Q1 2025 Janus Henderson Group PLC Earnings Call

Unknown Attendee: Welcome everyone. The Janus Henderson First Quarter 2025 Earnings Call will begin shortly. In the meantime, if you would like to pre-register to ask a question, please press star followed by one on your telephone keypad. If you change your mind, please press star followed by two. Thank you.

Welcome everyone. The Janus Henderson first quarter 2025 earnings call will begin shortly in the meantime, if you'd like to pre register to ask a question. Please press star followed by one on your telephone keypad. If you change your mind. Please press star followed by Jay and Keith.

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Unknown Attendee: Good morning.

Lucy: Good morning, My name is Lucy and I will be your conference facilitator today.

Lucy: My name is Lucy and I will be your conference facilitator. Thank you for standing by and welcome to the Janus Henderson Group first quarter 2025 results All lines have been placed on mute to prevent any background noise. Speaker's Remarks, there will be a question and answer period.

Lucy: Thank you for standing by and welcome to the Janus Henderson Group first quarter 2025 results briefing.

Speaker Change: Have been placed on mute to prevent any background noise.

Speaker Change: After the Speakers' remarks, there'll be a question and answer period and the interest of time questions will be limited to one issue and one follow up question.

Unknown Attendee: In the interest of time, questions will be limited to one initial and one follow-up question. Today's conference call, certain matters discussed may constitute forward . actual results could differ materially from those projected. number of factors including but not limited.

Speaker Change: And today's conference call certain matters discussed may constitute forward looking statements actual results could differ materially from those projected in the forward looking statements due to a number of factors, including but not limited to those described in the forward looking statements and risk factors sections of the company's most recent Form 10-K and other more recent filings.

Unknown Attendee: Those described in the forward-looking statements and risk factors sections of the company's most recent Form 10-K and other more recent filings made with the FTC. assumes no obligation to update any forward-looking statements made during Thank you.

Speaker Change: Made with the SEC.

Speaker Change: <unk> assumes no obligation to update any forward looking statements made during the call.

Ali Dibadj: Now it is my pleasure to introduce Ali Dibadj, Chief Executive Officer of Janus. Mr. Dibadj, you may begin. Welcome, everyone, and thank you for joining us today on Janus Henderson's first quarter 2025 earnings call. I'm Ali Dibadj. I'm joined by our CFO, Roger Thompson.

Speaker Change: Thank you I would its my pleasure to introduce Alistair Gosh, Chief Executive Officer of Janus Henderson. Mr. Bosch you may begin your conference.

Speaker Change: Welcome everyone and thank you for joining us today on Janus Henderson first quarter 2025 earnings call I'm joined by our CFO Roger Thompson.

Ali Dibadj: In today's call, I'll start with some thoughts on the quarter before handing it over to Roger to run through quarterly results in more detail. After Roger's comments, I'll provide an update on our strategic progress, including our recently announced multifaceted strategic partnership with the Guardian Life Insurance Company, which we are excited about and believe will deliver value for our clients and shareholders, and Guardian and its policyholders. And then we'll take your questions following those prepared remarks. Turning to slide two. market conditions continue to be tumultuous as changing monetary and fiscal policies, US recession fears, and global trade uncertainty dampen investor sentiment.

Speaker Change: This call I will start with some thoughts on the quarter before handing it over to Roger to run through quarterly results in more detail.

Speaker Change: After Roger's comments I'll provide an update on our strategic progress, including our recently announced multifaceted strategic partnership with the Guardian life Insurance company, which we are excited about and believe will deliver value for our clients and shareholders and Guardian and its policyholders.

Speaker Change: I will take your questions following those prepared remarks.

Speaker Change: Turning to slide two.

Speaker Change: Market conditions continue to be tumultuous as changing monetary and fiscal policies.

Speaker Change: Session fears and global trade uncertainty dampened investor sentiment.

Ali Dibadj: While Janus Henderson is not immune to the current marketing conditions, we believe we can navigate this period of market uncertainty given our cruelly global footprint. We have a diverse and global client base, which we are proactively engaging and supporting. It's during challenging times like these, our clients and their clients need our differentiated insights, investment discipline and world class services the most.

Speaker Change: While Janus Henderson is not immune to the current market conditions. We believe we can navigate this period of market uncertainty given our truly global footprint, we have a diverse and global client base, which we are proactively engaging and supporting its during challenging times like these our clients and their clients need our differentiated insights investment discipline and world class.

Speaker Change: Servicing the most.

Ali Dibadj: Turn to the first quarter. Even amidst these significant market challenges, we were resilient and able to deliver a good set of results. Asset Center management decreased only 1% to $373.2 billion as market declines were partially offset by $2 billion of positive net flows and favorable currency adjustments due to a weakening U.S. dollar. We delivered our fourth consecutive quarter of positive net flows. The net inflow results reflect a 44 percent increase in year over year gross sales, positive net flows again in both of our intermediary and institutional channels. And we continue to maintain and capture market share in several key intermediary markets.

Speaker Change: Turning to the first quarter, even amidst the significant market challenges, we were resilient and able to deliver a good set of results.

Speaker Change: Assets under management decreased only 1% to $373 2 billion as market declines were partially offset by $2 billion of positive net flows and favorable currency adjustments due to a weakening U S dollar.

Speaker Change: We delivered our fourth consecutive quarter of positive net flows.

Speaker Change: Net inflow results reflects a 44% increase in year over year gross sales positive net flows again in both of our intermediary and institutional channels and we continue to maintain and capture market share in several key intermediary markets.

Ali Dibadj: As we stated previously, delivering positive active flows is a key differentiator for Janus Henderson in an industry with well documented active flow headwinds.

Speaker Change: As I stated previously delivering positive active flows as a key differentiator for Janus Henderson industry with well documented active flow headwinds.

Ali Dibadj: Turn to investment performance. Despite some short term volatility, which often happens in the industry amidst a fast market dislocation, our long term investment performance is solid, with at least 65% of assets beating respective benchmarks on a three, five and 10 year basis. Against peers, investment performance is even stronger, with over 70% of AUM in the top two Morristown quartiles over all time periods. The current market dislocation, while challenging, presents unique opportunities. Tides will not lift all boats, and active asset management is critical. In situations such as this, our investment professionals are seeing opportunities to invest in high quality, innovative, and or undervalued stocks, bonds, and other securities to deliver for our clients.

Speaker Change: Turning to investment performance. Despite some short term volatility, which often happens in the industry and it's a fast market dislocation. Our long term investment performance is solid with at least 65% of assets, beating respective benchmarks on a three five and 10 year basis.

Speaker Change: Against peers and investment performance is even stronger with over 70% of AUM in the top two morningstar quartile over all time periods.

Speaker Change: The current market dislocation, while challenging presents unique opportunities pies will not lift all boats and active asset management is critical.

Speaker Change: In situations such as this our investment professionals are seeing opportunities to invest in high quality innovative <unk> undervalued stocks bonds and other securities to deliver for our clients.

Ali Dibadj: We've always had a focus on quality, and that quality theme is as important now as ever.

Speaker Change: We've always had a focus on quality and that quality theme is as important now as ever.

Ali Dibadj: Moving to our financial results, which remain solid. Adjusted diluted EPS of 79 cents is an 11% increase compared to the first quarter of 2024. Our financial performance and strong balance sheet continue to provide us the flexibility to invest in the business, both organically and inorganically, and return cash to shareholders. Today, we announced a 3% increase to the quarterly dividend and a new board approved share buyback authorization of up to $200 million through April 2026. We also see many asset managers out there looking for a safer harbor to pull into. And thus, we remain active and disciplined in M&A as well.

Speaker Change: Moving to our financial results, which remains solid adjusted diluted EPS of <unk> 79.

Speaker Change: As an 11% increase compared to the first quarter of 2024.

Speaker Change: Our financial performance and strong balance sheet continues to provide us the flexibility to invest in the business, both organically and Inorganically and return cash to shareholders.

Speaker Change: Today, we announced a 3% increase to the quarterly dividend and a new board approved share buyback authorization of up to $200 million through April 2026.

Speaker Change: Also seen many asset managers out there looking for a safer harbor to pull into and thus we remain active and disciplined in M&A as well.

Ali Dibadj: In summary, our net flows are positive, our long-term investment performance is solid, we continue to exceed our strategy, financial hazards are good, we continue to be disciplined and ROI focused on expenses, we have a strong and stable balance sheet, and our truly global footprint positions us well for the future and provides a strong foundation to navigate periods of market uncertainty.

Speaker Change: In summary, our net flows are positive our long term investment performance is solid we continue to execute our strategy financial darts are good we continue to be disciplined and ROI focus on expenses, we have a strong and stable balance sheet and our truly global footprint positions us well for the future and provides a strong foundation to navigate periods of market.

Speaker Change: Uncertainty.

Roger Thompson: I'll now turn the call over to Roger to run you through the detail of the financial results. Thanks Ali and thank you everyone for joining us on today's call. Starting on slide three, an investment performance. As Ali mentioned, despite some short-term volatility, our medium and long-term investment performance versus benchmark remained solid, with at least 65% of AUM beating their respective benchmarks over the 3, 5 and 10-year time period. Overall investment compared to peers continues to be competitively strong, with at least 70% of AUM in the top two Morningstar quartiles over all time periods presented.

Roger Thompson: I'll now turn the call over to Roger to run you through the detail of the financial results.

Roger Thompson: Thanks Ali and thanks to everyone for joining us on today's call.

Roger Thompson: Starting on slide three and investment performance.

Roger Thompson: Sallie mentioned, despite some short term volatility our medium and long term investment performance versus benchmark remains solid with at least 65% of AUM, beating their respective benchmarks over the three five and 10 year time periods.

Roger Thompson: Overall investment compared to peers continue to speak, particularly strong with at least 70% of AUM in the top two Morningstar courthouse over all time periods presented.

