.

from comes question first Our Appert from Piper Jaffray. Peter

question. You may ask your

Peter Appert

you. Good morning. Thank

So to you the to to you've required is have before, this seen, sustain and been you more is I'm currency performance used the improvement continue Dough up continues there be your already. how perspective much then again, confidence and addressed the margin ask on margin ability but exceptional to upside how

Douglas Peterson

the morning. good for thanks Peter question,

to continue margins improving growing of same our the at are be We our that improving top obviously of indicators think line. the we we committed keep the to to investing businesses the is and best margins one

and We markets, the our are commercial looking have best we of penetrate towards our place also improve at line same put as invested in approaching commercial we markets we our time but are well growth, in of business for to however as to a the are all professional heads that businesses ways managing working then growth. our expenses top at way appropriate in committed

improve lot think we we thought something a our this we about and about be we So that to continue margins, can have that we still believe can it's that do.

Peter Appert

Alright, thank wondering that the you thought have you of level in - I evaluation with process any just terms any if got there been leverage and balance your appropriate of has on in if am sheet.

Ewout Steenbergen

Good morning, Peter.

you have last you is If to investors to our set heard return. that us with respect speaking work provides our targets, respect that guidance capital and to have philosophy expectation out frame we quarter hopefully with new capital a clear on our

X.XX What and also of great investment be be overall growth the the have EBITDA. share range versus our we our that leverage sheet, expectations balance is future. to in dividends adjusted we for that said buy adjusted Our want to our leverage should backs, and X.XX

range This therefore are where and the the very comfortable leverage we in of so to a we at X.X are just at respect with point midpoint at time. quarter this

Peter Appert

you. Thank Okay.

Operator

Thank you.

from Joseph comes question next Foresi Cantor of Our Fitzgerald.

question. may You now you ask

Joseph Foresi

Hi, you for are and long-term so the do overall growth good you profile business? here. the having about obviously a margin think fairly year rates How

Douglas Peterson

that, you for is me quick couple thoughts you a of thank let Dough Joseph, this about that. just give

the Ewout guidance improvements we the ratings best don't inspired mentioned have each the we drive continue low way is adjusted. the Operating as presented. slide As margins business margin over about our segment, Peter, XX% necessarily to and to we look our but the XX% saw growth that to In line to you top in I long for just at run XX% that range. projections just to

but how commodities couple our IT, We XX% at our analytical drive market margin look maintain quality, continuing and can excellence in controls got the of through in in the are next high investments our years. to over we've we productivities space a

out investments don't IT business. the derivative complete in as target levels then continuing in to and of are we not well in and as to index, in control, target index synergy approach targeted. the business the specific same ways program the to some continuing as for It's our are a we in have in business. have AUM are the discipline but maintaining in we other index a a specific giving the really We ratings. And commercial activities but - target are it invest of due the we extent range, kind in

Joseph Foresi

reform thoughts the could helpful. Thanks. second any going tax that's it. forward? business And there how Got question, on impact the new That's then my out and

Douglas Peterson

on be reform. is rate. - couple Obviously if There tax of tax beneficiary a would a rate overall lower the that a is reduced of will we the things

most We few have the impact. here tax could see mentioned of do There from potential We to XX%, look we and we debt and have be other at a range past be in but might seen. some is XX% but really become we're that tax think and we a used yet the very interest of that in as these of been the we carefully, at to that tax returns which more to the way would their the the XX% rate be we will time the to the reform markets capital provide to some debt States corporate based there benefits we have - in to on now, leverage specific have we still and that, a finance that and probably they and markets. have range. provisions better debt provisions like going benefits But known is on have what are known not market at know this and the non-deductablity reform most expense, been of themselves net-net what impact if more we looking But to are based this those, from XX% positive get important are the shareholders. able the went there same details United the it's corporations down

Joseph Foresi

Great, thanks.

Operator

you. Thank

from Conor question Our next Fitzgerald Sachs. Goldman from comes

You may ask your question.

