Q2 2024 Vinci Partners Investments Ltd Earnings Call

August 7, 2024

Unknown Executive: 2nd Quarter, 2024, Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-interest session, and instructions will follow at that time. As a reminder, this call will be recorded.

Operator: 2nd Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question and answer session, and instructions will follow at that time. As a reminder, this call will be recorded. I would now like to turn the conference over to Anna Castro, Investor Relations Manager. Please, go ahead, Anna.

Operator: This is the second quarter 2024 earnings conference call. At this time, all participants are in a listen-only mode. Later, we will conduct a question and answer session, and instructions will follow at that time. As a reminder, this call will be recorded. I would now like to turn the conference over to Anna Castro, Investor Relations Manager. Please go ahead and...

Speaker Change: Good afternoon and welcome to the Vinci Partners second quarter 2024 earnings conference call.

Speaker Change: At this time, all participants are in a listen-only mode. Later, we will conduct a question and answer session and instructions will follow at that time. As a reminder, this call will be recorded.

Anna Castro: I would now like to turn the conference over to Anna Castro, Investor Relations Manager. Please go ahead, Anna. Thank you and good afternoon, everyone.

I would now like to turn the conference over to Anna Castro, Investor Relations Manager. Please, go ahead, Anna.

Anna Castro: Thank you and good afternoon, everyone. Joining us today are Alessandro Horta, Chief Executive Officer; Bruno Zaremba, Private Equity Chairman and Head of Investor Relations; and Sergio Passos, Chief Financial Officer. Earlier today, we issued a press release and a slide presentation of our financial statements for the quarter, which are available on our website at ir.vincipartners.com. I'd like to remind you that today's call may include forelooking statements which are inserted outside of the firm's control and may differ from actual results materially, and do not undertake any duty to update the state, for discussion of some of the risks that could affect Please see the respected section of our 20th.

Anna Castro: Thank you and good afternoon, everyone. Joining us today are Alessandro Horta, Chief Executive Officer; Bruno Zaremba, Private Equity Chairman and Head of Investor Relations; and Sergio Passos, Chief Financial Officer. Earlier today, we issued a press release and a slide presentation of our financial statements for the quarter, which are available on our website at ir.vincipartners.com. I'd like to remind you that today's call may include forelooking statements, which are inserted outside of the firm's control and may differ from actual results materially, and do not undertake any duty to update the state, for discussion of some of the risks that could

Anna Castro: We will also refer you to certain non-GAAP measures and your final reconciliations in the release. Also note that nothing on this call constitutes an offer to sell or solicitation of an offer to purchase an interest in any of your Vinci Partners. On results, Vinci generated fee-related earnings of R$61.9 million, or R$1.16 per share, and adjusted distributable earnings of R$58.4 million, or R$1.10 per share, for the second quarter of 2024. We declared a quarterly dividend of $0.17 per dollar per common share payable on September 5th, to shareholders of record as of August 21. With that, I'll turn the call over to Alessandro. Thank you, Anna.

Anna Castro: Joining today is Alessandro Horta, Chief Executive Officer, Bruno Zaremba, Private Equity Chairman in the Head of Investor Relations, and Sergio Pasta, Chief Financial Officer. Earlier today, we should address release slight presentation in our financial statements for the quarter, which are available on our website at ir.intopartons.com. I like to remind you that today's call may include for our looking statements, which are uncertain outside of the firm's control and may differ from actual results materially. We do not undertake any duty to update these statements for discussion of some of the risks that could affect results. Please see the respective section of our 20s.

Anna Castro: Thank you and good afternoon, everyone. Joining today are Alessandro Horta, Chief Executive Officer, Bruno Zaremba, Private Equity Chairman and Head of Investment Relations, and Sergio Passos, Chief Financial Officer.

Speaker Change: Earlier today, we issued a press release slide presentation in our financial statements for the quarter, which are available on our website at ir.vincipartners.com.

Speaker Change: I'd like to remind you that today's call may include forelooking statements which are inserted outside of the firm's control and may differ from actual results materially. We do not undertake any duty to update these statements for discussion of some of the risks that could affect results.

Unknown Executive: 2nd quarter, 2024, Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-interest session and instructions will follow at that time. As a reminder, this call will be recorded.

Anna Castro: We will also refer to non-GAAP measures, and you find recommendations in the release. Also note that nothing on this call constitutes an offer to sell or solicitation of an offer to purchase an interest in any Village partner's funds.

Please see the respective section of R20S. We will also refer you to certain non- GAAP measures and you'll find reconciliations in the release. Also note that nothing on this call constitutes an offer to sell or solicitation of an offer to purchase an interest in any Vinci Partners fund.

Anna Castro: I would now like to turn the conference over to Anna Castro, investor relations manager. Please go ahead Anna.

Unknown Executive: On results, venture-generated fee-related earnings of 61.9 million highs or 1.0 and 16 cents per share, and adjusted distributable earnings of 58.4 million highs or 1.0 and 10 cents per share for the second quarter of 2024.

Anna Castro: On results, Vinci generated fee-related earnings of R$61.9 million, or R$1.16 per share, and adjusted distributable earnings of R$58.4 million, or R$1.10 per share, for the second quarter 2024.

Anna Castro: Thank you and good afternoon, everyone. Joining today is Alessandro Horta, chief executive officer, Bruno Zaremba, private equity chairman in the head of investor relations, and Sergio Pasta, chief financial officer. Earlier today, we should address release slight presentation in our financial statements for the quarter, which are available on our website at ir.intopartons.com. I like to remind you that today's call may include for our looking statements, which are uncertain outside of the firm's control and may differ from actual results materially.

Unknown Executive: We declare a quarterly dividend of 17 cents on the dollar per common share, payable on September 5th to shareholders of record as of August 21.

Anna Castro: We declared a quarterly dividend of $0.17 on the dollar per common share payable on September 5th to shareholders of record as of August 21.

Anna Castro: Please see the respective section of our 20th. We will also refer you to certain non-GAAP measures and your final reconciliations in the release. Also note that nothing on this call constitutes an offer to sell or solicitation of an offer to purchase an interest in any of these departments. On results, Vinci generated fee-related earnings of R$61.9 million, or R$1.16 per share, and adjusted distributable earnings of R$58.4 million, or R$1.10 per share, for the second quarter of 2024. We declare a quarterly dividend of $0.17 on the dollar per common share, payable on September 5th, to shareholders of record as of August 21. With that, I'll turn the call over to Alessandro. Thank you, Anna.

Alessandro Horta: With that, I'll turn the call over to add something. Thank you, Anna, the afternoon, and thank you all for joining our call. We are very pleased to join in today as we announce results for the second quarter of 2024. Let me start by saying that we posted once again a double-digit growth in fee-related earnings on a year-over-year basis. This quarter was even more significant, close to a 25% increase on a per share basis. This remarkable growth is largely attributed to our exceptional fund raising performance in private market strategies over the past quarters, which continues to deliver across several fronts.

Alessandro Horta: Thank you, Anna, good afternoon, and thank you all for joining our call. We are very pleased to be joining you today as we announce results for the second quarter of 2021. Let me start by saying that we posted, once again, double-digit growth in fee-related earnings on a year-over-year basis. This quarter was even more significant, close to a 25% increase on a per share basis. This remarkable growth is largely attributed to our exceptional fundraising performance in private market strategies over the past quarters, which continues to deliver across several... We achieve these results despite the challenging environment for raising capital outside traditional fixed income investments.

Alessandro Horta: Thank you, Anna, good afternoon, and thank you all for joining our call. We are very pleased to be joining you today as we announce results for the second quarter of 2021. Let me start by saying that we posted, once again, double-digit growth in fee-related earnings on a year-over-year basis. This quarter was even more significant, close to a 25% increase on a per share basis. This remarkable growth is largely attributed to our exceptional fundraising performance in private market strategies over the past quarters, which continues to deliver across several... We accomplished these results despite the challenging environment for raising capital outside traditional fixed income investments.

Anna Castro: With that, I'll turn the call over to Alessandro.

Alessandro: Thank you, Anna, good afternoon, and thank you all for joining our call. We are very pleased to join you today as we announce results for the second quarter 2024.

Anna Castro: We do not undertake any duty to update these statements for discussion of some of the risks that could affect results. Please see the respective section of our 20s. We will also refer to non-gap measures and you find recommendations in the release. Also note that nothing on this call constitutes an offer to sell or solicitation of an offer to purchase an interest in any village partner's funds. On results, venture-generated fee-related earnings of 61.9 million highs or 1.0 and 16 cents per share, and adjusted distributable earnings of 58.4 million highs or 1.0 and 10 cents per share for the second quarter of 2024.

Alessandro: Let me start by saying that we posted, once again, a double-digit growth in fee-related earnings on a year-over-year basis.

Alessandro: This quarter was even more significant, close to a 25% increase on a per share basis.

Anna Castro: This remarkable growth is largely attributed to our exceptional fundraising performance in private market strategies over the past quarters, which continues to deliver across several fronts.

Alessandro Horta: We accomplish these results despite the challenging environment for raising capital outside traditional fixed income investments in Brazil. Delving into our fundraising efforts, we are excited to share notable progress this quarter for our private market's products. Despite the global asset management industry facing significant challenges in raising capital for private equity, closed and funds, we successfully secured nearly 500 million raised in new capital subscription for this year before from both local and international institution events. by the end of the second quarter, ECP4 has reached the same size as ECP3 in Brazilian Reais achieved during one of the most challenging fundraising conditions for the private equity asset class worldwide in the past decade.

Anna Castro: We declare a quarterly dividend of 17 cents on the dollar per common share payable on September 5th to shareholders of record as of August 21.

Anna Castro: We accomplished these results despite the challenging environment for raising capital outside traditional fixed income investments in Brazil.

Alessandro Horta: Delving into our fundraising efforts, we are excited to share notable progress this quarter for our private markets product. Despite the global asset management industry facing significant challenges in raising capital for private equity, closed-end funds, we successfully secured nearly R$500 million in new capital subscription for VCP4 from both local and international institutional investors. By the end of the second quarter, ECP-4 reached the same size as ECP-3 in Brazilian reais, achieved during one of the most challenging fundraising conditions for the private equity asset class worldwide in the past decade.

Alessandro Horta: Delving into our fundraising efforts, we are excited to share notable progress this quarter for our private markets product. Despite the global asset management industry facing significant challenges in raising capital for private equity, closed-end funds, we successfully secured nearly R$500 million in new capital subscription for VCP4 from both local and international institutional investors. By the end of the second quarter, BCP4 reached the same size as BCP3 in Brazilian reais, achieved during one of the most challenging fundraising conditions for the private equity asset class worldwide in the past decade.

Anna Castro: Delving into our fundraising efforts, we are excited to share notable progress this quarter for our private market products.

Alessandro Horta: With that, I'll turn the call over to add something. Thank you Anna, the afternoon, and thank you all for joining our call.

Alessandro Horta: We are very pleased to join in today as we announce results for the second quarter of 2024. Let me start by saying that we posted once again a double digit growth in fee-related earnings on a year-over-year basis. This quarter was even more significant close to a 25% increase on a per share basis. This remarkable growth is largely attributed to our exceptional fund raising performance in private market strategies over the past quarters which continues to deliver across several fronts.

Anna Castro: Despite the global asset management industry facing significant challenges in raising capital for private equity, closed-end funds

Anna Castro: we successfully secured nearly R$500 million in new capital subscription for VCP4 from both local and international institutional investors.

Anna Castro: By the end of the second quarter, ECP-4 has reached the same size as ECP-3 in Brazilian reais, achieved during one of the most challenging fundraising conditions for the private equity asset class worldwide in the past decade.

Alessandro Horta: The significant milestones highlight Vinci resilience in navigating through a tough market. We are extremely pleased with these results, which not only affirm the effectiveness of our proprietary distribution channels and the solid relationships we have cultivated with our LPs over the years, but also our testimony of the solid performance from our private equity strategy since inception. We are very excited for the promising deployment opportunities that Fund4 will enable us to pursue. Moreover, Fund4 stands out at the largest vintage in this strategy in terms of local commitments by a considerable margin. This highlights what we have been stating since our IPO.

Alessandro Horta: These significant milestones highlight Vinci's resilience in navigating through a tough market. We are extremely pleased with these results, which not only affirm the effectiveness of our proprietary distribution channels and the solid relationships we have cultivated with our LPs over the years but also are a testament to the solid performance from our private equity strategy since inception. We are very excited for the promising deployment opportunities that Fund4 will enable us to pursue.

Alessandro Horta: We accomplish these results despite the challenging environment for raising capital outside traditional fixed income investments in Brazil. Delving into our fund raising efforts, we are excited to share notable progress this quarter for our private market's products. Despite the global asset management industry facing significant challenges in raising capital for private equity, closed and funds, we successfully secured nearly 500 million raised in new capital subscription for this year before from both local and international institution events, by the end of the second quarter, ECP4 has reached the same size as ECP3 in Brazilian Reais achieved during one of the most challenging fundraising conditions for the private equity asset class worldwide in the past decade.

Anna Castro: These significant milestones highlight Vinci's resilience in navigating through a tough market.

Anna Castro: we are extremely pleased with this results

Anna Castro: which not only affirm the effectiveness of our proprietary distribution channels and the solid relationships we have cultivated with our LPs over the years.

Anna Castro: but also are a testimony of the solid performance from our private equity strategy since inception.

Anna Castro: We are very excited for the promising deployment opportunities that Fund4 will enable us to pursue.

Alessandro Horta: Moreover, Fund 4 stands out as the largest vintage in this strategy in terms of local commitment by a considerable margin. This highlights what we have been stating since our IPO. The Brazilian market remains highly underpenetrated for private market investments, with a gradual shift in mindset moving in our favor.

Alessandro Horta: Moreover, Fund 4 stands out as the largest vintage in this strategy in terms of local commitment by a considerable margin. These highlights what we have been stating since our IPO. The Brazilian market remains highly underpenetrated for private market investments, with a gradual shift in mindset moving in our favor.

Anna Castro: moreover fund four stand out at the largest advantage in this strategy in the terms of local commitments by considerable margin

Anna Castro: This highlights what we have been stating since our IPO. The Brazilian market remains highly underpenetrated for private market investments with a gradual shift in mindset moving in our favor.

Alessandro Horta: The Brazilian market remains highly underpenetrated for private markets investments, with a greater shift in mindset moving in our favor. We have seen this trend unfold for several of our private markets asset classes and a backdrop of high interest rates, both locally and globally. As market conditions become more favorable, we anticipate this shift accelerating. Vinci is well positioned to capitalize on this transition toward alternative investments. The success of our recent capital rates for Fund4 in private equity underscores our position as a leading force in Brazil's growing alternatives market. And, as was the case with Vinci before, we will continue to work with our local investors to understand what their needs are and how to provide the best solution to address those needs.

Alessandro Horta: The significant milestones highlight Vinci resilience in navigating through a tough market. We are extremely pleased with these results which not only affirm the effectiveness of our proprietary distribution channels and the solid relationships we have cultivated with our LPs over the years, but also our testimony of the solid performance from our private equity strategy since inception. We are very excited for the promising deployment opportunities that Fund4 will enable us to pursue. Moreover, Fund4 stands out at the largest vintage in this strategy in the terms of local commitments by a considerable margin.

Alessandro Horta: We have seen this trend unfold for several of our private market asset classes against a backdrop of high interest rates both locally and globally. As market conditions become more favorable, we anticipate this shift accelerating, and KKR is well positioned to capitalize on this transition toward alternative investment. The success of our recent capital raise for Fund4 in private equity underscores our position as a leading force in Brazil's growing alternative market. And, as was the case with VCP4, we will continue to work with our local investors to understand what their needs are and how to provide the best solution to address those needs. Moving on, I am pleased to announce a significant milestone for our private credit sector. In July, we secured our first commitment from an international institutional investor for the segment in the Vinci Credit Infra Fund.

Anna Castro: We have seen this trend unfold for several of our private market asset classes and a backdrop of high interest rates both locally and globally.

Anna Castro: As market conditions become more favorable, we anticipate this shift accelerating.

Speaker Change: vinci is well positioned to capitalize on this transition toward adjity investments

Anna Castro: The success of our recent capital raise for Fund4 in private equity underscores our position as a leading force in Brazil's growing alternatives market.

Anna Castro: And, as was the case with VCP4, we will continue to work with our local investors to understand what their needs are and how to provide the best solution to address those needs.

Alessandro Horta: This highlights what we have been stating since our IPO. The Brazilian market remains highly underpenetrated for private markets investments with a greater shift in mindset moving in our favor. We have seen this trend unfold for several of our private markets asset classes and a backdrop of high interest rates both locally and globally. As market conditions become more favorable, we anticipate this shift accelerating. Vinci is well positioned to capitalize on this transition toward alternative investments.

Alessandro Horta: Moving on, I am pleased to announce a significant milestone for our private credit segment. In July, we secured our first commitment from an international institution investor for the segment in the Vinci Credit Infra Fund. While this commitment will reflect in our AMF figures only in the third quarter, we wanted to share this exciting development with our shareholders now. While local investors in alternative products continue to grow, we are also advancing our international distribution efforts at a promising pace. When we began raising capital from international investors, our offshore distribution team was part of the private equity business, and VCP was the only fund with international peace.

Alessandro Horta: While this commitment will reflect in our AUM figures only in the third quarter, we wanted to share this exciting development with our shareholders now. While local investor interests in alternative products continue to grow, we are also advancing our international distribution efforts at a promising pace. When we began raising capital from international investors, our offshore distribution team was part of the private equity business, and VCP was the only fund with international LPs.

Alessandro Horta: While this commitment will reflect in our AUM figures only in the third quarter, we wanted to share this exciting development with our shareholders now. While local investor interest in alternative products continues to grow, we are also advancing our international distribution efforts at a promising pace. When we began raising capital from international investors, our offshore distribution team was part of the private equity business, and VCP was the only fund with international LPs.

