AssetMark Financial Holdings Inc (AMK) 2023 Q4 法說會逐字稿

Good afternoon, everyone, and welcome to AssetMark's Fourth Quarter 2023 earnings conference call. Currently, all participants are in a listen-only mode. Later we will conduct a question and answer session and instructions will be given at that time. Today's call is being recorded. And now I'd like to turn the call over to Taylor Hamilton, it is Head of Investor Relations. Please go ahead, Mr. Hamilton.

大家下午好，歡迎參加 AssetMark 2023 年第四季財報電話會議。目前，所有參與者都處於僅監聽模式。稍後我們將進行問答環節，屆時將給予指示。今天的通話正在錄音。現在我想把電話轉給泰勒漢密爾頓，他是投資者關係主管。請繼續，漢密爾頓先生。

Thank you, Victoria, and good afternoon, everyone, and welcome to AssetMark's Fourth Quarter 2023 earnings conference call. Joining me are AssetMark's Chief Executive Officer, Michael Kim, and Chief Financial Officer, Gary Zyla. Data will assess the results for the fourth quarter and introduce AssetMark's business outlook for 2024. By our introductory remarks, we'll open up the call for questions.

謝謝維多利亞，大家下午好，歡迎參加 AssetMark 2023 年第四季財報電話會議。與我一起的還有 AssetMark 執行長 Michael Kim 和財務長 Gary Zyla。數據將評估第四季的業績，並介紹AssetMark 2024年的業務展望。透過我們的介紹性發言，我們將開始提問。

We also have an earnings presentation that Michael and Gary will reference during their prepared remarks.

我們還有一份收益報告，邁克爾和加里將在準備好的演講中參考。

They can be accessed on our IR website at ir dot assetmark.com.

您可以透過我們的投資者關係網站 ir dot assetmark.com 存取它們。

Before we get started, I'd like to note that certain statements made during this conference call are forward looking statements. These forward looking statements represent our outlook only as of the date of this call, and actual results could differ materially.

在我們開始之前，我想指出，本次電話會議期間所做的某些陳述屬於前瞻性陳述。這些前瞻性陳述僅代表我們截至本次電話會議之日的展望，實際結果可能有重大差異。

Additionally, during today's conference call will be discussing net revenue, adjusted EBITDA, adjusted EBITDA margin and adjusted net income, all of which are non-GAAP financial metrics. Please refer to our earnings press release and SEC filings for more information on forward-looking statements, risk factors such as our business and required disclosures related to non-GAAP financial information that I'll turn the call over to my colleagues. Michael, take it away.

此外，在今天的電話會議上，我們還將討論淨收入、調整後 EBITDA、調整後 EBITDA 利潤率和調整後淨利潤，所有這些都是非 GAAP 財務指標。請參閱我們的收益新聞稿和SEC 文件，以了解有關前瞻性陳述、風險因素（例如我們的業務）以及與非GAAP 財務資訊相關的所需披露的更多信息，我會將電話轉給我的同事。邁克爾，把它拿走。

Great. Thank you, Taylor. And good afternoon, and welcome to our fourth quarter earnings call today. And my prepared remarks will focus on three topics. First, I will highlight our record 2023 results. Second I will unveil our refreshed and simplified strategy.

偉大的。謝謝你，泰勒。下午好，歡迎參加今天的第四季財報電話會議。我準備的發言將集中在三個主題上。首先，我將重點介紹我們 2023 年創紀錄的業績。其次，我將公佈我們更新和簡化的策略。

And lastly, I'll provide an update on our long-term priorities that are laid out during our last earnings call.

最後，我將提供有關我們上次財報電話會議期間制定的長期優先事項的最新資訊。

Gary will then discuss our financial and operating results for the fourth quarter and introduce our 2024 outlook.

然後，Gary 將討論我們第四季度的財務和營運業績，並介紹我們的 2024 年展望。

Slide up and starting on Slide 3. 2023 was another record year for AssetMark across many key operating and financial metrics. We ended the year with a record $109 billion by platform assets. We are serving an all-time high of over 254,000 households and over 9,300advisers, of which 3,123 are engaged. We realized an all-time high NPS score of 72 a testament of our commitment to our clients.

向上滑動並從幻燈片 3 開始。2023 年對 AssetMark 來說，在許多關鍵營運和財務指標上又創下了紀錄。年底，我們的平台資產達到創紀錄的 1,090 億美元。我們為超過 254,000 個家庭和超過 9,300 名顧問提供服務，創下歷史新高，其中 3,123 名顧問參與其中。我們實現了 72 分的歷史最高 NPS 分數，這證明了我們對客戶的承諾。

From a financial standpoint, total revenue in 2023 was a record $709 million, up 15% year over year while net revenue was a record $545 million, also up 20% year over year. These all-time high top line results allowed us to achieve best-ever bottom line results. Specifically, adjusted EBITDA was $250 million for the year. Adjusted EBITDA margin was a record 35.2% and was up 290 basis points year over year. Net income was $123 million, up 19% year over year, while adjusted net income was $171 million, up 31% year over year. Adjusted earnings per share was $2.30 for the year, up 30% year over year in 2023.

從財務角度來看，2023 年的總收入達到創紀錄的 7.09 億美元，年增 15%，而淨收入達到創紀錄的 5.45 億美元，年增 20%。這些歷史最高的收入結果使我們能夠實現有史以來最好的利潤結果。具體而言，本年度調整後的 EBITDA 為 2.5 億美元。調整後 EBITDA 利潤率為創紀錄的 35.2%，較去年同期成長 290 個基點。淨利潤為 1.23 億美元，年增 19%，調整後淨利為 1.71 億美元，年增 31%。全年調整後每股收益為 2.30 美元，2023 年年增 30%。

We also advanced our penetration into adjacent channels such as our ion channel with integration of adhesion well and the bank trust channel. With our announced partnership with architect Cheetah, we are already seeing meaningful contribution from adhesion and have few early wins to announce from Cheetah, including First State Bank in Texas and National Exchange Bank in Wisconsin.