Conor Fitzgerald

there's business, but fit paper the really question our to see ForEx some some power this feeds. the at to perhaps of your power. events apply I ask part pricing paper Good change, but white morning. prolog the business data of comment want doesn't I I the around can the on of white in all? your you particularly comments Does specifically pricing think on a just know pricing treasury business, data

Ewout Steenbergen

Ewout. This Conor. Good is morning,

Of and those notice expectation of particular course that not overall the we professions report global. proposals our or impact taken should that have S&P

see broker you dealers and and would the As it's equity of markets much in of data the feeds from equity providers data charge very markets. between

and but are dealers. those in some are to end relationships terms the property platforms, exchangers broker facilitating of between through We of intellectual our the direct the those

impacted we we overall, the will this comfortable future impact have are not growth companies and the So believe an very report. on the similar will in by expectations don't therefore that company have that

Conor Fitzgerald

tax you. That's And lower helpful, potentially you was rate there foreign on about think cash a another thank then repetition if just on would taxes, one utilizing how that?

Ewout Steenbergen

foreign point is Yeah, permanent on our focused at in reinvestments time, this cash overseas.

but profession tax is reconsider point repatriation, have and change to that when is a could We need discuss that point. when tax. we the So in there we the time that in starting plans those at might be

to we reconsider today, will regulation need permanents the tax we have we to and plans our come what might be that reinvestments, point see in that So time. new we of but decide out at it need

Conor Fitzgerald

taking for my thanks helpful, questions. Very

Operator

you. Thank

next from comes Our Toni Miss. question Stanley. Kaplan Morgan from

may You ask your question.

Toni Kaplan

the give that we that It like quarter, levels pricing this revenue In based light outside this of some issuance us just ratings morning. in Good strength out can and share real a transactional seen had on on seen you. color gains. is additional was Thank performance. the

Ewout Steenbergen

Tony. Good morning

a little mix clearly balance the services performance was we that always issuance the to were line. usual down X% Let we global there In almost me U.S. of sources see look had of the up out the on be there where you is up about strength the comes financial quarter top X.X% a corporate performance of great were X%. was overall type for not when color as the overall, such but to on might this issuance bit it a give just

credit corporate finance XX% up a CMBS the that as overall some we was up of in the which a finance CLOs the structured the - what as is over public to quarter know and strength, combination financial down services area, XXX%. it saw structured was as You but for there about public the was a with well the XX%, strength mostly was

securitizations our as has into we eventually had line it's saw to the from slide activities mix The market. And what been overall. we a and you we that sheets driven market their for we story been then strong combination know balance was benefited that the all loan bank of showed top quarter with So that's banks because first this truly combination sometimes you and go ratings of growth. market the the then that a own of bank very is CLO loan a of through positive

Toni Kaplan

the revenue the from Great in only it then top desk about X. slides, users that users top up to but itself XX%, showed that were up intelligence top desk market desk and was

on versus give is it a any sell helpful. can if there you give there of you. banking that very So could side, base like what Thank divergence side buy or is and mix desk us provide you anything research customer you color sense the is versus other could functions top client

Douglas Peterson

me let first question. of part Tony, that take the

agreement On its an possible. wide they as with moving you on towards customers and question the you know enterprise users as that slowly which the our contracts part your are can means to of contract have with changing organization bring first we many

has services enterprise - open of wide in we leading So in where to you future be. there anybody that approached as a for indicator more are means more, you move and the and using a that are where see the license contracts going it's tops that we up of ability us our number for that's so to good products the use desk increasing

to usage the its can negotiating us more we the as are. about some about goes contracts specifically ability We that. users are how the segments has on increases numbers of overtime different the think gives Chip who And time up get over pricing

Chip Merritt

exact price pretty gave a we our intelligence you Yeah, in slide few that a cost was market split between roughly I and down the customers - categories. by quarters four break evenly don't the ago but numbers, know very chart which you shows

corporates categories and is don't others. the think of lot people about a One that

buy firms sell folks at and the So firms. this may consulting of side, a equity. know private that not buy with you with kind look side, and specifically, but those within corporate [indiscernible] firms chunk chunk a chunk those accounting Then

that go pick please at So look but that chart up may, figures, exact chart. take might

Toni Kaplan

Thanks very guys. much

Operator

you. Thank

Our from next Alex question UBS. Kramm comes from

You may question. ask your

Alex Kramm

Good morning.

market cost third know other talk I so. staying be one double enterprise Just driving no seems data general. those pricing or like the and into heard and move decent tune was what increases topic on question to in a we some the of clients there market no for cost second I to to that it enterprise intelligence When of pricing, digits

point are you the hearing ended at got like increasingly still a is limit guess wondering Any comments and though. you just feel So appreciated. you what are we or reaching with that will cost is what it much the I too at you good if are guys looking bit folks wondering getting upside. be