Speaker Change: moving on i am pleased to announce a significant mileston for our private credit segment in july we secured our first commitment from an internationalation institution investor for the segment in the vy credit in frfundt

Speaker Change: While this commitment will reflect in our AOM figures only in the third quarter, we wanted to share this exciting development with our shareholders now.

Anna Castro: While local investor interests in alternative products continue to grow, we are also advancing our international distribution efforts at a promising pace.

Alessandro Horta: The success of our recent capital rates for Fund4 in private equity underscores our position as a leading force in Brazil's growing alternatives market. And as was the case with Vinci before, we will continue to work with our local investors to understand what their needs are and how to provide the best solution to address those needs.

Anna Castro: when we began raising capital from international investors our offshore distribution team in was part of the private equity business and vp was the only fund with international piece

Alessandro Horta: Today, we have successfully attracted international investors to invest with us across private equity, real estate, infrastructure, public equity, and now private credit. Our ongoing investment in building a robust platform with strong enduring relationship is clearly paying off, and with compass in our corner, the potential flow from Latin America kept to provide this, we will enhance our local strategies even further. Additionally, to further strengthen our private credit segment, we announced the closing of the acquisition of my capital, adding approximately 550 million reais in assets under management with long-term lockups. Maps, expertise in the agribusiness sector will be instrumental in establishing a leading position in this area, which could have significant impact over the medium to long-term.

Alessandro Horta: Today, we have successfully attracted international investors to invest with us across private equity, real estate, infrastructure, public equities, and now private credit. Our ongoing investment in building a robust platform with a strong, enduring relationship is clearly paying off, and with Compass in our corner, the potential flow from Latin American capital providers will enhance our local strategies even further. Additionally, to further strengthen our private credit segment, we announced the closing of the acquisition of MAV Capital, adding approximately R$ 550 million in assets under management with a long-term lock-up.

Speaker Change: Today, we have successfully attracted international investors to invest with us across private equity, real estate, infrastructure, public equities, and now private credit.

Anna Castro: our ongoing investment in building our robust platform which is strong in dury relationship is clearly paying off

Anna Castro: and with Compass in our corner, the potential flow from Latin America capital providers will enhance our local strategies even further.

Anna Castro: additionally to further smey our private credit segment we announced the closing of the acquisition of mar capital adding approximately five hundred and fifty milillerized in assets under management with long-term lockouts

Alessandro Horta: When we began raising capital from international investors, our offshore distribution team was part of the private equity business and VCP was the only fund with international peace. Today, we have successfully attracted international investors to invest with us across private equity, real estate, infrastructure, public equity and now private credit. Our ongoing investment in building a robust platform with strong enduring relationship is clearly paying off and with compass in our corner, the potential flow from Latin America kept to provide this, we will enhance our local strategies even further.

Alessandro Horta: MABS' expertise in the agribusiness sector will be instrumental in establishing a leading position in this area, which could have a significant impact over the medium to long term. The agribusiness sector in Brazil remains underserved by the investment industry, despite its substantial contribution to the country's GDP, making it a promising opportunity for growth.

Speaker Change: My expertise in the agribusiness sector will be instrumental in establishing a leading position in this area, which could have significant impact over the medium to long term.

Alessandro Horta: The Agribusiness sector in Brazil remains underserved by the investment industry, despite its substantial contribution to the country's GDP, making it a promising opportunity for growth.

Anna Castro: The agribusiness sector in Brazil remains underserved by the investment industry despite its substantial contribution to the country's GDP, making it a promising opportunity for growth.

Alessandro Horta: Moving on to our recently announced transaction with Compass, we are targeting a closing date somewhere between late third quarter to early in the fourth quarter. The integration process is progressing smoothly, as we mentioned in our last earnings call. We engaged a global consulting firm to support us throughout this transition, and we are making excellent strides. At this time, the project has been concluded with 21 work streams being simultaneously run across companies to assure a smooth day one and maximize the capturing of the synergies mapped it during the project. This was a truly company-wide effort with the teams at both Venture and Compass working in an integrated way ahead of the closing date to map and brainstorm potential synergy gains from the merger.

Alessandro Horta: Moving on to our recent announced transaction with... We are targeting a closing date somewhere between the late third quarter and early in the fourth quarter. The integration process is progressing smoothly. As we mentioned in our last earnings call, we engaged a global consulting firm to support us throughout this transition, and we are making excellent strides. At this time, the project has been concluded, with 21 work streams being simultaneously run across companies to assure a smooth day one and maximize the capturing of the synergies mapped during the project.

Speaker Change: Moving on to our recent announced transaction with Compass.

Speaker Change: We are targeting a closing date somewhere between late third quarter to early in the fourth quarter.

Speaker Change: The integration process is progressing smoothly. As we mentioned in our last earnings call, we engaged a global consulting firm to support us throughout this transition, and we are making excellent strides.

Alessandro Horta: Additionally, to further strengthen our private credit segment, we announced the closing of the acquisition of my capital, adding approximately 550 million reais in assets under management with long-term lockups. Maps, expertise in the Agribusiness sector will be instrumental in establishing a leading position in this area which could have significant impact over the medium to long-term. The Agribusiness sector in Brazil remains underserved by the investment industry despite its substantial contribution to the country's GDP, making it a promising opportunity for growth.

Speaker Change: At this time, the project has been concluded with 21 work streams being simultaneously run across companies to assure a smooth day one and maximize the capturing of the synergies mapped during the project.

Alessandro Horta: This was a truly company-wide effort with the teams at both Vinci and Compass working in an integrated way ahead of the closing date to map and brainstorm potential synergies gains from the merger. Compass is having a very good year, with assets under management reaching near R$220 billion in the second quarter, an increase of almost R$12 billion since the end of 2023.

Speaker Change: This was a truly company-wide effort, with the teams at both Vinci and Compass working in an integrated way ahead of the closing date to map and brainstorm potential synergy gains from the merger.

Alessandro Horta: Compass is having a very good year, with assets under management reaching near 220 billion reais in the second quarter, an increase of almost 12 billion reais since the end of 2023. Driven by strong fund raising across the APNS business, the APNS strategy dedicated to liquid products has had a strong year so far into 2024, raising approximately 6 billion reais, reflecting compass, strong market position, and continued flows into the segment. Additionally, this strategy within IPNS focus on alternatives has also seen good inflows, with fund raising exceeding 2.5 billion reais a year to date. In the credit strategy vertical, Compass had an experienced substantial traction with its Brazilian fund, attracting significant investor interest over the recent months.

Alessandro Horta: Moving on to our recent announced transaction with compass, we are targeting a closing date somewhere between late third quarter to early in the fourth quarter. The integration process is progressing smoothly, as we mentioned in our last earnings call, we engaged a global consulting firm to support us throughout this transition, and we are making excellent strides. At this time, the project has been concluded with 21 work stream being simultaneously run across companies to assure a smooth day one and maximize the capturing of the synergies map it during the project.

Speaker Change: Compass is having a very good year with assets under management reaching near 220 billion reais in the second quarter, an increase of almost 12 billion reais since the end of 2023.

Alessandro Horta: Driven by strong fundraising across the IP&S. The IP&S strategy, dedicated to liquid products, has had a strong year so far into 2024, raising approximately R$6 billion, reflecting COMPAS, its strong market position, and continued flows into the segment. Additionally, the strategy within IPNF's focus on alternatives has also seen good inflows, with fundraising exceeding R$2.5 billion year-to-date.

Speaker Change: driven by strong fundraising across the apnf reasoniness

Speaker Change: The IP&S strategy dedicated to liquid products has had a strong year so far into 2024, raising approximately R$6 billion, reflecting COMPAS' strong market position and continued flows into the segment.

Speaker Change: additionally this strategy we seen ipns farccus on alternatives has also seen good inflows we fund raising exceeding two point five billaryized year-to date

Alessandro Horta: This was a truly company wide effort with the teams at both venture and compass working in an integrated way ahead of the closing date to map and brainstorm potential synergy gains from the merger. Compass is having a very good year with assets under management reaching near 220 billion reais in the second quarter, an increase of almost 12 billion reais since the end of 2023. Driven by strong fund raising across the APNS business, the APNS strategy dedicated to liquid products has had a strong year so far into 2024, raising approximately 6 billion reais, reflecting compass, strong market position, and continued flows into the segment.

Alessandro Horta: In the credit strategy vertical, Compass has experienced substantial traction with its Brazilian fund, attracting significant investor interest over the past months. In addition, Vinci has also started to leverage Compass Strong Distribution Network in Latin America, with roadshows already taking place with our private markets investment teams and their commercial counterparts. In addition, we will host events in Chile and Mexico during the third quarter to present all investment strategies currently available within the Vinci platform to potential Latin American clients. As mentioned, this pre-closing period has been very productive, and we are not wasting time.

Speaker Change: In the credit strategy vertical, Compass has experienced substantial traction with its Brazilian fund, attracting significant investor interest over the recent months.

Alessandro Horta: In addition, Finchie has also started to leverage Compass Strong Distribution Network in Latin, with road shows already taking place with our private markets, investment teams, and their commercial teams. In addition, we will host events in Chile and Mexico doing the third quarter to present all investments to added currently available within the 20 platform to potential Latin American clients. As mentioned, this pre-closing period has been very productive, and we are not wasting time. We have been tackling low-hanging fruits aggressively and expect additional opportunities on this transaction close. We are very excited about our prospects with the merger, and we will continue to work with Compass to leverage growth within both platforms across Latin America countries as we work on the integration in the next several months.

Speaker Change: In addition, Vinci has also started to leverage Compa's strong distribution network in Latam, with roadshows already taking place with our private markets investment teams and their commercial teams.

Speaker Change: In addition, we will host events in Chile and Mexico during the third quarter to present all investment strategies currently available within the Vinci platform to potential Latin American clients.

Speaker Change: As mentioned, this pre-closing period has been very productive and we are not wasting time. We have been tackling low-hanging fruits aggressively and expect additional opportunities once this transaction closes.

Alessandro Horta: We have been aggressively tackling low-hanging fruit and expect additional opportunities once this transaction closes. We are very excited about our prospects with the merger, and we'll continue to work with Compass to leverage growth within both platforms across Latin American countries as we work on the integration over the next several months. To conclude my remarks, I would like to take a moment to discuss the macroeconomic environment. Last week, the Fed hinted at the possibility of cutting interest rates at its September meeting.

Alessandro Horta: Additionally, this strategy within IPNS focus on alternatives has also seen good inflows with fund raising exceeding 2.5 billion reais a year to date. In the credit strategy vertical, Compass had an experienced substantial traction with its Brazilian fund, attracting significant investor interest over the recent months. In addition, Finchie has also started to leverage Compass Strong Distribution Network in Latin, with road shows already taking place with our private markets, investment teams, and their commercial teams.

Speaker Change: We are very excited about our prospects with the merger, and we'll continue to work with Compass to leverage growth within both platforms across Latin American countries as we work on the integration in the next several months.

Alessandro Horta: To conclude my remarks, I would like to take a moment to discuss the macroeconomic environment. Last week, the Fed hinted at the possibility of cutting interest rates in their September meeting. The Fed will start cutting rates at that moment where the economy still follows this. Growth for next year is expected to be 1.8 percent, and unemployment is still at 4.2 percent, below the natural rate of unemployment of 4.6 percent. The American economy will likely slow down but not necessarily recessionary levels. In Brazil, the interest rate curve is still currently rising in potential rate hikes. However, with the Fed lowering rates, we might see a reduction or even the elimination of these anticipated hikes from Brazil's interest rate curve.

Alessandro Horta: The Fed will start cutting rates at a moment when the economy is still positive, growth for next year is expected to be 1.8%, and unemployment is still at 4.2%, below the natural rate of unemployment of 4.6%. The American economy will likely slow down, but not necessarily at a recessionary level. In Brazil, the interest rate curve is still currently priced in potential rate hikes. However, with the Fed lowering rates, we might see a reduction or even the elimination of these anticipated hikes from Brazil's interest rate curve.

Alessandro Horta: In addition, we will host events in Chile and Mexico doing the third quarter to present all investments to added currently available within the 20 platform to potential Latin American clients. As mentioned, this pre-closing period has been very productive and we are not wasting time. We have been tackling low-hanging fruits aggressively and expect additional opportunities on this transaction close. We are very excited about our prospects with the merger and we will continue to work with Compass to leverage growth within both platforms across Latin America countries as we work on the integration in the next several months.

Speaker Change: To conclude my remarks, I would like to take a moment to discuss the macroeconomic environment. Last week, the Fed hinted at the possibility of cutting interest rates in their September meeting. The Fed will start cutting rates at a moment where the economy is still positive.

Alessandro Horta: The Fed will start cutting rates at a moment when the economy is still positive, growth for next year is expected to be 1.8%, and unemployment is still at 4.2%, below the natural rate of unemployment of 4.6%. The American economy will likely slow down, but not necessarily at a recessionary level. In Brazil, the interest rate curve is still currently priced in potential rate hikes. However, with the Fed lowering rates, we might see a reduction or even delimitation of these anticipated hikes from Brazil's interest rate curve.

Speaker Change: Growth for next year is expected to be 1.8% and unemployment is still at 4.3%, below the natural rate of unemployment of 4.6%.

Speaker Change: The American economy will likely slow down, but not necessarily to recessionary levels.

Speaker Change: In Brazil, the interest rate curve is still currently pricing in potential rate hikes. However, with the Fed lowering rates, we might see a reduction or even the elimination of these anticipated hikes from Brazil's interest rate curve.

Alessandro Horta: This is an important subject to consider as the adjustment in expectations for Brazilian rates could help stabilize market performance, which would translate in a better environment in flows in our liquids and rich businesses. In closing, I would like to convey the following message. Venti continues to deliver growth supported by its highly diversified platform and robust distribution capabilities. In the short to median term, we expect to drive further growth through our private market strategies, with notable fund raising initiatives underway across the platform. Additionally, we anticipate gaining momentum in our liquids and IP&S segments as the global macroeconomic environment becomes more favorable over the coming quarters.

Alessandro Horta: This is an important subject to consider, as the adjustment in expectations for Brazilian rates could help stabilize market performance, which would translate into a better environment and Florence Correal. In closing, I would like to convey the following message. Vinci continues to deliver growth supported by its highly diversified platform and robust distribution capability. In the short to medium term, we expect to drive further growth through our private market strategies, with multiple fundraising initiatives underway across the platform.

Alessandro Horta: This is an important subject to consider, as the adjustment in expectations for Brazilian rates could help stabilize market performance, which would translate into a better environment and Flows in Our Liquids and Reads Bizarre. In closing, I would like to convey the following message. Vinci continues to deliver growth supported by its highly diversified platform and robust distribution capability. In the short to medium term, we expect to drive further growth through our private market strategies, with multiple fundraising initiatives underway across the platform.

Speaker Change: This is an important subject to consider, as the adjustment in expectations for Brazilian rates could help stabilize market performance, which would translate in a better environment for inflows in our liquids and REITs businesses.

Speaker Change: In closing, I would like to convey the following message.

Speaker Change: Vinci continues to deliver growth, supported by its highly diversified platform and robust distribution capabilities.

Speaker Change: In the short to medium term, we expect to drive further growth through our private market strategies, with multiple fundraising initiatives underway across the platform.

Alessandro Horta: Additionally, we anticipate gaining momentum in our Liquids and IP&S segments as the global macroeconomic environment becomes more favorable over the coming quarter. We also remain very active on the M&A front, diligently looking into opportunities to enhance our product offerings in Brazil and now across Latin America. The Compass merger added another possible dimension to us, which is the inorganic expansion of our alternative asset management capabilities across the region. The team has a very clear view of where potential demand for investment solutions is and which blank spaces we might fill on a regional basis through partnerships and acquisitions.

Alessandro Horta: In Brazil, the interest rate curve is still currently rising in potential rate hikes. However, with the Fed lowering rates, we might see a reduction or even the elimination of these anticipated hikes from Brazil's interest rate curve. This is an important subject to consider as the adjustment in expectations for Brazilian rates could help stabilize market performance which would translate in a better environment in flows in our liquids and rich businesses.

Speaker Change: Additionally, we anticipate gaining momentum in our liquids and IP&S segments as the global macroeconomic environment becomes more favorable over the coming quarters.

Alessandro Horta: We also remain very active on the M&A front, diligently looking into opportunities to enhance our product offerings in Brazil and now across Latin America. The Compass merger added another possible dimension to us, which is the inorganic expansion of our alternative asset management capabilities across the region. The team has a very clear view on where potential demand for investment solution is and which blank spaces we might feel on a regional basis through partnerships and acquisitions. With this regional effort, we aim to strengthen our position as the gate to a alternative assets in Latin to deliver greater value to our investors and shareholders, capitalizing on the evolving rent gate to drive both local and regional expense.

Speaker Change: we also remain very active on them ina front diligently looking into opportunities to enhance our product offerings in brazil and now across latin americ

Speaker Change: The Compass merger added another possible dimension to us, which is the inorganic expansion of our alternative asset management capabilities across the region.

Alessandro Horta: In closing, I would like to convey the following message. Venti, continues to deliver growth supported by its highly diversified platform and robust distribution capabilities. In the short to median term, we expect to drive further growth through our private market strategies with notable fund raising initiatives underway across the platform. Additionally, we anticipate gaining momentum in our liquids and IP&S segments as the global macroeconomic environment becomes more favorable over the coming quarters. We also remain very active on the M&A front, diligently looking into opportunities to enhance our product offerings in Brazil and now across Latin America.

Speaker Change: The team has a very clear view on where potential demand for investment solution is and which blank spaces we might fill on a regional basis through partnerships and acquisitions.

Alessandro Horta: With this regional effort, we aim to strengthen our position at the gate to alternative assets in Latin America to deliver greater value to our investors and shareholders, capitalizing on the evolving landscape to drive both local and regional expansion. With that, I would like to turn the call over to Bruno. Thank you, Alessandro.

