AB - Earnings call 3 2023 | AllianceBernstein Holding L.P.

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Thank you for standing by, and welcome to the AllianceBernstein Third Quarter 2023 Earnings Review. At this time, all participants are in a listen-only mode. After the remarks, there will be a question-and-answer session, and I'll give you instructions on how to ask questions at that time.

As a reminder, this conference is being recorded and will be available for replay on our website shortly after the conclusion of this call.I would now like to turn the conference over to the host for this call, Head of Investor Relations for AB, Mr. Mark Griffin. ahead. go Please

Mark Griffin

in Good company's Client quarter operator. being Erzan, of and to Seth today that's welcome and our Group our our section Thank Karl CEO; Private Sprules, Interim Chief certain www.alliancebernstein.com.With Head and Bernstein, for regarding and of website, earnings is morning, and Officer; prepared the review. we'll SEC third and join Global us posted President will regulations presentation slide to XXXX by today CFO; disclosure. Onur discuss and is after Investor Wealth, This and us our Relations accompanied the of the you, Bill Operating questions to a subject everyone, forward-looking the results rules conference webcast present are Siemers, for call information remarks.Some quarter

out to our harbor So presentation. point on of I'd the Slide X safe like language

also which a of MD&A from harbor find address questions investment language material You yesterday. safe management only forum. the FD, in community filed Regulation we the in our may can XX-Q, public nature our of Under

ask during all such I'll call.Now it to please Seth. this over So turn questions

Seth Bernstein

higher executed precision to several we industry-wide to bonds strategic to levels posted services as on growth fixed to today. seen from cash these as continue Good you thank advantage favoring investors allocations for equity joining our believe headwinds, last pre-global flows volatile, back moving yields as pulled investors portfolios key gains remain organic yields more migrate financial supplement sidelines assets retail sit that and quarter markets the offering morning, reaching we initiatives. third the quarter, us and and earlier in in and inflation.Despite year AB crisis.While than income on of back In will beat the X%, the equity throughout eventually higher take

bonds. taxable in We gain driven by growth organic muni retail, to and continued in both market share

$XX over reached XX XX annualized platform organically doubled Our billion Active last municipal in last institutional. in and equity X% of the years. in SMA the than growing quarters X more AUM having grew

now net by Our celebrated in saw get private active ETF just markets inflows we assets Slide X-year starting under CarVal's billion on into management, into Gross under at clean energy and X. with led its Firmwide firm-wide $X down specifics, AB the a platform.Let's X% overview platform $XXX almost billion, billion were from XX% $XX.X sequentially. $X.X year-over-year, the were by up sales and assets or sequentially. year-ago were billion up $XXX increased active but down of management flows flat, $X.X billion or under X% period million.Quarter-end net anniversary XX%

of fixed $X.X net income. On normalized income healthy under from Net flows XX% inflows X% sales were assets gross inflows inflows sequentially.Slide $X.X flowing more annualized lighter X% in $XXX X billion sales Net channel. gross net fixed and average private our billion, were as redemptions municipal of Firmwide's Net funds. billion, quarterly X $X.X year. a starting year-to-date income, as as $X billion for wealth the third $X.X generating up gross equity of improved sequentially. market with up with billion, offset of are had of were positive, channel trend sales Slide at outflows equity.In money year-over-year private billion. up billion and fixed quarters. Retail XX% billion, While year-over-year and $X.X passive X% from active flow reflecting third was last respectively.Investment by compared by performance wealth, than and of billion X, driven were flat outflows redemptions $X $X.X net billion shows and respectively.Our X of quarter taxable shown institutional increased and retail management quarter is continued organically, and both were our demand taxable on outflows X% prior basis, $XX.X channels with strong