Roger Thompson: Active management in portfolios is essential during times of disruption, times such as these, and our over 350 investment professionals are intensely focused on differentiating between the good and the bad companies, separating the wheat from the chaff, and positioning us to deliver the best possible investment outcomes for our clients and their clients over the long term. Slide 4 shows total company flows by quarter. Net inflows for the quarter were $2 billion compared to net inflows of $3.3 billion last quarter and a significant improvement over net outflows of $3 billion a year ago. The year-over-year improvement was primarily driven by a 44% increase in gross sales and marked the best quarterly gross sales result in over four years.

Speaker Change: I took my own switching portfolio is essential during times of disruption times such as these.

Speaker Change: Over 350 investment professionals are intensely focused on differentiating between the good and the bad companies separating the wheat from the chess and positioning us to deliver the best possible investment outcomes for our clients and their clients over the long term.

Speaker Change: Slide four shows total company flows by quarter.

Speaker Change: It seems most of the quarter with $2 billion compared to net inflows of $3 $3 billion last quarter and a significant improvement over net outflows of $3 billion a year ago.

Speaker Change: The year over year improvement was primarily driven by a 44% increase in gross sales.

Speaker Change: The best quarterly gross sales result in over four years.

Roger Thompson: The increase in growth sales compared to the prior year is across a broad range of regions and strategies, including ETFs, Absolute Return Equity, our Biotech Hedge Fund, US Mid-Cap Growth, Balanced, Global Small Cap, Multi-Sector Credit, and Asset Bank Security.

Speaker Change: The increase in gross sales compared to the prior year is across a broad range of reaching some strategies, including Etfs absolute return on equity a biotech hedge fund U S mid cap growth balanced global small cap multi sector credits and asset backed securities.

Roger Thompson: Turning to slide 5, and flows by client type. Please note that beginning in the first quarter of 2025, ETF gross flow activity is reflected in the applicable client type that generated the activity. Access to improved data transparency enabled us to make this change. For periods prior to 2025, all ETF flow activity is shown in the intermediary channel. This change better illustrates the wide range of clients investing in our suite of active ETFs, from supermarket clients in the self-directed channel, advised clients and model portfolios within intermediary, and larger sophisticated clients within our institutional channel. The intermediary channel net flows were positive $1.5 billion.

Speaker Change: Turning to slide five and flows by client type.

Speaker Change: Please note that beginning in the first close of 2025 ETF gross flow activity is reflected in the applicable quite tight with the generator with the activity.

Speaker Change: Two improved data transparency enabled us to make this change for periods. Prior to 2025, all ETF flow activity showed a need to meet every channel.

Speaker Change: This change better illustrates the wide range of clients investing enough suite to active Etfs.

Speaker Change: P market clients and the self directed channel advice to clients and model portfolios with an intermediary and largest sophisticated clients within our institutional channel.

Speaker Change: The intermediary channel net flows were positive $1.5 billion.

Roger Thompson: In the first quarter, the US and Asia-Pacific region experienced net inflows with net outflows in EMEA. In the US, net flows were positive for the seventh consecutive quarter. Several strategies contributed to the net inflows in the first quarter, including most of the active ETFs, multi-sector credit, and US mid-cap growth. U.S.

Speaker Change: In the first quarter of the U S and Asia Pacific region.

Speaker Change: Spirits net inflows with this outflows in EMEA.

Speaker Change: In the U S. Net flows were positive for the seventh consecutive quarter.

Speaker Change: Central strategies contributed to the net inflows in the first quarter, including most of the active Etfs multi sector credits.

Speaker Change: U S mid cap growth.

Roger Thompson: Intermediary is a key initiative under our Protect and Grow strategic pillar and we're pleased that we've delivered net inflows in the first quarter and are gaining market share against a challenging market backdrop. Under our Amplify strategic pillar, we've talked about amplifying our investment and client service strengths using various means, including vehicles through which we deliver our products. In addition to ETFs, flows into CITs and hedge funds in this channel were positive in the first quarter. In APAC Intermediary, net flows were positive for the third consecutive quarter and the best Intermediary net flow result in the region in over three years.

Speaker Change: U S. Intermediary is a key initiative under our protect and grow strategic pillar and we're pleased that we've delivered net inflows in the first quarter allocating market share against a challenging market backdrop.

Speaker Change: Andre I'm gonna find strategic pillar, we've talked about amplifying our investments in client service strengths using various means including vehicles through which we deliver our products.

Speaker Change: In addition to Etfs flows into cities and hedge funds in this channel were positive in the first quarter.

Speaker Change: In APAC intermediary net flows were positive for the third consecutive quarter and the best intermediary net flow results in the region and over three years.

Roger Thompson: Net inflows in this channel demonstrate our truly global investment capabilities, which included global technology leaders managed by our Edinburgh team, tactical fixed income managed by our Melbourne team, and the balance strategy managed out of our Denver office. Institutional net inflows were $800 million compared to net inflows of $900 million in the prior quarter. Institutional net flows include $600 million of ETF net inflows. We're pleased to see increased interest and utilisation of our high quality, highly liquid and stable securitised fixed income ETFs from institutional clients. Elsewhere, we're continuing to work to create a sustainable pipeline and we're encouraged by the leading indicators and the increasing number of opportunities across all of our regions.

Speaker Change: They've seen flows in this channel demonstrate our truly global investment capabilities, which include a global technology leaders managed by Edinburgh team that's.

Speaker Change: That's called fixed income managed by our Melbourne team a balanced strategy managed that's about Denver office.

Speaker Change: Institutional net inflows were $800 million compared to net inflows of $900 million in the prior quarter.

Institutional net flows include $600 million of ETF net inflows.

Speaker Change: We're pleased to see increased interest in the utilization of our high quality highly liquid and stable securitize fixed income Etfs from institutional clients.

Speaker Change: Elsewhere, we are continuing to work to create a sustainable pipeline.

Speaker Change: Encouraged by the leading indicators and the increasing number of opportunities across all of our regions. Our pipeline is growing and it's starting to mature, but there's still much more to do.

Roger Thompson: Our pipeline is growing and it's starting to mature, but there's still much more to do.

Roger Thompson: Net outflows for the self-directed channel, which includes direct and supermarket investors, were $300 million. The first quarter includes approximately $700 million of ETF net inflows from our supermarket clients. excluding ETFs, self-directed net outflows were roughly flat to the prior quarter and the prior year. It's good to see self-directed clients taking advantage of the opportunity to invest directly in our ETFs.

Speaker Change: Nice outflows for the self directed channel, which includes direct and supermarket investors with $300 million.

Speaker Change: The first quarter includes approximately $700 million of ETF net inflows from a supermarket clients.

Speaker Change: Greeting Etfs self directed net outflows were roughly flat to the prior quarter and the prior year.

Speaker Change: It's good to see self directed clients, taking advantage of the opportunity to invest directly in our Etfs.

Roger Thompson: Slide 6 shows flows of the quarter by capability. Equity flows were negative $4.2 billion. A challenging environment for active equities was exacerbated during the quarter with the market dislocation and risk-off sentiment. First quarter net inflows for fixed income were $5.6 billion compared to $5.2 billion of net inflows in the prior quarter. Several strategies contributed to the positive fixed income flow. Active Fixed Income ETFs delivered strong positive flows of $5.7 billion in the quarter, led by flows in JAAA. Other strategies contributing to positive flows were multi-sector credit, asset-backed securities, and Australian fixed income. Net outflows in the multi-asset capability were $600 million, primarily due to net outflows in the balanced strategy.

Speaker Change: Slide six.

Speaker Change: Shows flows in the quarter by capability.

Speaker Change: Equity flows were negative $4 $2 billion.

Speaker Change: <unk> environment for active equities was exacerbated during the quarter with a market dislocation a risk off sentiment.

Speaker Change: First quarter net inflows for fixed income were $5 $6 billion compared to $5 2 billion of net inflows in the prior quarter.

Speaker Change: Strategies contributed to the positive fixed income flows.

Speaker Change: Active fixed income Etfs delivered strong positive flows of $5 $7 billion in the quarter led by flows enjoy AAA.

Speaker Change: Other strategies contributing to positive flows with multi sector credit asset backed securities out Australia and fixed income.

Speaker Change: Outflows in the multi asset capabilities. He was $600 billion, primarily at you said net outflows in the balanced strategy.

Roger Thompson: Despite net outflows in aggregate for balanced, several regions were net positive, including EMEA, Latin America, and Asia Pacific. And finally, net inflows in the alternatives capability were $1.2 billion, driven primarily by absolute return equity and pulled hedge funds.

Speaker Change: Despite net outflows in aggregate for balanced several regions with net positive, including EMEA, Latin America and Asia Pacific.

Speaker Change: And finally net inflows in the alternatives capability $1.2 billion, driven primarily by absolute return equity and pulled hedge funds.

Roger Thompson: Moving on to the financials. On slide 7 is our US GAAP Statement of Income, and on slide 8 we explain the adjusted financial result. Adjusted operating results are lower compared to the prior quarter, primarily due to the significant annual performance fees realised in the fourth quarter of twenty-four. More relevantly, compared to the first quarter a year ago, operating income and EPS are up 22% and up 11% respectively, as a result of higher average AUM and operating leverage and improved three-year investment performance, leading to better mutual fund performance fees. Looking at the detail. Adjusted revenue decreased 14% compared to the prior quarter, primarily due to those lower seasonal performance fees.

Speaker Change: Moving onto the financials.

Slide seven is a U S GAAP statement of income and a slight.

Speaker Change: Slide eight we explain the adjusted financial results.

Speaker Change: Adjusted operating results, a lower compared to the prior quarter, primarily due to the significant annual performance fees realized in the fourth quarter of 'twenty four.

Speaker Change: More relevantly compared to the first quarter, a year ago operating income and EPS up 22% and up 11%, respectively. As a result of higher rapid J U M and operating leverage and improved three year investment performance, leading to best Mutual fund performance fees.

Speaker Change: Looking at the detail.

Speaker Change: Adjusted revenue decreased 14% compared to the prior quarter, primarily due to those lowest seasonal performance fees.

Roger Thompson: an increased 14% compared to the prior year primarily due to higher management fees on higher average AUM and the improved US mutual fund performance fees. Net management fee margin remained relatively stable at 48.5 basis points, which remains a differentiator for Janus Henderson. I want to remind you that as part of the announced strategic partnership with Guardian, Janus Henderson will manage the $45 billion investment-grade public fixed income portfolio for Guardian's general account, and we expect that our aggregate net management fee rate will be approximately five to six basis points lower once the assets are fully onboarded, which is expected to be at the end of the second quarter.

