StepStone Group LP. has recently released its 10-K report, revealing its business operations and financial performance. The investment firm, founded in 2007 and based in La Jolla, California, specializes in various investment strategies, including direct investments in a wide range of industries such as technology, healthcare, real estate, and energy. The firm also engages in fund of fund investments, co-investments, and follow-on investments, catering to clients such as pension funds, sovereign wealth funds, and family offices.
In its 10-K report, StepStone disclosed that as of March 31, 2024, it was responsible for approximately $678 billion of total capital, including $157 billion of assets under management (AUM) and $521 billion of assets under advisement (AUA). The firm operates globally, with 27 offices across 16 countries, staffed by 990 employees, including 335 investment professionals.
StepStone generates revenues from management and advisory fees, as well as performance fees earned from its funds and clients. The firm also invests its own capital in the StepStone Funds it manages, aligning its interests with those of its clients. The report highlighted that the firm's ability to maintain its data advantage, source investments with attractive risk-adjusted returns, and compete in the market are key factors influencing its future performance.
The 10-K report also detailed recent corporate transactions, including the purchase of asset class non-controlling interests and the sale of Greenspring Back Office Solutions, LLC. These transactions reflect StepStone's strategic moves to enhance its business operations and optimize its portfolio.
Additionally, the report addressed the impact of current events, such as inflation, interest rates, geopolitical conflicts, and market volatility, on the firm's financial results and overall industry performance. StepStone acknowledged the potential effects of these events on its business, including slowdowns in fundraising activity and capital deployment, which may lead to delayed or decreased management and performance fee revenues.
As a result of these announcements, the company's shares have moved 10.1% on the market, and are now trading at a price of $41.71. For the full picture, make sure to review StepStone's 10-K report.