Ewout Steenbergen

is Ewout. This Alex. morning Good

enterprise the trends very encouraged of contracts. moving to by wide So are we

good of As intelligence and good think you customers for for know global. is we S&P strategy an markets that's the that exclusive and

it you analysts about more previous we the a our give come costs. additional one that usage, will bring that's long new continue without into see users forwarded term. of positive color means that little now is ultimately adding good of to more the increase developments the capital to third the of plan me XX% few we added bit all models, to be that let around believe one it when And, customers number a will wide still in to embedding ultimately increase of So they the set like any always customer and to increase think enterprise whole like are the can in customers it because usage, - platform we ultimately a employees, new in it is contracts

very the an believe wide try actually for much as the provide into this we look to make the How value the overall for close. we work is embedded usage, estimate customers. the So, platform, from explicit of conflicts you and strategy, edit know an to enterprise value we we that's much

at a sources, customer between difference deep data and there that is looking So, prefatory the intelligence a that more some high-level in of price therefore difference there's in terms go a others are setting. in revenue. that is But is functionality changes very product we best well in competitive that and market, the is the believe heading the main users the overall, growth behind is priced, and the drive of

Alex Kramm

treasuries since areas of one then get maybe, securitization. and for I somebody that more that attention report push mentioned was, lot guess, didn't the just I of think enough, treasury fair Alright earlier,

lines I Anything you, haven't plan So, structure administration and that pushed for officially been about again? would mean, be as two think could do, time had Doug you obviously to that to the conversations get going robust years. that may markets or that with last any here, you regard if

Douglas Peterson

Well I reform, no term eventually for that the US the the in less in the which US billion The could securities. the the of Washington that's gotten two aspects, be issuance the in was R&BS but idea market. and the have in what clearly change the first of of GST quarter, last market R&BS interested R&BS dynamic there quite $XX is to be small, might

other more sheets, not In be provides and frees know terminal were capital credits, in it. on some of securitization can in away reform so billion see interest to for well do that a market, they market the we more be So, and robust my of credits. type some more might And it you I'm thinking because, from wanting spoken and markets they about Draghi $XX.X securitization quarter as Mario many structured going see at up but more worth the to and that some point, inventory there particularly activities re-invested moves market. corporate type structured and think, be of has and in securities breath have times progresses, there, do Europe they banking some as down this Europe to CLO's to hold other for Europe revitalize

you I've saw in of if lot I a could market market, policy that. this with makers, specific R&BS discussions timeline had but the biggest plans with opening I've bankers least, there get for at And no but, different see up seen. the again, So, the US and innovate any don't is central that

Alex Kramm

you. Okay, very thank good

Operator

next ask you question. Research, comes our from may from Mazari you, Macquarie question Hamzah Thank your

Hamzah Mazari

your Historically and your think haven't about benefits is something post benefit you investors hoping of you talked Good some was any X, morning, could you lot from? there first? thank guys of you. just so business, address, I how that, Nett have, a should Midrid curious that peers

Douglas Peterson

Midrid deliver related different Hamzah. you, at obviously lot new be to and about first US we very Well are and to and is players discussions going are Thank when into X, in's of a to intelligence today the the this, of able how research European looking this to sort out's it there comes all, of this, are carefully from there market.

or is with hard of all So, are pounds hard credits now data to place a, point with When in already in a already soft currency dollars, providing some research self-side we dollars, typically whatever institutional of part training the of the their is. subscription paid view, going view, take our a and research system. the from to loops point is part to with that Euros, subscription gets unbundling somebody a our sort analytics we a dollars. training them, for or that we're ramped And first for are from of which of the is that paying not direct analysis for products services of and is paid

view, So, any are from going a don't think direct to impact we business. or we see point of

we are market unbundled we to up wilt going organizations can be potential to peers that us able what the and are is squeezing and with research today. know you no look of so your are a kind I want our analysts on new opened, we reports research of that's that, set of of negative research ways going that could generally been make and how at the they are does track investors us, we if that's direct how and colleagues kind to they to they do and different of can to are is if question used banks the see do Second, speaking, using when able that in track the to we can for times to, as it charged, up spend, can it approaches be we a budgets watching deliver investor and there subscription there many how impact negative what biggest be impact out platform to that impact the want we're reach intelligence become impact Clearly of her spend hard have we we different can meet have and be to but, types if a delivered, projects? don't And kind research and you way usage, is any coming carefully, Well carefully to this for market be there by their to research very means overtime, initially. any is dollars about there. going understand be

