Virtus Investment Partners Announces Financial Results for Third Quarter 2026
- Earnings Per Share - Diluted of $3.26; Earnings Per Share - Diluted, as Adjusted, of $5.86
- Total Sales of $4.3B; Net Flows of ($6.1B); Assets Under Management of $141.4B
HARTFORD, Conn.--(BUSINESS WIRE)--Virtus Investment Partners, Inc. (NYSE: VRTS) today reported financial results for the three months ended September 30, 2026.
Financial Highlights (Unaudited) (in millions, except per share data or as noted) | |||||||||||||||||
| Three Months Ended |
|
|
| Three Months Ended |
|
| ||||||||||
| 9/30/2026 |
| 9/30/2025 |
| Change |
| 6/30/2026 |
| Change | ||||||||
U.S. GAAP Financial Measures |
|
|
|
|
|
|
|
|
| ||||||||
Revenues | $ | 197.6 |
|
| $ | 216.4 |
|
| (9 | %) |
| $ | 201.4 |
|
| (2 | %) |
Operating expenses | $ | 163.2 |
|
| $ | 169.3 |
|
| (4 | %) |
| $ | 174.0 |
|
| (6 | %) |
Operating income (loss) | $ | 34.3 |
|
| $ | 47.1 |
|
| (27 | %) |
| $ | 27.3 |
|
| 26 | % |
Operating margin |
| 17.4 | % |
|
| 21.7 | % |
|
|
|
| 13.6 | % |
|
| ||
Net income (loss) attributable to Virtus Investment Partners, Inc. | $ | 22.1 |
|
| $ | 31.9 |
|
| (31 | %) |
| $ | 45.3 |
|
| (51 | %) |
Earnings (loss) per share - diluted | $ | 3.26 |
|
| $ | 4.65 |
|
| (30 | %) |
| $ | 6.68 |
|
| (51 | %) |
Weighted average shares outstanding - diluted |
| 6.774 |
|
|
| 6.867 |
|
| (1 | %) |
|
| 6.778 |
|
| — | % |
|
|
|
|
|
|
|
|
|
| ||||||||
Non-GAAP Financial Measures (1) |
|
|
|
|
|
|
|
|
| ||||||||
Revenues, as adjusted | $ | 180.8 |
|
| $ | 196.7 |
|
| (8 | %) |
| $ | 183.6 |
|
| (2 | %) |
Operating expenses, as adjusted | $ | 128.9 |
|
| $ | 131.7 |
|
| (2 | %) |
| $ | 135.7 |
|
| (5 | %) |
Operating income (loss), as adjusted | $ | 51.8 |
|
| $ | 65.0 |
|
| (20 | %) |
| $ | 47.9 |
|
| 8 | % |
Operating margin, as adjusted |
| 28.7 | % |
|
| 33.0 | % |
|
|
|
| 26.1 | % |
|
| ||
Net income (loss) attributable to Virtus Investment Partners, Inc., as adjusted | $ | 39.7 |
|
| $ | 50.5 |
|
| (21 | %) |
| $ | 37.6 |
|
| 6 | % |
Earnings (loss) per share - diluted, as adjusted | $ | 5.86 |
|
| $ | 7.35 |
|
| (20 | %) |
| $ | 5.54 |
|
| 6 | % |
(1) See the information beginning on page 10 for reconciliations to the most directly comparable U.S. GAAP measures and other important disclosures. As disclosed in the company’s Current Report on Form 8-K filed April 17, 2026, certain non-GAAP financial measures include tax benefits realized on amortization of goodwill and intangible assets. Prior-period non-GAAP measures are presented on a consistent basis to show comparability. |
Earnings Summary
The company presents U.S. GAAP and non-GAAP earnings information in this release. Management believes that the non-GAAP financial measures presented reflect the company’s operating results from providing investment management and related services to individuals and institutions and uses these measures to evaluate financial performance. Non-GAAP financial measures have material limitations and should not be viewed in isolation or as a substitute for U.S. GAAP measures. Non-GAAP information and reconciliations to the most comparable U.S. GAAP measures can be found beginning on page 10 of this earnings release.