我們也推進了對相鄰渠道的滲透，例如結合黏附井的離子渠道和銀行信託渠道。隨著我們宣布與建築師Cheetah 合作，我們已經看到了粘附力的有意義的貢獻，並且Cheetah 幾乎沒有宣布早期的勝利，包括德克薩斯州的第一國家銀行和威斯康星州的國家交換銀行。

Turning to Slide 4. We are simplifying our strategy replacing our previous five strategic pillars or three refreshed and simplified pillars that better aligned to our mission of making a difference in the lives of our advisers and their clients for those that have been following the AssetMark story for a while. These new pillars will sound familiar, our first pillar is offering a flexible integrated technology. Our technology suite is fully integrates with our core proprietary technology with third party tools that help advisers get things done more efficiently and effectively, which allows them to spend more time with their clients. This fosters deeper advisor and client relationships, which in turn contributes to greater loyalty and more assets on our platform. We believe that our technology is a key differentiator and serves as a competitive advantage amongst our peers.

轉到投影片 4。我們正在簡化我們的策略，以取代之前的五個策略支柱或三個更新和簡化的支柱，以更好地符合我們的使命，即為那些關注AssetMark 故事一段時間的顧問及其客戶的生活帶來改變。這些新支柱聽起來很熟悉，我們的第一個支柱是提供靈活的整合技術。我們的技術套件與我們的核心專有技術和第三方工具完全集成，可幫助顧問更有效率、更有效地完成工作，從而使他們能夠將更多時間花在客戶身上。這可以培養更深入的顧問和客戶關係，進而有助於提高我們平台上的忠誠度和更多資產。我們相信，我們的技術是關鍵的差異化因素，也是我們在同業中的競爭優勢。

The second pillar is delivering exceptional service and consulting. Our advisers are in the relationship business. So we're in the relationship business, almost half of our employees. Our advisor facing with the sole mission of making a difference with our advisors and their clients are best in class business. Consulting offering helps our advisors with business strategy and planning client experience and operations, marketing and other key programs to increase the advisers' business value and efficiency.

第二個支柱是提供卓越的服務和諮詢。我們的顧問從事關係業務。所以我們幾乎一半的員工都從事關係業務。我們的顧問面臨的唯一使命是為我們的顧問及其客戶帶來改變，成為一流的業務。諮詢服務幫助我們的顧問制定業務策略並規劃客戶體驗和營運、行銷和其他關鍵計劃，以提高顧問的業務價值和效率。

The third and final pillar is our compelling wealth solutions. Our focus on asset management begins with the clients, our products and those of our partners are easy to understand and use and they are built with the advisors and their clients in mind, we perform careful due diligence to help ensure that we offer a wide range of well-suited products to help investors reach their long-term goals. In addition, we are committed to a holistic suite of wealth planning solutions to empower our advisors to serve the growing needs of their clients even more effectively.

第三個也是最後一個支柱是我們引人注目的財富解決方案。我們對資產管理的關注始於客戶，我們的產品和合作夥伴的產品易於理解和使用，並且它們是在考慮顧問及其客戶的情況下構建的，我們進行仔細的盡職調查，以幫助確保我們提供廣泛的資產管理幫助投資者實現長期目標的合適產品。此外，我們致力於提供一整套財富規劃解決方案，使我們的顧問能夠更有效地滿足客戶不斷增長的需求。

2023 was a monumental year executing on these three pillars, and we have plans to double down in 2024.

2023 年是執行這三大支柱的具有里程碑意義的一年，我們計劃在 2024 年加倍努力。

Let's go into each one in further detail. Turning to Slide 5. We have made significant progress enhancing our technology offering in 2023. It starts with our enhanced E wealth manager platform, most notably the pilot of our new adviser dashboard, which engages users in an attractive cohesive design and provides tools that allow advisers and users to be proactive and manager experience. The adviser dashboard has received positive reviews from advisers in the pilot. We have raved about its useful and intuitive nature in 2023 we also launched our mobile app, which has over 6,400. Allegion continues to focus on enhancing their adviser platform as well, including the adhesion tax alpha dashboard, which brings the ability to visualize tax alpha, not only for accounts, but also at a business unit and firm level.

讓我們更詳細地討論每一項。轉到投影片 5。2023 年，我們在增強技術產品方面取得了重大進展。首先是我們增強的電子財富管理平台，最引人注目的是我們新的顧問儀表板的試點，該儀表板以有吸引力的凝聚力設計吸引用戶，並提供讓顧問和用戶積極主動並獲得經理體驗的工具。顧問儀表板在試點中獲得了顧問的正面評價。我們對其實用性和直覺性讚不絕口，2023 年我們還推出了行動應用程序，該應用程式擁有超過 6,400 個。Allegion 也繼續專注於增強其顧問平台，包括黏附稅阿爾法儀表板，該儀表板不僅能夠為帳戶提供可視化稅收阿爾法的能力，而且還能夠在業務部門和公司層面上提供可視化稅收阿爾法。

Boy, I launched the Voyant wellness in late 2023, a module-based solution designed for enterprise companies to offer their clients a personalized mix of self-directed tools and services that help them plan for their financial future.