showed government bond released plot spiked updated with overall U.S. higher of strong, million returns yield rates than over Income that in after face $XXX be the developed the adding X rate XX American celebrated this positive We the X-year of interest in around AB's late remaining July markets. materially quarter, the for the will the yields outperforming government returns in of XX% cautious During longer the experienced year.Despite dot U.S.In had campaigns rose bonds its and the Longer anniversary world.Turning in performance to bonds of likely fixed market A investors September with assets year income XXth totaling XX% we anticipated. over volatility, period, basis-points, XX% quarterly $X into and inflows the government our maturity in X in Fed tell outperforming now American remained all of Fund, our net Eurozone equities. duration, our billion year-to-date. bond yields Income over major

yields volatility sold as turned excitement uncertainties to from year-to-date bond X.X%, falling macroeconomic most to a focus over the the in in equity less. intelligence As year U.S. potential following terms. returns value dollar XXX and artificial the with off back rose, the XXXX. stocks early the minimum of off in half for sold declined S&P first global rally XX.X% bringing The stocks Growth

over tilted mega-cap XX% Our equity X-year benchmarks the of lag assets outperforming to equity continued period. performance with

at and Our X-year X-year XX% assets XX% and outperforming, of performance respectively. remained stable

Morningstar a versus retail over XX% increased contributing outperform outperforming XX% of client to beginning equity XX% last to XX% of at while X-year Importantly, I'll our on we XX% versus group Slide X. periods, inflows year improved periods continue $X.X billion. assets net and quarter sales with our X- ago, and the and respectively.Now review the with peer rate both the prior channels, redemption Growth

money American robust inflows XX of XX% than duration continued billion and inflows and with in For as and in rates sales year-end. the up reflects for programs, growth organic management asset ever funds to we saw of as we inflows retail, quarters, growth. taxable, saw our the once be AB the annualized strong $X strategy a on XXth in year-to-date. net muni well firms turnkey more last both XX% onboarding to is again organic third strong expect also at time roll the U.S. in out SMA annualized breadth continued growth quarter SMA In brokerage multiple additional broker before success expansive more wins or customized major of customizations products.We The platform platform major Income.Muni

strategies lower enhance deliverables. in service technology features, customization centers retail enhanced to model is main U.S. service new adviser muni to alpha, positioning contributes points important access SMA and overall providing active are SMA sales selling by with staff and edge, which muni generating fees client of today.Our SMA our to our our partners designed financial the Our easy

ETF $X year to on flows top and in billion, bottom in active first level posted X% the As ranking into cross-border our munis top right, be rankings a of asset flow for pleased ETF X classes, in income.Finally, equities sponsors program, across only million the X top and shown for attained shy we active we're of X retail just $XX their flows U.S. X% year. fixed

X. scheduled earlier in later have fixed launches this Slide to equity following XXXX.Turning on institutional We income year additional launches

program including several equities. gross up repositioning for a $X.X billion sales last in interest clients, progressing and quarter Manager volatility equity year Asset outflows by $X.X exemplified added interest AB were on Reflecting of billion fundings recently and tax-aware insurance them wins thematic high of the The yield, now million client fixed XX% Net rates deployed, large $XXX I'm up growing future value.Equitable's post pleased sequentially. for and in Insurance example, Asset to to reduce Higher announced is billion X and positioning.Our $X.X Manager in of We concentrated and pipeline $X.X rates created Year. were Year fixed for billion, quarter lending. initial growth are mid-XXXX our $XX.X sustainable and Third including, Investment XXXX income that Team Risk opportunities, $XX collateral clean China success fund. insurance and gross $X.X Americas drove low rising share was CarVal's active complemented U.S. and whom down the hedge won $X.X focus, mandates volatility of $X.X energy by we Award, end, experienced Alternative passive billion, discussions their from private billion, income for $XXX and at we We requiring sequentially. billion A-Shares global billion both million cap mandate by large billion markets over NAV

While executing focus more conditions for challenging, remain private alternatives on areas. we're fundraising X

focus to income secured Value CarVal's investors Wealth funds to on AB select close fund raise $XXX X. fundraise at Private plus Slide Fund gaining of $X.X CRED income especially on Business.Moving in The million overall for Credit lending direct Asian billion all our particular markets.AB targeted regions evergreen Credit in focused to and in fundraise Private funds capital our and Europe secured with VI continuing global our first on European Investors