Assets Under Management and Asset Flows (in billions) | |||||||||||||||||
| Three Months Ended |
|
|
| Three Months Ended |
|
| ||||||||||
| 9/30/2026 |
| 9/30/2025 |
| Change |
| 6/30/2026 |
| Change | ||||||||
Ending total assets under management | $ | 141.4 |
|
| $ | 169.3 |
|
| (16 | %) |
| $ | 152.2 |
|
| (7 | %) |
Average total assets under management | $ | 149.5 |
|
| $ | 170.3 |
|
| (12 | %) |
| $ | 153.3 |
|
| (3 | %) |
Total sales | $ | 4.3 |
|
| $ | 6.3 |
|
| (32 | %) |
| $ | 6.1 |
|
| (29 | %) |
Net flows | $ | (6.1 | ) |
| $ | (3.9 | ) |
| 59 | % |
| $ | (5.6 | ) |
| 9 | % |
Total assets under management of $141.4 billion at September 30, 2026 decreased from $152.2 billion in the prior quarter due to market performance and net outflows in retail separate accounts, institutional accounts, U.S. retail funds, and global funds, partially offset by positive net flows in exchange-traded funds (ETFs) and tender offer funds. In addition, the company provided services to $1.6 billion of other fee-earning assets that are not included in assets under management.
Total sales of $4.3 billion decreased from $6.1 billion in the prior quarter. Institutional sales of $1.1 billion, including a $0.4 billion issuance of a collateralized loan obligation, compared with $2.2 billion last quarter which included a large global listed real estate mandate. Retail separate account sales of $1.0 billion declined from $1.2 billion primarily due to intermediary-sold large and small/mid-cap strategies. Open-end fund sales decreased 18% to $2.2 billion and included $0.4 billion of ETF sales.
Net flows of ($6.1) billion compared with ($5.6) billion in the prior quarter. Net outflows remained concentrated in quality-oriented equity strategies, while ETFs and tender offer funds generated positive net flows. Institutional net flows were ($2.2) billion, with the change from ($0.7) billion primarily due to lower sales. Retail separate account net flows of ($2.6) billion improved from ($3.1) billion due to lower redemptions. Open-end fund net flows of ($1.3) billion improved from ($1.8) billion, with net outflows primarily in equity funds partially offset by positive net flows in fixed income funds.
GAAP Results
Operating income of $34.3 million increased from $27.3 million in the prior quarter due to a 6% decrease in operating expenses partially offset by a 2% decrease in revenues primarily reflecting lower investment management fees. The decrease in operating expenses was primarily due to lower employment expenses reflecting the impact of a discrete employment expense item in the prior quarter, as other operating expenses increased modestly.
Net income attributable to Virtus Investment Partners, Inc. of $3.26 per diluted share included $0.74 of fair value adjustments to contingent consideration and $0.45 of fair value adjustments to minority interests, partially offset by ($1.08) of realized and unrealized losses on investments and ($0.24) of restructuring. Net income per diluted share of $6.68 in the prior quarter included $2.65 of realized and unrealized gains on investments, $0.50 of fair value adjustments to minority interests, and $0.49 of fair value adjustments to contingent consideration, partially offset by ($0.09) of restructuring.
The effective tax rate of 34% increased from 16% in the prior quarter reflecting the meaningful sequential change to unrealized losses from unrealized gains in the prior quarter.
Non-GAAP Results
Revenues, as adjusted, of $180.8 million decreased 2% from $183.6 million in the prior quarter primarily due to lower average assets under management, as the average fee rate was essentially unchanged.
Employment expenses, as adjusted, of $95.5 million decreased from $102.1 million due to the prior quarter impact of a discrete non-cash expense item as well as lower variable incentive compensation. Other operating expenses, as adjusted, of $31.8 million were essentially unchanged from the prior quarter.
Operating income, as adjusted, of $51.8 million and the related margin of 28.7% increased from $47.9 million and 26.1%, respectively, primarily due to lower employment expenses.
Net income attributable to Virtus Investment Partners, Inc., as adjusted, per diluted share of $5.86 increased from $5.54 in the prior quarter primarily reflecting higher operating income partially offset by lower interest and dividend income.
The effective tax rate, as adjusted, of 14% compared with 13% in the prior quarter.