Speaker Change: It increased 14% compared to the prior year, primarily due to higher management fees on higher average AUM on the improved U S Mutual fund performance fees.

Speaker Change: Net management fee margin remained relatively stable at 48, five basis points, which remains a differentiator for Janus Henderson.

Speaker Change: I want to remind you that as part of the announced strategic partnership with Guardian, Janus Henderson will manage the 45 billion dollar investment grade public fixed income portfolio for Guardians General account.

Speaker Change: And we expect that our aggregate net management fee rate will be approximately five to six basis points lower once the assets are fully on boarded which is expected to be at the end of the second quarter.

Roger Thompson: First quarter performance fees of negative $4 million primarily consist of U.S. Mutual Fund performance fees. Whilst negative, U.S. Mutual Fund performance fees have improved significantly compared to the negative $13 million a year ago. Continuing on to expenses. Adjusted operating expenses for the first quarter decreased 9% to $330 million compared to the prior quarter. Adjusted employee compensation expense, which includes fixed and variable costs. was down 13% compared to the prior quarter, primarily from incentive compensation on higher revenues in the fourth quarter of 24. Adjusted LTI increased 21% compared to the prior quarter, largely due to seasonal payroll taxes triggered by annual vestings in the quarter.

Speaker Change: First quarter performance fees of <unk>.

Speaker Change: $4 million, primarily consist of U S. Mutual fund performance fees, while it's negative U S. Mutual fund performance fees have improved significantly compared to a negative $30 million a year ago.

Speaker Change: Continuing onto expenses adjust.

Speaker Change: Adjusted operating expenses for the first quarter decreased 9% to $330 million compared to the prior quarter adjusted employee compensation expense, which includes fixed and variable costs was down 13% compared to the prior quarter, primarily from incentive compensation on higher revenues in the fourth.

Speaker Change: Quarter of 'twenty four.

Speaker Change: Adjusted LTI increased 21% compared to the prior quarter largely due to seasonal payroll taxes triggered by annual vesting in the quarter in the appendix. We've provided the usual table on the expected future amortization of existing grants for you to use in your models.

Roger Thompson: In the appendix, we've provided the usual table on the expected future amortization of existing grants for you to use in your models. The first quarter adjusted comp to revenue ratio was seasonally higher at 45.8%, which is down from 48.2% in the first quarter of last year and 50.1% two years ago. The higher rate in the first quarter is primarily due to the payroll taxes on annual LTI vesting and the beginning of year reset of payroll taxes and retirement contributions. Adjusted non-comp operating expenses decreased 12% compared to the fourth quarter, primarily from lower marketing and J&A expenses.

Speaker Change: The first quarter adjusted comp to revenue ratio was seasonally higher at 45, 8%, which is down from 48, 2% in the first quarter of last year and 51% two years ago.

Speaker Change: High rates in the first quarter is primarily due to the payroll taxes on annual LTI vesting at the beginning if you're a reset of payroll taxes and retirement contributions.

Speaker Change: Adjusted non comp operating expenses decreased 12% compared to the fourth quarter, primarily from lower marketing and G&A expenses.

Roger Thompson: With respect to 2025 expense expectations, we are navigating an uncertain operating landscape. We remain committed to strong cost discipline, ensuring that we manage our cost base while continuing to support the long-term growth objectives of the business. Our previously stated expected compensation ratio in 2025 remains unchanged at 43 to 44 percent, assuming 31st of March AUM, and a zero market assumption for the remainder of the year. For non-compensation, including the non-comp related to the new Guardian business and the weakening US dollar, we expect to be at the higher end of the mid to high single-digit percentage growth guidance due to the investments supporting our ongoing strategic initiatives and operational efficiencies, inflation and the FLIR impact of the consolidation of VPC, NBK, Tabula and now Guardian.

Speaker Change: With respect to 2025 expense expectations, we are navigating an uncertain operating landscape, we remain committed to strong cost discipline, ensuring that we manage our cost base, while continuing to support the long term growth objectives with the business.

Speaker Change: Our previously stated expected compensation ratio in 2025 remains unchanged at 43% to 44% of streaming, especially first of March our U M.

Speaker Change: Zero market assumption for the remainder of the year.

Speaker Change: For non compensation, including the non comp related to the Guardian business and the weakening U S dollar.

Speaker Change: We expect to pay at the higher end of the mid to high single digit percentage growth guidance due to the investments supporting our ongoing strategic initiatives and operational efficiencies inflation and the full year impact of the consolidation of V. P C and BK tabular and now got it.

Roger Thompson: If the market deteriorates further, and that decline is prolonged, we have expense levers and will actively manage our cost structure, allowing us to maintain financial discipline and the flexibility to continue to invest strategically in the business where it makes sense to do so. Finally, our expectation of the firm's tax rate on adjusted net income attributable to JHG remains unchanged at a range of 23% to 25%. Our first quarter adjusted operating margin was 32%, an increase of 220 basis points from a year ago, demonstrating the leverage in our business. Adjusted diluted EPS was 79 cents, up 11% from the comparable Q1 2024 period.

Speaker Change: If the market deteriorates further and that decline is prolonged we have expense levers and will actively manage our cost structure, allowing us to maintain financial discipline and the flexibility to continue to invest strategically in the business, where it makes sense to do so.

Speaker Change: Finally.

Speaker Change: Our expectation with the firm's tax rate on adjusted net income attributable to J H G remains unchanged at a range of 23% to 25%.

Speaker Change: Our first quarter adjusted operating margin was 32% an increase of 220 basis points from a year ago, demonstrating the leverage in our business.

Speaker Change: Adjusted diluted EPS was <unk> 79 cents up 11% from the comparable Q1 2024 periods.

Roger Thompson: Skipping over slide nine and wrapping up on slide 10 with a look at our liquidity profile. Our balance sheet remains strong and stable. Cash and cash equivalents were $1.1 billion as of the 31st of March, which is lower than the end of the year, primarily due to the payment of annual variable compensation. The first quarter cash position is typically our lowest given seasonal cash needs. Compared to the same period a year ago, our cash and cash equivalents are 19% higher. During the quarter, we funded our quarterly dividend and repurchased 0.6 million shares for $27 million.

Speaker Change: Skipping over to slide nine and wrapping up on slide 10, with a look at our liquidity profile.

Speaker Change: Our balance sheet remains strong and stable cash and cash equivalents were $1 $1 billion as at the 31st of March which.

Speaker Change: Which is lower than the end of the year, primarily due to the payment of annual variable compensation.

Speaker Change: The first quarter cash position is typically our lowest given seasonal cash needs.

Speaker Change: To the same period, a year ago, our cash and cash equivalents of 19% higher.

Speaker Change: During the quarter, we funded a quarterly dividend and repurchased 6 million shares for $27 million.

Roger Thompson: Shares repurchase will lower this quarter. As we paused our share buyback during the lead up to the Guardian strategic partnership announcement. and through today's release of earnings to the market.

Speaker Change: Shares repurchased were lower this quarter as we paused our share buyback during the lead up to the Guardian strategic partnership announcements.

Speaker Change: Through today's release of earnings to the market.

Roger Thompson: As Ali discussed, we are committed to returning cash to shareholders and are pleased to announce that the Board has authorised a new share buyback programme of up to $200 million to be completed by April 2026. We will start this in short order. The Board has also approved a 3% increase in our quarterly dividend to 40 cents per share to be paid on the 29th of May to shareholders of record as of the 12th of May. The buyback programme and the increase in our dividends do not alter our ability to invest in the business organically or inorganically and return cash to shareholders.

Speaker Change: As already discussed we are committed to returning cash to shareholders and are pleased to announce that the board has authorized a new share buyback program of up to $200 million to be completed by April 2026, We will start this in short order.

Speaker Change: The Board has also approved a 3% increase in our quarterly dividend to <unk> 40 cents per share to be paid on the 29 to shareholders of record as at the 12th of me.

Speaker Change: The buyback program and the increase in our dividends do not alter our ability to invest in the business organically or inorganically and return cash to shareholders. Currently our liquidity profile allows us to do both.

Roger Thompson: Currently, our liquidity profile allows us to do both. Our return of excess cash is consistent with our capital allocation framework. We'll look to return capital to shareholders where there isn't an immediately more compelling investment in the business. In summary, we have a strong liquidity position and we continue to balance the capital needs and the investment opportunities of the business with returning capital to Sheldon.

Speaker Change: Return of excess cash is consistent with our capital allocation framework, we will look to return capital to shareholders, where there isn't an immediately more compelling investments in the business.

Speaker Change: In summary.

Speaker Change: We have a strong liquidity position and we continue to balance the capital needs and the investment opportunities that the business with returning capital to shareholders.

Ali Dibadj: With that, I'd like to turn it back over to Ali to give an update on our strategic progress. Thanks, Roger. Turning to slide 11, and a reminder of our three strategic pillars of protecting our core businesses, amplify our strengths not fully leveraged, and diversify our clients give us the right to win. We are in the execution phase, and we believe this strategic vision has us on the path to, over time, deliver organic growth consistently. In Protect & Grow, we've talked previously about the importance of protecting and growing our U.S. intermediary business and the progress we've made in capturing market share.

Speaker Change: With that I'd like to turn it back over to Ali to give you an update on our strategic progress.

Ali: Thanks, Roger turning to slide 11, and a reminder of our three strategic pillars protecting all of our core businesses amplifier strength not fully levered and diversify our clients give us the right to win.

Ali: We are in the execution phase and we believe this strategic vision has us on a path to over time deliver organic growth consistently.

Ali: And protect and grow we've talked previously about the importance of protecting and growing our U S intermediary business and the progress we've made in capturing market share.