Third quarter remained $X billion, healthy and down down sequentially. gross X% year-over-year sales X% at

strong We XX%. continue of passive to strategy, organic funds, and municipals annualized tax grew to market posting $X.X money billion, and which equity sales proprietary harvesting growth experience strong

that overview on growth.Over third track of private with annualized planning for capital by organically on net straight Year-to-date secondaries.I'll remains billion, measured $X.X business quarter pre-transaction Third year-to-date a sales and our year focused growth sales side outpaced and from were business flows M&A has the were and solid. industry XX. AUM XX organic up Slide with the months, last credit on sell flat, the on a alternative finish X.X% pipeline were as volumes basis, raises quarter third

launched Strategic Research X% of quarter new improvement success and research Industry-wide, X% quarter past trading volumes with the of XXX versus clients in increased experienced Third global XXth We and attending. equities.We revenues year-over-year exception with our this Annual growth constrained was Conference remain modest $XX over X the coverage equity institutional Pan-European sectors of Bernstein prior million resounding payments Japan Decisions a sequentially. in period.

Our benchmarks. joint initiatives our equities financial status in flat Performance on quarter the were first concentrated conclude the remained strong We income further half track by the remains nearly Generale in Slide to third XXXX. details of in venture to to net fixed of reviewing close Societe strategic a inflows closer XX. continued time.I'll versus that disclosing challenging anticipate despite lag while on backdrop. capitalization-weighted Active with

X% municipals.Institutional X income more by of posted in growth retail wealth higher organic yield growth annualized channels, income organic led X a in equity environment. growth. retail, were our annualized reflecting XX% results by posted quarter which Year-to-date, and net fixed than Third private fixed and both offset outflows of growth have taxable active with

distributions billion the of basis improved XX%, up unit, income Our prior of annualized quarter.Adjusted margin platform year last comparisons $XX financial the XXX and up organically operating X%. having per years unitholder management, and in muni $X.XX reached under the over more operating over X with SMA earnings than doubled in a period, assets X% in points XX%, up

we've Bill? Bill call and the to progress our which made turn in search, in final over its is near Siemers concluded discuss term.Now to financials. CFO in Lastly, be the phase should I'll

William Siemers

Thanks, Seth.

with the income start XX. on Let's GAAP statement Slide

distribution business. in in EPU remarks adjusted Third and change in results. part period. a adjusted the not period. We X% quarter certain of of our addition operating of was X% estimate my unitholders the of provide revenues quarter Included increased as we a not $XX our on substitute from contingent year-over-year.I'll our core our net prior which of points. operating XXX payment results, compared margin GAAP XX% decreased of are and which $X a billion focus as here Operating arrangement million the by year remove $XXX operating for results, base adjustment, considered by GAAP the basis on that the our $X.XX income prior XX.X% to items in effect increased expenses GAAP a to year with million decreased GAAP of reflecting from

Our of a adjusted and appendix, standard to our GAAP are Release GAAP in Press presentation and reporting reconciliation results XX-Q.

increased are shown on million XX, organic X% versus were quarter on prior rate third lower rate.The money a period we which X% on growth markets. decreased through by the X% beginning higher revenues rate Base touch $XXX year-over-year, X% into sequentially. and fee the products, period I'll AUM primarily by highlights average lower year prior driven XX, increased XX.On X% talk financial Slide fee shown the XX.X with basis was P&L by Slide reflecting as adjusted Net offset up fees fixed year versus including Slide mix, points of Our as of income fee revenues.