Hamzah Mazari

how when it's investors question, historically cycles. reason up relative a data of a probably curious acquisition the done question ton I that And have and that that Great you more business, didn't to was know supply an more think you pass you about acquisitions demand should in cycle done. the just is, follow-up that you've diversified, asked business, plats in

in So, going the just any be curious business a could thoughts similar that cycle? is in may up, I help XXX it but, oil market, but understand be energy to we the up Thank business numbers us stronger you there? think up ticked know a and mentioned Granted growth know you. the don't you commodity put to last

Douglas Peterson

it's the production is range XXs but, the start get $XX XXs, Well to in expectation somewhere producing producing, is people, going $XX $XX XX, pulling see now. At right $XX right low our say range, into the you stop the first $XX people you let's gets get we into have the when it people up in there now of to oil, in a the people when in that sorry mid the way be so to XXs, XXs, for a that to from expectation that just all, in. a coming with start us this head to been putting seen can analytics, promise of We've provide supply well exploration to the shipping oil refinery we more together onto starting stable allow and we've analytics, of of of to crude and price. businesses so, the combination of get all much etcetera refinery those have are you more more, growing. we services dynamically, growing portfolio the the the product, oil see XXs

see investing and with make petrochemicals is acid products. we petroleum, etcetera. obviously flow GTS, So, and and in all one the couple plats gas, and the different sales trained data energy, analytics then secondarily And of of trade we pricing natural the the other one go in classes to grow plastic, what services businesses. those is think And if that overtime the buckets, in different businesses beneficial this going forecast see can the should in us can't do overtime stability that's business, subscription I be our growing this our But, and are of but we mean to the we to future. of initially for the

Hamzah Mazari

helpful Very thanks.

Operator

you, William Matthew our Finn from next question [ph] Thank from Blair.

You question. may your ask

Unidentified Analyst

kind you I we've from the you do but more, of can one here you the see elaborate of are range, the I or just seen I wanting infrastructure like invest , guess to a from second sort of little bit period seems but of new and guess, trying elaborate see sustained you and some on the the bit indices to should rational, you year this more we point bit can talk guess investments talked know I me, of the but margins, it a business? I from it's products think about in a seen a Thanks, little about

Ewout Steenbergen

Hey good Ewout. this morning,

revenue first this color, XX% more a then you big on So, provide bit has grow will overarching we me have think business XX% a that about margins little so tell we can our was base and specific business mid the for range, let mid XX% shareholders. picture XXX perspective I value, very lot this economic have during margins the point creates quarter, for good growth a that reasons I that's a a in by quarter. development of there and why decrease indices

but of royalty. then expenses, offset growth. and investment hand related royalties there that's but are truly the some think one the to a a have on we down foreign secondly, And addition driving line first average future True we is capability about the pay good with the The margin to will cost there expense that on a the reason certain help where is element on an respect is, revenue

also still So But to impact is that having future business we is believe a margins. in we margin that a that are this is at that mid-XX% on able altogether, very the and taken healthy grow, level slight way. a

growth So will also certainly continue we the that in future in expect invest do business. to and intelligently Indices to

Unknown Analyst

Thank you.

Operator

you. Thank

next from comes Manav Our Patnaik. question

may You question. your ask

Manav Patnaik

Good you. morning, gentlemen. Thank

to you the color the around and for First, Platts and My question want in us. out I side product the pointed guys help commentary, guess thank notable you is Doug very increase LNG in maybe first for but area disclosure, just the and And my fast-growing I sort there of and the X%. we is and LNG Platts a just other power growth offset then declined there is in gas break outside think there. some I saw guess

So to be any just more on a drive contributor thoughts business, that some material LNG be appreciated. a broad question would there, growth there could