Ali Dibadj: Within Amplify, we've talked about our institutional business, our product development and expansion efforts, the acquisition of Tabula, and the partnership with Anemoin Centrifuge. We also recently announced our partnership with Guardian Life, which I'll discuss in more detail later in the presentation. Under Diversify, we expanded into differentiated private market capabilities for clients with the acquisitions of NBK Capital Partners and Victory Capital, and we established our joint venture Privacore, focused on the democratization of alternatives. We've spoken about M&A quite a bit.

Ali: With an amplified we've talked about our institutional business, our product development and expansion efforts the acquisition of tabular and the partnership with animals Centrifuge. We also recently announced our partnership with Guardian life, which I'll discuss in more detail later in the presentation.

Ali: Under diversified.

Ali: Span it into differentiated private market capabilities for clients with the acquisitions of Enrique capital Partners in victory Park capital and establish our joint venture protocol focused on the democratization of alternatives.

Ali: We've spoken about M&A quite a bit so how does the M&A and partnerships fit into our strategy.

Ali Dibadj: So how does M&A and partnerships fit into our strategy? Recall that for us at least, M&A is a lever to deliver all three elements of our strategy, and not a strategy unto itself. On slide 12, we outline how M&A and strategic partnerships are contributing to our strategic vision, not yet to protect and grow, but so far to amplify and diversify the business. we followed a targeted approach. We won't be all things to all people, but have placed measured bets on growth vectors that have the potential for significantly higher growth rates over the long term compared to our existing business.

Call that for us at least M&A as a lever to deliver all three elements of our strategy and not a strategy unto itself.

Ali: On slide 12, we outlined how M&A and strategic partnerships are contributing to our strategic vision, not yet to protect and grow but so far to amplify and diversify the business.

Ali: We followed a targeted approach we won't be all things to all people, but a place metric bets on growth vectors that have the potential for significantly higher growth rates over the long term compared to our existing business.

Ali Dibadj: As I said previously, we want to skate to where the puck is going on behalf of clients and shareholders. And we believe those with whom we have partnered are uniquely positioned to help us grow faster. Asset-backed lending has emerged as a significant and differentiated market opportunity within private credit, and we believe it will remain appealing to clients as they increasingly look to diversify their private credit exposure beyond just direct lending. Victory Park Capital specializes in asset-backed lending and has differentiated origination. We believe that despite all the fervor regarding asset-backed lending out there, there are actually only a handful or less of asset management firms who have proven track records of doing asset-backed private credit well and have been doing it for decades.

Ali: Previously, we want to skate to where the puck is going on behalf of clients and shareholders and we believe those with whom we have partnered are uniquely positioned to help us grow faster.

Ali: Asset back lending has emerged as a significant and differentiated market opportunity within private credit and we believe it will remain appealing to clients as they increasingly look to diversify their private credit exposure beyond just direct lending.

Ali: Victory Park capital specializes in asset backed lending and a differentiated origination.

Ali: We believe that despite all the fervor regarding asset backed lending out there there are actually only a handful or less of asset management firms, who have proven track records of doing asset backed private credit well and I've been doing it for decades, we are fortunate to be a leader among that select group with victory Park capital that had been doing asset backed lending way before it was the key.

Ali Dibadj: We are fortunate to be a leader among that select group with Victory Park Capital that has been doing asset-backed lending way before it was the cool thing to talk about. Others are attempting asset-backed with a handful of hires, but our scale platform of 30 investment professionals, a high-quality technology platform to manage risk of smaller balance credit, and a history of relationships in the sector is unmet.

Speaker Change: One thing to talk about others.

Speaker Change: Others are attempting as it back with a handful of hires but our scale platform of 30 investment professionals are high quality technology platform to manage risk a smaller balance credit and a history of relationships in the sector is unmatched.

Ali Dibadj: In active ETFs, the European ETF market is undergoing a significant transformation, growing considerably and mirroring trends observed in the US market, where active management is increasingly incorporated in the ETF wrapper. This shift represents a considerable growth opportunity for asset managers seeking to broaden the way in which clients access their investment capabilities and capitalize on evolving client preferences in the European market. The acquisition of Tabula allows Janus Henderson early access to this growing market and builds on our extremely successful suite of active ETFs in the U.S., where Janus Henderson is now eighth largest provider of active ETFs and third largest provider of active fixed income ETFs.

Speaker Change: And active Etfs, the European ETF market is undergoing a significant transformation growing considerably and nearing trends observed in the U S market, where active management is increasingly incorporated in the ETF wrapper.

Speaker Change: This shift represents a considerable growth opportunity for asset managers seeking to broaden the way in which clients access their investment capabilities and capitalize on evolving client preferences and the European market.

Speaker Change: The acquisition of Tabular allows Hanna Andersson early access to this growing market and build on our extremely successful suite of active ETF and the U S. Organic Henderson is now eighth largest provider of active ETF and the third largest provider of active fixed income Etfs.

Ali Dibadj: We've quickly moved to leverage the business, launching four active ETFs in the last six months, with more to come in 2025.

Speaker Change: We've quickly moved to leverage the business launching four active etfs in the last six months with more to come in 2025.

Ali Dibadj: In emerging market debt, we've addressed both the private and public markets. We expanded into differentiated private market capabilities for clients with the acquisition of NBK Capital Partners, which allows Janus Henderson early entry into the rapidly growing emerging markets private capital space. On the public side, we brought in a well-respected emerging market debt team. This team is a key component of a global fixed income platform that supports single strategy and multi-sector portfolios.

Speaker Change: And emerging market debt, we've addressed both the private and public markets, we expanded into differentiated private market capabilities for clients with the acquisition of en Dk capital partners, which allows Janus Henderson early entry into the rapidly growing emerging markets private capital space.

Speaker Change: On the public side, we brought in a well respected emerging market debt team.

Speaker Change: This team is a key component of our global fixed income platform that supports single strategy and multi sector portfolios.

Ali Dibadj: ProvoCorp seeks to take advantage of and be the leader in the democratization of private alternatives into the private wealth channel. Alternatives as a category represents a several trillion dollar market today, with asset growth expected to continue. iNet worth investors command $80 trillion of assets globally and are expected to account for much of the growth in private markets. Privacore is selling on three wirehouse platforms and expect to add another this year. They also are expanding into RIAs and broker dealers. Privacore has more products coming online in the coming months, and they are working with Victory Park Capital on innovative solutions for the wealthy.

Speaker Change: Political or ceased to take advantage of and be the leader in the democratization of private alternatives into the private all channel.

Speaker Change: Alternatives as a category. It represents several trillion dollar market today with asset growth expected to continue.

Speaker Change: Net worth investors command 80 trillion dollars of assets globally and are expected to account for much of the growth in private markets.

Speaker Change: There are of course, selling on three warehouse platforms and expect to add another this year. They also are expanding into our A's and broker dealers.

Speaker Change: Evercore as more products coming online in the upcoming months and they are working with victory Park capital on innovative solutions for the wealth channel.

Ali Dibadj: In September of last year, we partnered with Animoid Centrifuge to manage Animoid's Liquid Treasury Fund, a fully on-chain tokenized fund issued on Centrifuge's public blockchain that provides investors with direct access to the short-term US Treasury bills. blockchain readiness and tokenization are key pillars underpinning Janus Henderson's innovation strategy and the decision to partner with Animoid Centrifuge in this way reflects the firm's commitment to digital assets and our desire to embrace disruptive financial technology. The partnership has already begun to demonstrate success with initial $200 million allocation now funded as we were one of three firms selected from 40 submissions in the largest tokenization RFP ever conducted.

Speaker Change: In September of last year, we partnered with animals centrifuge to manage and I'm always liquid treasury funds are fully unchanged Cocainize fund. If you don't centrifuges public blockchain that provides investors with direct access to the short term U S Treasury bills.

Speaker Change: <unk> chain readiness and token innovation are key pillars, underpinning Janus Henderson innovation strategy and the decision to partner with NOI Central food in this way reflects the firm's commitment to digital assets and our desire to embrace disruptive financial technologies.

Speaker Change: The partnership has already begun to demonstrate success with initial $200 million allocation now funded as we were one of three firms selected from 40 submissions in the largest organization RFP ever conducted.

Ali Dibadj: This early validation is very rewarding, and we will continue to expand our offering where tokenization can provide real world benefits to clients today, while we also keep an eye on the potential benefits to a broader range of clients in the future.

Speaker Change: This early validation is very rewarding and we will continue to expand our offering where token inflation can provide real world benefits our clients today, while we also keep an eye on the potential benefit to a broader range of clients in the future.

Ali Dibadj: Finally, and most recently, we further solidified our presence in insurance with the announced strategic partnership with Guardian, which we are very excited about. On that, turning to slide 13 for more background on the multifaceted strategic partnership with Guardian announced earlier in April. Guardian is one of America's largest and most well respected life insurers and a leading provider of employee benefits. Guardian has a history of profitable growth, $172 billion in assets under administration and a 7% annual growth rate since 2019. We are extremely energized to partner with Guardian. This partnership was founded on a shared set of client focused values, leverages our complementary strengths, creates alignment for mutual growth, and intends to achieve mutually beneficial outcomes for policyholders, our clients, shareholders and employees.

Speaker Change: Finally, and most recently, we further solidified our presence in insurance with the announced strategic partnership with Guardian, which we're very excited about.

That turning to slide 13 for more background on the multifaceted strategic partnership with Guardian announced earlier in April.

Speaker Change: Guardian as one of America's largest and most well respected life insurers and a leading provider of employee benefits.

Speaker Change: <unk> has a history of profitable growth.

Speaker Change: <unk> $72 billion in assets under administration, and a 7% annual growth rate since 2019.

Speaker Change: We are extremely energized pardon with Guardian. This partnership was founded on a shared set of client focus value leverages, our complementary strengths create alignment for mutual growth and intends to achieve mutually beneficial outcomes for policyholders, our clients shareholders and employees.

Ali Dibadj: Through the partnership, Janus Henderson will manage the $45 billion investment-grade public fixed income portfolio from Guardian's general account, expanding Janus Henderson's pro forma fixed income AUM to $135 billion, bringing pro forma fixed income AUM to over 30% of pro forma company-wide AUM. On a pro forma basis again, Janus Henderson will manage over $100 billion for global insurance companies, greatly expanding the firm's institutional reach and insurance presence, and positions Janus Henderson as a top 15 unaffiliated insurance asset manager. In addition, Guardian will commit up to $400 million of seed capital to help accelerate Janus Henderson's continued innovation in securitized credit and high quality active fixed income products, as well as other fixed income capabilities.