Select Balance Sheet Items and Metrics (Unaudited) (in millions) | ||||||||||||||
| As of |
|
|
| As of |
|
| |||||||
Select Balance Sheet Items | 9/30/2026 |
| 9/30/2025 |
| Change |
| 6/30/2026 |
| Change | |||||
Cash and cash equivalents | $ | 187.2 |
| $ | 370.6 |
| (49 | %) |
| $ | 176.2 |
| 6 | % |
Gross debt (1) | $ | 411.0 |
| $ | 400.0 |
| 3 | % |
| $ | 427.0 |
| (4 | %) |
Contingent consideration (2) | $ | 116.0 |
| $ | 37.4 |
| 210 | % |
| $ | 122.7 |
| (5 | %) |
Manager noncontrolling interests liability (3) | $ | 140.4 |
| $ | 17.0 |
| N/M |
|
| $ | 152.5 |
| (8 | %) |
Redeemable noncontrolling interests (4) | $ | 118.7 |
| $ | 38.7 |
| 207 | % |
| $ | 127.3 |
| (7 | %) |
Total equity excluding noncontrolling interests | $ | 946.9 |
| $ | 918.7 |
| 3 | % |
| $ | 945.3 |
| — | % |
Metrics |
|
|
|
|
|
|
|
|
| |||||
Working capital (5) | $ | 44.5 |
| $ | 288.4 |
| (85 | %) |
| $ | 71.6 |
| (38 | %) |
Net debt (cash) (6) | $ | 223.8 |
| $ | 29.4 |
| N/M |
|
| $ | 250.8 |
| (11 | %) |
| ||
N/M - Not Meaningful | ||
(1) | Excludes deferred financing costs of $8.0 million, $9.4 million, and $8.4 million, as of September 30, 2026, September 30, 2025, and June 30, 2026, respectively | |
(2) | Includes time-based payments as well as fair value estimates of revenue-based earnout and participation payments | |
(3) | Represents minority interests in investment managers held by its employees | |
(4) | Represents minority interests in investment managers subject to equity purchase arrangements. Excludes redeemable noncontrolling interests of consolidated investment products of $76.2 million, $64.5 million, and $78.0 million as of September 30, 2026, September 30, 2025, and June 30, 2026, respectively | |
(5) | Defined as cash and cash equivalents plus accounts receivable, net, and deferred compensation related investments less accrued compensation and benefits, accounts payable and accrued liabilities, dividends payable, as well as investment manager minority interests distributions, debt principal payments and contingent consideration obligations due within 12 months | |
(6) | Defined as gross debt less cash and cash equivalents in accordance with the company's credit agreement | |
Cash and equivalents at September 30, 2026 of $187.2 million increased from $176.2 million at June 30, 2026 primarily due to cash earnings in excess of return of capital to shareholders and debt repayment. Working capital at September 30, 2026 was $44.5 million.
During the quarter, the company repurchased 64,666 shares for $10.0 million and increased its quarterly dividend by 2% to $2.45 per share.
Gross debt at September 30, 2026 was $411 million, down from $427 million primarily due to a $15 million repayment of the amount drawn on the company's revolving credit facility. Net debt declined to $224 million, or 0.9x EBITDA.
Conference Call and Investor Presentation
Management will host an investor conference call and webcast on Monday, November 9, 2026, at 10 a.m. Eastern to discuss these financial results and related matters. The presentation that will accompany the conference call is available in the Investor Relations section of virtus.com. A replay of the call will be available in the Investor Relations section for at least one year. We routinely post important information for investors on the Investor Relations section of our website and may use this website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Accordingly, investors should monitor our website, in addition to following our press releases, SEC filings, public conference calls, presentations and webcasts. We may also use social media channels to communicate with our investors and the public about our company, our products and other matters, and those communications could be deemed to be material information. The information contained on, or that may be accessed through, our website or social media channels is not incorporated by reference into, and is not a part of, this document.
About Virtus Investment Partners, Inc.
Virtus Investment Partners (NYSE: VRTS) is a distinctive partnership of boutique investment managers singularly committed to the long-term success of individual and institutional investors. We provide investment products and services from our investment managers, each with a distinct investment style and autonomous investment process, as well as select subadvisers. Investment solutions are available across multiple disciplines and product types to meet a wide array of investor needs. Additional information about our firm, investment partners, and strategies is available at virtus.com.