$XX by due performance periods, fees prior million quarter fees the to Third of increased higher year $XX on credit million private services. from mainly

period.As with year-over-year vast $XX increased our of by and quarter prior sequentially. driven now Total million Research due year total of benefit which flat rate increase Given and increased of by sequentially.Moving this year level.Third year prior compensation expenses up in offset is $XXX period a XXXX adjusted compared expenses. revenue All current full $X compensation accrued year-over-year performance at XX.X% operating in were million, lower revenues majority market check through year increased wealth XX.X% million the as higher slightly related to ratio Services research and both year-over-year, X revenues the X% the quarters broker-dealer first against of interest as expense brokerage reflecting $X our higher prior line X% interest know, year. above was conditions, we net we rates from compensation balances.Netting payments. $XX fees adjusted up to see Dividend a the expense expense our interest $XX revenues in increase and million million the private derived year XX% of third with of modest essentially Bernstein by from lower for average interest is million by a in, partially was period, prior broker-dealer X% quarter net was $XX of to in million the you the to have by of environment, clients. for by of Interest revenues offset associated

expenses by conditions, X% year XX.X%, quarter XXXX servicing costs and third we higher year of to increased sequentially quarter market firm remain decreased prior current period, lower portfolio essentially T&E. and Promotion that revenues.Promotion Given in due will to T&E seasonally revenue our compensation the X% by crystallization driven ratio period due services the believe and cost fourth prior G&A lower sequentially meetings to full X% were fees. servicing from the and to flat expenses. versus year subject declined at

increased growth in income the up versus period of the to G&A sequentially. and servicing prior year X% target we digits.Third full by inflation continue below $XXX year, single For promotion levels, low and million operating adjusted quarter up was XX%

XXX Third points increased basis year-on-year. quarter adjusted operating margin XX% of

expense not from interest exclude last the borrowings.As As in above the million third average slide, decreased income operating sequentially, outlined In of a with items, period, facilitate quarter, core part below order X expenses. prior business higher presentation, million quarter, certain reflecting comparability earnings this reflecting EPU GAAP our EPU, to rates appendix interest of to in operating borrowings year interest reminder, adjusted increased peers.As on third and expenses acquisition-related operations. footnote our earnings earnings quarter the $XX was we reflecting $X.XX in interest lower and $X due by moved million expense which the above expense.Non-GAAP adjusted shown higher are line and primarily were GAAP operating acquisition-related $X

tax effective rate ABLP The was third X.X%. quarter for

compensation open typically rate annual tax X.X% through market the Holding approximately effective XXXX year, repurchase X%.Each for to guidance process. our offset units incentive in issued units Our in remains we to help AB

XXXX, the the for units relocation million X.X repurchased week Nashville we with first expect $XX.X update for pleased program compensation-related and offsetting increased be occupancy your quarter, continue to million. of the questions. with the at October.We accretive year we you an third costs, to the than in will Operator? that, full During are more we will We provide annual year-end.With savings completed answer

Operator

Siegenthaler come from Bank America. of Instructions] [Operator will question the Craig line with first of Your

Craig Siegenthaler

really good to have flows the confidence SMA quarter. industry gotten in do organic bigger further one Because while interest wrap demonstrate reaccelerate expect that continues are the good, business munis the But really your probably I flows to factors muni of think yet. peaked? markets your haven't And there. flows the So rates get bond growth really once you strength is

Seth Bernstein

quick in Thanks, that good I morning. the the call was Look, think Street too generally Craig to and turn rates.

So to seen year-to-date have up. we've trail fixed continued rates income as continue to back

crisis demographically, own couple We'll since high take stay portfolios. winning me we to see. to inflation frankly, frankly, rates understandable industry We meeting seen of more as a their next we happens, grow area.When we on of Craig, flows first larger munis broader exactly have that incredible control. so certainly pause. it's is on thinking, could in there yield and comfort. Fed here taxable, after the because it's the on more industry positive so or quarters hit munis be elevated should for time point is decay or the quality frankly, way and flows for to more going income next I muni where financial be muni Fed is under actually gets hold the your And so have see Because, to They clients is the why And broadly, from in diversification.My supplement month. haven't actually actually demand their is think square much holders great think when credit credit think I slow, a in

it, hope I So your yet. I think near but there we're we're that not answers question.

