Affiliated Managers Group, Inc. has recently released its 10-K report, revealing key insights into its operations and financial performance. The company operates as an investment management firm, providing services to mutual funds, institutional clients, retail, and high net worth individuals in the United States. Affiliated Managers Group, Inc. offers advisory or sub-advisory services to mutual funds and manages assets for foundations and endowments, defined benefit, and defined contribution plans for corporations and municipalities. As of December 31, 2024, the company's aggregate assets under management were approximately $708 billion across a diverse range of private markets, liquid alternatives, and differentiated long-only investment strategies.
The 10-K report provides an executive overview of the significant trends affecting the company's results of operations and financial condition. Affiliated Managers Group, Inc. describes its strategy as being a strategic partner to leading independent investment firms globally, aiming to generate long-term value by investing in high-quality independent partner-owned firms, referred to as "Affiliates." The company's innovative model enables each Affiliate’s management team to retain autonomy and significant equity ownership in their firm while leveraging AMG’s strategic capabilities and insight.
The report delves into the company's key aggregate operating performance measures for the years ended December 31, 2023, and 2024. Notably, the assets under management increased to $707.9 billion in 2024, up from $672.7 billion in 2023. Aggregate fees earned by all of the company's consolidated and equity method Affiliates amounted to $5.236 billion in 2024, reflecting a 3% increase compared to 2023.
Furthermore, the report provides insights into the performance of the company's investment strategies. For instance, the private markets strategy had 85% and 84% internal rates of return (IRR) for the latest vintage and the last three vintages, respectively. Liquid alternatives and equity strategies also demonstrated strong performance, with 87% and 95% of assets ahead of benchmark for the latest vintage, respectively.
In terms of financial performance, the company reported a net income of $740.6 million in 2024, reflecting an 18% decrease compared to the previous year. Adjusted EBITDA (controlling interest) increased by 4% in 2024, primarily driven by investments in new Affiliates and the recognition of performance-based fees earned by Affiliates.
Today the company's shares have moved 0.9% to a price of $170.08. If you want to know more, read the company's complete 10-K report here.