Douglas Peterson

that's will global don't We market. I take a know it because investment market, development high going morning, few that LNG Manav. for Good over which But if when in investing could this say it to a we one significant at one as there. contributions how we - think to comes I will is that are be long-term next quarters. us. the to long really look it get even business global the I of become don't a are is know the

about and being LNG through and would Korea, time, cost be a develop Japan and LNG de-liquefaction really in If this as liquefaction the you on we BTU no over into largest think world, LNG $XX the ground ago, around markets particular market to there importers just was terminals floor. price and for we Korea with the go like will very in unified two in $X South the global Japan Louisiana get because the back of of was years up two but and the built

kind now it the to So more this bigger we we it kind of hope market an where see our of and should capabilities the becomes right as we growth. overtime get of investment it and market. And right of are serve one buying areas building right

Manav Patnaik

I and bank side Got to one loan the it's track. for rating And the decision it. that's then us just on hard guess

it penetrated how some it's think know market color in So are in if would terms and do I the in of past, I was - for hoping any how the lumpy a help, of next in that in you and be? you think quarters been couple you

Chip Merritt

but we it about when there, three four on but I in again, we give down more we with gain, around were at slide. are some the to that We ago, first XX% putting there were, I loans plot taking were first but but quarter a feel years for quarter you shared really every got once go you the I away call, or around they in don't first least more in so didn't up you, or then share somewhere specifics and and quarter, got I Yeah, years not like look bank the rated. quarter big share share a ago, U.S. from at again encourage in you to - appropriate we just And XX%. XX% might think sense competitor, were the XX% around and Europe the four how five

Douglas Peterson

things I also is to a that think tell the as issuers you, I what it. it of would point One about going it's out, am bankers well as Science a the way that but not

bank the bond get rate different pretty they and securitize look and happening because they bank markets market what go together, high-yield of is market, States that's combination of particularly fixed exposure have and its CLOs. in rate who couldn't the investors CLO United to with floating overall for banks clearly also at access will been look loan there - then could also proceeds If who you could of rate exposure a then especially of you in we Europe with for opposed in those over And last way as liquidity a in the that's the activity. And I market, rating the markets interested a go believe in in are volumes look to market at - and its few CLOs different market, a a to there - high-yield bond at type when banks loan quarters. have in go-to to picture and loan their agencies the the has lot the of good the It's could the combination the substitutes the rating high those pieces. somebody do good bank penetration one of the driven what's such banking factors that high-yield loans you they we the rating the are that and that's of and activity that a of that all we agencies

Manav Patnaik

Got you color. it. Thank for the

Operator

you. Thank

Anjaneya Our next question comes from Singh from Credit Suisse.

may You ask your question.

Anjaneya Singh

questions. my for thanks taking Hi,

light you what's capture folks talk than we performance and perhaps margin redundant can year, any First, segment, cost have but the some progressing? as so removal update Market of on synergy expansion on the in of been sequential how is previous that that there in the flattish the opportunity nicely up you limiting of year-over-year, about and margin have Intelligence,

Ewout Steenbergen

Yeah, the good of in Market morning. a is is margins believe This we lot expand Ewout. to there Overall, that further Intelligence. opportunity

with seen have to You very respect revenues. healthy growth

about will we of the Ultimately So help desktop platforms. and to up the the in story we active believe were future. the of one side of that talking the users drive before is the that revenues

working for still Secondly, on we we integration. the believe are there's efficiencies, opportunities SNL

we of the you of the overall but this XX lastly, year. yearend with respect synergies believe acquisition point to to the will I but margin beginning with at able out to the put months if also with improvement improvement; margin have looking update XXX the to an will we where hit that we at reason those points And target all year-over-year synergies, be trailing to I we basis back the We am you at at get at year-over-year. are look

indication the harder Again, the expense growing higher derive will on margins the than the So we line right are that clear line and we the think we continue top is track. a that in future, to up.

Anjaneya Singh

share Simplify efficiencies updates seeing of main any any Okay, I can of on a as you still bear early And to results. the you as if trying wondering improvements, you it's sense just see pilots. to more to got or moving deploying fruit a get on little tangible initiatives Project follow-up the was it. folks Are to are whether are starting the

Douglas Peterson

is say two answers. would I What that it's

we progress progress the are to moving be across going and The to are first rolling different rolling answer to when at be we where and were Simplify on ourselves. getting some into comes making the it excellent pilots Project practices, where going practices out it point, with largest

of comes and progress, significant, down. data the of it's an until has has process and So end philosophy about going how it's on expenses been start good. it, a important quite been leak all thing that to been driver moving piloting as simplification right is design impact the but the now control the not but When time of of the now, driver it more an something the end and really collection has now, becoming in, to it's publishing the way financial on is building progress standardization an not expense good big starting over will it we to thinking it embedded overall to up work and

Anjaneya Singh

Thank got Okay, you. it.