Alessandro Horta: With this regional effort, we aim to strengthen our position as the gate to alternative assets in Latin America to deliver greater value to our investors and shareholders, capitalizing on the evolving landscape to drive both local and regional expansion. With that, I would like to turn the call over to Bruno. Thank you, Alessandro.

Speaker Change: With this regional effort, we aim to strengthen our position as the gate to alternative assets in Latam to deliver greater value to our investors and shareholders, capitalizing on the evolving landscape to drive both local and regional expansion.

Bruno Zaremba: With that, I would like to turn the call over to Bruno. Thank you, but it's a good and good afternoon, everyone. I'll start by covering our fundraising efforts in private markets. Excluding the investors' discipline, for it has virtually matched the commitment with capital of its predecessor funds. Moreover, we've seen substantial interest from local institutional investors for this vintage, with fund for becoming the largest local fund we've raised for this strategy since inception. This aligns with our ongoing discussions about the need for Brazilian investors to diversify away from traditional fixed income investors and explore alternative products as they build their long-term allocations.

Bruno Zaremba: Thank you, Alessandro, and good afternoon everyone. I'll start by covering our fundraising efforts in private markets. As anticipated by Alessandro, we had a stellar quarter of fundraisers for the 4th edition of our project. VCP4, our flagship strategy, backed by both local and international institutional investors, successfully raised nearly half the PNRIs in commitments for this report this quarter. Excluding Co-Investments, Discipline 4 has virtually matched the commitment capital of its predecessor fund.

Bruno Zaremba: Thank you, Alessandro, and good afternoon everyone. I'll start by covering our fundraising efforts in private markets. As anticipated by Alessandro, we had a stellar quarter of fundraisers for the 4th edition of our project, with our flagship strategy, PCP4, backed by both local and international institutional investors, successfully raising nearly half the PNRIs in commitments forecasted before this quarter. Excluding Co-Investments, Discipline 4 has virtually matched the commitment capital of its predecessor fund.

Speaker Change: With that, I would like to turn the call over to Bruno. Thank you, Alessandro, and good afternoon, everyone. I'll start by covering our fundraising efforts in private markets.

Bruno: As anticipated by Alessandro, we had a stellar quarter of fundraisers for the 4th International Project with flagship strategy, TCP4.

Alessandro Horta: The Compass merger added another possible dimension to us, which is the inorganic expansion of our alternative asset management capabilities across the region. The team has a very clear view on where potential demand for investment solution is and which blank spaces we might feel on a regional basis through partnerships and acquisitions. With this regional effort, we aim to strengthen our position as the gate to a alternative assets in Latin to deliver greater value to our investors and shareholders, capitalizing on the evolving rent gate to drive both local and regional expense.

Bruno: Backed by both local and international institutional investors, we successfully raised nearly R$500,000 in commitments for Discipline 4 this quarter. Excluding co-investments, Discipline 4 has virtually matched the commitment capital of its predecessor funds.

Bruno Zaremba: Moreover, we've seen substantial interest from local institutional investors for this vintage, with Fund4 becoming the largest local fund we've raised for this strategy since its inception. This aligns with our ongoing discussions about the need for Brazilian investors to diversify away from traditional fixed income investments and explore alternative products as they build their long-term allocations. To wrap up this city,

Bruno Zaremba: Moreover, we've seen substantial interest from local institutional investors for this interest, with Fund4 becoming the largest local fund we've raised for this strategy since its inception. This aligns with our ongoing discussions about the need for Brazilian investors to diversify away from traditional fixed income investments and explore alternative products as they build their long-term allocation. To wrap up this IP,

Bruno: Moreover, we've seen substantial interest from local institutional investors for this vintage, with Fund4 becoming the largest local fund we've raised for this strategy since inception.

Bruno: This aligns with our ongoing discussions about the need for Brazilian investors to diversify away from traditional fixed income investors and explore alternative products as they build their long-term allocations.

Bruno Zaremba: With that, I would like to turn the call over to Bruno. Thank you, but it's a good and good afternoon everyone. I'll start by covering our fund raising efforts in private markets. Excluding the investors' discipline for it has virtually matched the commitment with capital of its predecessor funds. Moreover, we've seen substantial interest from local institutional investors for this vintage, with fund for becoming the largest local fund we've raised for this strategy since inception.

Bruno Zaremba: To wrap up this, we are aiming for a final closing by the end of the year as we continue to work towards additional commitments, primarily from international institutional investors. Additional commitments will continue to trigger retroactive fees from the start of the funds. This has been a significant contributor to management fees in the second quarter and could have a significant impact when we finalize the fund raising later in the year. Moving on to private credits, we have successfully secured commitments for the Vichy Credit Infra Fund, which has now exceeded 1.5 billion reais in assets under management.

Bruno Zaremba: We are aiming for a final closing by the end of the year, as we continue to work towards additional commitments, primarily from international institutional investors. Additional commitments will continue to trigger retroactive fees from the start of the fund. This has been a significant contributor to management fees in the second quarter and could have a significant impact when we finalize the fundraising later in the year. Moving on to private credits, we have successfully secured commitments for the Vichy Credit Infrafund, which has now exceeded 1.5 billion reais in assets under management. The initial investments that established the fund came from local institutional investors, and we continue to see strong demand for disaster class from this client base. However, our fundraising efforts are not expanding across other distribution channels.

Bruno Zaremba: We are aiming for a final closing by the end of the year, as we continue to work towards additional commitments, primarily from international institutional investors. Additional commitments will continue to trigger retroactive fees from the start of the fund. This has been a significant contributor to management fees in the second quarter and could have a significant impact when we finalize the fundraising later in the year. Moving on to private credits, we have successfully secured commitments for the Vinci Credit Infrafund, which has now exceeded 1.5 billion reais in assets under management.

Speaker Change: to wrap up vpe we are aiming for a final global by the end of the year as we continue to work to wardsour additional commitments primarily from international institutional disttors

Bruno: Additional commitments will continue to trigger retroactive fees from the start of the funds.

Bruno: This has been a significant contributor to management fees in the second quarter and could have a significant impact when we finalize the fundraising later in the year.

Bruno: Moving on to private credits, we have successfully secured commitments for the Vinci Credit Infra Fund, which has now exceeded R$1.5 billion in assets under management.

Bruno Zaremba: The initial investments that established the fund came from local institutional investors, and we continue to see strong demands for desired class from this client base. However, our fundraising efforts are not expanding across other distribution channels. In July, we achieved a significant milestone by securing our first capital subscription from an international institutional investor for Vichy Credit Infra. In addition to international investors, Vichy Credit Infra is also set to attract commitments from the allocators and distributors to the channel in the third quarter. In summary, we are witnessing robust demand for the fund across multiple distribution channels. We will continue our fundraising efforts for Vichy Credit Infra through the end of 2024 and into early 2025.

Bruno Zaremba: The initial investments that established the fund came from local institutional investors, and we continue to see strong demand for disaster class from this client base. However, our fundraising efforts are now expanding across other distribution channels. In July, we achieved a significant milestone by securing our first capital subscription from an international institutional investor for 20 crediting funds. In addition to international investors, Finci Credit Infra is also set to attract commitments from the allocators and distributors to channel in the third quarter.

Bruno: The initial investments that established the fund came from local institutional investors, and we continue to see strong demand for disaster class from this client base.

Bruno Zaremba: This aligns with our ongoing discussions about the need for Brazilian investors to diversify away from traditional fixed income investors and explore alternative products as they build their long-term allocations. To wrap up this, we are aiming for a final closing by the end of the year as we continue to work towards additional commitments primarily from international institutional investors. Additional commitments will continue to trigger retroactive fees from the start of the funds. This has been a significant contributor to management fees in the second quarter and could have a significant impact when we finalize the fund raising later in the year.

Bruno: However, our fundraising efforts are not expanding across other distribution channels.

Bruno Zaremba: In July, we achieved a significant milestone by securing our first capital subscription from an international institutional investor for Vinci Credit Inc. In addition to international investors, Vinci Credit Infra is also set to attract commitments from the allocators and distributors to channel in the third quarter. In summary, we are witnessing robust demand for the fund across multiple distribution channels. We will continue our fundraising efforts for Vinci Credit Infra through the end of 2024 and into early 2025.

Bruno: In July , we achieved a significant milestone by securing our first capital subscription from an international institutional investor for Vinci Credit Info.

Bruno: In addition to international investors, Finci Credit Infra is also set to attract commitments from the allocators and distributors to channel in the third quarter.

Bruno Zaremba: In summary, we are witnessing robust demand for the fund across multiple distribution channels. We will continue our fundraising efforts for Vinci Credit Infra through the end of 2024 and into early 2025. Now let's delve into our pipeline for the upcoming quarters in private markets. First, we have just launched the fourth vintage of our Opportunistic Capital Solutions Strategy. We anticipate initial commitments throughout the third quarter, primarily from local high net worth investors and re-ups from previous ventures.

Bruno: in summary where are we missing robust demand for the fund across multiple distribution channels

Bruno: We will continue our fundraising efforts for Vinci Credit Infra through the end of 2024 and into early 2025.

Bruno Zaremba: Moving on to private credits, we have successfully secured commitments for the Vichy Credit Infra Fund, which has now exceeded 1.5 billion reais in assets under management. The initial investments that established the fund came from local institutional investors and we continue to see strong demands for desired class from this client base. However, our fund raising efforts are not expanding across other distribution channels. In July, we achieved a significant milestone by securing our first capital subscription from an international institutional investor for Vichy Credit Infra.

Bruno Zaremba: Now, let's delve into our pipeline from the upcoming quarters in private markets. First, we have just launched the fourth vintage of our Opportunistic Capital Solutions strategy. We anticipate initial commitments throughout the third quarter, primarily from local high net worth investors and re-ups from previous ventures. STS-4 is also gaining significant traction with international investors, as we expect to secure notable commitments from international institutional investors by the end of the year. As highlighted in previous quarters, the earlier ventures have performed exceptionally well, and we expect this new vintage to be considerably larger than its predecessor, which raised one beta rise.

Bruno Zaremba: Now let's delve into our pipeline for the upcoming quarters in private markets. First, we have just launched the fourth vintage of our Opportunistic Capital Solutions strategy. We anticipate initial commitments throughout the third quarter, primarily from local high net worth investors and re-ups from previous ventures. FPS4 is also gaining significant traction with international investors, as we expect to secure notable commitments from international institutional investors by the end of the year. As highlighted in previous quarters, the earlier vintages have performed exceptionally well, and we expect this new vintage to be considerably larger than its predecessor, which raised R$1 billion. It's important to note that the SPS team raised Fund3 before joining Vinci, primarily leveraging local connections from senior partners.

Bruno: Now let's delve into our pipeline for the upcoming quarters in private markets.

Bruno: First, we have just launched the fourth vintage of our Opportunistic Capital Solutions Strategy.

Bruno: We anticipate initial commitments throughout the third quarter primarily from local high net worth investors and re-ups from previous vintages.

Bruno Zaremba: FPS4 is also gaining significant traction with international investors as we expect to secure notable commitments from international institutional investors by the end of the year. As highlighted in previous quarters, the earlier vintages have performed exceptionally well, and we expect this new vintage to be considerably larger than its predecessor, which raised R$1 billion. It's important to note that the SDS team raised Fund3 before joining Vinci, primarily leveraging local connections from senior partners.

Bruno: FPS4 is also gaining significant traction with international investors, as we expect to secure notable commitments from international institutional investors by the end of the year.

Bruno Zaremba: In addition to international investors, Vichy Credit Infra is also set to attract commitments from the allocators and distributors to the channel in the third quarter. In summary, we are witnessing robust demand for the fund across multiple distribution channels. We will continue our fund raising efforts for Vichy Credit Infra through the end of 2024 and into early 2025.

Bruno: As highlighted in previous quarters, the earlier vintages have performed exceptionally well, and we expect this new vintage to be considerably larger than its predecessor, which raised R$1 billion.

Bruno: It's important to note that the SPS team raised Fund3 before joining Viji, primarily leveraging local connections from senior partners.

Bruno Zaremba: Now, with the full capabilities of our platform, we have access to broader pools of capital, which will expand the capital raising efforts for Fund4. We will provide more details on the fund and its fundraising progress during our next earnings conference call. In infrastructure, we anticipate a final closing for the ICC in the latter half of the year.

Bruno Zaremba: Now, with the full capabilities of our platform, we have access to broader pools of capital, which will expand the capital raising efforts for Fund4. We will provide more details on the fund and its fundraising progress during our next earnings conference call. As for infrastructure, we anticipate a final closing for the ICC in the latter half of the year.

Bruno: Now, with the full capabilities of our platform, we have access to broader pools of capital, which will expand the capital raising efforts for Fund4.

Bruno Zaremba: Now, let's delve into our pipeline from the upcoming quarters in private markets. First, we have just launched the fourth vintage of our opportunistic capital solutions strategy. We anticipate initial commitments throughout the third quarter, primarily from local high net worth investors and re-ups from previous ventures. STS-4 is also gaining significant traction with international investors as we expect to secure notable commitments from international institutional investors by the end of the year. As highlighted in previous quarters, the earlier ventures have performed exceptionally well and we expect this new vintage to be considerably larger than its predecessor which raised one beta rise.

Bruno Zaremba: We will provide more details on the fund and its fundraising progress during our next earnings conference. In infrastructure, we anticipate a final closing for the ICC in the latter half of the year. The fund has already made investments in the first quarter and has a robust pipeline for the coming quarters. This initial pipeline has designed a levels of returns that are above the target return of the funds using a very constructive, insensitive environment. We expect interesting capital deployment opportunities to continue for the ICC and to reach the fund's target commitments of two billion reais.

Bruno: We will provide more details on the fund and its fundraising progress during our next earnings conference call.

Bruno: In infrastructure, we anticipate a final closing for the ICC in the latter half of the year.

Bruno Zaremba: The Fund has already made investments in the first quarter and has a robust pipeline for the coming quarter. This initial pipeline has designed levels of returns that are above the target return of the funds, using a very constructive investment environment. We expect interesting capital deployment opportunities to continue for the ICC and to reach the fund's target commitment of R$ 2 billion. These are the key highlights for our short-term private markets fundraising effort, but we also have a strong medium-term pipeline.

Bruno Zaremba: The Fund has already made investments in the first quarter and has a robust pipeline for the coming quarter. This initial pipeline has designed levels of returns that are above the target return of the funds, giving a very constructive investment environment. We expect interesting capital deployment opportunities to continue for the ICC and to reach the fund's target commitment of R$2 billion. These are the key highlights for our short-term private market fundraising efforts, but we also have a strong medium-term pipeline.

Bruno: The Fund has already made investments in the first quarter and has a robust pipeline for the coming quarters.

Bruno: This initial pipeline has designed levels of returns that are above the target return of the funds, giving a very constructive investment environment.

Bruno: we expect interesting capital deployment opportunities to continue for icc and to reach the fund targets commitments of the flina realized

Bruno Zaremba: It's important to note that the SDS team raised on three before joining Vinci, primarily leveraging local connections from senior partners. Now, with the full capabilities of our platform, we have access to broader pools of capital, which will expand the capital raise efforts for funds for them. We will provide more details on the fund and its fundraising progress during our next earnings conference. In infrastructure, we anticipate a final closing for the ICC in the latter half of the year.

Bruno Zaremba: These are the key highlights for our short-term private-market fundraising efforts, but we also have a strong medium-term pipeline. This includes strategies such as VIR-5, the next advantage in our private equity impact and return strategy, and the FDL-2, the second advantage for our development and logistics strategy in real-state. In addition, we are working on a new residential development fund after strong success in our novel fund for the strategy in 2024. All these funds are expected to commence fundraising late in 2024 or early 2025. Besides these initiatives for close-and-fans, our REITs are fully allocated and ready to come back to markets with new agencies as soon as market conditions improve.

Bruno: These are the key highlights for our short-term private market fundraising efforts.

Bruno: But we also have a strong medium-term pipeline.

Bruno Zaremba: This includes strategies such as VIR5, the next vintage in our private equity impact and return strategy, and VFDL2, the second vintage for our development and logistics strategy in real estate. In addition, we are working on a new residential development fund after strong success in our first fund for the strategy in 2024. All these funds are expected to commence fundraising late in 2024 or early 2025.

Bruno Zaremba: This includes strategies such as VIR5, the next vintage in our private equity impact and return strategy, and VFDL2, the second vintage for our development and logistics strategy in real estate. In addition, we are working on a new residential development fund after strong success in our first fund for this strategy in 2024. All these funds are expected to commence fundraising late in 2024 or early 2025.

Bruno: This includes strategies such as VIR5, the next vintage in our private equity impact and return strategy, and VFDL2, the second vintage for development and logistics strategy in real estate.

Bruno: In addition, we are working on a new residential development fund after strong success in our novel fund for this strategy in 2024. All these funds are expected to commence fundraising late in 2024 or early 2025.

Bruno Zaremba: The fund has already made investments in the first quarter and has a robust pipeline for the coming quarters. This initial pipeline has designed a levels of returns that are above the target return of the funds using a very constructive, insensitive environment. We expect interesting capital deployment opportunities to continue for the ICC and to reach the fund's target commitments of two billion reais.

Bruno Zaremba: Besides these initiatives for close-end funds, our REITs are fully allocated and ready to come back to the market with new issuances as soon as market conditions improve. You should recall that last year we were able to raise more than R$1 billion in VISC-11, becoming richer in a three-month span. This is a clear example of what we can accomplish with a more constructive environment.

Bruno Zaremba: Besides these initiatives for close-end funds, our REITs are fully allocated and ready to come back to market with new issuances as soon as market conditions improve. You should recall that last year we were able to raise more than R$1 billion in VISC-11 and are shopping more REITs in a three month span. This is a clear example of what we can accomplish with a more constructive environment.