U.S. GAAP Condensed Consolidated Statements of Operations (Unaudited) (in thousands, except per share data) | ||||||||||||||||||||||||||||
| Three Months Ended |
|
|
| Three Months Ended |
|
|
| Nine Months Ended |
|
| |||||||||||||||||
| 9/30/2026 |
| 9/30/2025 |
| Change |
| 6/30/2026 |
| Change |
| 9/30/2026 |
| 9/30/2025 |
| Change | |||||||||||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Investment management fees | $ | 167,323 |
|
| $ | 183,762 |
|
| (9 | %) |
| $ | 170,850 |
|
| (2 | %) |
| $ | 507,306 |
|
| $ | 549,329 |
|
| (8 | %) |
Distribution and service fees |
| 11,468 |
|
|
| 12,517 |
|
| (8 | %) |
|
| 11,758 |
|
| (2 | %) |
|
| 34,859 |
|
|
| 37,238 |
|
| (6 | %) |
Administration and shareholder service fees |
| 17,320 |
|
|
| 18,869 |
|
| (8 | %) |
|
| 17,340 |
|
| — | % |
|
| 51,971 |
|
|
| 54,924 |
|
| (5 | %) |
Other income and fees |
| 1,486 |
|
|
| 1,237 |
|
| 20 | % |
|
| 1,414 |
|
| 5 | % |
|
| 4,358 |
|
|
| 3,351 |
|
| 30 | % |
Total revenues |
| 197,597 |
|
|
| 216,385 |
|
| (9 | %) |
|
| 201,362 |
|
| (2 | %) |
|
| 598,494 |
|
|
| 644,842 |
|
| (7 | %) |
Operating Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Employment expenses |
| 92,499 |
|
|
| 98,807 |
|
| (6 | %) |
|
| 102,472 |
|
| (10 | %) |
|
| 300,184 |
|
|
| 305,930 |
|
| (2 | %) |
Distribution and other asset-based expenses |
| 19,776 |
|
|
| 22,034 |
|
| (10 | %) |
|
| 20,283 |
|
| (2 | %) |
|
| 60,593 |
|
|
| 66,905 |
|
| (9 | %) |
Other operating expenses |
| 32,988 |
|
|
| 32,428 |
|
| 2 | % |
|
| 32,204 |
|
| 2 | % |
|
| 101,395 |
|
|
| 98,051 |
|
| 3 | % |
Operating expenses of consolidated investment products ("CIP") |
| 721 |
|
|
| 496 |
|
| 45 | % |
|
| 926 |
|
| (22 | %) |
|
| 3,662 |
|
|
| 2,306 |
|
| 59 | % |
Restructuring expense |
| 2,193 |
|
|
| 693 |
|
| 216 | % |
|
| 825 |
|
| 166 | % |
|
| 5,889 |
|
|
| 693 |
|
| N/M |
|
Change in fair value of contingent consideration |
| (6,679 | ) |
|
| — |
|
| N/M |
|
|
| (4,407 | ) |
| 52 | % |
|
| (10,677 | ) |
|
| (3,014 | ) |
| 254 | % |
Depreciation expense |
| 1,693 |
|
|
| 1,922 |
|
| (12 | %) |
|
| 1,679 |
|
| 1 | % |
|
| 5,039 |
|
|
| 6,273 |
|
| (20 | %) |
Amortization expense |
| 20,057 |
|
|
| 12,945 |
|
| 55 | % |
|
| 20,056 |
|
| — | % |
|
| 55,288 |
|
|
| 38,833 |
|
| 42 | % |
Total operating expenses |
| 163,248 |
|
|
| 169,325 |
|
| (4 | %) |
|
| 174,038 |
|
| (6 | %) |
|
| 521,373 |
|
|
| 515,977 |
|
| 1 | % |
Operating Income (Loss) |
| 34,349 |
|
|
| 47,060 |
|
| (27 | %) |
|
| 27,324 |
|
| 26 | % |
|
| 77,121 |
|
|
| 128,865 |
|
| (40 | %) |
Other Income (Expense) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Realized and unrealized gain (loss) on investments, net |
| (2,377 | ) |
|
| 2,257 |
|
| N/M |
|
|
| 4,541 |
|
| N/M |
|
|
| 3,009 |
|
|
| 5,237 |
|
| (43 | %) |
Realized and unrealized gain (loss) of CIP, net |
| (9,849 | ) |
|
| (14,913 | ) |
| (34 | %) |
|
| 14,375 |
|
| N/M |
|
|
| (9,818 | ) |
|
| (27,766 | ) |
| (65 | %) |
Other income (expense), net |
| (637 | ) |
|
| 536 |
|
| N/M |
|
|
| (725 | ) |
| (12 | %) |
|
| (739 | ) |
|
| 2,671 |
|
| N/M |
|
Total other income (expense), net |
| (12,863 | ) |
|
| (12,120 | ) |
| 6 | % |
|
| 18,191 |
|
| N/M |
|
|
| (7,548 | ) |
|
| (19,858 | ) |
| (62 | %) |
Interest Income (Expense) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||
Interest expense |
| (7,017 | ) |
|
| (5,299 | ) |
| 32 | % |
|