Operator

you. Thank

Capital from Markets. BMO comes Our question Jeffrey next Silber from

your may question. You ask

Jeffrey Silber

so that lot, I one ask much. Thanks investors help a could I get that. question paraphrase Hopefully you us want to out.

keeping be So but margins same to again that today. on the seems focus

your already long-term over business, looking at taking is your the Ratings Specifically, XX%, in goal you XX% low you are year-to-date. said

back business. be down take if environment, are it's you strong revenue it expansion growth, go we year. forward? could do to mean but expanding Ratings go kind on I next Again this got actually possible where continues heading term Now margin possible back mentioned of you growth a step some you based would you a year, long taking to if normalized really revenue maybe you margins the in continue think I step a that know before

Douglas Peterson

not revenue from mid-XXs that point when essentially is of there higher question, are transaction sometimes is going revenue a our Jeff but there easily quarter the and which you or could have XXs not say quarter the flows heard or is theoretical strong based bit from more this could benefit as and many we margin. the that a as from - where doesn't goal, lower low times has that two a top this of Doug, a of issuance part there necessarily Clearly, very the benefit issuance view or medium-term long-term and if to of lead the to we well that's mathematical there see and the it we calculation stream weak our the flows goal. before is is do that been of of as a even line me is is a are a

performance, are how your So margins. are growth and expenses there question improving our business but theoretically hit to could from the be very managing manage margin our conscious comes line we margin. very our how your it and meek, feel improving could it question, to our when you we quarters our theoretically that we overall, But lower is top could of some

Jeffrey Silber

the appreciate Thanks so answer. I much. Okay,

Ewout Steenbergen

Doug's So let me answer. build on

The expenses. are disciplined is tight other very we there staying and side with

going in want go too this up line we up, with So particularly don't the revenues to period much. expense

have point time. Ratings have As announced you in a we restructuring this even seen, at in

So the in we be that some headwinds benefit healthy is a an of will expense there way. the point that base when can that some at withstand in that future have

at you So theoretical continue and point a that as disciplined, that be we side, the certainly that described. very should on particular help scenario in expense to

Jeffrey Silber

much. so thanks Okay,

Douglas Peterson

Jeff. Thanks,

Operator

you. Thank

next from Wells comes Our from Warmington Bill question Fargo.

your may ask question. You

William Warmington

Good morning everyone.

well. model Market clarification pricing combined piece. including that, Cap is I'm base contract, of wanted is taken now just have that the pricing some IQ that third IQ a or enterprise When as a enterprise enterprise on wide Ewout And you Cap it? what about on to Intelligence over the model, converted just had offered made an curious are percentage to question clients part who comments is what that the the option So specifically I that had SNL that mentioned about understand of

Ewout Steenbergen

the clear, commercial agreement, have SNL sure sure yet enterprise-wide. we - okay. make been the not on clients make just the So products are were combined already All

there. were So they already

William Warmington

Right.

Chip Merritt

not customers, then be are it only because product. also in we of one or IQ as That's far. choice the have commercial future what at not. so were referring So work customers third and there Cap will one combined to really through product, acceptance the we our whom some a some are that offering, of SNL we question a are made It's of there whom

Does in future, we so I in working answer the sure. So our way one it. Bill? to your really choice am through it's our have to that It's not offering. commercial get question,

William Warmington

Yes nine Chip. a that then on the the first one wanted And how question past to time how issuers don't who Thank wanted just but over factor it months, the the terms issuers ask, I in of side, to refinancing much in saying? the strength you, have versus has guys the were much that you does. loan the of issuance know that question. Ratings to been of applies been bank ask I of

Ewout Steenbergen

there occurs it, a is at go see I and our is have you back don't just you and the find new entity one look on for the X% I slide of issuers that that so the could. me at non-transaction partially slide our in Yes, is at look fingertips my but let to the you was, transaction is that slides part proxy pay by XX to it what revenue see driven of think which revenue increased if slides, on I versus way can come if our was numbers rating. what where that Ratings, us