Speaker Change: besides these initiatives for closesing and funds our res are fully allocated and ready to come back to markets with new asienes as soon as market conditions improve

Bruno Zaremba: You should recall that last year we were able to raise more than one billion reais in this 11. Our shopping mall REITs in a three-month span. This is a clear example of what we can accomplish with the more constructive environments.

Speaker Change: You should recall that last year we were able to raise more than R$ 1 billion in VISC-11.

Speaker Change: Our shopping mall reached in a three-month span.

Speaker Change: This is a clear example of what we can accomplish with a more constructive environment.

Bruno Zaremba: We will keep investors informed about these and other medium-term initiatives we are working on.

Bruno Zaremba: We will keep investors informed about these and other medium-term initiatives we are working on. Finally, on private markets, I would like to reinforce the following. Since our IPO, we have actively expanded our private market strategies both organically with new vintages across various strategies and inorganically through acquisitions like SPS and Mavcap. This ongoing effort is resulting in a platform that comprises high-quality capital with a long-term commitment. For example, in the first quarter, following Vinci's list... the first quarter of 2021.

Bruno Zaremba: We will keep investors informed about these and other medium-term initiatives we are working on. Finally, on private markets, I would like to reinforce the following. Since our IPO, we have actively expanded our private market strategies, both organically with new ventures across various strategies and inorganically through acquisitions like SPS and MAV Capital. This ongoing effort is resulting in a platform that comprises high-quality capital with a long-term commitment. For example, in the first quarter following Vinci's list, the first quarter of 2021.

Speaker Change: We will keep investors informed about these and other medium-term initiatives we are working on.

Bruno Zaremba: To close on private markets, I would like to reinforce the following. Since our IPO, we have actively expanded our private market strategies both organically with new ventures across various strategies and organically through acquisitions like SPS and MADS Capital. This ongoing effort is resulting in a platform that comprises high-quality capital with long-term commitments. For example, in the first quarter following venture listing, first quarter of 2021, 48% of venture-seer-related earnings came from private market strategies. In the most recent quarter, examining the derelated earnings over the past 12 months, nearly 70% were generated from private market strategies. The effort into developing and expanding our private market strategy has not only resulted in Bayweb expansion, but also significantly enhanced the quality of our revenue.

Speaker Change: To close on private markets, I would like to reinforce the following.

Speaker Change: Since our IPO, we have actively expanded our private market strategies, both organically, with new vintages across various strategies, and inorganically, through acquisitions like SPS and MAZ Capital.

Speaker Change: This ongoing effort is resulting in a platform that comprises high-quality capital with long-term commitments.

Bruno Zaremba: Besides these initiatives for close-and-fans, our REITs are fully allocated and ready to come back to markets with new agencies as soon as market conditions improve. You should recall that last year we were able to raise more than one billion reais in this 11. Our shopping mall REITs in a three-month span. This is a clear example of what we can accomplish with the more constructive environments. We will keep investors informed about these and other medium-term initiatives we are working on.

Speaker Change: For example, in the first quarter following Vinci's listing,

Bruno Zaremba: 48% of Vinci's fee-related earnings came from the private market strategy. In the most recent quarter, examining the fee-related earnings over the past 12 months, nearly 70% were generated from the private market strategy. The effort in developing and expanding our private market strategy has not only resulted in AUM expansion but also significantly enhanced the quality of our revenue. Vinci now presents a much more stable, resilient, and diversified business model than was the case at our IPO. Turning to our IP&S and public equity segments, we continue to face a challenging environment for both areas. Both segments are particularly sensitive to higher nominal and real interest rates and recent market volatility in Brazil.

Speaker Change: First quarter of 2021, 48% of Vinci's fee-related earnings came from private market strategies.

Speaker Change: in the most recent quarter examined the few-related earnings over the p last twelve months nearly seventy percent were generated from private market stretches

Speaker Change: The effort into developing and expanding our private market strategy has not only resulted in AUM expansion,

Speaker Change: but also significantly enhance the quality of our revenues.

Bruno Zaremba: Vincinal presents a much more stable, resilient, and diversified business model than was the case at our IPO.

Speaker Change: Vinci now presents a much more stable, resilient, and diversified business model than was the case at our IPO.

Bruno Zaremba: In the most recent quarter, examining the derelated earnings over the past 12 months, nearly 70% were generated from private market strategies. The effort into developing and expanding our private market strategy has not only resulted in Bayweb expansion, but also significantly enhanced the quality of our revenue. Vincinal presents a much more stable, resilient and diversified business model than was the case at our IPO.

Bruno Zaremba: Turning to our IP&S and public equity segments, we continue to face a challenging environment for both areas. Both segments are particularly sensitive to higher, nominal and real interest rates, and recent market volatility in Brazil. Despite the challenges, public equity has remained remarkably resilient, with flows essentially neutral over recent borders. Distability highlights are strong and enduring relationships with our institutional client base, which has proven to be very resilient. In addition, we are starting to see interest from institutional investors, given the current level of attractiveness in local market valuations, which could lead to an increase in our SMA business in equities.

Speaker Change: Turning to our IP&S and public equity segments, we continue to face a challenging environment for both areas.

Speaker Change: Both segments are particularly sensitive to higher nominal and real interest rates and recent market volatility in Brazil.

Bruno Zaremba: Despite the challenges, public equities have remained remarkably resilient, with flows essentially neutral over a recent quarter. These stability highlights are strong in their enduring relationship with our institutional client base, which has proven to be very resilient. In addition, we are starting to see interest from institutional investors given the current level of attractiveness in local market valuations, which could lead to an increase in our SMA business in equity. We are working with some existing and new relationships that might allow us to start seeing flows in the short term. In contrast, the IP&S segment continued to experience outflows in the second quarter, particularly from our pension strategies within our allocators and distributor channels.

Bruno Zaremba: Despite the challenges, public equities have remained remarkably resilient, with flows essentially neutral over recent quarters. This stability highlights our strong and enduring relationship with our institutional client base, which has proven to be very resilient. In addition, we are starting to see interest from institutional investors given the current level of attractiveness in local market valuations, which could lead to an increase in our SMA business in equity. We are working with some existing and new relationships that might allow us to start seeing flows in the short term. Multimercado funds, as these funds are structured, have witnessed massive redemptions in the market year to date, and despite being in the top quartile, our funds were dragged with this flow.

Speaker Change: Despite the challenges, public equities has remained remarkably resilient, with flows essentially neutral over recent quarters. This stability highlights our strong and enduring relationship with our institutional client base, which has proven to be very resilient.

Speaker Change: In addition, we are starting to see interest from institutional investors given the current level of attractiveness in local market valuations, which could lead to increase in our SMA business in equities.

Bruno Zaremba: We are working with some existing new relationships that might allow us to start seeing flows in the short term. In contrast, the IP&S segment continues to experience outflows in the second quarter, particularly from our pension strategies within our allocators and distributors channel. Much market of funds, as these funds are structured, have witnessed massive redemptions in the market here to date, and despite being a top part tile, our funds were dragged with the slope. In more recent weeks, we have seen moderation in these redemptions, which hopefully will lead to better overall trends in future quarters.

Speaker Change: We are working with some existing and new relationships that might allow us to start seeing flows in the short term.

Speaker Change: In contrast, the IP&S segment continued to experience outflows in the second quarter, particularly from our pension strategies within our allocators and distributors channel.

Bruno Zaremba: Turning to our IP&S and public equity segments, we continue to face a challenging environment for both areas. Both segments are particularly sensitive to higher, nominal and real interest rates and recent markets volatility in Brazil. Despite the challenges, public equity has remained remarkably resilient, with flows essentially neutral over recent borders. Distability highlights are strong and enduring relationships with our institutional client base which has proven to be very resilient. In addition, we are starting to see interest from institutional investors, given the current level of attractiveness in local market valuations, which could lead to increase in our SMA business inequities.

Bruno Zaremba: Multimercado funds, as these funds are structured, have witnessed massive redemptions in the market year to date, and despite being in the top quartile, our funds were dragged by this flow. In more recent weeks, we have seen moderation in these redemptions, which hopefully will lead to better overall trends in future quarters. On a more positive note, our private credit segment has seen promising results within the same allocators and distributors channel. Last year, we launched a dedicated pension plan strategy that is performing well in both fundraising and performance, raising roughly R$400 million in the period and continuing to show strong weekly fundraising.

Speaker Change: Multimercado funds, as these funds are structured, have witnessed massive redemptions in the market year to date, and despite being a top quartile, our funds were dragged with this flow.

Bruno Zaremba: In more recent weeks, we have seen moderation in these redemptions, which hopefully will lead to better overall trends in future quarters. On a more positive note, our private credit segment has seen promising results within the same allocators and distributors channel. Last year, we launched a dedicated pension plan strategy that is performing well in both fundraising and performance, raising roughly R$400 million in the period and continuing to show strong weekly fundraising. We continue to raise capital at Vinci with third-party distributors, though currently with a short-term focus on pension plans related to credit assets and avoiding riskier asset classes.

Speaker Change: In more recent weeks, we have seen moderation in these redemptions, which hopefully will lead to better overall trends in future quarters.

Bruno Zaremba: On a more positive note, our private credit segment has seen promising results within the same allocators and distributors channel. Last year, we launched a dedicated pension plan strategy that is performing well in both fund raising and performance, raising roughly 400 million reais in the periods and continue to show strong weekly fund raising. We continue to raise capital at each with third party distributors, though currently with a short term focus on pension plans related to credit assets and avoiding riskier asset classes. The credit inflow in our platform mirrors what we are seeing in Compass as well, with very strong local fundraising performance on the 16th on sites.

Speaker Change: on a more positive note our private credit segment has seen promising results within the same allocators and distributors channel

Speaker Change: Last year we launched a dedicated pension plan strategy that is performing well in both fundraising and performance.

Speaker Change: raising roughly R$400 million in the period and continue to show strong weekly fundraising.

Bruno Zaremba: We continue to raise capital at Vinci with third-party distributors, though currently with a short-term focus on pension plans related to credit assets and avoiding riskier asset classes. The credit inflow on our platform mirrors what we are seeing in Compass as well, with very strong local fundraising performance on the fixed-income sites. Encouragingly, over the past two weeks, the combination of moderation of outflows in IP&S and the strong performance in credit has led to an improvement in flows within the allocators and distributors channels across the entire platform. This marks a notable recovery from May and June, which were the weakest months of the year. And with that, I'll turn it to Sergio to go through our results. Thank you.

Bruno Zaremba: We are working with some existing new relationships that might allow us to start seeing flows in the short term. In contrast, the IP&S segment continues to experience outflows in the second quarter, particularly from our pension strategies within our allocators and distributors channel. Much market of funds, as these funds are structured, have witnessed massive redemptions in the market here to date and despite being a top part tile, our funds were dragged with the slope.

Speaker Change: We continue to raise capital at Vinci with third-party distributors, though currently with a short-term focus on pension plans related to credit assets and avoiding riskier asset classes.

Bruno Zaremba: The crediting flow in our platform mirrors what we are seeing in Compass as well, with very strong local fundraising performance on the fixed income sites. Encouragingly, over the past two weeks, the combination of moderation of outflows in IP&S and the strong performance in credit has led to an improvement in flows within the allocators and distributors channels across the entire platform. This marks a notable recovery from May and June, which were the weakest months of the year. And with that, I'll turn it to Sergio to go through our results. Thank you.

Speaker Change: The crediting flow in our platform mirrors what we are seeing in Compass as well, with very strong local fundraising performance on the fixed income sites.

Bruno Zaremba: Encouragingly, over the past two weeks, the combination of moderation of outflows in IP&S and the strong performance in credit has led to an improvement in flows within the allocators and distributors channel across the entire platform.

Speaker Change: Encouragingly, over the past two weeks, the combination of moderation of outflows in IP&S and the strong performance in credit has led to an improvement in flows within the allocators and distributors channels across the entire platform.

Bruno Zaremba: In more recent weeks, we have seen moderation in these redemptions which hopefully will lead to better overall trends in future quarters. On a more positive note, our private credit segment has seen promising results within the same allocators and distributors channel. Last year, we launched a dedicated pension plan strategy that is performing well in both fund raising and performance, raising roughly 400 million reais in the periods and continue to show strong weekly fund raising.

Sergio Pasta: This marks a notable recovery from a June, which were the weakest months of the year, and with that, I'll turn it to Sergio to go through our results. Thank you, Bruno. Now, let's start by covering management and advisory fees. Fis related revenues totaled 126 million reais in the quarter, up 18% on a year-over-year basis. Focusing specifically on management fees, we saw an even more significant increase with a remarkable 23% year-over-year growth, driven by robust fund raising across our private max products. This quarter also benefited from retroactive fees associated with the capital raise in VCP4, which included approximately two years' worth of...

Speaker Change: This marks a notable recovery from May and June , which were the weakest months of the year. And with that, I'll turn it to Sergio to go through our results.

Sergio Passos: Thank you, Bruno. Now, let's start by covering management and advisory functions. Fee-related revenues totaled R$126 million in the quarter, up 18% on an year-over-year basis. Focusing specifically on management fees, we saw an even more significant increase, with a remarkable 23% year-over-year growth, driven by robust fundraising across our private markets products. This quarter, I also benefitted from retroactive fees associated with the capital raise in VCP4, which included approximately two years' worth of fees. This resulted in an additional R$14.9 million in net revenue for the quarter.

Sergio: Thank you, Bruno. Now, let's start by covering management and advisory fees.

Sergio: frelated revenues total one hundred and twenty-six minimum res in the quarter up eighteen percent on a year-over-year basis

Bruno Zaremba: We continue to raise capital at each with third party distributors, though currently with a short term focus on pension plans related to credit assets and avoiding riskier asset classes. The credit inflow in our platform mirrors what we are seeing in Compass as well, with very strong local fund raising performance on the 16th on sites. Encouragingly, over the past two weeks, the combination of moderation of outflows in IP&S and the strong performance in credit has led to an improvement in flows within the allocators and distributors channel across the entire platform.

Sergio: Focusing specifically on management fees, we saw an even more significant increase, with a remarkable 23% year-over-year growth.

Sergio: driven by robust fundraising across our Private Markets products.

Sergio: This quarter also benefits from retroactive fees associated with the capital raise in VCP4, which included approximately two years worth of fees.

Sergio Pasta: This resulted in additional 14.9 million reais in the net revenue for the quarter. On excluding retroactive fees, management fees is still a positive trend, supported by new commitments in private markets. Looking ahead, we expect consider growth in revenues from this asset class, although liquid products and IPNFs face ongoing challenges, as Bruno mentioned earlier. Please note that we will continue from the ways for VCP4 and VICC in infrastructure during the second half of the year. Both funds include a retroactive fees clause, so new commitments will generate fees from the fund's inception, which could continue to positively impact our numbers in the later half of the year.

Sergio: This resulted in additional R$ 14.9 million in the net revenue for the quarter.

Sergio Passos: When excluding retroactive fees, management fees still show a positive trend, supported by new commitments in private markets. Looking ahead, we expect continued growth in revenues from this asset class, although liquid products and IP&S face ongoing challenges, as Bruno mentioned earlier. Please note that we will continue fundraising for VCP4 and VICC in infrastructure during the second half of the year. Both funds include retroactive fees clauses, so new commitments will generate fees from the fund's inception, which could continue to positively impact our numbers in the latter half of the year, turning into the advisory field. We had another strong quarter.

Sergio Passos: When excluding retroactive fees, management fees still show a positive trend, supported by new commitments in private markets. Looking ahead, we expect continued growth in revenues from this asset class, although liquid products and IP&S face ongoing challenges, as Bruno mentioned earlier. Please note that we will continue fundraising for VCP4 and VICC in infrastructure during the second half of the year. Both funds include a retroactive fees clause, so new commitments will generate fees from the fund's inception, which could continue to positively impact our numbers in the latter half of the year. We had another strong quarter.

Sergio Pasta: This marks a notable recovery from a June which were the weakest months of the year, and with that, I'll turn it to Sergio to go through our results. Thank you Bruno. Now, let's start by covering management and advisory fees. Fis related revenues totaled 126 million reais in the quarter, up 18% on an year-over-year basis. Focusing specifically on management fees, we saw an even more significant increase with a remarkable 23% year-over-year growth, driven by robust fund raising across our private max products.

Sergio: When excluding retroactive fees, management fees still show a positive trend, supported by new commitments in private markets.

Speaker Change: Looking ahead, we expect continued growth in revenues from this asset class, although liquid products and IP&S face ongoing challenges, as Bruno mentioned earlier.

Sergio: Please note that we will continue fundraising for VCP4 and VICC in infrastructure during the second half of the year.

Bruno: Both funds include retroactive fees clause, so new commitments will generate fees from the funds inception, which could continue to positively impact our numbers in the later half of the year.

Sergio Pasta: This quarter also benefited from retroactive fees associated with the capital raise in VCP4, which included, approximately, two years worth of... This resulted in additional 14.9 million reais in the net revenue for the quarter. On excluding retroactive fees, management fees is still a positive trend, supported by new commitments in private markets. Looking ahead, we expect consider growth in revenues from this asset class, although liquid products and IPNFs face ongoing challenges, as Bruno mentioned earlier.

Sergio Pasta: Turning to our advisory fees, we had another strong quarter. Year-to-date, we have accumulated nearly 22 million reais in net revenues from our advisory fees. High lighting the momentum in our corporate advisory segment. For the second half of the year, we already have over 10 million reais in our advisory fees from sign transactions that are pending closing. Additionally, we have a robust pipeline of opportunist-resécuritropon. We are confident in achieving our target of annual 30 million reais in net advisory revenue, with potential for upside. Despite challenging market conditions and a muted IPO marketing, our corporate advisor business has delivered excellent results.

Bruno: Turning to advisory fees, we had another strong quarter.

Sergio Passos: Year-to-date, we have accumulated nearly R$ 22 million in net revenues from advisory funds, highlighting the momentum in our Corporate Advisors segment. For the second half of the year, we already have over R$10 million in advisory fees from signed transactions that are pending close.