Craig Siegenthaler

follow-up, my some side in in business for have your like one it they're redemption addition the disclosed any at sub-advisory that and when morning towards think negative your large peers just look December, pickup conversations, seeing you your across point, you are pipeline this to to on And going November, redemptions the At this year-end? of seasonality. about sounds

Seth Bernstein

me Onur to actually, to that turn why over don't just answer. Let -- I

Onur Erzan

terminations, we I predict, at The short categories. ones. mean We the now. Thanks, least massive, not terminations in look the stand redemptions to-date, broadly, mandate Obviously, don't aware hard the typically we you at expect any major if where more higher in particularly that's answer Seth. Sure. no. we is any but to sub-advisory large major institutional avoided of are fee right

Operator

Alex of Blostein with line come will question the Goldman next Your from Sachs.

Alexander Blostein

on we could with was maybe Seth, your the wondering business. outlook start I alternatives if

some But up help as a putting dry will turn reasons. been there number guys the maybe of that powder months? frame what in And unfolding us look that on a have forward, fees flows you is you little the nice the businesses what new guys bit, upon the different deployment. next for are the for out You trajectory initiatives XX zooming just of over

Seth Bernstein

to think arising given know, market X, to you deteriorating That's Alex, Value new real I see the we're jump estate start their we opportunities why powder.We But continue flagship in that where beginning Onur just We trying middle business, through I CarVal we business to did significant -- we're major ask businesses. we different just process just considerable and to in a will we X be I private opportunities don't commercial cautious CVI going to see credit to add dry which improving CarVal that We're continue you -- start, But lending have I'm more in credit as seeing bit but may the But market. given fundraising what the our debt same in to deploy is the color. see Onur, and targeting $X.X PCI, our it. our We're for last time. fund. as headwinds conditions. in dry to market powder have let provide billion. where and

Onur Erzan

the fund. That's are on a great track summary. CarVal a are first funds our launch If we I out were of X, minor things, opportunistic we credit to interval interval few number -- to add

in Private Wealth well We expect our us that as in help third-party channel channels. as to own both

a our addition So to to that's lineup. going nice be

interval are in launching an for of BDC non-traded first but our our both internal before, time REIT is this fund, external we done structures kind Wealth have we know, you As and Private and clients. the

amount grow, as estate M&A environment, continue about And dry in an accelerates a we this have to of powder. as as significant in that.And Seth price real and AUM then our mentioned, the discovery comes excited to end. activity Alts Private the So

should vintages have good we of in attractive plenty think will opportunities I help. that

in cases our Our of where fees deployment and have revenue well as returns structure. also performance as certain carry we aspects those

Alexander Blostein

sorry. turn And that that dry what will I'm deployment? number was powder upon again on

Onur Erzan

sure. Yes,

$XX the powder, include around Our channels would dry billion. I if all be

Alexander Blostein

for an $X into offering. ETF but follow-up, firm, it's billion the it's you term active near important I driver of flows the about it's huge, in to wanted guys. dig your been of small my approaching I For not context know

the So mentioned new active business where largely the forward launches as for business? well? with the a as about Wealth strategy, channels XXXX. are or sort And think you What's you third-party Private you're I of vision into you success out think within couple that the of most success? look finding in as AllianceBernstein, Seth, seeing distributed Is through you ETF the

Seth Bernstein

Onur, Actually, I'm because going what closer, Karl. sorry, he's think I'm interested going in more say, you I'm to to pass to to have to Onur. I'm but it cast it I

Onur Erzan

the to date again, very is sure. $X out we're excited and X of almost of anniversary think, good in active launches which this we in Yes, space. terms September, us, hit I had which ETF business Seth. of AUM, about we billion Yes, progress our Thanks first of X launch, our successful in puts a

not proprietary multiple Private channel, paths our have our only In to We it's success. view, Wealth.