天哪，我在 2023 年底推出了 Voyant 健康，這是一個基於模組的解決方案，專為企業公司設計，為客戶提供個人化的自我導向工具和服務組合，幫助他們規劃未來的財務。

As we have said before, technology is an arms race. And in 2024, we have plans to continue to enhance our technology offerings. We will continue to advance to work on building out the next version of the wealth manager, focusing on the rollout of the adviser dashboard to all advisers and their team. Our plan is to enhance our advisor insights, allowing the advisers to see a total book value of their assets, net flows and fees. We are to add features that allow the advisors to gather more information from prospects, deepening the relationship and increasing the opportunity to turn prospects into clients in 2024 for adhesion will accelerate development efforts to advance their technology and platform. They are investing and providing the industry's very best model marketplace for RIAs and focusing on enhancing their infusion alliance program. Voyant also has exciting plans for 2024 with the launch of new wealth management solutions, including Social Security optimization, broad conversion and advance insurance model. We are also launching new retirement planning solutions, most notably Voya longevity risk and buoyant long-term care and disability programs. Simply both, we are reimagining the advisor's digital experience Turning to Slide 6. Our second pillar is delivering exceptional service and consulting. As I mentioned before, we believe this is a competitive advantage for Acima in early 2023. We launched our investment consulting offering, providing select advisors, direct access to the investment, the AssetMark investment consulting team for guidance and creating customized model portfolios using strategies available in our platform. Our investment consulting team worked on 60 different opportunities in 2023 with over $2.5 billion in asset commitments. Also in 2023, we tackled one of the biggest obstacles facing our advisers succession planning through the launch of advisor late a private succession marketplace for advisers to post and search for opportunities among bedded advisers as of year end over 200 advisors were leveraging advisor lane with approximately two thirds setup as buyers on the platform in 2024, we will continue to focus on building out our service and consulting strategy to further distance ourselves from the competition. The biggest highlight is introducing the touchless new account opening at AssetMark Trust, which will accelerate the onboarding of clients through faster account setup and funding adhesion is also committed to elevating the adviser experience to new heights. To do that, adhesion has expanded their executive leadership team to focus on enhancing the advisors' experience expanded their service team, adding seven new client service specialists and is focused on further integration with AssetMark to drive additional scale and experience for advisors.

正如我們之前所說，科技是一場軍備競賽。到 2024 年，我們計劃繼續增強我們的技術產品。我們將繼續致力於建立下一版本的財富管理器，重點是向所有顧問及其團隊推出顧問儀表板。我們的計劃是增強顧問的洞察力，讓顧問能夠看到其資產、淨流量和費用的總帳面價值。我們將添加一些功能，使顧問能夠從潛在客戶那裡收集更多信息，深化關係並增加在2024 年將潛在客戶轉變為客戶的機會，以提高粘性，從而加快開發工作，以推進他們的技術和平台。他們正在投資並提供業界最好的 RIA 模型市場，並專注於加強他們的輸液聯盟計劃。Voyant 還制定了 2024 年令人興奮的計劃，推出新的財富管理解決方案，包括社會安全優化、廣泛轉換和高級保險模式。我們還推出了新的退休規劃解決方案，最引人注目的是 Voya 長壽風險以及活躍的長期照護和殘疾計劃。簡而言之，我們正在重新構想顧問的數位體驗，請參閱投影片 6。我們的第二個支柱是提供卓越的服務和諮詢。正如我之前提到的，我們相信這是 Acima 在 2023 年初的競爭優勢。我們推出了投資諮詢服務，提供精選顧問、直接投資機會、AssetMark 投資諮詢團隊的指導以及使用我們平台上提供的策略創建客製化模型投資組合。我們的投資諮詢團隊在 2023 年抓住了 60 個不同的機會，資產承諾超過 25 億美元。同樣在2023 年，我們透過推出顧問繼任市場來解決顧問繼任計畫面臨的最大障礙之一，這是一個私人繼任市場，供顧問在長期顧問中發布和尋找機會，截至年底，超過200 名顧問正在利用顧問通道，其中約到 2024 年，三分之二的買家將成為該平台的買家，我們將繼續專注於建立我們的服務和諮詢策略，以進一步遠離競爭對手。最大的亮點是在AssetMark Trust推出非接觸式新帳戶開立，這將透過更快的帳戶設定和資金附著力來加速客戶的入職，也致力於將顧問體驗提升到新的高度。為此，adhesion 擴大了其執行領導團隊，專注於增強顧問的經驗，擴大了服務團隊，增加了七名新的客戶服務專家，並專注於與AssetMark 的進一步整合，以推動顧問的規模和經驗的擴大。

Let's turn to Slide 7 and discuss our third pillar compelling wealth solutions. As we mentioned earlier, our 2023 share wallet survey shows that we have over $380 billion of total business opportunity for all advisers who have responded by consistently adding our wealth solutions offering, we build a better offering for advisors and their clients while increasing the opportunity to gain share of wallet from existing advisers and of course, attracting new advisors.