Sergio Passos: Year-to-date, we have accumulated nearly R$ 22 million in net revenues from advisory, highlighting the momentum in our Corporate Advisors segment. For the second half of the year, we already have over R$10 million in advisory fees from signed transactions that are pending closing. Additionally, we have a robust pipeline of opportunities to execute upon. We are confident in achieving our target of annual R$ 30 million in net advisory revenue, with potential for upside. Despite challenging market conditions and a muted IPO market, our Corporate Advisor business has delivered excellent results.

Bruno: Year-to-date, we have accumulated nearly R$ 22 million in net revenues from advisory fees.

Bruno: highlighting the momentum in our copper' advisor segment

Sergio: For the second half of the year, we already have over R$10 million in advisory fees from signed transactions that are pending closing. Additionally, we have a robust pipeline of opportunities to execute upon.

Sergio Passos: Additionally, we have a robust pipeline of opportunities to execute upon. We are confident in achieving our target of annual R$ 30 million in net advisory revenue, with potential for upside. Despite challenging market conditions and a muted IPO market, our Corporate Advisor business has delivered excellent results. We believe that as market conditions improve, we will be well positioned to make an even greater impact in this sector. Turning to FII results, in the second quarter, FII totaled R$62 million, or... One Real and 16 cents per share represent a 24% year-over-year increase on a per-share basis. Looking at year-to-date figures, FRE reached R$116 million, or R$2.17 per share, up 18% on a per share basis. FIE continues to grow, pushed by strong fundraising for private market products.

Bruno: We are confident in achieving our target of annual R$ 30 million in net advisory revenue, with potential for upsides.

Sergio Pasta: Please note that we will continue from the ways for VCP4 and VICC in infrastructure during the second half of the year. Both funds include retroactive fees clause, so new commitments will generate fees from the funds inception, which could continue to positively impact our numbers in the later half of the year. Turning to our advisory fees, we had another strong quarter. Year-to-date, we have accumulated nearly 22 million reais in net revenues from our advisory fees.

Bruno: Despite challenging market conditions and a muted IPO marketing, our Corporate Advisor business has delivered excellent results.

Sergio Pasta: We believe that as MACD conditions improve, we will be well-positioned to make an even greater impact in this segment.

Sergio Passos: We believe that as market conditions improve, we will be well positioned to make an even greater impact in this sector. Turning to FII results, in the second quarter, FII totaled R$62 million, or... 1 real and 16 cents per share, a 24% year-over-year increase on a per-share basis. Looking at year-to-date figures, FRE reached R$116 million, or... R$2.17 per share, up 18% on a per share basis. FIE continues to grow, pushed by strong fundraising for private market products.

Bruno: We believe that as market conditions improve, we will be well positioned to make an even greater impact in this segment.

Sergio Pasta: Turning to advisory results in the second quarter,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000000,000,000,000,000,000,000,000,000,000 Exploring the VRS strategy where we made substantial investment over the past quarter, our FRI margin would have been 52%. For comparison purposes, our margin for the full year 2021, when there were no investments in VRS, was also 52%. Our core business continues to maintain healthy margins and show resilience despite the challenging conditions of the past two to three years. The success is a direct result of our focus efforts in private market fund erasings and our diligent cost management. By practicing product cost control, we opposition ourselves to accelerate the growth of FRI NDE when market conditions become more favorable.

Bruno: Current FII results in the second quarter FII totaled R$ 62 million or

Bruno: 1 Real and $0.16 per share, represent a 24% year-over-year increase on a per-share basis.

Sergio Pasta: High lightening the momentum in our corporate advisory segment. For the second half of the year, we already have over 10 million reais in our advisory fees from sign transactions that are pending closing. Additionally, we have a robust pipeline of opportunist-resécuritropon. We are confident in achieving our target of annual 30 million reais in net advisory revenue, with potential for upside. Despite challenging market conditions and a muted IPO marketing, our corporate advisor business has delivered excellent results.

Bruno: Looking at year-to-date figures, FRE reached R$116 million, or

Bruno: R$2.17 per share, up 18% on a per share basis.

Bruno: FIE continues to grow, pushed by the strong fundraising for private market projects.

Sergio Passos: As I mentioned in the last quarter earnings call, when considering our short-term FRE, we expect an upward trajectory. This projection is supported by several factors, including new commitments in private markets, the impact of retroactive fees, and the robust pipeline for advisory services. Now, let's discuss expenses.

Bruno: As I mentioned in the last quarter earnings call, when considering our short-term FRE, we expect an upward trajectory.

Sergio Pasta: We believe that as MACD conditions improve, we will be well-positioned to make an even greater impact in this segment. Turning to advisory results in the second quarter,[inaudible] Exploring the VRS strategy where we made substantial investment over the past quarter, our FRI margin would have been 52%. For comparison purpose, our margin for the full year 2021, when there were no investment in VRS was also 52%. Our core business continues to maintain health margins and show resilience despite the challenging conditions of the past two to three years.

Bruno: This projection is supported by several factors including new commitments in private markets, the impact of retroactive fees, and the robust pipeline for advisory service.

Sergio Passos: Year-to-date, our margins have improved by 154 basis points compared to the same period last year, which aligns with our expectations from the previous earnings call. We do not anticipate significant changes in margins for 2024, but we are aiming for a modest expansion. Excluding the VRS strategy, where we made substantial investments over the past quarters, our FRE margin would have been 52%. For comparison purposes, our margin for the full year 2021, when there were no investments in VRS, was also 52%.

Bruno: Now, let's discuss expenses.

Bruno: Year-to-date, our margins have improved by 154 basis points compared to the same period last year.

Bruno: which aligns with our expectations from the previous earnings call.

Speaker Change: we do not anticipate significant change in margins sport twentuni four but we are aiming for our modest ension

Speaker Change: Exploding the VRS Strategy

Bruno: where we made substantial investment over the past quarters, our FRE margin would have been 52%.

Bruno: For comparison purpose, our margin for the full year 2021, when there were no investments in VRS, was also 52%.

Sergio Passos: Our core business continues to maintain healthy margins and show resilience despite the challenging conditions of the past two to three years. The success is a direct result of our focused efforts in private market fundraising and our diligent cost management.

Bruno: Our core business continues to maintain healthy margins and show resilience despite the challenging conditions of the past 2 to 3 years.

Bruno: The success is a direct result of our focused efforts in private market fundraisings and our diligent cost management.

Sergio Passos: By practicing product cost control, we are positioned to accelerate the growth of FRE and DE when market conditions become more favorable. Before we proceed, I'd like to provide some clarity on the non-operating expense we incurred this quarter, totaling approximately R$ 12 million. These expenses are exclusively related to our transactions with Compass and Mavic App. We prioritize transparency, and I want to assure our investors that there are no other items included in this line and the non-recurrence aspects of this expense. There will be more expenses linked with the closing of the transaction with Compas and with other M&A projects we are currently engaged in if they go forward.

Bruno: By practicing product cost control, we have positioned ourselves to accelerate the growth of FRE and DE when market conditions become more favorable.

Sergio Pasta: Before we proceed, I'd like to provide some clarity on the non-operation expense we incurred this quarter, totaling approximately 12 million reais. These expenses are exclusively related to our transactions with Compass and MediCaptor. We prioritize transparency, and I want to assure our investors that there are no other items included in this line, and the non-reconance expects of these expense. There will be more expense linked with the closing of the transaction with Compass and with other M&A projects we are currently engaged if they go fault.

Bruno: Before we proceed, I'd like to provide some clarity on the non-operation expense we incurred this quarter, totaling approximately R$ 12 million.

Bruno: These expenses are exclusively related to our transactions with Compass and MAVIC Capital.

Bruno: We prioritize transparency and I want to assure our investors that there are no other items included in this line and the non-recurrence aspects of this expense.

Bruno: There will be more expense linked with the closing of the transaction with Compass and with other M&A projects. We are currently engaged if they go forward.

Sergio Pasta: The success is a direct result of our focus efforts in private market fund erasings and our diligent cost management. By practicing product cost control, we opposition ourselves to accelerate the growth of FRI NDE when market conditions become more favorable.

Sergio Pasta: Turning to PRU results, performance FRI have remained relative modest due to the market volatility experiencing the first half of the year. This quarter recognized a partial realization of performance FRIs from FRI in FRI's mission. Since this performance was a red booked on our balance sheet, its impact on PRE is neutral, but it positively affects the distributed world. It's important to note that this recognized FRIs is seen from a cash distribution related to our asset sold in 2021. The fund still holds one remain asset which we expect to realize in income quarters, potentially leading to a higher level of performance FRIs.

Sergio Passos: Turning to PRE results, performance fees remained relatively modest due to the marked volatility experienced in the first half of the year. This quarter, we recognized a partial realization of performance effects from FIP infotransmission. Since this performance was already booked on our balance sheet, its impact on PRE is neutral, but it positively affects distributable work. It's important to note that this recognized fee is seen from a cash distribution related to an asset sold in 2021. The Fund still holds one remaining asset, which we expect to realize in the coming quarters, potentially leading to a higher level of performance. Before moving, On to the next thought.

Sergio Passos: Turning to PRE results, performance fees remained relatively modest due to the marked volatility experienced in the first half of the year. This quarter, we recognized a partial realization of performance effects from FIP infotransmission. Since this performance was already booked on our balance sheet, its impact on PRE is neutral, but it positively affects distributable earnings. It's important to note that this recognized fee is seen from a cash distribution related to an asset sold in 2021. The Fund still holds one remaining asset, which we expect to realize in the coming quarters, potentially leading to a higher level of performance. Before moving,

Bruno: Turning to PRE results, performance fee have remained relatively modest due to the marked volatility experienced in the first half of the year.

Bruno: In this quarter, we recognized a partial realization of the performance fees of the FIP and infra-transmission.

Sergio Pasta: Before we proceed, I'd like to provide some clarity on the non-operation expense we incurred this quarter, totaling approximately 12 million reais. These expense are exclusively related to our transactions with Compass and MediCaptor. We prioritize transparency and I want to assure our investors that there are no other items included in this line and the non-reconance expects of these expense. There will be more expense linked with the closing of the transaction with Compass and with other M&A projects we are currently engaged if they go fault.

Speaker Change: since this performance was a red bookket on our balance sheet its impact on pr is neutral but it positbively affectsed recipitable warrs

Bruno: It's important to note that this recognized fees is seen from a cash distribution related to an asset sold in 2021.

Bruno: The Fund still holds one remaining asset, which we expect to realize in the coming quarters, potentially leading to a higher level of performance effects.

Sergio Pasta: Before moving on to the next topic, I'd like to highlight the performance potential of our platform. First, we have approximately 16 billion reais in performance-eligible assets on the management across IPNS and public acreage. When market conditions improve, this could become a significant source of earnings. Second, private markets funds. Gross accrued performance FRIs exceed 350 million reais in the second quarter. While liquid funds may impact earnings in the short to medium terms, the performance FRIs for private markets are expected to begin materializing only in 2026 as this funds matter.

Sergio Passos: On to the next stop. I'd like to highlight the performance potential of our platform. First, we have approximately R$16 billion in performance-eligible assets under management across IP&S and public equity. When market conditions improve, this could become a significant source of earnings. Second, the Private Markets Fund. Gross Accrued Performance Fees exceeded R$ 350 million in the second quarter.

Bruno: Before moving...

Sergio Passos: I'd like to highlight the performance potential of our platform. First, we have approximately R$16 billion in performance-eligible assets under management across IP&S and public equity. When market conditions improve, this could become a significant source of earnings. Second, the Private Markets Fund. Gross Accrued Performance Efficiency exceeded R$ 350 million in the second quarter. While liquid funds may impact earnings in the short to medium terms, performance fees for private markets are expected to begin materializing only in 2026 as these funds mature. To wrap up, I would like to cover our distributable ones.

Speaker Change: On to the next talk.

Speaker Change: I would like to highlight the performance potential of our platform. First, we have approximately R$16 billion in performance eligible assets under management across IP&S and public equities.

Sergio Pasta: Turning to PRU results, performance FRI have remained relative modest due to the market volatility experiencing the first half of the year. This quarter reacognized a partial realization of performance FRIs from FRI in FRI's mission. Since this performance was a red booked on our balance sheet, its impact on PRE is neutral, but it positively affects the distributed world. It's important to note that this recognized FRIs is seen from a cash distribution related to our asset sold in 2021. The fund is still holds one remain asset which we expect to realize in income quarters, potentially leading to a higher level of performance FRIs.

Speaker Change: When market conditions improve, this could become a significant source of earnings.

Speaker Change: secondprivate markss fance

Speaker Change: Gross Accrued Performance Fees exceeded R$ 350 million in the second quarter.

Sergio Passos: While liquid funds may impact earnings in the short to medium terms, performance fees for private markets are expected to begin materializing only in 2026 as these funds mature. To wrap up, I would like to discuss our distributable earnings. I just saw that distributor earnings totaled R$ 58 million in the second quarter of 2024, or R$ 1.10 per share, down 16% year-over-year on a per share basis, due to a combination of two facts.

Bruno: While liquid funds may impact earnings in the short to medium terms, the performance fees for private markets are expected to begin materializing only in 2026 as these funds mature.

Sergio Pasta: Turora Pap, I'd like to cover our distributable workings. I just heard the distributable workings totaled 58,000,000 reais in the second quarter of 2024, or 1,000, and $0.10 per share, down 16% year-over-year on a per share basis, due to a combination of two factors. First, the second quarter of 2023 saw an unusually strong financial income, benefiting from a combination of higher-liquid portfolio size, higher nominal interest rates, and another all more favorable marked environment. Second, this quarter we had an effects rate impact on Vinci's net debt position in the US dollar is stemming from the operation with areas.

Bruno: To conclude, I would like to cover our distributed news.

Sergio Passos: I just said that distributor earnings totaled R$ 58 million in the second quarter of 2024, or R$ 1.10 per share, down 16% year-over-year on a per share basis due to a combination of two facts. First, the second quarter of 2023 saw an unusually strong financial index, benefiting from a combination of higher liquid portfolio size, higher nominal interest rates, and an overall more favorable market environment. Second, this quarter we had an FX rate impact on Vinci's net debt position in the US dollar stemming from the operation with Aries.

Bruno: Adjusted distributor earnings totaled R$ 58 million in the second quarter of 2024 or R$ 1.10 per share.

Sergio Pasta: Before moving on to the next top, I'd like to highlight the performance potential of our platform. First, we have approximately 16 billion reais in performance eligible assets on the management across IPNS and public acreage. When market conditions improve, this could become a significant source of earnings. Second, private markets funds. Gross accrued performance FRIs exceed 350 million reais in the second quarter. While liquid funds may impact earnings in the short to medium terms, the performance FRIs for private markets are expected to begin materializing only in 2026 as this funds matter.

Bruno: down 16% year-over-year on a per share basis.

Sergio Passos: First, the second quarter of 2023 saw an unusually strong financial index, benefiting from a combination of higher liquid portfolio size, higher nominal interest rates, and an overall more favorable market environment. Second, this quarter, we had an FX rate impact on Vinci's net debt position in the US dollar, steaming from the operation with Aries. This had an impact of approximately R$ 6.5 billion, or R$ 0.12 per share, on adjusted distributor earnings. It's important to note that while we experience a short-term negative impact from FX rate depreciation, VINC derives about 25% of its net revenue in the US dollar.

Bruno: due to a combination of two factors.

Bruno: First, the second quarter of 2023 saw unusually strong financial income.

Bruno: benefiting from a combination of higher liquid portfolio size, higher nominal interest rates and an overall more favorable market environment.

Bruno: Second, this quarter we had an FX rate impact on Vinci's net debt position in US dollar, steaming from the operation with Aries.

Sergio Pasta: This had an impact of approximately 6.5 million reais, or 12 reais since per share, on adjusted distributable workings. It's important to note that while we experience a short-term negative impact from effects rate depreciation, Vinci arrives about 25% of its net revenue in US dollars. Therefore, this short-term effect on distributable earnings is expected to reverse and positively impact our fee-related earnings in the common quarters. I would like to once again rate-a-rate the positive outlook for fee-related earnings over the next quarter and the great momentum that we encountered as a firm. We remain committed to generating shallow value to both organic and inorganic paths.

Sergio Passos: These had an impact of approximately R$ 6.5 billion, or R$ 0.12 per share on adjusted distributed earnings. It's important to note that while we experience a short-term negative impact from FX rate depreciation, Vinci derives about 25% of its net revenue in the US dollar. Therefore, the short-term effect on distributable earnings is expected to reverse and possibly impact our fee-related earnings in the coming quarter. In closing, I would like to once again reiterate the positive outlook for fee-related earnings over the next quarters and the great momentum that we have experienced as a firm. We remain committed to generating shareholder value through both organic and inorganic paths.

Bruno: This had an impact of approximately R$ 6.5 billion or R$ 0.12 per share on adjusted distributed earnings.

Sergio Pasta: Turora Pap, I'd like to cover our distributable workings. I just heard the distributable workings totaled 58,000,000 reais in the second quarter of 2024, or 1,000, and $0.10 per share, down 16% year-over-year on a per share basis, due to a combination of two factors. First, the second quarter of 2023 saw an usually strong financial income, benefiting from a combination of higher-liquid portfolio size, higher nominal interest rates, and another all more favorable marked environment.

Bruno: It's important to note that while we experience a short-term negative impact from FX rate depreciation,

Bruno: Vinci derives about 25% of its net revenue in US dollar. Therefore, the short-term effect on distributable earnings is expected to reverse and possibly impact our fee-related earnings in the coming quarters.

Sergio Passos: Therefore, the short-term effect on distributable earnings is expected to reverse and positively impact our fee-related earnings in the coming quarters. In closing, I would like to once again reiterate the positive outlook for fee-related earnings over the next quarters and the great momentum that we have encountered as a firm. We remain committed to generating shareholder value through both organic and inorganic paths.