| (7,146 | ) |
| (2 | %) |
|
| (20,928 | ) |
|
| (14,442 | ) |
| 45 | % |
Interest and dividend income |
| 1,818 |
|
|
| 2,200 |
|
| (17 | %) |
|
| 1,372 |
|
| 33 | % |
|
| 6,137 |
|
|
| 7,270 |
|
| (16 | %) |
Interest and dividend income of investments of CIP |
| 46,443 |
|
|
| 45,918 |
|
| 1 | % |
|
| 46,750 |
|
| (1 | %) |
|
| 141,824 |
|
|
| 139,508 |
|
| 2 | % |
Interest expense of CIP |
| (33,168 | ) |
|
| (33,310 | ) |
| — | % |
|
| (33,478 | ) |
| (1 | %) |
|
| (100,728 | ) |
|
| (101,346 | ) |
| (1 | %) |
Total interest income (expense), net |
| 8,076 |
|
|
| 9,509 |
|
| (15 | %) |
|
| 7,498 |
|
| 8 | % |
|
| 26,305 |
|
|
| 30,990 |
|
| (15 | %) |
Income (Loss) Before Income Taxes |
| 29,562 |
|
|
| 44,449 |
|
| (33 | %) |
|
| 53,013 |
|
| (44 | %) |
|
| 95,878 |
|
|
| 139,997 |
|
| (32 | %) |
Income tax expense (benefit) |
| 10,141 |
|
|
| 13,108 |
|
| (23 | %) |
|
| 8,406 |
|
| 21 | % |
|
| 25,699 |
|
|
| 37,861 |
|
| (32 | %) |
Net Income (Loss) |
| 19,421 |
|
|
| 31,341 |
|
| (38 | %) |
|
| 44,607 |
|
| (56 | %) |
|
| 70,179 |
|
|
| 102,136 |
|
| (31 | %) |
Noncontrolling interests |
| 2,694 |
|
|
| 585 |
|
| 361 | % |
|
| 699 |
|
| 285 | % |
|
| 4,367 |
|
|
| 810 |
|
| 439 | % |
Net Income (Loss) Attributable to Virtus Investment Partners, Inc. | $ | 22,115 |
|
| $ | 31,926 |
|
| (31 | %) |
| $ | 45,306 |
|
| (51 | %) |
| $ | 74,546 |
|
| $ | 102,946 |
|
| (28 | %) |
Earnings (Loss) Per Share - Basic | $ | 3.33 |
|
| $ | 4.73 |
|
| (30 | %) |
| $ | 6.79 |
|
| (51 | %) |
| $ | 11.16 |
|
| $ | 15.02 |
|
| (26 | %) |
Earnings (Loss) Per Share - Diluted | $ | 3.26 |
|
| $ | 4.65 |
|
| (30 | %) |
| $ | 6.68 |
|
| (51 | %) |
| $ | 10.96 |
|
| $ | 14.81 |
|
| (26 | %) |
Cash Dividends Declared Per Common Share | $ | 2.45 |
|
| $ | 2.40 |
|
| 2 | % |
| $ | 2.40 |
|
| 2 | % |
| $ | 7.25 |
|
| $ | 6.90 |
|
| 5 | % |
Weighted Average Shares Outstanding - Basic |
| 6,640 |
|
|
| 6,757 |
|
| (2 | %) |
|
| 6,670 |
|
| — | % |
|
| 6,683 |
|
|
| 6,854 |
|
| (2 | %) |
Weighted Average Shares Outstanding - Diluted |
| 6,774 |
|
|
| 6,867 |
|
| (1 | %) |
|
| 6,778 |
|
| — | % |
|
| 6,802 |
|
|
| 6,953 |
|
| (2 | %) |
N/M - Not Meaningful |
Assets Under Management - Product and Asset Class (in millions) | ||||||||||||||
| Three Months Ended | |||||||||||||
| 9/30/2025 |
| 12/31/2025 |
| 3/31/2026 |
| 6/30/2026 |
| 9/30/2026 | |||||
By Product (period end): |
|
|
|
|
|
|
|
|
| |||||
Open-End Funds (1) | $ | 55,724 |
| $ | 52,759 |
| $ | 50,231 |
| $ | 52,113 |
| $ | 49,689 |
Closed-End Funds (2) |
| 10,867 |
|
| 10,635 |
|
| 12,794 |
|
| 13,471 |
|
| 12,557 |
Retail Separate Accounts (3) |
| 46,798 |
|
| 43,091 |
|
| 37,341 |
|
| 36,217 |
|
| 31,628 |
Institutional Accounts (4) |
| 55,936 |
|
| 53,008 |
|
| 48,660 |
|
| 50,361 |
|
| 47,532 |
Total | $ | 169,325 |
| $ | 159,493 |
| $ | 149,026 |
| $ | 152,162 |
| $ | 141,406 |
|
|
|
|
|
|
|
|
|
| |||||
By Product (average) (5) |
|
|
|
|
|
|
|
|
| |||||
Open-End Funds (1) | $ | 55,889 |
| $ | 54,502 |
| $ | 53,168 |
| $ | 52,506 |
| $ | 51,671 |
Closed-End Funds (2) |
| 10,598 |
|
| 10,828 |
|
| 11,632 |
|
| 13,351 |
|
| 13,253 |
Retail Separate Accounts (3) |
| 47,363 |
|
| 46,287 |
|
| 42,736 |
|
| 37,227 |
|
| 35,868 |
Institutional Accounts (4) |
| 56,426 |
|
| 53,603 |
|
| 50,670 |
|
| 50,247 |
|
| 48,697 |
Total | $ | 170,276 |
| $ | 165,220 |
| $ | 158,206 |
| $ | 153,331 |
| $ | 149,489 |
|
|