I call later for So would I could some it on you would that that Otherwise if at proxy. look data better bit be be more think up it Chip area question. one the specific that would say a with

William Warmington

Got for it. insight. the you Thank

Operator

you. Thank

Huber Our Research. next from Craig from question Huber comes

your may question. You ask

Craig Huber

two Yes I have morning. good questions.

is here? bit First behind there you that spreads the X% is the and maybe yield much over the up the the assumptions behind one, about debt can two how or issuance thought and to question. get that comment up seeing pick that of you. there sort sort what's scenario, huge you walls talk refinancing a Obviously, that expectation that curve, credit how just global further years, Thank Doug in first on Does your so GDP? time, X% from go XXXX. where in of behind was might significantly next that up little during What do a be early of

Douglas Peterson

yes. Okay,

So for thanks that.

First team of the all, research do of of report combination fixed refinancing the income pipeline. a basis our Ratings, in they this times is what this is is of analysis report something a this few And that year.

for world. this wild growth And of looking are all there is world. and a we bond the and what's I coming the expectations have. of prepared in It's terms about what policy of So seeing year are is in what big different also one in in the that could of mentioned markets something monetary combination card which remarks at the are that through impact kind maturities

structured it then as overall maybe globally to the corporate comes growth based When bit of should out two's little I X.X% X%, speaking of and of X% finance a GDP it scale GDP forecast in said key on U.S. a in next global combination overall, down the up about which lows So overall flat financial U.S. know X.X%. rate profile of to you going X%, even issuance to couple when to at issuance, services is though generally as - forecasting flat, but result around that's looking up public flat. finance you rate, year components, about a it's terms be it the let's be up that, of just It's the in X.X%, call it's is about around about X% about X%. X%, see down for be a And the you overall know first XXXX the basically is about off there. with of forecast maturity flat comes it about might that growth our all team

think purchase a Fed in And there something going be year. is monetary be to are potential be likely of the U.S. going basis starts interest We which necessarily U.S. a next play We increases also rate in in XX that will there or Reserve but market. market. three might the the those expecting in that's paper Europe, normalize further and European that the the as three to be that there point in also to will policy of bonds most is an increase December slowdown don't

is we market's overall And rate, the maturities, at interest the So at global economy that of the in with look different the are factors all again rates is expected these the time There growth. with we base what's we world global the look actually happening the rate in interest And global after crisis. pretty growth only around especially they the financial been now. coming coordinated are right entire good six countries Venezuela, seen of a growing. including economy across long not growth it's sequential have out

environment, preparing this look we those or are when benign generally give us at positive pretty we So forecast. all positive, that of to a and

Craig Huber

that. for you Thank

third the you issues I Another that little you you handedly quarter outperform guess X%, Doug, about just believe revenues mixed up please? revenues, bit transactional down issuance was revenue your a on the I I were talk further that soft side question, Can your mentioned XX%. think rate earlier while global

Douglas Peterson

by institutions, one specific cetera. et issuance when bank are are we bank we municipal about loan about that's the about governments, talk including first we and when was talk we talked market. loan issued by financial corporates, we so fixed about That's instruments very and quarter rating by we Yes, the issuance - income talking ratings were by this are that about something

so And growth the the rating. important of really the loan first elements bank one was in

that get The second an an XX% is was down from in we but It's lot a a drives growth. sovereign. of terms don't When of lot example is sovereign of income mix. the not about area our income

is of in and corporate that in and up they downturn In addition, CMBS was side X.X% how last pay there a markets U.S. are Europe market, corporates is lot were issuance. market. about issuer up industrial an and the And corporates maybe hasn't again really and markets, in corporate are addition, the issuance that in the also offset that in for X.X%, go-to one industrial as strong for were up fees in the is U.S. those market to the key There the up us they financial us U.S. and with in of those But then U.S. as the X% services, despite us the think drivers. both the commercial were there the quarter secondarily, paper the financial ongoing was up. CLOs picked services by issuance the Europe maybe well going The

So then components those both the and it's issuance, and issuance issuance largest components, in institutional in finance increase the drove are Those total that the corporate financial capital U.S. U.S. and CLOs, of Europe been despite the about in markets market structured the world's being down. and both CMBS the up. the

Craig Huber

you. thank Okay,

Operator

Thank you.