Speaker Change: Through the partnership Janus Henderson will manage the $45 billion investment grade public fixed income portfolio for Guardians General account, expanding dennys hendersons pro forma fixed income AUM to $135 billion, bringing pro forma fixed income a to over 30% of pro forma companywide AUM on a pro forma basis again, Dennis Henderson will.

Speaker Change: <unk> over $100 billion for global insurance companies greatly expanding the firms institutional REIT and insurance presence and positions Janus Henderson as a top 15 Unaffiliate insurance asset manager.

Speaker Change: In addition, guardian will commit up to $400 million of seed capital to help accelerate Kenneth Hendersons continued innovation in securitized credit and high quality active fixed income product as well as other fixed income capabilities.

Ali Dibadj: One opportunity area is a further expansion of our ETFs. This would build on the success of Janus Henderson's Active Fixed Income ETF suite, which includes JAAA, the largest CLO ETF, JBB, which provides exposure to floating rate CLOs, generally rated BBB, JSI, which invests in opportunities across the U.S. securitized markets, JMBS, the largest actively managed mortgage backed securities ETF, and VNLA, an active global short duration income ETF. Guardian and Janus Henderson have agreed to pursue a strategic initiative to co-develop proprietary multi-asset solution models for Guardian's duly registered broker-dealer and registered investment advisor, Park Avenue Securities, or PAS.

Speaker Change: One opportunity area is a further expansion of our Etfs.

Speaker Change: Would build on the success of Janus Henderson active fixed income Etfs, we which includes J AAA the largest CLO ETF Jacob B, which provides exposure to floating rate CLO Kelly rated triple B, J, ESI, which investment opportunities across the U S. Securitized markets can be at the largest actively managed mortgage backed securities Etfs and <unk>.

Speaker Change: L a and active global short duration income ETF.

Speaker Change: Guardian, and Janus Henderson have agreed to pursue a strategic initiative to come.

Co developed proprietary multi asset solution models for Guardians, they only registered broker dealer and registered investment Advisor Park Avenue securities' their pis.

Ali Dibadj: As a key partner to PAS, Janus Henderson will develop investment solutions for PAS clients, bringing together Janus Henderson's full suite of global investment allocation solutions capabilities, including Janus Henderson Edge, the firm's award-winning proprietary analytics platform for its portfolio construction and strategy. Guardian will receive equity warrants and other economic considerations designed to support a shared goal of accelerating growth and driving value creation. On a standalone basis excluding other upside potential from the partnership, the Guardian IMA contributes positively to Janus Henderson's operating margins and is accretive to earnings upon full integration by mid-2026. As previously mentioned, Janus Henderson's aggregate net management fee rate will be approximately five to six basis points lower once the assets are fully onboarded, which is expected to be at the end of the second quarter of 2025.

Speaker Change: As a key partner to P. A S. Janus Henderson will develop investment solutions for Pis clients, bringing together Janus Henderson its full suite of global investment allocation solutions capabilities, including Janus Henderson edge, the firm's award winning proprietary analytics platform for its portfolio construction and strategy team.

Speaker Change: Guardian will receive equity warrants and other economic consideration designed to support a shared goal of accelerating growth and driving value creation.

Speaker Change: On a standalone basis, excluding other upside potential from the partnership the Guardian IMA contributes positively to Janus Henderson as operating margin and is accretive to earnings upon full integration by mid 2026.

Speaker Change: As previously mentioned Dennis Henderson aggregate net management fee rate will be approximately five to six basis points lower once the assets are fully on boarded which is expected to be at the end of the second quarter of 2025.

Ali Dibadj: Wrapping up on slide 14. We believe we have a strong foundation as a truly global asset manager, enabling Janus Henderson to navigate periods of market uncertainty. We have a diverse and global client base that we are proactively engaging and supporting. And we have a broad offering of investment strategies and styles with global and regional focus. Despite some short-term volatility, our long-term investment performance is solid. Disruption creates opportunity for active managers like Janus Henderson to look at a wider spectrum of companies that we think will outperform over the longer term. Flows were net positive for the fourth consecutive quarter, resulting in a 2% organic growth rate over the last 12 months.

Speaker Change: Wrapping up on slide 14.

Speaker Change: We believe we have a strong foundation as a truly global asset manager, enabling Janus Henderson to navigate periods of market uncertainty.

Speaker Change: We have a diverse and global client base that we are proactively engaging and supporting and we have a broad offering of investment strategies and styles with global and regional focuses.

Speaker Change: Despite some short term volatility our long term investment performance is solid.

<unk> creates opportunity for active managers like Janus Henderson to look at a wider spectrum of companies that we think will outperform over the longer term flows were a net positive for the fourth consecutive quarter, resulting in a 2% organic growth rate over the last 12 months organic growth is a key differentiator for Janus Henderson in an industry with well documented active flow headwinds.

Ali Dibadj: Organic growth is a key differentiator for Janus Henderson in an industry with well-documented active flow headwinds. We announced a multifaceted strategic partnership with Guardian, amplifying several areas of our business. Importantly, this partnership demonstrates that we are a home for some of the most sophisticated clients in the world. Great deals are still going to happen even in this uncertain environment, and we'll find ways to win and grow. In that vein, we continue to look actively to buy, build or partner to further diversify the business where clients give us the right. We have a strong balance sheet and good free cash flow generation, which enables us to return cash to shoulders and reinvest in the business.

Speaker Change: We announced a multifaceted strategic partnership with Guardian amplifying several areas of our business Importantly, this partnership demonstrates that we are a home for some of the most sophisticated clients in the world.

Speaker Change: Great deals are still going to happen even in this uncertain environment, and we will find ways to win and grow.

Speaker Change: In that vein, we continue to look actively to buy build or partner to further diversify the business where clients give us the right.

Speaker Change: We have a strong balance sheet and good free cash flow generation, which enables us to return cash to shareholders and reinvest in the business.

Ali Dibadj: Looking ahead in this period of uncertainty, we'll focus on what we can control, including cost discipline, investment in the business, client outreach, and investment performance.

Speaker Change: Looking ahead in this period of uncertainty we will focus on what we can control, including cost discipline and investment in the business client outreach and investment performance.

Unknown Attendee: Let me turn the call back over to the operator to take your question. Thank you.

Speaker Change: Let me turn the call back over to the operator to take your questions.

Speaker Change: Thank you to ask a question. Please press star followed by one on your telephone keypad now if you change your mind. Please press star followed by team.

Unknown Attendee: To ask a question, please press star followed by one on your telephone keypad now. If you change your mind, please press star followed by two. When preparing to ask your question, please ensure your device is unmuted locally.

Speaker Change: And preparing to ask a question. Please ensure you have devices unmetered locally.

Unknown Attendee: In the interest of time, questions will be limited to one initial and one follow-up question.

Speaker Change: In the interest of time questions will be limited to one initial and one follow up question.

Kenneth Worthington: Your first question comes from Ken Worthington of J.P. Morgan. Ken, your line is now open, please go ahead. Hi, good morning. Thanks for taking the questions.

Speaker Change: Our first question comes from Ken Worthington of J P. Morgan Ken Your line is now open. Please go ahead.

Ken Worthington: Hi, good morning, Thanks for taking the questions.

Speaker Change: Maybe first I wanted to dig into a CLO CLO ETF capacity.

Ali Dibadj: Maybe first, I wanted to dig into CLO, CLO ETF capacity. Given the size of money coming in over a short period and the risk that in poor market conditions, money might be possibly flowing out as quickly, how are you thinking about the ETF franchise's ability to navigate CEO liquidity, particularly in times of stress? And are there any lessons maybe learned in April that sort of confirm or alter your views on the build out of this product suite? Hey, Ken, thanks for the question. So we've, we've been quite fortunate with the Cielo franchises that we've created up to an ETF form, preferentially for clients.

Speaker Change: Given the size of money coming in over a short period and the risk that in poor market conditions money might be possibly flowing out as as quickly. How are you thinking about the ETF franchise's ability to navigate.

Speaker Change: Liquidity, particularly in times of stress.

Speaker Change: Are there any lessons learned in April that sort of confirm or altered your views on the build out of this product.

Speaker Change: Product suite.

Ken Worthington: Hey, Ken Thanks for the question.

Speaker Change: So we've.

Speaker Change: We've been quite fortunate with the yellow franchises that we've created at sea an ETF form preferentially for clients. In fact year to date flows are positive $3 billion, which is more than peers combined so effectively we are the category where about 80% of them.

Ali Dibadj: In fact, year to date flows are positive $3 billion, which is, you know, more than peers combined. So effectively, we are the category, we're about 80% of, of the market share in this category. And we've created this category. So effectively, we are at the market. And what we've seen, mostly is that investors in this ETF and the franchises that we brought on board, even on ETF, are medium to long-term type investors. Sometimes that does mean some investors are taking it from a shorter-term perspective, and that's where you get the uncertainty in the marketplace, create the volatility that you're exactly asking about.

Speaker Change: The market share in this category.

Speaker Change: We've created this category so effectively we are the market and what we've seen mostly is that investors in this ETF and in the franchises that we brought on board even on ETF, our medium to long term type investors.

Speaker Change: Sometimes that does mean, some investors are taking it from a shorter term perspective, and that's where you get the attorney in the marketplace create the volatility that you're exactly asking about.

Ali Dibadj: We were watching this very, very closely, as you can imagine, and what we've seen consistently, particularly in a quite volatile time, in the early couple weeks of April, since then it's been pretty stable, been the early couple weeks of April, that the projections have been absorbed completely as expected. Very little impact on the CLO market, on the portfolio. Again, these are underlyingly quite liquid. There's an in-kind element, obviously, given the ETF piece to it as well. So we've seen no dislocations, no surprises. In fact, we were quite pleased with how the market reacted in a very measured and disciplined manner.