|
|
|
|
|
|
|
| |||||
By Asset Class (period end): |
|
|
|
|
|
|
|
|
| |||||
Equity | $ | 92,066 |
| $ | 82,584 |
| $ | 70,079 |
| $ | 68,754 |
| $ | 59,453 |
Fixed Income |
| 39,750 |
|
| 39,879 |
|
| 39,352 |
|
| 40,525 |
|
| 39,532 |
Multi-Asset (6) |
| 22,078 |
|
| 21,617 |
|
| 21,586 |
|
| 23,231 |
|
| 23,092 |
Alternatives (7) |
| 15,431 |
|
| 15,413 |
|
| 18,009 |
|
| 19,652 |
|
| 19,329 |
Total | $ | 169,325 |
| $ | 159,493 |
| $ | 149,026 |
| $ | 152,162 |
| $ | 141,406 |
Assets Under Management - Average Management Fees Earned (8) (in basis points) | |||||||||
| Three Months Ended | ||||||||
| 9/30/2025 |
| 12/31/2025 |
| 3/31/2026 |
| 6/30/2026 |
| 9/30/2026 |
By Product: |
|
|
|
|
|
|
|
|
|
Open-End Funds (1) | 47.0 |
| 44.7 |
| 43.5 |
| 42.1 |
| 43.9 |
Closed-End Funds (2)(9) | 58.5 |
| 58.4 |
| 72.3 |
| 86.8 |
| 83.6 |
Retail Separate Accounts (3) | 41.8 |
| 42.0 |
| 42.9 |
| 43.7 |
| 43.4 |
Institutional Accounts (4)(9) | 31.6 |
| 31.5 |
| 32.5 |
| 32.2 |
| 30.7 |
All Products (9) | 41.2 |
| 40.6 |
| 41.9 |
| 43.1 |
| 43.0 |
| ||
(1) | Represents U.S. retail funds, exchange-traded funds, and global funds | |
(2) | Consists of traditional closed-end and tender offer funds | |
(3) | Includes investment models provided to managed account sponsors | |
(4) | Represents institutional separate and commingled accounts including structured products | |
(5) | Calculated according to revenue earning basis that includes average daily, weekly, monthly beginning balance, monthly ending balance, or quarter beginning and ending balance, as well as quarter beginning or ending spot balance | |
(6) | Consists of multi-asset offerings not included in equity, fixed income, and alternatives | |
(7) | Consists of listed real estate, managed futures, infrastructure, event-driven, private markets, and other strategies | |
(8) | Represents investment management fees, as adjusted, divided by average assets. Investment management fees, as adjusted, exclude the impact of consolidated investment products and are net of revenue-related adjustments. Revenue-related adjustments are based on specific agreements and reflect the portion of investment management fees passed through to third-party client intermediaries for services to investors in sponsored investment products | |
(9) | Includes performance-related fees, in basis points, earned during the three months ended as follows: | |
| 9/30/2025 |
| 12/31/2025 |
| 3/31/2026 |
| 6/30/2026 |
| 9/30/2026 | |
Closed-end Funds | — |
| — |
| 7.9 |
| 13.8 |
| 6.9 | |
Institutional Accounts | 0.2 |
| 0.1 |
| — |
| 0.1 |
| 0.1 | |
All Products | 0.1 |
| — |
| 0.6 |
| 1.2 |
| 0.6 |
| Assets Under Management - Asset Flows by Product
(in millions) | |||||||||||||||||||||||||||
| Three Months Ended |
| Nine Months Ended | ||||||||||||||||||||||||
| 9/30/2025 |
| 12/31/2025 |
| 3/31/2026 |
| 6/30/2026 |
| 9/30/2026 |
| 9/30/2025 |
| 9/30/2026 | ||||||||||||||
Open-End Funds (1) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Beginning balance | $ | 55,653 |
|
| $ | 55,724 |
|
| $ | 52,759 |
|
| $ | 50,231 |
|
| $ | 52,113 |
|
| $ | 56,073 |
|
| $ | 52,759 |
|
Inflows |
| 2,815 |
|
|
| 2,760 |
|
|
| 3,056 |
|
|
| 2,624 |
|
|
| 2,150 |
|
|
| 8,678 |
|
|
| 7,830 |
|
Outflows |
| (3,901 | ) |
|
| (5,260 | ) |
|
| (4,402 | ) |
|
| (4,452 | ) |
|
| (3,422 | ) |
|
| (11,817 | ) |
|
| (12,276 | ) |
Net flows |
| (1,086 | ) |