讓我們轉向投影片 7，討論我們第三個引人注目的財富解決方案支柱。正如我們之前提到的，我們的2023 年共享錢包調查顯示，我們為所有透過不斷添加我們的財富解決方案產品做出回應的顧問提供了超過3800 億美元的總商機，我們為顧問及其客戶提供了更好的產品，同時增加了從現有顧問那裡獲得錢包份額，當然還可以吸引新顧問。

In April, we launched first struck strategies that span the investment spectrum from core to satellite. In October, we launched Kensington managed income strategy to provide investors with the potential to generate stable above average total returns with low drawdown. These new strategies have been used by over 650 advisers and have gathered close to a billion dollars in assets thus far. In September, we launched the pilot of tax management services. Early TMS users have celebrated the intuitive user experience client facing proposals and informative reports. The value provided by the service relative to its cost is particularly compelling. Advisor adoption during the three month early access period has exceeded our expectations with more than $100 million in assets already using that service in 2023. Adhesion also executed on enhancing their compelling lots solutions, adding 88 products from 33 unit managers. Other 33 managers, 9 were new introductions to the alliance program this year. We are focused on continuing to add and enhance our wealth solutions. First and foremost, last month we formally launched TMS to all our advisors in the first half of the year. We are launching certificate of deposit account registry services for CDAR.s CDRs. Our term bank deposits and are an efficient way to access CDs with attractive rates and extended FTIC. insurance through a network of banks. Simply put, this will enhance our cash management offering, making it more competitive while also meeting advisers. Number one, request higher rate options available for clients of all wealth levels.

四月份，我們推出了首個策略，涵蓋從核心到衛星的投資範圍。10 月，我們推出了 Kensington 管理收益策略，為投資者提供穩定高於平均的總回報和低迴撤的潛力。這些新策略已被超過 650 名顧問使用，迄今已聚集了近 10 億美元的資產。9月，開展稅務管理服務試辦。早期的 TMS 使用者對面向客戶的建議和資訊豐富的報告的直覺使用者體驗表示讚賞。相對於其成本，該服務提供的價值尤其引人注目。三個月搶先體驗期間顧問的採用率超出了我們的預期，到 2023 年已有超過 1 億美元的資產使用該服務。Adhesion 還增強了其引人注目的批次解決方案，增加了來自 33 個部門經理的 88 個產品。其他33名經理中，9名是今年聯盟計畫新引進的。我們致力於持續增加和增強我們的財富解決方案。首先也是最重要的，上個月我們在上半年正式向所有顧問推出了 TMS。我們正在為 CDAR.s CDR 推出存款證帳戶註冊服務。我們的定期銀行存款是獲取具有吸引力利率和延長 FTIC 的定期存款的有效方法。透過銀行網路提供保險。簡而言之，這將增強我們的現金管理服務，使其更具競爭力，同時與顧問會面。第一，要求為所有財富水準的客戶提供更高的利率選擇。

Next, we are focused on enhancing our donor advised fund program with lower account minimums, robust reporting capabilities, streamlined processes for grants and ability to customize portfolios through existing platform strategies. These enhancements will help advisors attract more investors, especially in our higher net worth segment whilst strengthening relationships with existing clients. As you can see, we have accomplished a lot in 2023, and we will continue to enhance and add to our platform in 2024 to give our advisers and their clients and industry leading experience.

接下來，我們的重點是加強捐助者建議的基金計劃，降低帳戶最低限額、強大的報告能力、簡化的贈款流程以及透過現有平台策略客製化投資組合的能力。這些增強功能將幫助顧問吸引更多投資者，特別是在我們的高淨值領域，同時加強與現有客戶的關係。正如您所看到的，我們在 2023 年取得了許多成就，我們將在 2024 年繼續增強和補充我們的平台，為我們的顧問及其客戶提供行業領先的經驗。

Turning to slide 8, I want to provide a brief update on how we are progressing on our long-term goals that we implemented last quarter with the goal of enhancing shareholder value.

轉向投影片 8，我想簡要介紹一下我們在上季度實施的長期目標方面的進展情況，以提高股東價值。

First hypergrowth, as I discussed last quarter, we are absolutely committed to exceeding 10% organic growth rate and exceeding 5,000 engaged advisers by end of 2026. We are continuing to see green shoots that organic growth is coming back in December, we realized net flows north of $625 million and saw net flows north of $430 million in January of this year.

首先是高速成長，正如我上季度討論的那樣，我們絕對致力於在 2026 年底實現超過 10% 的有機成長率，並擁有超過 5,000 名聘用顧問。我們繼續看到有機成長在 12 月恢復的萌芽，我們實現了淨流量超過 6.25 億美元，今年 1 月的淨流量超過 4.3 億美元。

Regarding our AM. five k. initiative we ended the fourth quarter was 3,123 engaged advisers, an all-time high. We are focused on projects to get our more than 800 advisers who are between $3 million and $5 million of assets on our platform to the Engage level, while also improving the time and rate of NPAs to the Engage level. Gary will provide a lot more details on this later during his prepared remarks.

關於我們的AM。五千米。截至第四季度，我們聘請的顧問數量為 3,123 名，創歷史新高。我們專注於讓我們平台上資產在 300 萬美元到 500 萬美元之間的 800 多名顧問達到 Engage 級別的項目，同時還將 NPA 的時間和速度提高到 Engage 級別。加里稍後將在他準備好的演講中提供更多相關細節。

Second, we increased our CapEx as a percentage of total revenue to 8% to 10%, allowing us to invest more into the business, specifically into projects that drive growth and scalability such as agritech tools.

其次，我們將資本支出佔總收入的百分比提高到 8% 至 10%，使我們能夠對業務進行更多投資，特別是對推動成長和可擴展性的項目（例如農業科技工具）進行投資。

Lastly, we are focused on scaling our business in 2023. We expanded margins 290 basis points, and we'll look at opportunities like our touchless new account opening initiative, as discussed earlier, to drive further scale into the business. Specifically, we are focused on reducing the cost per account by over 30% by 2026.

最後，我們的重點是在 2023 年擴大我們的業務。我們將利潤率擴大了 290 個基點，我們將尋找機會，例如我們之前討論的非接觸式新開戶計劃，以進一步推動業務規模。具體來說，我們的目標是到 2026 年將每個帳戶的成本降低 30% 以上。

With that, I will now turn the call over to Gary to take us through a deeper dive on our fourth quarter results and introduce our 2024 outlook.