Speaker Change: We were watching that very very closely as you can imagine and when we've seen consistently particularly in a quite volatile time in the early couple of weeks of April since then it's been pretty stable and the early couple of weeks of April.

Speaker Change: The redemptions have been absorbed completely as expected very little impact on the CLO market on the portfolio.

Speaker Change: Again these are underlying Lee quite liquid.

Speaker Change: And in kind of element, obviously, given the ETF piece to it as well.

Speaker Change: So we've seen no dislocations no surprises in fact, we were quite pleased with how the market reacted in a very.

Speaker Change: <unk> and disciplined manner again exactly as we'd expected.

Unknown Attendee: Again, exactly as we'd expected. even given our Okay, perfect.

Speaker Change: Even given our size.

Speaker Change: Okay perfect. Thank you for that and then just maybe quickly on the institutional channel.

Unknown Attendee: Thank you for that.

Kenneth Worthington: And then just maybe quickly on the institutional channel, second consecutive quarter positive flows, that part of the franchise continues to perform better. Can you talk about next steps in terms of where you're going to drive better results from here going forward? What's sort of next in the pecking order of priorities to continue to drive even better results as we look forward? Uninstitutional specifically, Ken. Institutional Specific. Yeah, so look, you're right. It's now a couple consecutive quarters of positive flows. You've seen some in the past, but we're starting to get a little bit more steady in that way.

Speaker Change: Second consecutive quarter of positive flows that part of the franchise continues to perform better.

Speaker Change: Can you talk about next steps in terms of where you're going to drive.

Speaker Change: You know better results from here going forward, what's what's sort of next in the pecking order of priorities to continue to drive even better results as we look forward.

Roger Thompson: On institutional specifically Ken.

Speaker Change: Our institutional specifically.

Roger Thompson: Yeah. So.

Roger Thompson: You are right now a couple of consecutive quarters of positive flows.

Roger Thompson: Seen some in the past, but we're starting to get a little bit more steady in that way and the pipeline is building.

Ali Dibadj: And the pipeline is building. Set aside the one not funded $45 billion from Guardian, that's obviously a big pipeline win that we're very proud about. But if you think about some of the leading indicators, for example, in the US, we're seeing, you know, an RFP activity that's up about 100% quarter on quarters, or I should say, Q124 to Q125. We've gotten more and more consultant support across the board. In fact, we had a very big firm watch flag that was on us for many years removed from us just this past quarter, which opens up, as you'd imagine, many more doors globally.

Roger Thompson: Set aside the one not funded $45 billion from Guardian, and that's obviously, a big pipeline win that we're very proud about.

Roger Thompson: But if you think about some of the leading indicators.

For example in the U S. We're seeing.

Roger Thompson: RFP activity, that's up about 100% quarter on quarter or I should say Q1, 'twenty four to Q1 'twenty five.

Roger Thompson: We've gotten more and more consultants.

Roger Thompson: Support across the board in fact, we had a very big.

Roger Thompson: <unk> watch flag that was on us for many years removed from US just this past quarter, which opens up as you'd imagine many more doors globally.

Ali Dibadj: We're continuing to see opportunities up and being in kind of late stage opportunities and finals and all that sort of stuff in the kind of 20 to 30% range year on year again in the US. And EMEA and the rest of the world is the same thing. There we're seeing opportunities increased by around 60%. So things are, you know, as we said, it would take some time, but playing out as planned as we'd expected. And part of that is not just because of the products that we're certainly bringing to bear already, but also some of the new products that we brought to bear, whether it be emerging market debt, or NBK, or Vickery Park Capital, or things like that we can do with Guardian.

Roger Thompson: We're continuing to see opportunities up.

Roger Thompson: And being in kind of late stage opportunities and finals, and all that sort of stuff in the kind of 20%, 30% range year on year again in the U S and EMEA and the rest of the world are the same thing there we're seeing opportunities increased by around 60%. So so things are you know.

Roger Thompson: As we said it would take some time, but playing out as as planned is that as we had expected.

Roger Thompson: And part of that is not just because of the products, where theres certainly bring to bear already.

Roger Thompson: But also some of the new products, we brought to bear whether it be emerging market debt or in BK or victory Park capital or things like that we can do with Guardian as we are seeing broad based interest.

Ali Dibadj: So we are seeing a broad-based interest with the products that we already have, and we've had for quite some time. We're seeing a lot of interest in some, what we call them, immutable thematics like tech and healthcare, and smaller cap equities where there's opportunities, and absolute return equities, and high conviction equities. In Europe, we've recently seen a lot more interest in investments, I think, given all the headlines around investing in Europe. And gladly, we are a truly global firm and can offer great European investments and global investments. Multi-asset is coming up on the radar screen.

With the products that we already have and we've had for quite some time, we're seeing a lot of interest and some would call them immutable thematic like tech and health care and small cap equities, where there's opportunities and absolute return equities and high conviction equities in Europe. We've recently seen a lot more interest and investments I think given all the headlines.

Roger Thompson: Investing in Europe, and lastly, we are a truly global firm and can offer great European investments in global investments multi asset is coming up on the radar screen securitize, obviously, our balanced fund is showing some progress because people want the balance of fixed income and the yield of fixed income with the upside potential of equities. So so I don't want.

Ali Dibadj: Secure ties, obviously. Our balance fund is showing some progress because people want the balance of fixed income and the yield of fixed income with the upside potential of equities.

Unknown Attendee: So I don't want to give you a big laundry list, I kind of did, but it's a broad gamut of areas where people are really looking to us on institutional, and the consultant environment is becoming much more benign towards Excellent. Thank you so much.

Roger Thompson: Give you a big laundry litter that kind of did better.

Roger Thompson: A broad gamut of areas, where people are really looking to us on institutional and the consultant environment is becoming much more benign towards us as well.

Roger Thompson: Excellent. Thank you so much.

William Katz: Our next question comes from Bill Katz of TD Coed. Bill, your line is now open. Great, thank you very much.

Speaker Change: Our next question comes from Bill Katz of TD Cowen. Your line is now open. Please go ahead.

Bill Katz: Great. Thank you very much good morning.

Ali Dibadj: Good morning, and congrats again on the Guardian transaction. Maybe starting there, seems like a very intriguing deal on a lot of vectors from my perspective. Can you talk a little bit about where you see the greatest opportunity for incremental growth, maybe just with the Guardian itself? I think you mentioned that business is growing about 7% annually. But also in terms of their incremental distribution platform, what kind of products might you see the early opportunities for wins? Thank you. Hey Bill, thanks very much for the question on Guardian. As you can probably tell, we're pretty energized about this partnership.

Bill Katz: That's again on the Guardian transaction, maybe starting there it seems like a very intriguing deal on a lot of vectors for my perspective.

Bill Katz: Can you talk a little bit about where you see the greatest opportunity for incremental growth, maybe just with the Guardian itself. I think you mentioned that business is growing about 7% annually, but also in terms of their incremental distribution platform, what kind of products might you see the early opportunities for wins. Thank you.

Bill Katz: Hey, Bill Thanks, very much for the question on Guardian as you can probably tell we're pretty energized about this partnership.

Ali Dibadj: And it starts with really sharing the same client focus values, policyholder values, really sharing complementary strengths, and I'll get to some of that on the distribution side for sure. And very importantly, alignment for mutual growth from an economics perspective. We think we can really enhance Guardian's both investment and solutions capabilities and benefiting its policyholders and its clients. We're very pleased that, you know, this partnership ends up developing a $100 billion global insurance asset manager like us. That's the number for us. That puts us into the top 15 realm. And we think that there's point number one, really great growth potential to amplify some of the insurance relationships that we can have with others.

Bill Katz: And it starts with really sharing the same client focus values policyholder values.

Bill Katz: Really sharing complementary strengths and I'll get to somehow on distribution side for sure and very importantly alignment for mutual growth from an economics perspective, we think we can certainly enhance.

Bill Katz: Guardians, both investment and solutions capabilities and benefiting its policyholders and its clients.

Bill Katz: We're very pleased that.

Bill Katz: Partnership ends up developing a $100 billion global insurance asset manager like us.

Bill Katz: The number for us that puts us into the top 15 realm, and we think that there is a point number one really great growth potential to amplify some of the insurance relationships that we can have with others and indeed, we have had several phone calls and outreach is from other insurance companies really intrigued by this deal wanted to learn more about this deal and trying to understand.

Ali Dibadj: And indeed, we've had several phone calls and outreaches from other insurance companies really intrigued by this deal, wanting to learn more about this deal, and trying to understand why the some of the most sophisticated assets in the world, trust us and want to come to us. And we think that we're becoming a true global contender to get more insurance assets to your And we think we can amplify that. Still in the amplify realm, not only in insurance, but beyond that, we think we have the opportunity to, again, bring to bear the winning opportunity of getting these great assets with other institutional clients as well.

Bill Katz: Why.

Bill Katz: Some of the most sophisticated assets in the world.

Bill Katz: Trust us and want to come to us and we think that's we're becoming a true global contender to get more insurance assets to your growth question and we think we can amplify that still on the amplify around not only in insurance, but beyond that we think we have the opportunity to again.

Bill Katz: Bring to bear the winning opportunity.

Bill Katz: Of getting these great assets with other institutional clients as well and again there too we're getting it's more intriguing phone calls and outreach is about what other partnerships we can create.

Ali Dibadj: And again, there too, we're getting some more intriguing phone calls and outreaches about what other partnerships we can create. We clearly have the seed opportunity of 400 million dollars that we can bring to bear. And I think we've the team here has shown a track record of growing products. take that seed and grow them. And of course, very, very importantly, we have a great set of employees that are still currently at Guardian coming over to us and we definitely want to leverage their skill sets and their expertise. We're very, very proud and happy that they've decided to join us at Janus Henderson and grow their business.

Bill Katz: We clearly have the seed opportunity of $400 million.

Bill Katz: That we can bring to bear and I think we've the team here has shown a track record of growing products and we think we can take that seed and grow them and of course very very importantly, we have a great set of employees that are still currently at guardian coming over to us and we definitely want to leverage their skill sets and their expertise, we're very very proud and happy that <unk>.