|
| (2,500 | ) |
|
| (1,346 | ) |
|
| (1,828 | ) |
|
| (1,272 | ) |
|
| (3,139 | ) |
|
| (4,446 | ) |
Market performance |
| 1,335 |
|
|
| 82 |
|
|
| (1,185 | ) |
|
| 3,913 |
|
|
| (1,155 | ) |
|
| 3,296 |
|
|
| 1,573 |
|
Other (2) |
| (178 | ) |
|
| (547 | ) |
|
| 3 |
|
|
| (203 | ) |
|
| 3 |
|
|
| (506 | ) |
|
| (197 | ) |
Ending balance | $ | 55,724 |
|
| $ | 52,759 |
|
| $ | 50,231 |
|
| $ | 52,113 |
|
| $ | 49,689 |
|
| $ | 55,724 |
|
| $ | 49,689 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Closed-End Funds (3) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Beginning balance | $ | 10,481 |
|
| $ | 10,867 |
|
| $ | 10,635 |
|
| $ | 12,794 |
|
| $ | 13,471 |
|
| $ | 10,225 |
|
| $ | 10,635 |
|
Inflows |
| 3 |
|
|
| — |
|
|
| 48 |
|
|
| 68 |
|
|
| 68 |
|
|
| 12 |
|
|
| 184 |
|
Outflows (4) |
| (10 | ) |
|
| (52 | ) |
|
| (106 | ) |
|
| (79 | ) |
|
| (49 | ) |
|
| (52 | ) |
|
| (234 | ) |
Net flows |
| (7 | ) |
|
| (52 | ) |
|
| (58 | ) |
|
| (11 | ) |
|
| 19 |
|
|
| (40 | ) |
|
| (50 | ) |
Market performance |
| 581 |
|
|
| 52 |
|
|
| 563 |
|
|
| 867 |
|
|
| (740 | ) |
|
| 1,216 |
|
|
| 690 |
|
Other (2) |
| (188 | ) |
|
| (232 | ) |
|
| 1,654 |
|
|
| (179 | ) |
|
| (193 | ) |
|
| (534 | ) |
|
| 1,282 |
|
Ending balance | $ | 10,867 |
|
| $ | 10,635 |
|
| $ | 12,794 |
|
| $ | 13,471 |
|
| $ | 12,557 |
|
| $ | 10,867 |
|
| $ | 12,557 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Retail Separate Accounts (5) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Beginning balance | $ | 47,445 |
|
| $ | 46,798 |
|
| $ | 43,091 |
|
| $ | 37,341 |
|
| $ | 36,217 |
|
| $ | 49,536 |
|
| $ | 43,091 |
|
Inflows |
| 1,449 |
|
|
| 1,205 |
|
|
| 1,439 |
|
|
| 1,170 |
|
|
| 957 |
|
|
| 4,659 |
|
|
| 3,566 |
|
Outflows |
| (2,666 | ) |
|
| (3,724 | ) |
|
| (5,307 | ) |
|
| (4,298 | ) |
|
| (3,602 | ) |
|
| (7,340 | ) |
|
| (13,207 | ) |
Net flows |
| (1,217 | ) |
|
| (2,519 | ) |
|
| (3,868 | ) |
|
| (3,128 | ) |
|
| (2,645 | ) |
|
| (2,681 | ) |
|
| (9,641 | ) |
Market performance |
| 579 |
|
|
| (1,187 | ) |
|
| (1,882 | ) |
|
| 2,005 |
|
|
| (1,944 | ) |
|
| (46 | ) |
|
| (1,821 | ) |
Other (2) |
| (9 | ) |
|
| (1 | ) |
|
| — |
|
|
| (1 | ) |
|
| — |
|
|
| (11 | ) |
|
| (1 | ) |
Ending balance | $ | 46,798 |
|
| $ | 43,091 |
|
| $ | 37,341 |
|
| $ | 36,217 |
|
| $ | 31,628 |
|
| $ | 46,798 |
|
| $ | 31,628 |
|
Institutional Accounts (6) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Beginning balance | $ | 57,131 |
|
| $ | 55,936 |
|
| $ | 53,008 |
|
| $ | 48,660 |
|
| $ | 50,361 |
|
| $ | 59,167 |
|
| $ | 53,008 |
|
Inflows |
| 2,006 |
|
|
| 1,381 |
|
|
| 1,238 |
|
|
| 2,193 |
|
|
| 1,107 |
|
|
| 4,744 |
|
|
| 4,538 |
|
Outflows |
| (3,548 | ) |
|
| (4,408 | ) |
|
| (4,392 | ) |
|
| (2,872 | ) |
|
| (3,352 | ) |
|
| (9,662 | ) |
|
| (10,616 | ) |
Net flows |
| (1,542 | ) |
|
| (3,027 | ) |
|
| (3,154 | ) |
|
| (679 | ) |
|
| (2,245 | ) |
|
| (4,918 | ) |
|
| (6,078 | ) |
Market performance |
| 498 |
|
|
| 274 |
|
|
| (1,377 | ) |
|
| 2,517 |
|
|
| (474 | ) |
|
| 2,172 |
|
|
| 666 |
|
Other (2) |
| (151 | ) |
|
| (175 | ) |
|
| 183 |
|
|
| (137 | ) |
|
| (110 | ) |
|
| (485 | ) |
|
| (64 | ) |
Ending balance | $ | 55,936 |
|
| $ | 53,008 |
|
| $ | 48,660 |
|
| $ | 50,361 |
|
| $ | 47,532 |
|
| $ | 55,936 |
|
| $ | 47,532 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Total |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Beginning balance | $ | 170,710 |