We will Financial Group. now take Susquehanna our James from from final question Friedman

your You question. may ask

James Friedman

to my about thank how this been quarter. were to how evaluate between taking the questions on wondering for but slide for me end Well you of questions it, bit question of growth this Europe to think share about XXXX are progress going of have since going the we bank market Thank difficult lot here, I want a that I about a it's year guys little to your be slide, is look a clearly U.S. consistent gain if the are is made could a forward. the importantly answered, you structural in but market. since loans. first my parse sustainable you. the I but this banner you this parse and anticipate knew in lot Doug X was trying guess did had you trying say help cyclical you versus is, theme that we versus what is in most may and is follow-up I I when the

Douglas Peterson

for you thank all of the First question.

following instead at that over look and X, the of this future, can view you slide market. say in of that predict just majorities are going end each is at next what I a but happen never XX, of the these this If growth of the of you if this years this a gives the at look you the to to I you not you the gives periods slide think potential going am at is to years what put look in XX of going what's capital because risk from major view focus company, way when bank expand from focus the actually but regulators. from XXXX the worked world, loan from kind of going on market major when a I in the in the and joined I setup, the banks allocation banking is see knew and to ratings was joined coming imposed given XXXX I could bank the having this I a capital that we approaches this a were be of being business, to the and

the you And this loan of have triggered so XX - this be or this in mix a what to are seven leveraged last over consider if U.S. growth on the that X going that next the we majorities. call seen to we market that slide. years seen have were eight majority The % the now years is the

rated from the doesn't lower the double And issuance issue as or European investment CLO leveraged piece we the those that type but a better rating. bank at the that bond which loan the into markets as sophisticated move profile loan they typically bank a the we grade well of bank into typically as as where type one piece issuers loan as look benefits grade. also also the plus one and non-investment that or ratings this is are of us is get loan remember of European in of of give issuance which also sophisticated speculate turn market as us loan market you well. more more get this benefits But the that, a of gets bank thing the the with the So fee markets those many

types is stories this area few of into of between the years non-investment the markets, it So close type last one And its kind good the broader as market. us to loan markets, grade we stay think grade the watch mix been and really has we at look evolution to, it's the CLOs of overall non-investment loan important for all one I to really for leveraged think different market. wrapped up of in that

Craig Huber

get we quarter do that fourth in will you them. quarter. a why wrap that it it what can our we add that having loan reason think to shows up get things in want shares off. But keep CLO were very, resurrect if bank that, you is they chart need flexibility beneficial asked And want rated. I underlying one Then a to that maybe they I And quarter off fourth on sell loan of the they are resurrect have the wouldn't that is get The related it will their or slide rated sense okay, the market the rating that. to thing several if is first the so books books for about these loan a to of to the very

it occurs the think that to behind I understand occur this as why will So logic the future. [ph] in

James Friedman

you. Thank

Douglas Peterson

more Okay, from James, any question you?

James Friedman

for it that's no. much. you Oh, me. Thank very

Douglas Peterson

Great, for being me everyone thank call thanking by let Well, the the on you. call close today.

or have questions continue consistent year at Thank It's in to thank products you industries be to our of we ESG we this the delivered look it's and lot continue year. relevant areas discipline, valued and to have and questions your we approach much all markets us heard to products we intelligence you back the I expense to think markets highly improve and as about strength to the for that have started to three overall analytics energy the on chain we areas us relevance in and margins. see something supply another new And much. doing also as also we we standards the We over things important the but end talked in quality, same this industries for about that very high and already commodities of ratings the whether well at markets. are that green time the in been evolve. very quarter with Whether to throughout forward deliver the have have again call you years growing months. is to and related a answers you we will create interacting committed the we it's from evaluation climate very as and we where was how and as of as our strong commentary

Operator

That Global's the website A including will months available morning's call, in you now replay XX from be version good we The for behalf by downloading On call. Global, Q&A about maintained for month available two of for replay of PDF one investor.spglobal.com. today this today telephone. S&P day. S&P you and session, of on hours. is slides concludes A be wish and the from this from presented thank for participating will

S&P Global (SPGI) 26 Oct 172017 Q3 Earnings call transcript