Bruno: In closing, I would like to once again reiterate the positive outlook for fee-related earnings over the next quarters and the great momentum that we encountered as a firm.

Sergio Pasta: Second, this quarter we had an effects rate impact on Vinci's net debt position in the US dollar is stemming from the operation with areas. This had an impact of approximately 6.5 million reais, or 12 reais since per share, on adjusted distributable workings. It's important to note that while we experience a short-term negative impact from effects rate depreciation, Vinci arrives about 25% of its net revenue in US dollar. Therefore, this short-term effect on distributable earnings is expected to reverse and positively impact our fee-related earnings in the common quarters.

Bruno: We remain committed to generating shareholder value through both organic and inorganic paths.

Unknown Executive: With that, I would like to close our remarks and open the call for questions. Once again, I would like to thank you for joining our call.

Sergio Passos: With that, I would like to close our remarks and open the call for questions. Once again, I would like to thank you for joining our call. Please, operator, you can proceed with the questions. Thank you.

Speaker Change: With that, I would like to close our remarks and open the call for questions. Once again, I would like to thank you for joining our call. Please, operator, you can proceed with the questions. Thank you.

Unknown Executive: Please, operator, you can proceed with the questions. Thank you. We are now going to start the question and answer session for investors and analysts. If you wish to ask a question, please press the raise hand button. Wait while we pull for questions.

Operator: We are now going to start the question and answer session for investors and analysts. If you wish to ask a question, please press the raise your hand button. Wait while we pull for questions. Our first question comes from Ricardo Buchpiguel with BTG. You can open your microphone. Hi everyone, and thank you for your questions.

Speaker Change: We are now going to start the question and answer session for investors and analysts. If you wish to ask a question, please press the raise hand button.

Hikar Dubushpiga: Our first question comes from Hikar Dubushpiga with BTG. You can open your microphone. Hi, everyone. Thank you for making questions. I have two here on my side.

Speaker Change: Wait while we pull for questions.

Speaker Change: Our first question comes from Ricardo Buchpiguel with BTG. You can open your microphone.

Ricardo Buchpiguel: Hi everyone, and thank you for the opportunity to ask questions. I have two here on my side.

Sergio Pasta: I would like to once again rate-a-rate the positive outlook for fee-related earnings over the next quarter and the great momentum that we encountered as a firm. We remain committed to generating shallow value to both organic and inorganic paths.

Ricardo Buchpiguel: Hi everyone and thank you for the opportunity of making questions. I have two here on my side. Can you please talk about what type of clients and geographies have you been focusing on your fundraising for private markets?

Ricardo Buchpiguel: Can you please talk about what type of clients and geographies have you been focusing on in your fundraising for private markets? And do you believe it will be more challenging to raise money now that you are moving to focus more on international clients given the current market conditions? And also related to this topic, if you could remind us, out of the R$15 billion target for fundraising from 2022 to 2024, how much have you raised so far? Thank you.

Hikar Dubushpiga: Can you please talk about what type of clients and geographies have been focusing on your fundraising for private markets? Do you believe it will be more challenging to raise money now that you are moving to focus more international clients, given the current market conditions? Also related to the topic, if you could remind us out of the 15 billion high target of fundraising from 2022 to 2024, how much have you raised so far?

Speaker Change: And do you believe it will be more challenging to raise money now that you are moving to focus more on international clients given the current market conditions?

Unknown Executive: With that, I would like to close our remarks and open the call for questions. Once again, I would like to thank you for joining our call. Please, operator, you can proceed with the questions. Thank you. We are now going to start the question and answer session for investors and analysts. If you wish to ask a question, please press the raise hand button. Wait while we pull for questions.

Speaker Change: And also related to this topic, if you could remind us, out of the 15 billion reais target of fundraising from 2022 to 2024, how much have you raised so far? Thank you.

Alessandro Horta: Thank you. Hi, Hikar Dubu. Thank you very much for the question.

Alessandro Horta: Hi Ricardo. Thank you very much for the question. That's Alessandro speaking here. Just to your first point regarding the type and geographies of clients for private markets, that, of course, depends a bit on each of the private market asset classes. Talking about private equity, the last quarter, as we mentioned, the 550 million reais of fundraising came both from local and international investors. The international investors came more from Europe this quarter, and locally, they came more from institutional local investors. I would say more around half-half of both sources in terms of..., Private Markets. Talk a little bit more about infrastructure. So we are talking about the ICC.

Alessandro Horta: Hi Ricardo. Thank you very much for the question. That's Alessandro speaking here. Just to your first point regarding the type and geographies of clients for private markets, that, of course, depends a bit on each of the private market asset classes. Talking about private equity, the last quarter, as we mentioned, the 550 million reais of fundraising came both from local and international investors. The international investors came more from Europe this quarter, and locally, they came more from institutional local investors. I would say more around half-half of both sources in terms of... private markets. Talk a little bit more about infrastructure. So we are talking about the ICC.

Alessandro Horta: That's Alexander speaking here. Just to your first point regarding the type and geographies of clients of private markets, that, of course, depends a bit of each of the private market asset classes. Talking about private equity, the last quarter, as we mentioned, the 500 and 50 million high of fundraising, they came both from local and international investors. The international investors came more from Europe this quarter, and locally, they were coming more from institutional local investors. I would say more around half half of both sources in terms of private markets.

Speaker Change: Ricardo, thank you very much for the question, that's Alessandro speaking here.

Speaker Change: Just to your first point regarding the type and geographies of clients.

Hikar Dubushpiga: Our first question comes from Hikar Dubushpiga with BTG. You can open your microphone. Hi, everyone. Thank you for making questions. I have two here on my side.

Speaker Change: of Private Markets.

Bruno: That, of course, depends a bit on each of the private market asset classes.

Bruno: Talking about private equity, the last quarter, as we mentioned, the 550 million reais of fundraising, they came both from local and international investors.

Alessandro Horta: Can you please talk about what type of clients and geographies have been focusing on your fundraising for private markets? Do you believe it will be more challenging to raise money now that you are moving to focus more international clients given the current market conditions? Also related to the topic, if you could remind us out of the 15 billion high target of fundraising from 2022 to 2024, how much have you raised so far?

Bruno: The international investors came more from Europe this quarter, and locally they were coming more from institutional local investors.

Bruno: I would say more around half-half of both sources in terms of

Alessandro Horta: Talk a little bit more about infrastructure. So we are talking about the ICC. Recently, you have been a very important push in Asia, where we expect some few commitments coming for the next few quarters. And we had a very strong success, as we mentioned in previous calls in Europe. Now, we have a more like a soft circle and expected pipeline of raising more in Asia going forward. And in SPS, as Bruno Mason, I think we are expecting the first close to come more from local investors, especially high net worth, single family offices, multi-family offices, in some allocators and distributors.

Bruno: of Private Markets. Talk a little bit more about...

Alessandro Horta: Recently, you have been a very important push in Asia, where we expect some few commitments coming for the next few quarters. And we had a very strong success, as we mentioned, in previous calls in Europe. Now, we have a more like soft circled and expected pipeline of fundraising in Asia going forward. And in SPS, as Bruno mentioned, I think, we are expecting the first flows to come more from local investors, especially high net worth, single family office, multifamily office, and some allocators and distributors, and then, moving forward, from international investors. That will come; we expect more from the North American market and also from Asia. Okay, and I'll leave the second part of your question to Bruno to comment on that.

Speaker Change: infrastructure so we are talking about the sec recently you have been a very important push

Alessandro Horta: Thank you. Hi, Hikar Dubu. Thank you very much for the question. That's Alexander speaking here. Just to your first point regarding the type and geographies of clients of private markets, that, of course, depends a bit of each of the private market asset classes. Talking about private equity, the last quarter, as we mentioned, the 500 and 50 million high of fundraising, they came both from local and international investors. The international investors came more from Europe, this quarter, and locally, they were coming more from institutional local investors. I would say more around half half of both sources in terms of of private markets.

Speaker Change: in Asia,

Speaker Change: where do we expect some few commitments coming for the next few quarters?

Speaker Change: And we had a very strong success, as we mentioned.

Speaker Change: inaseyour calls

Speaker Change: in Europe . Now we have a more like soft-circled and expected pipeline of fundraising more in Asia going forward.

Bruno: And in SPS, as Bruno mentioned, I think...

Bruno: We are expecting the first flows to come more from local investors.

Speaker Change: especially high net worth, single family office, multifamily office, and some allocators and distributors. And then moving forward from international investors.

Alessandro Horta: And then moving forward from international investors, that will come, we expect more from the North American market and also from Asia. Okay.

Alessandro Horta: And then moving forward from international investors. That will come; we expect more from the North American market and also from Asia. Okay, and I'll leave the second part of your question to Bruno to comment on that.

Alessandro Horta: Talk a little bit more about infrastructure. So we are talking about the ICC. Recently, you have been a very important push in Asia, where we expect some few commitments coming for the next few quarters. And we had a very strong success as we mentioned in previous calls in Europe. Now, we have a more like a soft circle and expected pipeline of raising more in Asia going forward. And in SPS, as Bruno Mason, I think, we are expecting the first close to come more from local investors, especially high net worth, single family offices, multi-family offices, in some allocators and distributors.

Bruno: That will come, we expect more from the North American market and also from Asia, okay? And I'll leave the second part of your question to Bruno to complement on that.

Bruno Zaremba: And I'll leave the second part of your question to Bruno to complement on that. Yeah, Ricardo, good, good talking to tonight. We are currently at about 10 billion of the 15 billion targets. We have, as you know, the next six months, we have commitments coming from all of the funds that we have there still open. Our expectations at the contribution to the end of the year will be likely stronger from SPS on a relative basis now that the other funds are tapering off a little bit. So we expect some commitments still from DCP, the ICC, and Credit Info.

Bruno Zaremba: Yeah, Ricardo, it's good talking to you tonight. We are currently at about $10 billion of the 15 billion targets. We have, as you know, the next six months we have commitments coming from all of the funds that we have that are still open. Our expectation is that the contribution until the end of the year will be likely stronger from SPS, a first close to happen now in the third and fourth quarters.

Bruno Zaremba: Yeah, Ricardo, it was good talking to you tonight. We are currently at about $10 billion, uh... up to the fifteen billion target we have, as you know, that next six months ago that commit this coming from all of the funds that we have, but we had to open our petitions that the contribution uh... to p.m. the fear will be likely stronger from sps a first close to happen now in the third and fourth quarters, but we are today at close to about $10 billion

Bruno: i got a good good talking to tonight we are currently at about ten billion

Bruno: of the 15 billion targets.

Bruno: We have, as you know, the next six months we have commitments coming from all of the funds that we have that are still open. Our expectation is that the contribution to the end of the year will be likely stronger from SPS.

Bruno: On a relative basis, now that the other funds are tapering off a little bit, so we expect some commitment still from...

Bruno Zaremba: But our biggest check will likely come from SPS until the end of the year, that we have an expected big first close to happen now in the third and fourth quarters. But we are today at close to about 10 billion.

Bruno: VCP, the ICC and Credit Infra, but our biggest check will likely come from SPS until the end of the year that we have an unexpected big first close to happen now in the third and fourth quarters. But we are today at close to about $10 billion.

Alessandro Horta: And then moving forward from international investors, that will come, we expect more from the North American market and also from Asia. Okay. And I'll leave the second part of your question to Bruno to complement on that.

Unknown Executive: Thank you very much, guys.

Alessandro Horta: Thank you very much, guys.

Bruno Zaremba: Thank you very much, guys.

Bruno: Thank you very much guys.

Beatriz Abril: Our next question comes from Beatriz Abril with Goldman Sachs.

Beatriz Abreu: Our next question comes from Beatriz Abreu with Goldman Sachs. You can open your microphone. Hi, everyone.

Bruno Zaremba: Yeah, Ricardo, good, good talking to tonight. We are currently at about 10 billion of the 15 billion targets. We have, as you know, the next six months, we have commitments coming from all of the funds that we have there still open. Our expectations at the contribution to the end of the year will be likely stronger from SPS on a relative basis now that the other funds are tapering off a little bit.

Speaker Change: Our next question comes from Beatriz Abreu with Goldman Sachs.

Beatriz Abril: You can open your microphone. Hi, everyone. Good evening, and thanks for taking my question. I have two questions on my side. The first one is on the positive management fees due to the catch-up fees mostly from BCP4, and I see that you have a good pipeline for fundraising expected for the second half of the year. I guess my question is related to next year since, you know, the 15 billion high fundraising target is until the end of this year.

Beatriz Abreu: Hi, everyone. Good evening, and thanks for taking my question. I have two questions on my side. The first one is on the positive management fees, right, due to the catch-up fees, mostly from VCP4, and I see that you have a good pipeline for fundraising expected for the second half of the year. I guess my question is related to next year. Since, you know, the $15 billion fundraising target is until the end of this year, what are you expecting the, you know, increase in fundraising to come from mostly next year?

Speaker Change: You can open your microphone.

Beatriz Abreu: Hi everyone, good evening and thanks for taking my question. I have two questions on my side. The first one is...

Speaker Change: on the positive management fees right due to the catch-up fees mostly from VCP4 and I see that you have a good

Speaker Change: pipeline for fundraising expected for the second half of the year. I guess my question is related to next year. Since, you know, the $15 billion has fundraising target is until the end of this year. What are you expecting the, you know, increase in fundraising to come from mostly for next year?

Bruno Zaremba: So we expect some commitments still from DCP, the ICC, and credit info. But our biggest check will likely come from SPS until the end of the year that we have an expected big first close to happen now in the third and fourth quarters. But we are today at close to about 10 billion. Thank you very much, guys.

Alessandro Horta: What are you expecting the increase in fundraising to come from mostly for next year? And the second question is related to the strong appreciation of the crude performance fees this quarter. If you can comment a little bit more about what drove that, maybe if you could get some color on the investments and what are your expectations for timing of performance fees distributions or any of the funds close to their hurdle rate, if you could talk a little bit more about that, would be great. Thank you.

Beatriz Abreu: And the second question is related to the strong appreciation of accrued performance fees this quarter. If you can comment a little bit more about what drove that, maybe if you could give some color on the investments, and what are your expectations for the timing of performance fee distributions or any of the funds close to their hurdle rate, if you could talk a little bit more about that, it would be great. Thank you.

Speaker Change: and the second question is related to the strong appreciation of the crude performance fees this quarter if you can comment a little bit more about what drove that maybe you could give some color on the investments

Beatriz Abril: Our next question comes from Beatriz Abril with Goldman Sachs. You can open your microphone. Hi, everyone. Good evening and thanks for taking my question. I have two questions on my side. The first one is on the positive management fees due to the catch-up fees mostly from BCP4 and I see that you have a good pipeline for fundraising expected for the second half of the year. I guess my question is related to next year since, you know, the 15 billion high fundraising target is until the end of this year.

Speaker Change: And what are your expectations for timing of performance fees, distributions, or any of the funds close to their hurdle rate, if you could talk a little bit more about that, it would be great. Thank you.

Beatriz Abril: What are you expecting the increase in fundraising to come from mostly for next year? And the second question is related to the strong appreciation of the crude performance fees this quarter. If you can comment a little bit more about what drove that maybe if you could get some color on the investments and what are your expectations for timing of performance fees distributions or any of the funds close to their hurdle rate if you could talk a little bit more about that would be great.

Alessandro Horta: Hi, Beatriz. How are you? That's Alessandro.

Alessandro Horta: Hi Beatriz, how are you? That's Alessandro. It's nice to have you with us today.

Alessandro Horta: Nice to have you today with us. Starting with the first part of the question regarding management fees, accruals, retroactive fees, sorry, regarding, especially as I said, regarding VCB4. And that's a very good question. We expect a good part of VCB4 to be concluded this year. And also the ICC. But we do expect from both some final fund raising to the beginning of next year. Next year we have, we expect the international portion of SPS4. So that will be something that will be tapping probably in the end of this year to the beginning of that next year, maybe first and second quarter, maybe.

Speaker Change: Hi Beatriz, how are you? That's Alessandro. Nice to have you today with us.

Alessandro Horta: Starting with the first part of the question regarding management fees, accrued, retroactive fees, sorry, regarding, especially as you said, regarding VCB4, and that's a very good question. We expect a good part of VCP4 to be concluded this year, and also the ICC, but we do expect from both some final fundraising to the beginning of next year. Next year, we'll have, we expect the international portion of SPS4. So that will be something that we will be tapping probably at the end of this year to the beginning of the next year, maybe first and second quarter, maybe.

Speaker Change: Starting with the first part of the question regarding management fees, accruals, retroactive fees, sorry, regarding, especially as I said, regarding VCB4, and that's a very good question.

Alessandro Horta: Starting with the first part of the question regarding management fees, accruals, retroactive fees, sorry, regarding, especially as you said, regarding VCB4. And that's a very good question. We expect a good part of VCP4 to be concluded this year, and also the ICC, but we do expect from both some final fundraising to the beginning of next year. Next year, we'll have the international portion of SPS4 So that will be something that we tap probably at the end of this year to the beginning of the next year, maybe the first and second quarter, maybe.

Speaker Change: Good part of VCP4 to be concluded this year, and also the ICC, but we do expect from both some final fundraising to the beginning of next year.

Bruno: Next year, we'll have, we'll expect...

Bruno: the international portion of SPS 4, so that will be something that will be tapping probably in the end of this year to the beginning of the next year, maybe first and second quarter, maybe.

Alessandro Horta: And also we will have a few products, especially VIR5, that we postpone at the beginning of the fund raising that will be more important next year. And also VFDL too, that's our logistics private equity type real estate fund that again will be to next year. With that of that, also we expect the opportunistic residential real estate fund also to be relevant next year. So we'll be having less of the funds that we are already reaching the targets like VCB4 and the ICC. But we'll still have important contribution that we expect coming from SPS4 in terms of fundraising.