現在，我將把電話轉給加里，讓我們更深入地了解第四季度的業績，並介紹我們 2024 年的展望。

Thank you, Michael, and good afternoon to all those on the call. As Michael mentioned earlier 2023 was another record year for us. During my remarks today, I will highlight our results in the fourth quarter and then introduce our 2024 outlook.

謝謝你，邁克爾，祝所有參加電話會議的人下午好。正如邁克爾早些時候提到的，2023 年對我們來說又是創紀錄的一年。在今天的演講中，我將重點介紹我們第四季的業績，然後介紹我們對 2024 年的展望。

Starting on Slide 9, fourth quarter platform assets increased 19% year over year to $108.9 billion quarter over quarter. Platform assets were up 9%, driven by market impact net of fees of $8.1 billion and quarterly net flows of $1.3 billion. Annual net flows as a percentage in the beginning period assets 6.7%. We are incurring for a strong net flows in December and early 2024.

從投影片 9 開始，第四季平台資產年增 19%，達到 1,089 億美元。受到扣除 81 億美元費用和 13 億美元季度淨流量的市場影響的推動，平台資產增加 9%。年度淨流量佔期初資產的百分比為6.7%。我們將在 12 月和 2024 年初產生強勁的淨流量。

Turning to our biometrics, we added 154 new producing advisers and NPAs in the quarter and 666 NPAs for the full year. We are pleased with the quality of the quality of these NPAs is much higher than it has been in the past out of the 666 MPAS. in 2023, 7.5% and already achieved engaged adviser status during the first calendar year, an improvement of approximately 20% over the prior year's rate. As part of our AM. five k. initiative, we are actively focused on four key areas to improve our NPA to engage conversion rate first, attracting more NPAs through digital lead generation, strong broker dealer relationships and our aim. Second, focusing a higher-value NPAs was those who initially onboard at least $1 million of assets to the platform. Third, implementing a much smoother onboarding process when the rollout of touches new accounts which Michael mentioned. And lastly, enhancing our new product, our product offering, which will attract more high value advisors to our platform.

談到我們的生物辨識技術，我們在本季新增了 154 位生產顧問和 NPA，全年新增了 666 位 NPA。我們對這些 NPA 的品質遠高於過去 666 個 MPAS 的品質感到滿意。到 2023 年，這一數字將達到 7.5%，並且在第一個日曆年就已經獲得了聘用顧問的地位，比上一年的比率提高了約 20%。作為我們 AM 的一部分。五千米。在倡議中，我們積極關註四個關鍵領域，以提高我們的 NPA，首先吸引轉換率，透過數位潛在客戶開發、強大的經紀商關係和我們的目標吸引更多的 NPA。其次，關注更高價值的 NPA 是那些最初在平台上投入至少 100 萬美元資產的人。第三，當麥可提到的新帳號推出時，實施更順暢的入職流程。最後，增強我們的新產品和產品供應，這將吸引更多高價值顧問加入我們的平台。

On Slide 10, we show our engaged adviser count. We ended the fourth quarter with a record 3,123 total engaged advisors off from 2,985, again advisors in the third quarter and up 8.4% from last year. While the quarter-over-quarter increase was largely driven by market. We may add 3, 4 new engaged advisers organically and incremental net flows. Our engaged adviser count. Our gauge advisors account for 33% of all the advisers using a platform and make up 93% of our platforms in addition to the asset level and adviser count, the third, when you measure our growth which is not acetate is the number of households on our platform than the number of households were up more than 5% year over year to $2.54.

在投影片 10 上，我們顯示了我們參與的顧問數量。截至第四季末，我們的聘用顧問總數為 3,123 人，創歷史新高，較第三季的 2,985 人有所減少，比去年增長 8.4%。而環比成長主要是由市場推動的。我們可能會有機地增加 3、4 名新聘顧問並增加淨流量。我們聘請的顧問很重要。我們的衡量顧問佔所有使用平台的顧問的33%，除了資產水準和顧問數量之外，還占我們平台的93%，第三個，當你衡量我們的成長時，不是醋酸鹽，而是家庭數量我們平台上的家庭數量同比增長了 5% 以上，達到 2.54 美元。

So let's turn to Slide 11 to discuss this quarter's revenue. Before we begin, I want to call your attention to a $30.5 million reclassification, spread-based expenses, spread-based revenue. This amount reflects the interest credited to customer accounts for all of 2023. Expenses related to interest credited to customer accounts was previously recorded in spread-based expense and in prior years. This is not material. As part of our technical accounting review of 2023, we have elected to make this adjustment to net net cost out of the gross revenue line. As noted, the adjustment equally offset our 2023 growth revenue and spread-based defenses. There is no impact to net revenue and no impact to our earnings from this reclassification for clarity shown on this page is our total revenue on a pro forma basis, reflecting the new accounting treatment as shown in the fourth quarter, total revenue on a pro forma basis was $180 million, up 13% year over year. And as you know, we focus on our revenue net of related variable census for the fourth quarter of 2023, our net revenue was $137 million, up 11% year over year. All four components of our revenue increased year over year with subscription based income leading the way up 22%.