Bill Katz: Started to join Us Janice.

Bill Katz: Janus Henderson net and grow their businesses.

Ali Dibadj: Now, particularly on the distribution side of things, you're right. They have a great broker-dealer, Park Avenue Securities. It's about $58.5 billion of client assets under management. We have a partnership with them where we're developing proprietary both models, diagnostic tools, investment solutions, training modules, etc., really to amplify what we have internally from a broader solutions perspective. You know, our multi-asset business, our adaptive asset business, our portfolio construction business, our quant solutions businesses as well. And we think that's going to be very, very fruitful because we can bring to bear a better investment platform for those 2400 clients, for those 2400 advisors.

Bill Katz: Particularly on the distribution side of things Youre right they have.

Bill Katz: Great.

Speaker Change: Broker dealer Park Avenue Securities, It's about $15 5 billion of client assets under management, we have a partnership with them, where we're developing a proprietary both models diagnostic tools investment solutions training modules et cetera, really to amplify what we have internally from a broader solutions perspective.

Speaker Change: Active multi asset business, our adaptive asset business are performing construction business, our quant solutions businesses as well and we think thats going to be very very fruitful because we can bring to bear a better investment platform for those 2400 clients.

Speaker Change: Those start to my 400 advisers.

Ali Dibadj: We can also bring new products to those clients and grow that business.

Speaker Change: We can also bring new products to those clients and grow that business. So we feel very very pleased about all the different vectors that this partnership could bring to bear to grow the business.

Unknown Attendee: So we feel very, very pleased about all the different vectors that this partnership can bring to bear to grow the business, let alone the underlying $45 billion. Great, thank you.

Speaker Change: Let alone the underlying $45 billion that we're starting with.

Speaker Change: Great. Thank you and then just as a follow up I think you mentioned a couple of times in the commentary just around the pipeline for M&A.

Unknown Attendee: And then just as a follow up, I think you mentioned a couple of times in the commentary just around the pipeline for M&A. Can you talk a little bit about where incrementally you might be interested on, interested in, excuse me, and then as you think about maybe the expectation between the bid and the ask, where does that sit, particularly after such a turbulent year-to-date market backdrop? Thank you. Thanks for the question. It's a very, very active M&A environment right now. We will, as always, and as you've seen, and I think page 12 of our presentation, that kind of additional page, would support the view that we're always going to be client led, we're always going to be market led.

Speaker Change: Can you talk a little bit about where incrementally you might be interested on interested in excuse me and then as you think about maybe the expectation between the bid and the ask where does that sit particularly after such a turbulent year to date market backdrop. Thank you.

Speaker Change: Thanks for the question.

Speaker Change: They're very active M&A environment right now, we will as always and as you've seen it and I think page 12 of our presentation that kind of additional page.

Speaker Change: Would would support the view that we're always going be client lateral is going to be market led.

Ali Dibadj: And so we continue to look at opportunities to buy, build, or partner across the board. Our balance sheet and cash flow allows us to be a safe harbor, I guess, in these tumultuous times. There is a significant interest out there in speaking with us. I wouldn't say, Bill, that on the valuation point, there's capitulation in any sort, but there's certainly a curiosity, given the volatility in the marketplace and joining forces with a firm that has shown a pretty steady, not just revenue growth, but organic revenue growth, pretty steady execution on its strategy, pretty steady growth of businesses that we've brought on board all year.

Speaker Change: And so we continue to look at opportunities to buy build or partner across the board are.

Speaker Change: Our balance sheet and cash flow allows us to be a.

Speaker Change: Safe Harbor, I guess tumultuous times.

Speaker Change: There is significant interest out there in speaking with us I wouldn't say bill that on the valuation point, there's capitulation in any store, but there is certainly a curiosity.

Speaker Change: Given the given the volatility in the marketplace and joining forces with a firm that has shown a pretty steady not just revenue growth, but organic revenue growth pretty steady execution on our strategy pretty steady growth of businesses that we brought on board already and want to continue to do that but we'll continue to be.

Ali Dibadj: And we've seen that already and want to continue to do that. But we'll continue to be very disciplined on that front across the board. But we see a lot of activity out there. I think you're right. And I would say that the bid-ask spread has come down a little bit, but I'm not sure you're capitulating yet in some of our projects. Thank you for taking the question.

Speaker Change: Disciplined on that front across across the board, but.

Speaker Change: But we see a lot of activity out there I think you're right and I would say that the bid ask spread has has come down a little bit, but I'm not sure you're capitulating yet in some of our peers.

Speaker Change: Thank you for taking the questions.

Speaker Change: Thank you. Our next question is from Craig Siegenthaler of Bank of America Crank. Your line is now open. Please go ahead.

Craig Siegenthaler: Our next question is from Craig Siegenthaler of Bank of America. Craig, your line is now open, please go ahead. Good morning, Ali, hope everyone's doing well and congrats on the Guardian Life IAM Agreement signing. We actually have a follow up to Bill's question, and I heard your comments on the 45 billion AUM and the net five to six basis point match and fee rate. But my question is on the organic growth rate. What do you see as the flow trajectory on this 45 billion AUM base going forward, or should we essentially assume it's sort of stable at 45 billion at the at the five to six basis point fee rate?

Craig Siegenthaler: Good morning, Ali hope everyone's doing well.

Craig Siegenthaler: And congrats on the Guardian life I'm agreement, signing we actually have a follow up to Bill's question and I heard your comments on the 45 billion AUM and then that five to six.

Speaker Change: <unk> point imagine fee right, but my question is on the organic growth rate what do you see as the flow trajectory on this 45 billion AUM base going forward or should we essentially assume it's sort of stable at 45 billion at the at the five to six basis point fee rate.

Ali Dibadj: So Guardian has had a great growth trajectory historically. One of the reasons that we partnered with them is the like mindedness about continuing to grow. We certainly would expect and hope and continue to see growth in that $45 billion given they're such a successful company.

Speaker Change: So guardian has had a great growth trajectory historically one of the reasons that we partnered with them is like mindedness about continuing to grow we certainly would expect and hope and continue to see growth in that $45 billion. Given there is such a successful company.

Unknown Attendee: And we're both aligned with growing that Thanks, Ali.

Speaker Change: And we're both aligned with growing that business.

Speaker Change: Thank you Sally and just for a follow up you know when we take a step back and look at the entire 100 billion plus AUM insurance client business Theres lots of partnerships now formed between insurance companies and asset managers, especially the annuity business is there a lot more AUM up for grabs.

Ali Dibadj: And just for a follow up, you know, when we take a step back and look at the entire hundred billion plus AUM insurance client business, you know, there's lots of partnerships now formed between insurance companies and asset managers, especially in annuity business. Is there a lot more AUM up for grabs? Or is most of it tied up now, either with third party asset managers or internal CIU divisions, where they're really not looking for a partner? There's plenty of room out there, actually. And look, I want to underline the obvious here, perhaps, is that this partnership with Guardian was was hard fought.

Speaker Change: Whereas most of it tied up now either with third party asset managers or internal CIO divisions, where they're really not looking for a partner.

There is plenty of room out there actually.

Speaker Change: And look I want to underline the obvious here, perhaps is that this.

Speaker Change: Partnership with Guardian.

Speaker Change: Was was hard fought and it does suggest that we are a great home for the most sophisticated assets in the world.

Ali Dibadj: And it does suggest that we were a great home for the most sophisticated assets in the world. And really true global contender relative to a lot of others who were vying for the best. Again, we're number 15 now in the world, with the real aspiration, correct your question, to continue to garner assets from the insurance clients, that is a growing client base and a growing asset base as a category. So again, as page 12 would suggest, we expect growth not only organically, but for us inorganically there, and there are many more opportunities in the insurance world globally, remember, for us.

Speaker Change: And really true global contender relative to a lot of others, who were buying for those assets.

Craig Siegenthaler: Again, we're number 15 now in the world with the real aspiration Craig to your question to continue to garner assets from the insurance.

Craig Siegenthaler: Clients and then as a growing client base and a growing asset base as a category. So again Thats page 12 would suggest we expect.

Craig Siegenthaler: Growth not only organically, but for us inorganically, there and there are many more opportunities in the insurance world globally remember for us.

Unknown Attendee: If you think about it, $45 billion is half that $100 billion roughly, there's another $55 billion elsewhere in the world that we also think has opportunities. So we think there's quite a lot of opportunity out there and partnering with a similar culture, with a growth trajectory, and with the services and investment skill sets and client service that we bring to bear to the insurance client, we see enormous opportunity there to continue. Thanks, Ali. Thank you.

Craig Siegenthaler: If you think about it $45 billion is half of that $100 billion roughly there's another $55 billion elsewhere in the world that we also think has opportunity. So we think there's quite a lot of opportunity out there and and partnering with a similar culture with a growth trajectory and with the services and investments skill sets and client service that we bring to bear to the insurance client.

Craig Siegenthaler: We see enormous opportunity there to continue to grow that business.

Speaker Change: Thanks Ali.

Speaker Change: Thank you as a reminder to ask a question. Please press star followed by one on your telephone keypad.

Unknown Attendee: As a reminder, to ask a question, please press star followed by 1 on your telephone keypad.

Michael Cyprys: We have a question from Michael Cyprys of Morgan Stanley. Michael, your line is now open. Please go ahead.

Speaker Change: We have a question from Michael Cyprus with Morgan Stanley Michael Your line is now open. Please go ahead.

Ali Dibadj: Hey, this is Annalie Davis on for Mike. You guys talked a little bit about the setup for active management in 2025. Just curious if you could talk a little bit more about how you see the opportunities that just given continued and also what steps you guys are taking to help your investment teams best capture. Stanley, thanks for the question. So let me maybe divide it into two buckets, talking about the current environment and talking about the, the kind of what we're hearing from clients in that context. But clearly, there's a dislocation in the marketplace, it happened all of a sudden, it happened quite quick, quite quickly.

Speaker Change: Hey, This is Anthony Davis on for Mike you, guys talked a little bit about the set up for active management in 2025, just curious if you could talk a little bit more about how you see the opportunity set just given continued uncertainty and also what steps you guys taking to help your investment gains best captured it.