Alessandro Horta: And also, we'll have a few products, especially VIR5 that we postponed at the beginning of the fundraising that will be more important next year. And also, VFDL2, that's our logistics private equity type real estate fund that, again, will be important next year. Also, we expect the opportunistic residential real estate fund also to be relevant next year. So we'll be having less of the funds that we are already reaching the targets like VCP4 and the ICC, but we'll still have an important contribution that we expect coming from SPS4 in terms of fundraising, VIR5, VFDL2, and the opportunistic real estate fund. Second Vintage next year, and I'll leave Bruno to talk a little bit about the appreciation of the expected performance fee.

Alessandro Horta: And also, we'll have a few products, especially VIR5 that we postponed at the beginning of the fundraising, that will be more important next year. And also, VFDL2, that's our logistics, private equity-type, real estate fund that, again, will be important next year. Also, we expect the opportunistic residential real estate fund also to be relevant next year. So we'll be having less of the funds that we have already reached the targets like VCP4 and the ICC, but we'll still have an important contribution that we expect coming from SPS4 in terms of fundraising, VIR5, VFDL2, and the opportunistic real estate fund. Second Vintage next year, and I'll leave Bruno to talk a little bit about the appreciation of the expected performance fee.

Bruno: And also, we will have a few products.

Beatriz Abril: Thank you. Hi, Beatriz. How are you? That's Alessandro. Nice to have you today with us. Starting with the first part of the question regarding management fees, accruals, retroactive fees, sorry, regarding, especially as I said, regarding VCB4. And that's a very good question. We expect good part of VCB4 to be concluded this year. And also the ICC. But we do expect from both some final fund raising to the beginning of next year.

Speaker Change: especially VIR.

Speaker Change: Five

Speaker Change: that we postponed at the beginning of the fundraising that will be more...

Bruno: important next year, and also VFDL2, that's our logistics.

Speaker Change: private equity type.

Speaker Change: Real Estate Funds.

Speaker Change: That, again, will be to next year.

Speaker Change: Beside of that, also, we expect the opportunistic residential real estate fund also to be relevant next year. So, we'll be having less of the funds that we already...

Beatriz Abril: Next year we have, we expect the international portion of SPS4. So that will be something that will be tapping probably in the end of this year to the beginning of that next year, maybe first and second quarter, maybe. And also we will have a few products, especially VIR5 that we postpone at the beginning of the fund raising that will be more important next year. And also VFDL too, that's our logistics private equity type real estate fund that again will be to next year.

Speaker Change: breachand

Speaker Change: The targets like VCP4 and VICC, but we still have important contributions that we expect coming from FDL4 in terms of fundraising, VRR5, VFDL2, and the opportunistic real estate fund.

Alessandro Horta: VIR5, VFDL2, and the opportunistic real estate fund that can vintage next year.

Bruno Zaremba: And I'll leave Bruno to talk a little bit about the precision of expected performance fee. Yeah, I think the performances, something that we have discussed also in the past, we're seeing other families of products starting to contribute, right, to the future performances. In the case of this quarter, we saw mainly SPS coming into the coming into the math. So just as an information, the first SPS fund is already paying performances. They are not impacting our numbers because, in the transaction, we negotiated that the first couple of funds, the performance would be retained by the management teams. But the third fund is also above the preferred return rate and started to accrue towards the future performance fee as well.

Speaker Change: Second Vintage next year.

Speaker Change: and I'll leave Bruno to talk a little bit about the appreciation of expected performance fee.

Bruno Zaremba: Yeah, I think the performance fees, something that we have discussed in the past, we're seeing other families of products starting to contribute, right, to future performance. In the case of this quarter, we saw mainly SPS coming into the..., into the MAP. So, just as an information note, the first SPS fund is already paying performance. It will not impact your numbers because, in the transaction, we negotiated that for the first couple of funds, performance would be retained by the management teams. But the third fund is also above the preferred return rate and has started to accrue towards future performance fees as well. SPS has a profile of a quicker turnaround in terms of performance.

Bruno Zaremba: Yeah, I think the performance fees, something that we have discussed in the past, we're seeing other families of products starting to contribute, right, to future performance. In the case of this quarter, we saw mainly SPS coming into the..., into the math. So, just as an information note, the first SPS fund is already paying performance. It will not impact your numbers because, in the transaction, we negotiated that for the first couple of funds, performance would be retained by the management teams. But the third fund is also above the preferred return rate and has started to accrue towards future performance fees as well. SPS has a profile of a quicker turnaround in terms of performance.

Bruno: Yeah, I think that the performance is something that we have discussed also in the past. We're seeing other families of products starting to contribute, right, to the future performances.

Bruno: In the case of this quarter, we saw mainly SPS coming into the...

Beatriz Abril: With that of that, also we expect the opportunistic residential real estate fund also to be relevant next year. So we'll be having less of the funds that we are already reaching the targets like VCB4 and the ICC. But we'll still have important contribution that we expect coming from SPS4 in terms of fund raising. VIR5, VFDL2 and the opportunistic real estate fund that can vintage next year. And I'll leave Bruno to talk a little bit about the precision of expected performance fee.

Bruno: coming into the math.

Bruno: So, just as an information, the first SPS fund is already paying performance fees.

Speaker Change: They do not impact our numbers because in the transaction we negotiated that the first couple of funds, the performance would be retained by the management teams.

Bruno: But the third fund...

Speaker Change: is also above the preferred return rate and started to accrue towards the future performance fees as well.

Bruno Zaremba: SPS has a profile of a quicker turnaround in terms of the performance. So if you think about the fact that they're paying already performance from funds one and probably fund two very quickly. Those funds are around five years old. So thinking about fund three, we would expect that fund three to start paying performances probably into late 2025, early 26. So of that accrue performance, I think probably SPS will likely be the first one to start transitioning to realize GP results. And then after that we're likely going to see VCP-3 as the one that is going to start contributing, but VCP-3 probably a little bit later in terms of dates.

Speaker Change: SPS has a profile of a quicker

Bruno Zaremba: So if you think about the fact that they are already paying performance fees from Fund 1 and probably Fund 2 very quickly, those funds are around 5 years old. So thinking about Fund 3, we would expect Fund 3 to start paying performance fees probably into late 2025 or early 2016. So of that accrued performance, I think SPS will likely be the first one to start transitioning to real IGP results, and then after that, we're likely going to see VCP3 as the one that is going to start contributing, but VCP3 probably a little bit later in terms of date.

Bruno Zaremba: So if you think about the fact that they are already paying performance fees from funds one and probably fund two very quickly, those funds are around five years old. So thinking about fund three, we would expect fund three to start paying performance fees probably into the late 2025. I think SPS will likely be the first one to start transitioning to real IGP results, and then after that, we're likely going to see VCP3 as the one that is going to start contributing, but VCP3 probably a little bit later in terms of dates.

Speaker Change: Turnaround in terms of the performance. So if you think about

Beatriz Abril: Yeah, I think the performances, something that we have discussed also in the past, we're seeing other families of products starting to contribute, right, to the future performances. In the case of this quarter we saw mainly SPS coming into the coming into the math. So just as an information, the first SPS fund is already paying performances. They are not impacting our numbers because in the transaction we negotiated that the first couple of funds the performance would be retained by the management teams.

Speaker Change: the fact that they are paying already performance from Funds 1 and probably Funds 2 very quickly.

Speaker Change: those funds are around five years old so thinking about fundtorythree we would expect that fund to start pay performanceis probably into played two thousand and twenty-five

Beatriz Abril: But the third fund is also above the preferred return rate and started to accrue towards the future performance fee as well. SPS has a profile of a quicker turnaround in terms of the performance. So if you think about the fact that they're paying already performance from funds one and probably fund two very quickly. Those funds are around five years old. So thinking about fund three, we would expect that fund three to start paying performances probably into late 2025, early 26.

Speaker Change: early 26. So of that accrued performance, I think probably SPS will likely be the first one to start transitioning to Realized GP results and then after that we're likely going to see VCP3.

Speaker Change: as the one that is going to start contributing, but VCP3 probably a little bit later in terms of date. But I would expect that diversification of the...

Bruno Zaremba: But I would expect that diversification of the performances on the accrue part to continue. So we likely see other families of funds starting to have a piece of that pie going forward. So we have the infra funds as well. At some point, they should start other infra funds to start contributing there. Obviously, the contribution from SPS is likely going to grow in size over time. So the tendency that for the next few years are going to see that pie diversify an increasing size. And then likely by the end of '25, early '26, we're going to start seeing the beginning of that performance starting to transition as realized.

Bruno Zaremba: But I would expect that diversification of the... performance fees on the accrued part to continue. So, we will likely see other families of funds starting to have a piece of that pie going forward. So, we have the infrastructure funds as well. At some point, they should start, other infrastructure funds should start contributing there. Obviously, the contribution from SPS is likely going to grow in size over time.

Bruno Zaremba: But I would expect that diversification of the... performance fees on the accrued part to continue. So, we will likely see other families of funds starting to have a piece of that pie going forward. So, we have the infrastructure funds as well. At some point, they should start; other infrastructure funds should start contributing there. Obviously, the contribution from SPS is likely going to grow in size over time. So, the tendency is that, for the next few years, you're going to see that pie diversify and increase in size.

Speaker Change: performance fees on the accrued part to continue so we will likely see other families of funds starting to to have a piece of that pie going forward so we have the infra funds as well.

Speaker Change: At some point this should start.

Speaker Change: other Infrafunds to start contributing there. Obviously, the contribution from SPS is likely going to grow in size over time.

Bruno Zaremba: So, the tendency is that for the next few years, you're going to see that pie diversify and increase in size, and then, likely, by the end of 2025, early 2026, we're going to start seeing the beginning of that performance start to transition as realized. Just to add, finally, to complement Alessandro, I think one family of products to which the contribution so far in 2024 was very limited were the REITs, right? So, we had the contribution late 2023 from fundraising in the late third quarter and fourth quarter of last year.

Speaker Change: So, the tendency is that for the next few years, we're going to see that pie diversify and increase in size. And then likely by the end of 2025, early 2026, we're going to start seeing the beginning of that performance time start to transition as...

Bruno Zaremba: And then, likely by the end of 2025, early 2026, we're going to start seeing the beginning of that performance start to transition as realized. Just to add, to complement Alessandro, I think one family of products where the contribution so far in 2024 was very limited were the REITs, right? So, we had the contribution late 2023 from fundraising in the late third quarter and fourth quarter of last year. This is a group of products that we believe in a more benign environment, we can raise multiple billion REITs per year.

Beatriz Abril: So of that accrue performance, I think probably SPS will likely be the first one to start transitioning to realize GP results. And then after that we're likely going to see VCP-3 as the one that is going to start contributing, but VCP-3 probably a little bit later in terms of dates. But I would expect that diversification of the performances on the accrue part to continue. So we likely see other families of funds starting to have a piece of that pie going forward.

Bruno Zaremba: Just to complement, finally to complement Alessandro, I think one family of products that the contribution so far in 24 was very limited was the REITs. So we had the contribution late 23 from fund raising in the late third quarter and fourth quarter of last year. This is a group of products that we believe in a more benign environment. We can raise multiple billion reais per year. Unfortunately, so far this year has been more muted, given the volatility that we signed. The market has been more difficult to raise money for this type of product. But it's a product that we expect to contribute over time.

Speaker Change: as realized.

Speaker Change: just to compleliment ire to complement ific one

Speaker Change: family of products that

Speaker Change: The contribution so far in 2024 was very limited, was the REITs.

Speaker Change: So we had the contribution.

Bruno: late 23 from fundraising the Vizc in the late third quarter and fourth quarter of last year. This is a group of products that we believe

Bruno Zaremba: This is a group of products that we believe in a more benign environment, we can raise multiple billion REITs per year. Unfortunately, so far this year has been more muted, given the volatility that we saw in the market. It has been more difficult to raise money for this type of product. But it's a product that we expect to contribute over time. So, despite the fact that perhaps some of our closed-end drawdown funds are wrapping up, VCP, and VICC are going to wrap up by early 2025.

Speaker Change: In a more benign environment, we can raise multiple billion reais per year.

Speaker Change: Unfortunately, so far this year has been more muted, given the volatility that we saw in the market, it has been more difficult to raise money for this type of product. But it's a product that we expect to contribute over time. So despite the fact that perhaps some of our closed-end drawdown funds are wrapping up

Bruno Zaremba: Unfortunately, so far this year has been more muted, given the volatility that we saw in the market has been more difficult to raise money for this type of product. But it's a product that we expect to contribute over time. So, despite the fact that perhaps some of our closed-end drawdown funds are wrapping up, VCP, the ICC, are going to wrap up by by early 25 we should have other private market funds such as the REITs and the new products that Alessandro mentioned and on top of those potentially new credit products as well which we are developing at this point we're seeing more traction in credits our, A pension plan style credit fund is doing very well, it's raising multiple billion reais per day and several million per day and several million per week, it's already up to half a billion reais and continues to raise money, so we're seeing opportunities to develop new credit products similar to the ones that we're seeing abroad, more semi-liquid type style products, so that will likely be something that we expect to contribute also in 2025 and going forward.

Beatriz Abril: So we have the infra funds as well. At some point they should start other infra funds to start contributing there. Obviously the contribution from SPS is likely going to grow in size over time. So the tendency that for the next few years are going to see that pie diversify an increasing size. And then likely by the end of 25, early 26, we're going to start seeing the beginning of that performance starting to transition as realized.

Bruno Zaremba: So despite the fact that perhaps some of our closed-end drawdown funds are wrapping up. VCP, VICC are going to wrap up by it by early 25.

Speaker Change: VCP, VICC are going to wrap up by early 2025, we should have other private market funds such as the REITs and the new products that Alessandro mentioned, and on top of those potentially new credit products as well which we are developing at this point, we're seeing more traction in credit.

Bruno Zaremba: We should have other private market funds, such as the REITs and the new products that Alessandro mentioned. And on top of those, potentially new credit products as well, which we are developing at this point. We're seeing more traction in credit. A pension plan style credit fund is doing very well; it's raising multiple billion reais per day, several million per day, and several million per week. It's already up to half a billion reais and continues to raise money, so we're seeing opportunities to develop new credit products similar to the ones that we're seeing abroad, more semi-liquid type products, so that will likely be something that we expect to contribute also in 2025 and going forward.

Bruno Zaremba: We should have other private market funds such as the REITs and the new products that I was on the mention. And on top of those potentially new credit products as well, which we are developing at this point, we're seeing more traction credits. Our patient plan style credit fund is doing very well, is raising a multiple billion reais per day and several million per day and several million per week. It's already up to half a billion reais and continues to raise money. So we are seeing opportunities to develop new credit products, similar to the ones that we're seeing abroad, and more semi-liquid type style products.

Beatriz Abril: Just to complement, finally to complement Alessandro, I think one family of products that the contribution so far in 24 was very limited was the REITS. So we had the contribution late 23 from fund raising in the late third quarter and fourth quarter of last year. This is a group of products that we believe in a more benign environment. We can raise multiple billion reais per year. Unfortunately, so far this year has been more muted, given the volatility that we signed the market has been more difficult to raise money for this type of product.

Speaker Change: Our

Speaker Change: Pension plan style credit fund is doing very well.

Speaker Change: is raising multiple billion reais per day and several million per day and several million per week. It's already up to half a billion reais and continues to raise money, so we're seeing opportunities to develop new credit products.

Speaker Change: similar to the ones that we're seeing abroad, more semi-liquid type style products, so that will likely be something that we expect to contribute also in 2025 and going forward.

Bruno Zaremba: So that will likely be something that we expect to contribute also in 2025 and going forward.

Beatriz Abril: But it's a product that we expect to contribute over time. So despite the fact that perhaps some of our closed end drawdown funds are wrapping up. VCP, VICC are going to wrap up by it by early 25. We should have other private market funds such as the REITs and the new products that I was on the mention. And on top of those potentially new credit products as well, which we are developing at this point, we're seeing more traction credits.

Alessandro Horta: Just to complement that, Beatriz, to that point of Bruno, we are studying a lot of new products on the credit spectrum, and even using the best practices and exchanging, I would say, ideas with ARIS, and we believe that this type of semi-liquid type of funds will be something that probably will be very relevant moving forward, especially next year, as we identify the demand for this type of product, and they match very well with the, I would say, asset liability management of some of our clients.

Alessandro Horta: Just to complement that, Beatriz, to that point of Bruno, we are studying a lot of new products on the credit spectrum, and even using the best practices and exchanging, I'd say, ideas with ARIES, and we believe that this type of semi-liquid type of funds will be something that probably will be very relevant moving forward, especially next year, as we identify the demand for this type of product, and they match very well with the, I'd say, asset liability management of some of our clients.

Alessandro Horta: Just to compliment that, Beatriz, to that point of Bruno, we are studying a lot of new products on the credit spectrum and even using the best practices and exchanging, I'd say, ideas with Harris. And we believe that this type of semi-liquid type of fund will be something that probably will be very relevant moving forward, especially next year, as we identified demand for this type of products and they match very well with the, I'll say, asset liability management sum of our clients.

Speaker Change: Yes, just to complement that, Beatriz, to that point of Bruno...

Speaker Change: We are studying a lot of new products on the credit spectrum.

Speaker Change: and even using the...

Speaker Change: best practices and exchanging, I'd say, ideas with ARIES.

Speaker Change: And we believe that this type of semi-liquid type of funds will be something that probably will be very relevant moving forward, especially next year, as we identify the demand for this type of product, and they match very well with the, I'd say, asset liability management some of our clients.

Beatriz Abril: Our patient plan style credit fund is doing very well, is raising a multiple billion reais per day and several million per day and several million per week. It's already up to half a billion reais and continues to raise money. So we are seeing opportunities to develop new credit products, similar to the ones that we're seeing abroad, and more semi-liquid type style products. So that will likely be something that we expect to contribute also in 2025 and going forward.

Beatriz Abril: Perfect, that's very clear. Thank you, Alessandro and Bruno.

Alessandro Horta: Perfect. That's very clear. Thank you, Alessandro and Bruno.

