Affiliated Managers Group ((AMG)) has held its Q2 earnings call. Read on for the main highlights of the call.
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Affiliated Managers Group (AMG) recently held its earnings call, which was marked by a predominantly positive sentiment. The company showcased robust growth in alternative assets, impressive net inflows, and the formation of successful new partnerships. Despite some challenges in active equities, the highlights of the call significantly outweighed the lowlights, painting an optimistic picture of AMG’s financial health and strategic direction.
Strong Year-Over-Year Growth in Economic Earnings
AMG reported a remarkable 15% year-over-year growth in economic earnings per share for the second quarter of 2025. This growth was primarily driven by the strong performance in alternative strategies, underscoring the company’s ability to leverage its diverse portfolio to enhance shareholder value.
Record Net Client Cash Flows
The company achieved over $8 billion in net client cash inflows, marking its strongest net flow quarter in more than a decade. This achievement was significantly bolstered by contributions from alternative strategies, highlighting AMG’s success in attracting and retaining client investments.
Significant Growth in Alternative Assets
AMG added approximately $55 billion in alternative assets under management in the first half of 2025, representing a 20% increase in total alternative AUM within six months. This growth reflects the company’s strategic focus on expanding its alternative asset offerings and capturing market opportunities.
Successful New Partnerships and Investments
In 2025, AMG announced four new partnerships with NorthBridge, Verition, Qualitas Energy, and Montefiore. These partnerships underscore the ongoing demand for AMG’s differentiated partnership approach and its ability to forge strategic alliances that drive growth.
Sale of Minority Stake in Peppertree
AMG completed the sale of its minority stake in Peppertree, more than doubling its initial investment. This transaction demonstrates AMG’s capability to create shareholder value through strategic divestments and capital reallocation.
Outflows in Active Equities
Despite the positive highlights, AMG experienced $11 billion in outflows in active equities. These outflows reflect industry-wide challenges and near-term performance headwinds, indicating areas where AMG may need to focus on improving performance.
Forward-Looking Guidance
During the earnings call, AMG provided optimistic forward-looking guidance. The company anticipates a meaningful increase in economic earnings per share for 2026, driven by ongoing growth in alternative AUM and the addition of new affiliates. With plans for continued expansion and capital allocation toward share repurchases, AMG is poised for sustained growth and strategic development.
In summary, AMG’s earnings call highlighted a predominantly positive outlook, with strong growth in alternative assets and net inflows, alongside successful new partnerships. While challenges in active equities were noted, the overall sentiment was optimistic, with forward-looking guidance suggesting continued growth and strategic advancement in the coming years.