那麼讓我們轉向投影片 11 來討論本季的收入。在我們開始之前，我想提請您注意 3050 萬美元的重新分類、基於利差的支出、基於利差的收入。該金額反映了 2023 年全年計入客戶帳戶的利息。與記入客戶帳戶的利息相關的費用以前記錄在基於利差的費用和往年中。這不是物質的。作為 2023 年技術會計審查的一部分，我們選擇對總收入線中的淨成本進行調整。如前所述，這項調整同樣抵消了我們 2023 年的成長收入和基於價差的防禦。為清楚起見，此重新分類對淨收入沒有影響，對我們的收益也沒有影響，本頁顯示的是我們的預計總收入，反映了第四季度所示的新會計處理方法，預計總收入基數為1.8億美元，年增13%。如您所知，我們將重點放在 2023 年第四季扣除相關變數普查後的淨收入，我們的淨收入為 1.37 億美元，年增 11%。我們收入的所有四個組成部分均同比增長，其中基於訂閱的收入大幅增長 22%。

Slide 12 details our year-over-year net revenue walk. Asset based revenue is up $9.7 million year over year, $12.9 million of that increase can be attributed to the $12.2 billion increase in billable assets, excluding the adhesion acquired assets, asset-based revenue also augmented by an incremental $1.8 million of revenue from McKesson. Well, these increases were partially offset by fee compression of approximately 1 basis point, which is in line with our stated expectations. Rental income was up $1.1 million year over year, driven by yield improvement of 327 basis points to 405 basis points of this total yield as securities that line of credit program or S. block contributed 10 points-- 10 basis points excluding the contribution net block net yield for the quarter was 395 basis, subscription revenue from Voyant was off approximately 22% year over year, driven by growth in software revenue.

投影片 12 詳細介紹了我們的年比淨收入變化。基於資產的收入年增970 萬美元，其中1,290 萬美元的成長可歸因於可計費資產增加122 億美元，不包括黏附收購的資產，基於資產的收入還因McKesson 增加的180 萬美元收入而增加。嗯，這些增長被大約 1 個基點的費用壓縮所部分抵消，這符合我們既定的預期。租金收入年增 110 萬美元，原因是總收益率提高了 327 個基點至 405 個基點，因為信貸額度計劃或 S. 區塊貢獻了 10 個基點——不包括貢獻淨區塊的 10 個基點該季度的淨收益率為395 美元，在軟體收入成長的推動下，Voyant 的訂閱收入較去年同期下降約22%。

Lastly, other income eight increased $2.5 million year over year, driven largely by higher interest income earned on our corporate bonds.

最後，其他收入 8 年增 250 萬美元，主要是由於我們公司債賺取的利息收入增加。

Now let's discuss expenses. Turning to Slide 13. You will note that we are showing strength expenses pro forma for the accounting change noted earlier. On a pro forma basis, total adjusted expenses increased 7.8% year over year $122.5 million quarterly adjusted operating expenses were up a little less than 2% year over year to $70.6 million, driven by an increase in employee compensation, partially offset by a decrease in SG&A employee compensation increased $2.3 million or 5.9%, while headcount remained essentially flat year over year. Sg&a decreased $1.2 million or 3.9% year over year, driven by strategic timing.

現在我們來討論一下費用。轉到投影片 13。您會注意到，我們正在顯示前面提到的會計變更的預期實力費用。按預計，調整後總支出年增7.8%，達1.225 億美元；季度調整後營運支出年增率略低於2%，達到7,060 萬美元，這主要是由於員工薪酬的增加，但部分被員工薪酬的下降所抵消。SG&A 員工薪酬增加了 230 萬美元，即 5.9%，而員工人數同比基本持平。受策略時機的推動，SG&A 年比減少 120 萬美元，即 3.9%。

Now quickly run through our adjustments for the quarter, as we always did in the fourth quarter, we added back approximately $12 million pretax, which time primarily comprised of three items for a $4.1 million in non-cash share-based compensation. We anticipate approximately $4.5 million per quarter in the first half of 2024 and $5 million per quarter in the second half of 23. The second adjustment is $4.8 million related primarily to reorganization and integration costs and lastly, $2.2 million of acquisition related amortization.

現在快速瀏覽我們對本季的調整，就像我們在第四季度所做的那樣，我們增加了大約 1200 萬美元的稅前，這次主要包括三項，即 410 萬美元的非現金股票薪酬。我們預計 2024 年上半年每季約 450 萬美元，23 下半年每季約 500 萬美元。第二項調整為 480 萬美元，主要與重組和整合成本相關，最後是 220 萬美元的收購相關攤銷。

Let's turn to Slide 14 to discuss our earnings for the quarter. Fourth quarter adjusted EBITDA was $63.8 million, up 21% year over year, while our adjusted EBITDA margin, again on a pro forma basis is 35.4%.

讓我們轉向投影片 14 來討論我們本季的收益。第四季調整後 EBITDA 為 6,380 萬美元，年增 21%，而我們調整後 EBITDA 利潤率（按預計計算）為 35.4%。

Our reported net income for the quarter was $34.6 million, while adjusted net income was $44 million or $0.59 per share. This is based on fourth quarter diluted share count of $74.6 million. Our estimated tax rate for the full year is 24%.

我們報告的本季淨利潤為 3,460 萬美元，調整後淨利潤為 4,400 萬美元，即每股 0.59 美元。這是基於第四季度稀釋後的 7,460 萬美元股本計算的。我們預計全年稅率為24%。

For further color, please see the adjusted net income walk on Slide 22. Let's look at the reported fourth quarter balance sheet, I would highlight two items. First, we continued to do a great job generating cash. We generated a robust $175 million in cash from operating activities in the full year 2023.