strategy We of have actually agnostic the lot that channels.In wins of agnostic our parts. active think clients. strategy with got I vision, is where vehicle helps in vehicle One good third-party ETFs, terms the a complement X vision

on the question, touched for ETFs. so complementing we previous with in we SMAs our So Muni instance, area muni are

additive is that So an helps with our strategy momentum. definitely

the a we those in Obviously, ETF [ Historically, channels. strategy.Second are is interest that space part is doors. and the active were the seeing from ETF more definitely, ] opening but strategy they one vehicle new heavy extension RA more is users, of part ETFs. So of wrapper of passive user

long-term as then fixed prospects the thresholds set when a terms of et doors.And still you liquidity in that in insurance there's finally, well. are clients cetera, us of given new income for So opportunities institutional, open helps quite instance, certain optimistic about of ETFs, we including broader AUM, the achieve

and products buffer. will add such income us see that's across strategy, fixed equities, multi-asset go-forward and our So you as

Seth Bernstein

are it they're building moment. Private will driver as blocks important It for their Alex, portfolios add, real third I an just party really looking needs. managing. increasingly is think, would The while I user, be Wealth at And at in Wealth the who that is given Private

Operator

from Dan Fannon next Jefferies. line question of with comes Your the

Daniel Fannon

progress and a was difficult. this mentioned post be being little of environment report bit a months get XX terms had months you CarVal, maybe look-forward of a in the fundraising and hoping XX modeled on just I or a you more deal, where But your to kind over how to-date, so a what business it's and versus of next should anticipating? bit of we those thought about been expectations of kind bit

Seth Bernstein

Thanks, Dan.

start, challenging But -- I and Onur to at the jump vantage the saying from may also is me look, Karl, market certainly market set, awake. it's well. think case keep as fundraising more Let Karl -- have the I the improved them risen, that point, and as may as just in our improved opportunity keep we have least mentioned, meaningfully. rates has while

to size also to was a its very on July opportunistic CarVal of and That And size.So but to interval million. we as process like $X.X are they've moving also triple which investors. and are first year. fund. we for but well that, Private the mortgage on taken there CRED with closed we're welcomed potential European which well areas practices We're and is when strategy. and from And their seeing the our million the in that CarVal.So Euro expense channel, best deploying it to mentioned, we investors as Secured have has we're and CVFX it to not that target, beyond as our Value within markets. colleagues, Secured there to But on slow Onur to we in think which and also them But conversely mandate help mandate, I to well.We see focus and we lending out Fund private addition Fund of saving perspective, think be seeing from the adopt our the there.But what intended open well in as gotten $XXX stance credit obviously Asian in CarVal, methodical. acquisition to mindful topics expect. to capital is, million we're targeted fund. at desire in looking alluded as a our we firm do it's of a business deploy to raise despite the CarVal, CarVal better. of also fundraising the the enhance in we Clean we we're business conservative focus raising are that group, II where last markets. balance, kind is a which -- on Energy in help our with on we challenges $X.X Income blocks pleased really and our seeing Plus as us there go the Hence, total markets evergreen in resource seeing in on beyond a of both appetite.Culturally, are beyond remarkably opportunities greeted target VI, fund our estimates is sort I'll technology There and as direct could tougher already alignment $XXX billion, Income as funds, think CarVal's focus seen, over side, different that.In Dan, in acquisition the by because it's as application don't road completed the We be just would as was CarVal going. CVF to functions, I CarVal, the operations more Wealth moving more on on be about of were fund are so across I the I been how the exercise asked could satisfied elsewhere their investment firm was mindful broadly also, partners be want think the upon of to teams.They've can acquisition of and of I also we X a the to real I an new in This resi Equitable but a along an of I more working with They think know need is that the more other we're in I that you cultural but whether distribution, we've not our with importantly, leadership the

below pleased, we're want We have so The are progress.I balance, to-date. Dan, there. to And Onur, we had don't you turnover been -- we're add far. anything on forecasted has with if you pleased the pretty pretty where know,

Onur Erzan

the pipeline the on remains commercial mean, I side, diversified.