Beatriz Abreu: Perfect. That's very clear. Thank you, Alessandro and Bruno.

Speaker Change: Perfect. That's very clear. Thank you, Alessandro and Bruno.

Tommy Campanini: Our next question comes from Tommy and Raju with Kipu's Capital. You can open your microphone.

Tommy Andrade: Our next question comes from Tommy Andrade with Kipus Capital. You can open your microphone.

Tommy Andrade: Our next question comes from Tommy Andrade with Kipus Capital. You can open your microphone. Hello, thank you.

Speaker Change: Our next question comes from Tommy Andrade with Kipus Capital. You can open your microphone.

Tommy Andrade: Hello, thank you for taking my question. I wanted to ask about the operating profit in the financial statements versus the operating profit that shows up in the presentation on page 36. They are different, and I wanted your help in reaching it. It's 48 million reais in the financial statements and 65 million in the presentation. So one is not as different.

Tommy Andrade: Hello, thank you for taking my question. I wanted to ask about the operating profit in the financial statements versus the operating profit that shows up in the presentation on page 36. They are different, and I wanted your help in reaching that. It's 48 million Reais in the financial statements and 65 million in the presentation. So I wanted to know the difference.

Tommy Campanini: Hello, thank you for taking my question. I wanted to ask about the operating profit on the financial statements versus the operating profit that shows up in the presentation in page 36. They are different and wanted to help your health for reaching it. It's 48 million in the financial statements and 65 million in the presentation. So one is no different.

Beatriz Abril: Just to compliment that, Beatriz, to that point of Bruno, we are studying a lot new products on the credit spectrum and even using the best practices and exchanging, I'd say, ideas with Harris. And we believe that this type of semi-liquid type of fund will be something that probably will be very relevant moving forward, especially next year, as we identified demand for this type of products and they match very well with the, I'll say, asset liability management sum of our clients.

Tommy Andrade: Hello, thank you for taking my question.

Tommy Andrade: I wanted to ask about

Tommy Andrade: The operating profit on the financial statements versus the operating profit that shows up in the presentation.

Speaker Change: in page 36.

Speaker Change: They are different and wanted your help for reaching it. It's 48 million reais in the financial statements and 65 million in the presentation. So I wanted to know the difference.

Sergio Pasta: Okay, Tommy. Thanks for the question. So the difference is basically some non-cash impacts that we have that we segregate from the distributed earnings number. So the two main components there are the unrealized market effects on our GP commitments. So this quarter we had a negative impact from the market coming mainly from the REIT performance during the quarter. So the REITs that we have in our GP commitment, they depreciated in value this quarter. So that was more than the positive impact that we had from VCP for markup. So that was part of the unrealized, and that impacts operating profit. The other impact is the stock option impact that we have. The stock option program, which we usually have, an impact over an hour around five million per quarter, more or less, which also is an on cash impact and that impacts the accounting operating profit, but not the distributed property.

Bruno Zaremba: Okay, Tommy. Thanks for the question. So, the difference is basically some non-cash impacts that we have that we segregate from the distributable earnings number. So the two main components there are the unrealized mark-to-market effects on our GP commit. So, this quarter we had a negative impact from the mark-to-market, coming mainly from the REIT performance during the quarter. Hence, the reach that we have in our GP commitment depreciated in value this quarter.

Alessandro Horta: Perfect, that's very clear. Thank you, Alessandro and Bruno.

Speaker Change: Okay Tommy, thanks for the question. So the difference is basically some non-cash

Bruno Zaremba: some non-cash impact that we have that we segregate from the distributable earnings number. So the two main components there are the unrealized mark to market effects on our GP commitment. So this quarter we had a negative impact from the mark-to-market coming mainly from the REIT performance during the quarter. The reach that we have in our GP commitment depreciated in value this quarter.

Tommy Campanini: Our next question comes from Tommy and Raju with Kipu's capital. You can open your microphone. Hello, thank you for taking my question. I wanted to ask about the operating profit on the financial statements versus the operating profit that shows up in the presentation in page 36. They are different and wanted to help your health for reaching it. It's a 48 million in the financial statements and 65 million in the presentation. So one is no different.

Tommy: impacts that we have that we segregate from the distributable earnings number. So the the two main components there are the unrealized mark-to-market effects on our GP commitments.

Tommy Andrade: So, this quarter we had a negative impact from the mark-to-market coming mainly from the REIT performance.

Speaker Change: During the quarter, so the reach that we have in our GP commitment, they depreciated in value this quarter, so that was more than the positive impact that we had from VCP4 markup.

Bruno Zaremba: So that was more than the positive impact that we had from VCP4 markup. So that was part of the unrealized gain, and that impacts operating profit, and the other impact is the stock option impact that we have, the stock option program, which we usually have an impact of now around 5 million per quarter, more or less, which also is a non-cash impact, and that impacts the accounting operating profit, but not the... not the distributable earnings, or the operating profit that we show on the cash, let's say distributable earnings I mean the obvious: the unrealized portion could vary up and down.

Bruno Zaremba: So that was more than the positive impact that we had from VCP4 markup. So that was part of the unrealized and that impacts operating profit and the other impact is the stock option impact that we have, the stock option program, which we usually have an impact of now around 5 million per quarter more or less, which also is a non-cash impact and that impacts the accounting operating profit, but not the.., uh not the distributable earnings uh operating profit that we show on the on the cash let's say distributable earnings number.

Speaker Change: So that was part of the unrealized.

Speaker Change: and that impacts operating profit and the other impact...

Tommy Campanini: Okay, Tommy. Thanks for the question. So the difference is basically some non-cash impacts that we have that we segregate from the distributed earnings number. So the two main components there are the unrealized market effects on our GP commitments. So this quarter we had a negative impact from the market coming mainly from the REIT performance during the quarter. So the REITs that we have in our GP commitment, they depreciated in value this quarter.

Speaker Change: is the stock option impact that we have the stockup from program which we usually have an impact over a hour around five million per quarter or less

Speaker Change: which also is a non-cash impact and that impacts the accounting operating profit but not the not the distributable earnings operating profit that we show on the on the cash let's say cash

Bruno Zaremba: So those are the two main, those could vary. I mean, obviously, the unrealized portion could vary up and down. So we have headquarters in the past where that number was very much really up. We have headquarters in the past where it was a little bit down overtime, we expect it to be up. The SOP is obviously always a negative impact, which today is running at around $5 million. And the final impact is the non-recurring M&A expense that Sergio mentioned in his remarks.

Sergio Pasta: So those are the two main; those could vary. I mean, the obviously unrealized portion could vary it up and down. So we have had quarters in the past where that number was very much really up. We have had quarters in the past that it was a little bit down. Over time, we expected to be to be up.

Speaker Change: Distributor warranties number.

Bruno Zaremba: So we have had quarters in the past where that number was very much really up. We have had quarters in the past where it was a little bit down over the time we expected it to be up. The SOP is obviously always a negative impact, which today is running at around $5 million. And the final impact is the non-recurring M&A expense that Sergio mentioned in his remarks. This quarter was about $12 million, and it is related to lawyer and due diligence fees that we have incurred both in the Amavi transaction, which has already closed, and in the Compass transaction that we expect to close, as we said, between the end of the third quarter and beginning of the fourth.

Speaker Change: So those are the two main, those could vary, I mean obviously the unrealized portion could vary up and down.

Speaker Change: So we have had quarters in the past where that number was very much really up. We have had quarters in the past that it was a little bit down. Over time we expect it to be up.

Tommy Campanini: So that was more than the positive impact that we had from VCP for markup. So that was part of the of the unrealized and that impacts operating profit and the other impact is the stock option impact that we have the stock option program which we usually have an impact over an hour around five million per quarter more or less, which also is an on cash impact and that impacts the accounting operating profit, but not the not the distributed property.

Sergio Pasta: The SOP is obviously always a negative impact, which today is running at around five million, and the final impact is the non-recurring M and expense that sashimation in his remarks. This is a this quarter was about 12 million and is related to lawyer and the due diligence fees that we have expanded both in the my transaction which has already closed. And the compass transaction will expect to close as we said between the end of the third quarter and beginning of the fourth. So those are the expenses or the impact this quarter. This quarter was a little bit heavier than normal because we had the negatives unrealized and we had a bigger expense on the on the many sides.

Speaker Change: The SOP is obviously always a negative impact, which today is running at around $5 million. And the final impact is the non-recurring M&A expense that Sergio mentioned in his remarks.

Bruno Zaremba: This quarter was about $12 million, and it was related to lawyer and due diligence fees that we have expanded both in the MAVE transaction, which has already closed, and in the COMPAS transaction that we expect to close, as we said, between the end of the third quarter and beginning of the fourth. So those were the expenses or the impact this quarter. This quarter was a little bit heavier than normal because we had the negative unrealized and we had a bigger expense on the M&A side, but those are typically the differences between the distributable earnings and the net earnings from an accounting standpoint.

Sergio: This quarter was about 12 million and it is related to lawyer and the due diligence fees.

Speaker Change: that we have expanded both in the MAVE transaction which has already closed and in the COMPAS transaction that we expect to close.

Bruno Zaremba: So those were the expenses or the impact this quarter. This quarter was a little bit heavier than normal because we had the negative unrealized, and we had a bigger expense on the M&A side. But those are typically the differences between the distributable earnings and the net earnings from an accounting standpoint.

Speaker Change: as we said, between the end of third quarter and beginning of the fourth. So those were the expenses or the impact this quarter. This quarter was a little bit heavier than normal because we had the negative unrealized and we had a bigger expense on the...

Tommy Campanini: So those are the two main those could vary, I mean the obviously unrealized portion could vary it up and down. So we have had quarters in the past where that number was very much really up, we have had quarters in the past that it was a little bit down over time we expected to be to be up. The SOP is obviously always a negative impact which today is running at around five million and the final impact is the non recurring M and expense that sashimation in his remarks.

Sergio Pasta: But those are typically the differences between the distributable earnings and the net earnings from an accounting standpoint. Thank you.

Speaker Change: on the M&A side, but those are typically the differences between the distributable earnings and the net earnings from an accounting standpoint.

Tommy Andrade: Thank you, and can I ask another question?

Tommy Campanini: Can I ask another one? Yeah, of course, go ahead. Thank you. In the cashflow statement, there's a line for a contribution for retirement plans for 140 million. Is that contributions to the retirement services segment, or yeah, what is the.

Tommy Andrade: Yeah, of course. Go ahead. Thank you.

Speaker Change: Thank you. And can I ask another one?

Bruno Zaremba: Thank you. In the cash flow statement, there's a line for a contribution for retirement plan plans for 140 million. Is that contribution to the retirement services segment or? Yeah, what is that? the original line. Though, so when we launched.

Speaker Change: Yeah, of course, go ahead.

Speaker Change: Thank you. In the cash flow statement, there's a line for a contribution for retirement plan.

Tommy Campanini: This is a this quarter was about 12 million and is related to lawyer and the due diligence fees that we have expanded both in the my transaction which has already closed. And the compass transaction will expect to close as we said between the end of third quarter and beginning of the fourth. So those are the expenses or the impact this quarter this quarter was a little bit heavier than normal because we had the negatives unrealized and we had a bigger expense on the on the many sides. But those are typically the differences between the the distributeable earnings and the net earnings from an accounting standpoint.

Speaker Change: Plans for $140 million. Is that contributions to the retirement services segment or? Yeah, what is the?

Sergio Pasta: You're reaching up that line. So when we launched VRS regulatory in Brazil, you need to have an insurance company, right? So part of the launching of your has had to do with creating an insurance company. And in Brazil and accounting, the insurance company, the assets of the insurance company are reserves. And that is what you see in the income statement. So on the cashflow statements, the reserves that are being constituted for the liabilities that we have against the pension plans that we carry in our own insurance company. Thank you.

Tommy Campanini: Thank you.

Bruno Zaremba: So when we launched VRS in Brazil, you need to have an insurance company, right? So part of the launch of VRS had to do with us creating an insurance company. And in Brazilian accounting, the insurance company's assets are reserves. And that is what you see in the income statement, so on the cash flow statement, the reserves that are being constituted for the liabilities that we have against the..., the pension plans that we carry in our own insurance company.

Speaker Change: the original original line.

Speaker Change: So when we launched VRS, regulatory in Brazil you need to have an insurance company, right? So part of the launching of VRS had to do with us creating an insurance company.

Speaker Change: in imbrazilian accounty the insurance company the assets of the the insurance company are reserves

Speaker Change: And that is what you see in the income statements, so on the cash flow statements, the reserves that are being constituted for the liabilities that we have against the pension plans that we carry in our own insurance company.

Unknown Executive: Can I ask another one? Yeah, of course go ahead. Thank you. In the cashflow statement, there's a line for a contribution for retirement plans plans for 140 million. Is that contributions to the retirement services segment or yeah, what is the. You're reaching up that line.

Speaker Change: Thank you.

Unknown Executive: The question and answer session is over.

Alessandro Horta: The question and answer session is over. I would like to turn the floor back to Mr. Alessandro Horta for the closing remarks. Please, Mr. Horta, you may proceed.

Tommy Andrade: Thank you. Can I ask another question?

Alessandro Horta: I would like to turn the floor back to Mr. Alessandro Arta for the closing remarks. Please, Mr. Arta, you may proceed. I'd like to thank you once again for your support and interest in our company. As we said during the call, we are very, very positive with the year so far, even though the macroeconomic environment has not been favorable and the fundraising environment has been very challenging. We have been able to really hit a very, very decent path and growth, and we expect once we have a better macroeconomic environment moving forward, being the reduction of interest rates outside Brazil and also a very environment locally that we can speed up, defend raising the realization of performance.

Speaker Change: The question and answer session is over. I would like to turn the floor back to Mr. Alessandro Horta for the closing remarks. Please Mr. Horta, you may proceed.

Tommy Andrade: Yeah, of course, go ahead. Thank you.

Unknown Executive: So when we launched VRS regulatory in Brazil, you need to have an insurance company, right? So part of the launching of your has had to do with creating an insurance company. And in Brazil and accounting, the insurance company, the assets of the of the insurance company are reserves. And that is what you see in the income statement. So on the cashflow statements, the reserves that are being constituted for the for the liabilities that we have against the pension plans that we carry in our own insurance company. Thank you.

Alessandro Horta: I'd like to thank you once again for your support and interest in our company. As we said during the call, we are very, very positive about the year so far, even though the macroeconomic environment has not been favorable and the fundraising environment has been very challenging. We have been able to really hit a very, very decent path and growth, and we expect once we have a better macroeconomic environment moving forward, which will be the reduction of interest rates outside Brazil and also a better environment locally, that we can speed up the fundraising and the realization of performance.

Tommy Andrade: Thank you. In the cash flow statement, there's a line for a contribution for retirement plans, plans for 140 million. Is that contribution to the retirement services segment or, yeah, what is the origin of that line? Though, so when we launched.

Alessandro Horta: The question and answer session is over. I would like to turn the floor back to Mr. Alessandro Horta for the closing remarks. Please, Mr. Horta, you may proceed.

Alessandro Horta: I'd like to thank you once again for your support and interest in our company.

Alessandro Horta: I'd like to thank you once again for your support and interest in our company. As we said during the call, we are very, very positive about the year so far, even though the macroeconomic environment has not been favorable and the fundraising environment has been very challenging. We have been able to really hit a very, very decent path of growth, and we expect once we have a better macroeconomic environment moving forward, which will be the reduction of interest rates outside Brazil and also a better environment locally, that we can speed up the fundraising and the realization of performance.

Speaker Change: As we said during the call, we are very, very positive.

Alessandro Horta: with the year so far. Even though the macroeconomic environment has not been favorable and the fundraising environment has been very challenging.

Speaker Change: have been able to really

Speaker Change: It's a very, very decent path and growth.

Speaker Change: And we expect...

Speaker Change: Once we have a better macroeconomic environment moving forward, being the reduction of interest rates outside Brazil, and also a better environment locally, that we can speed up the fundraising, the realization of performance.

Alessandro Horta: So, we are quite waiting for this moment and optimistic that we will be very resilient in a very difficult scenario, and we can grow in a very important way when we see a more benign scenario. So, thank you very much, and good night to you all.

Unknown Executive: The question and answer session is over.

Alessandro Horta: So we are quite waiting for this moment and optimistic that we will be very resilient in a very difficult scenario, and we can grow in a very important way when we see a more benign scenario.

Alessandro Horta: I would like to turn the floor back to Mr. Alessandro Arta for the closing remarks. Please Mr. Arta, your may proceed. I'd like to thank you once again for your support and interest in our company. As we said during the call, we are very, very positive with the year so far even though the macroeconomic environment has not been favorable and the fundraising environment has been very challenging. We have been able to really hit a very, very decent path and growth and we expect once we have a better macroeconomic environment moving forward being the reduction of interest rates outside Brazil and also a very environment locally that we can speed up, defend raising the realization of performance. So we are quite waiting for this moment and optimistic that we will be very resilient in a very difficult scenario and we can grow in a very important way when we see a more benign scenario.

Alessandro Horta: So, we are quite waiting for this moment and optimistic that we will be very resilient in a very difficult scenario and we can grow very fast.

Speaker Change: in a very important way when we see a more benign scenario. So, thank you very much and good night for you all.

Unknown Executive: So thank you very much, and good night for you all.

Unknown Executive: This concludes today's presentation. We thank you all for participating and wish you a very good evening.

Operator: This concludes today's presentation. We thank you all for participating.

Operator: This concludes today's presentation. We thank you all for participating and wish you a very good evening.

Speaker Change: This concludes today's presentation. We thank you all for participating and wish you a very good evening.

Unknown Executive: So thank you very much and good night for you all.

Unknown Executive: This concludes today's presentation. We thank you all for participating and wish you a very good evening.

Speaker Change: Don't forget to like this video and subscribe to AllVisuals4U for more tutorials! Don't forget to like this video and subscribe to AllVisuals4U for more tutorials!

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