如需了解更多顏色，請參閱投影片 22 上的調整後淨利。讓我們看看報告的第四季資產負債表，我要強調兩個項目。首先，我們繼續出色地創造現金。2023 年全年，我們的經營活動產生了 1.75 億美元的強勁現金。

Second, our capital spend was $11.4 million or 6% of total revenue from the fourth quarter as we have mentioned previously, we are increasing our CapEx run rate in 2024 to 8% to 10% of total revenue and that we can invest in more growth and scalability product.

其次，我們的資本支出為1,140 萬美元，佔第四季度總收入的6%，正如我們之前提到的，我們將在2024 年將資本支出運行率提高到總收入的8% 至10%，並且我們可以投資更多成長和可擴展性產品。

Now turning to slide 15, I would like to provide my quarterly update, our spread-based revenue and its drivers. First, let's discuss our cash balances in the fourth quarter total cash as a percentage of eight of assets, ATC. was 3.8%, of which ICD. are nondiscretionary. Cash was 3.2% and the percentage of platform assets is down slightly due to the rising market value of assets with more and more strategies, putting money to work in the equity and fixed-income market.

現在轉向投影片 15，我想提供我的季度更新、基於價差的收入及其驅動因素。首先，我們來討論第四季現金餘額佔八項資產 ATC 的百分比。為3.8%，其中ICD。是非自由裁量權的。現金為3.2%，平台資產佔比小幅下降，原因是資產市值不斷上升，策略越來越多，資金投向股票和固定收益市場。

Another said, it's going to take down rates from 2024. We remain well, hey, and having a portion of the insured cash deposits in fixed rate agreements as of December 31st, 45% of cash and ATC is in a fixed rate term with an average maturity of 2.28 years and a growth rate of 4.77% also, as a reminder, our revenue mix has a natural hedge as we would expect fed fund reductions to have a favorable impact on our asset base growth.

另一位人士表示，將從 2024 年開始降低利率。我們保持良好狀態，嘿，截至 12 月 31 日，部分受保現金存款採用固定利率協議，45% 的現金和 ATC 處於固定利率期限，平均期限為 2.28 年，增長率為 4.77%另外，提醒一下，我們的收入組合具有自然對沖作用，因為我們預計聯邦基金的減少將對我們的資產基礎成長產生有利影響。

Finally, let's turn to page 16, to introduce our 2024 outlook. We are over at signing about 2020 for strong growth and a singular focus on serving our financial advisors. Our platform asset guidance is 12%-plus percent as we expect to increase flow year over year, approximately 50%, reflecting strong growth in our core business and outsized growth in our Asian and in our Adhesives, we will be targeting net flows as a percentage of beginning of period platform assets in the range of 8% to 10%, coupled with our annual market appreciation assumption of 3.5% at 2024, net revenue annual growth target of 10% to 14% as a result of strong momentum from the end of 2023. Our first quarter billing done in January was boosted by the strong year end market, and we are encouraged by our net flows. Year-to-date, our forecast has double digit growth across our major revenue line items, we have set operating expenses, which consist of comp compensation SG&A to increase 8% to 10%. We are confident that this level of expense growth allowed us to continue to meaningfully invest in the future business while maintaining discipline so that expense growth will moderate pace will not outpace revenue growth. As always, we are focused on realizing improved margins on our revenue and growing earnings. We expect our adjusted EBITDA to be up 15% plus year over year, and we expect margin expansion north of 50 basis points for the year.

最後，讓我們翻到第16頁，介紹我們的2024年展望。我們已經結束了 2020 年強勁成長的目標，並專注於為我們的財務顧問提供服務。我們的平台資產指引為 12% 以上，因為我們預計流量將年增約 50%，反映出我們核心業務的強勁成長以及亞洲和黏合劑業務的大幅成長，我們將把淨流量目標定為初平台資產佔比在8%至10%之間，加上我們2024年的年度市場升值假設為3.5%，由於年底的強勁勢頭，淨收入年度增長目標為10%至14% 2023 年。我們一月份完成的第一季帳單受到強勁的年終市場的推動，我們的淨流量也讓我們感到鼓舞。今年迄今為止，我們預計主要收入項目將實現兩位數成長，我們已設定營運費用（包括補償、SG&A）增加 8% 至 10%。我們相信，這種費用成長水準使我們能夠繼續對未來業務進行有意義的投資，同時保持紀律，以便費用成長放緩，不會超過收入成長。一如既往，我們致力於提高收入利潤並增加收益。我們預計調整後的 EBITDA 將年增 15% 以上，預計今年的利潤率將成長 50 個基點以上。

With that, I will hand the call back to Michael for his concluding remarks.

至此，我將把電話轉給邁克爾，讓他作總結發言。

Thank you, Gary, and thank you to everyone on the call today and look forward to seeing you in person at the upcoming investor conferences.

謝謝加里，感謝今天參加電話會議的所有人，並期待在即將舉行的投資者會議上見到您。

This concludes our prepared remarks. I will now turn the call back to the operator. We began our Q&A.

我們準備好的演講到此結束。我現在將把電話轉回給接線生。我們開始了問答。

Of course, we will now begin the question and answer session. If you'd like to ask a question, please press star followed by one on your telephone keypad. If for any reason you would like to remove that question, please press star followed by two again to ask a question, press star one. As a reminder, if you're using a speakerphone, please remember to pick up your handset before asking a question.

當然，我們現在開始問答環節。如果您想提問，請按下電話鍵盤上的星號，然後再按一個。如果您因為任何原因想要刪除該問題，請按星號，然後再次按星號 2 來提問，請按星號 1。提醒一下，如果您使用免持電話，請記得在提問前拿起聽筒。

Our first question comes from the line of Dan Fannon with Jefferies. Your line is now open.