Speaker Change: Anthony Thanks for the question.

Speaker Change: So let me maybe divide it into two buckets I'm talking about the current environment and talking about the the kind of what we're hearing from clients in that context.

Speaker Change: Clearly, there's a dislocation in the marketplace that happened all of a sudden it happened quite quick quite quickly.

Ali Dibadj: It certainly feels like it's stabilizing now, you don't really ever know, but it feels like it's stabilizing now. And certainly, a dislocation may impact some of the short term flows and investment performance, and certainly I'll get to that in a second. But also really importantly, particularly for us, offers real great opportunities. We are an active investing shop, we have 350 investors around the world, who spent all of their time, as Roger said, in the prepared remarks, separating wheat from chaff, finding the good company for the bad company. And now more than ever, our clients need that help, need that help to not just assume an index is going to drive everything, particularly if it's focused on seven stocks that are lagging a little bit.

Speaker Change: Certainly feels like it's stabilizing now you don't really ever know, but it feels like it's stabilizing now and certainly a dislocation may impact some of the short term.

Speaker Change: Flows and investment performance and thrown against that in a second but also really importantly, particularly for US offers real great opportunities.

Speaker Change: We are in active investing shop, we had 350 <unk>.

Roger Thompson: Investors around the world, who spend all of their time as Roger said in the prepared remarks separating wheat from chaff finding a good company for the bad company and now more than ever.

Roger Thompson: Our clients need that need that help to not just assume an index is going to drive everything to keep it focused on seven stocks that are lagging a little bit.

Roger Thompson:

Ali Dibadj: Our clients need that help to figure out geographically where they can distribute their AUM. And that is perfectly falling in our lap. Again, not just with 350 investors we have around the world, but with a roughly 600 marketing and client service people we have around the world who support that client base. So, candidly, dislocation in the short term might cause pause for some others. For us, across the floors, across our offices around the world, we see enormous opportunity to serve clients better, given who we are and what we do. Again, an active asset management shop with great client service and a focus on delivering together for our clients.

Roger Thompson: Our clients need that help to figure out geographically, where they can distribute their AUM and that is perfectly falling in our lab again, not just with the 350 investors you have around the world, but with a roughly 600 marketing and client service people, we have around the world who support that client base. So.

Candidly dislocation in the short term might cause pause for some others for us.

Roger Thompson: Across the floors across our offices around the world, we see enormous opportunity to serve clients better given who we are and what we do and an active asset management shop with great client service and a focus on delivering together for our clients now.

Ali Dibadj: Now, from the second part of it, from a business perspective, again, we are truly global operation. We are not just U.S., we are global, and we can offer that to our clients. And on top of that, we have a very strong balance sheet that offers, I think to Craig's question earlier on, offers us a lot of opportunity to both invest in the business, return cash and importantly, be a safe harbor for asset managers who are a little bit more impacted by this uncertainty. So M&A is part of that. We're also, Anneli, to your question, very, very focused on being disciplined on our cost structure.

Roger Thompson: Now from now the second part of it is from a business perspective.

Roger Thompson: Again, we are a truly global operation.

Roger Thompson: Not just U S. We are global and we can offer that to our clients and on top of that we have a very strong balance sheet that offers I think to Craig's question earlier on offers us a lot of opportunity to both invest in the business return cash to shareholders and importantly, BSF harbor for asset.

Roger Thompson: Imagers, who are a little bit more impacted by this by this attorney So M&A is part of that.

Roger Thompson: Also Anthony to your question are very very focused on being disciplined on our cost structure.

Ali Dibadj: We are looking at always continuous opportunities to improve our cost structure, to become more efficient, become more efficient on behalf of our shareholders, as well as our employees and our clients, and to be able to deliver. So we see this opportunity set greater than the risk set in this in this current. Second part I think to your question, sorry if I've expanded more than you wanted me to, but on the kind of client views part of things, again I would say that you know there's a subset of clients that are more short-term oriented and I'd argue have been a little bit spooked for lack of a better word, probably not a technical term, but for lack of a better word in the marketplace right now, but most of what we're seeing is people looking to reallocate to active, reallocate to global, reallocate to fixed income both on the public and the private side, and have had really strong areas of interest across the board for us, and I mentioned some of them, but you know some of the technology or healthcare areas and thematics, some of the small cap equities, absolute return strategies that we have, some of the contrarian strategies actually people looking for the opposite bet, high conviction strategies in Europe and around the world, global research strategies, adaptive multi-asset, you know just go down the list, securitize, we're actually benefiting quite a bit from folks looking for other areas to invest because we're global, because we're pretty broad in what we're doing.

Roger Thompson: We are looking at always continuous opportunities to improve our cost structure to become more efficient become more efficient on behalf of our shareholders as well as our employees and our clients and to be able to deliver that.

Roger Thompson: No.

Roger Thompson: We see this opportunity set greater than the risk set in this in this current environment.

Roger Thompson: Second part I think to your question I'm, sorry, if I.

Roger Thompson: Expanded more than you wanted me to but on the kind of client views part of things.

Roger Thompson: Again, I would say that.

Roger Thompson: There is a subset of clients that are more short term oriented and I'd argue have been a little bit spooked for lack of a better word probably not a technical term, but for lack of a better word in the marketplace right now.

Roger Thompson: But but most of what we're seeing is people looking to reallocate to active reallocate to global reallocate to fixed income both on the public and the private side.

Roger Thompson: And have had really strong areas of interest across the board.

Roger Thompson: For us I mentioned some of them but.

Roger Thompson: Some of the technology or healthcare informatics, and the small cap equities absolute return strategies that we have.

Roger Thompson: From a contrarian strategy is actually people looking for the opposite of that high conviction strategies in Europe and around the World Global research strategies.

Roger Thompson: Adaptive multi asset just go down the last securitized.

We're actually benefiting quite a bit from <unk>.

Roger Thompson: Folks looking for other areas to invest because we're global because we're pretty broad and what we offer.

Unknown Attendee: So hopefully that answers your question. Yeah, that's perfect. Thanks so much. That's awesome. Thank you.

Speaker Change: That answers your question Natalie.

Natalie: Yeah, that's perfect. Thanks, so much that's all for me.

Natalie: Thank you. Our next question is from John Dunn of Evercore ISI. Your line is now open. Please go ahead.

John Dunn: Our next question is from John Dunn of Evercore ISI. John, your line is now open, please go ahead. Thank you.

John Dunn: Thank you.

John Dunn: Could you maybe talk a little bit about the geographic, looking across regions, the kind of color on the different demand, flow demands, regionally in the intermediary channel and then separately in the institutional channel? I'm sure just in terms of what products people are looking for. The products, but also just, you know, like the temperature of kind of demand, any differences between the regions? Yeah, so look, we've seen similar concern in the intermediary channels in particular. Again, that's not atypical. That's quite, unfortunately, for the end client. It is something that often happens when there is a gyration in the market, people seem to kind of freeze and pull money out.

John Dunn: Could you maybe talk a little bit about the geographic looking across regions kind of.

John Dunn: Color on the different demand.

John Dunn: Flow demands.

John Dunn: Generally in the intermediary channel and then separately in the institutional channel.

John Dunn: Yeah.

Speaker Change: Sure just in terms of what products people are looking for.

Speaker Change: The products, but also just like that.

Speaker Change: Temperature of kind of demand.

Speaker Change: Any difference.

Speaker Change: Between the regions.

Speaker Change: Yes, so look we've seen.

Similar concern in the intermediary channels in particular again thats not atypical that's quite and.

Speaker Change: Unfortunately.

Speaker Change: For the end client.

Speaker Change: It is something that often happens when there is a.

Speaker Change: Gyration in the market people seem to kind of freezes pull money out I think that certainly happened in the first half of April again things seem to have stabilized right now, but I'd say that was broad based certainly in EMEA.

Ali Dibadj: I think that certainly happened in the first half of April. Again, things seem to stabilize right now. But I'd say that was broad based, certainly in EMEA, UK, and the US. I think Asia still continued to be quite strong. And Latin America still continues to be quite strong. So folks have perhaps a little bit more of a longer term growth oriented view. The intermediary channels seem fine there. Institutional is typical, is a little bit more stable, right, a little more longer term focus across the board. We've seen a little bit more stability there and not a lot of gyration.

Speaker Change: U K and the U S a.

Speaker Change: I think Asia still continued to be quite strong.

Speaker Change: In Latin America still continues to be quite strong so our folks who are perhaps a little bit more of a longer term a growth oriented view of the intermediary channels seem seemed fine there institutional is typical a little bit more stable right a little bit more longer term focused across the board, we've seen a little bit more stability, there and not a lot of gyration in that market John.

Unknown Attendee: Great, thank you very much.

Speaker Change: Great. Thank you very much.

Speaker Change: Yeah.

Ali Dibadj: We currently have no further questions, so I'll hand back to Ali Dibadj for closing remarks.

Speaker Change: We currently have no further questions I'll hand back to I need to push for closing remarks.

Ali Dibadj: Thanks, Lucy.

Thanks, Lucy thanks, everyone for listening, including our clients of course, our shareholders and very importantly, our employees and my colleagues at Janus Henderson.

Unknown Attendee: Thanks, everyone, for listening, including our clients, of course, our shareholders, and very importantly, our employees, and my colleagues at Janus Henderson, who hopefully feel that they're individually and collectively, across all departments, improving the firm, the firm is clearly living its vision of investing in a brighter future together. And I thank my colleagues for their hard work and hopefully continued success. Thanks, everybody.

Speaker Change: Who hopefully feel that they are individually and collectively across all departments.

Improving the firm the firm has clearly.

Speaker Change: Living its vision of investing in a brighter future together and I. Thank my colleagues for their hard work and hopefully continued success. Thanks everybody.

Unknown Attendee: This concludes today's call. Thank you for joining. You may now disconnect your lines. [music]

Speaker Change: This concludes today's call. Thank you for joining you may now disconnect your lines.

Speaker Change: [music].

Speaker Change: Yeah.

Speaker Change: Yeah.

Speaker Change: [music].

Speaker Change: Yeah.