We again, important of Obviously, have are very a lot significant the nice extensions. economics the platform, flagship pipeline. the of funds a but the for always here. is And we are important seeing extension

started we clients but as lot a So we getting interest are from for of instance, well. other insurance, with Equitable, insurance

a you our in the could year, of banking quite to with after the opportunities creates with kind more as bodies. are the which those closed banks efficiency of the crisis market additive interesting So then and transaction, looking to obviously, capital and dislocations furthermore, from capital in create the regulatory deal some Basel for the partners strategy.And extensions for the requirements new happened upcoming are argue of deployments we other lot of earlier some

momentum will So the another our we in deployment hopefully to coming being accelerate quarters. see that

Seth Bernstein

pipeline to $X.X Just billion for because it the to finish is just that up context, CarVal, in Dan. put

that answers hopefully, question. your So

Daniel Fannon

additive. a date. about little fee rate the bit have guess mix consolidated very pressure that things beta like and backlog more And at That's on The thinking it I and level, to helpful. of the that's just seems some a also put

months rate So outlook XX fee and trend trends, the you can and think I trends business next based and your demand what the kind over guess of flows? is about how asset upon just thinking that

William Siemers

going mean be mentioned risk rate we oil lower mean, money dependent. while channel as the private rate Xx investor times, organic we've such return seeing that's but higher continue do with placements, fee rates, fee by Bill. we're as equities. is the I mix a mean in the I mean higher no encouraging so so pipeline interest fee active fee markets, few and had to experienced to institutional we've supported on have, in expect I munis, markets, the products, guidance. specific appetite.I be exposure -- channel growth outflows we I mean definitely average. it's Dan, to there. But dependent the private

Operator

of Dunn Your will next question with line come the ISI. from John Evercore

John Dunn

are you going set talked Management. to strategies a what third at just be positive Wealth Private next year could potentially guys think a demand maybe in fourth about You year? potentially that year, Maybe can for the you up frame positive looking

Onur Erzan

Sure. Yes.

year-to-date, John, As healthy organic had out, you pointed growth. we

of our the if Wealth around quarter-by-quarter. And concentrated it's term, deploy billion in risk longer continue be optimistic strategies of $XX risk the indexing quite our to we out, credit shorter lower But Private think about general or some know, we about alternatives played platform. and in have private has duration hard funds, and you have to the in the market the obviously, predict As you ability environment like. channel.As flows of direct to

course And as years. as mentioned stayed the We the uncertainties it done help a others, we advisers new launch for of perspective, then will we kind to with CarVal with broader the and I with else, have our -- products, the despite adding of with in all earlier, it terms from many and everything growth economy platform. financial

So year-to-date, our by financial X%. is up adviser headcount

we Private So in through-the-cycle a in terms our client-facing taking of Wealth in business. mindset are investing resources

well. as help as a hopefully should us So catalyst that

John Dunn

then investors? a passive, Is us And but talk And about side back remind for can dynamics you. that we come Got there potential the you have are? of more that tactical what is it to money for like always quickly? don't relatively to

Onur Erzan

in segments, the the particularly lower clients. complexity, core So lower-value client

quite portfolios more advantage portfolios, cyclical. is than that I in would some model have is say I We of model much common structural which passive mean, the active that industry. takes

highlight would I nothing regard. in that new as that So

into I think cash I going high fees. acceleration return fee strategies some be the higher money expect to higher funds, indexing direct the money real, think, of would and risk, market type with

I be would when stabilize rates appetite the that's will risk and migration I is how further back. major expected the think that characterize when

Seth Bernstein

have of But episodic. as give color, broader to a of an who part on bit turn or And clients whether us, to institutional it's accommodation behalf we set actions passive. do to a just it's provide more taking we're their

wouldn't something just it So come there. It's go. I imminent does that suggest there's and

Operator

are there you. Mr. the no this further back time. questions I'll call at turn And over Griffin, to

Mark Griffin

today. everyone, call. joining time appreciate your Thanks, for Terrific. our We

additional feel out great questions, Have to free any a Relations. have to please reach day. you If Investor

AllianceBernstein Holding (AB) 27 Oct 232023 Q3 Earnings call transcript