|
| $ | 169,325 |
|
| $ | 159,493 |
|
| $ | 149,026 |
|
| $ | 152,162 |
|
| $ | 175,001 |
|
| $ | 159,493 |
|
Inflows |
| 6,273 |
|
|
| 5,346 |
|
|
| 5,781 |
|
|
| 6,055 |
|
|
| 4,282 |
|
|
| 18,093 |
|
|
| 16,118 |
|
Outflows |
| (10,125 | ) |
|
| (13,444 | ) |
|
| (14,207 | ) |
|
| (11,701 | ) |
|
| (10,425 | ) |
|
| (28,871 | ) |
|
| (36,333 | ) |
Net flows |
| (3,852 | ) |
|
| (8,098 | ) |
|
| (8,426 | ) |
|
| (5,646 | ) |
|
| (6,143 | ) |
|
| (10,778 | ) |
|
| (20,215 | ) |
Market performance |
| 2,993 |
|
|
| (779 | ) |
|
| (3,881 | ) |
|
| 9,302 |
|
|
| (4,313 | ) |
|
| 6,638 |
|
|
| 1,108 |
|
Other (2) |
| (526 | ) |
|
| (955 | ) |
|
| 1,840 |
|
|
| (520 | ) |
|
| (300 | ) |
|
| (1,536 | ) |
|
| 1,020 |
|
Ending balance | $ | 169,325 |
|
| $ | 159,493 |
|
| $ | 149,026 |
|
| $ | 152,162 |
|
| $ | 141,406 |
|
| $ | 169,325 |
|
| $ | 141,406 |
|
(1) | Represents U.S. retail funds, exchange-traded funds, and global funds | |
(2) | Represents open-end and closed-end fund distributions net of reinvestments, the impact of non-sales related activities such as asset acquisitions/(dispositions), seed capital investments/(withdrawals), current income or capital returned by structured products, and the use of leverage | |
(3) | Consists of traditional closed-end and tender offer funds | |
(4) | Primarily represents fund shares repurchased due to tender offers | |
(5) | Includes investment models provided to managed account sponsors | |
(6) | Represents institutional separate and commingled accounts including structured products |
Non-GAAP Information and Reconciliations
(in thousands except per share data)
The non-GAAP financial measures included in this release differ from financial measures determined in accordance with U.S. GAAP as a result of the reclassification of certain income statement items, as well as the exclusion of certain expenses and other items that are not reflective of the earnings generated from providing investment management and related services. Management uses these measures to evaluate the company’s financial performance and operational decision-making. Management believes that these non-GAAP financial measures, when presented together with directly comparable U.S. GAAP measures, are useful to investors and other interested parties to provide additional insight, promote transparency and allow for a more comprehensive understanding of the information used by management. Please see the Notes to Reconciliations on page 13 for additional information on how these measures reflect the company’s operating results. Non-GAAP financial measures have material limitations and should not be viewed in isolation or as a substitute for U.S. GAAP measures. Also, the non-GAAP financial measures referenced in this release may not be comparable to the similarly titled measures used by other companies.
The following are reconciliations and related notes of the most directly comparable U.
Contacts
Investor Relations Contact
Sean Rourke
(860) 263-4709
sean.rourke@virtus.com
Media Relations Contact
Laura Parsons
(860) 503-1382
laura.parsons@virtus.com
Read full story here
Mentioned In This Article
Latest News
| 3 hours | |
| 7 hours | |
| 8 hours | |
| Oct-28 | |
| Oct-28 | |
| Oct-28 | |
| Oct-28 | |
| Oct-22 | |
| Oct-13 | |
| Oct-09 | |
| Oct-09 | |
| Oct-09 | |
| Sep-28 | |
| Sep-23 | |
| Sep-23 |