我們的第一個問題來自 Dan Fannon 和 Jefferies 的對話。您的線路現已開通。

And you're clearly improving in January or to start the year. Just curious as to what you think are some of the drivers of that acceleration as you think about the year progressing? I think you mentioned adhesion being a part of that. I don't know if you're able to break down what you think the contribution from that platform might be versus the rest of the business?

你在一月份或新的一年開始時明顯有所進步。只是好奇，當您思考這一年的進展時，您認為這種加速的一些驅動因素是什麼？我想你提到黏附力是其中的一部分。我不知道您是否能夠詳細分析您認為該平台相對於其他業務的貢獻可能是什麼？

Peter, thank you for your question on you kind of cut out a little bit on the front end. But I think here's the really the gist of your question was the contributors and the drivers for sort of our growth and really sort of thoughts around adhesion and its contribution to the overall growth. So I'm so let me start here and then Gary, please chime in with additional details. So and so we're absolutely seeing really a renewed turnaround from the advisors and their investors and our clients and really the sentiment.

彼得，謝謝你提出的問題，你在前端做了一些刪減。但我認為你問題的真正要點是我們成長的貢獻者和驅動因素，以及關於黏附力及其對整體成長的貢獻的真正想法。所以讓我從這裡開始，然後加里，請補充更多細節。如此這般，我們絕對看到顧問、他們的投資者和我們的客戶以及真正的情緒出現了新的轉變。

A couple of things I would just want to mention and we saw this in obviously, with the market improvement in the fourth quarter. And certainly we're seeing this as we start the first quarter of this year. A lot of the assets that were sitting on the sidelines, some of the industry surveys point to over $2.5 trillion of cash sitting on the sidelines. And we see a lot of those cash coming back into the market and really advisers working very closely with their clients to help them find the appropriate solutions to meet the clients' goals. And so we are seeing kind of at a macro level that sentiment improving?

我只想提幾件事，隨著第四季市場的改善，我們顯然看到了這一點。當然，我們在今年第一季開始時就看到了這一點。許多資產都處於觀望狀態，一些行業調查顯示，有超過 2.5 兆美元的現金處於觀望狀態。我們看到很多現金回到市場，顧問與客戶密切合作，幫助他們找到合適的解決方案來實現客戶的目標。所以我們在宏觀層面上看到情緒有所改善？

Secondly, from an adhesion perspective, we are absolutely seeing a very accelerated our momentum with adhesion, in fact that their January of 2024 flows were almost double what they did last year's January. And so we're absolutely seeing the momentum grow. A big part of the adhesion story is really around our commitment to bringing our world-class service and operational experience to the adhesion advisors. There's been a lot of hard work amongst the teams to really integrate the AssetMark service and operation processes into the adhesion platform. So we're starting to see dividends pay off of that effort.

其次，從附著力的角度來看，我們絕對看到我們的附著力勢頭正在加速，事實上，他們 2024 年 1 月的流量幾乎是去年 1 月的兩倍。因此，我們確實看到了這種勢頭的增長。黏附故事的一個重要部分實際上是圍繞我們致力於為黏附顧問提供世界一流的服務和操作經驗的承諾。為了將 AssetMark 服務和操作流程真正整合到黏附平台中，團隊之間付出了很多努力。因此，我們開始看到這種努力得到了回報。

The other aspect is really the expanded executive and sales management team. One of the key things that we're focused on is working closely with the strategic clients of adhesion to not only expand the share of wallet, but also help with their recruiting efforts. Many of the clients of adhesion are the strategic RIA firms out there, recruiting at a break aways and or other advisory firms. And so adhesion is an integral part of their recruiting process and we're delighted to see the momentum continue with adhesion.

另一方面是擴大的執行和銷售管理團隊。我們關注的關鍵事情之一是與黏性策略客戶密切合作，不僅擴大錢包份額，而且幫助他們進行招募工作。許多黏附力的客戶都是策略性 RIA 公司，它們在分公司和/或其他顧問公司進行招募。因此，黏著力是他們招募過程中不可或缺的一部分，我們很高興看到黏著力繼續保持這種勢頭。

Gary, any other thoughts to add on to that question.

加里，還有什麼其他想法可以補充這個問題。

Yet, again, a nice hockey. Again, I think we're still not going to be breaking out inherent results. When you say up front from the rest of the business, I will note no adhesion came on the platforming and 2022, about $7 billion of assets that comprises a little bit over $9 billion of assets in our platform now. And that's really indicative of the strong organic growth that Mike was talking about and its strong contribution to our business. So yes, we're really excited about both the initiatives we have on the core business on your new advisor acquisition, wallet share opportunity as well as the adhesion business model.

然而，這又是一場精彩的曲棍球比賽。再說一次，我認為我們仍然不會突破固有的結果。當你從其他業務部門前面說起時，我會注意到平台和 2022 年沒有任何附著力，大約 70 億美元的資產，其中包括現在我們平台中略高於 90 億美元的資產。這確實表明了麥克所說的強勁的有機成長及其對我們業務的巨大貢獻。所以，是的，我們對我們在新顧問收購、錢包共享機會以及黏著商業模式等核心業務方面採取的舉措感到非常興奮。

Great, thank you. And then just as a follow-up, last quarter, you talked about an increased focus on M&A and partnerships, and it was reiterated again today. So maybe talk about the current environment that you're seeing and the kind of prospects of areas that generally you're looking at to potentially fill those holes?

太好了謝謝。作為後續行動，上個季度，您談到了對併購和合作夥伴關係的更多關注，今天再次重申了這一點。那麼，也許可以談談您所看到的當前環境以及您通常希望填補這些漏洞的領域的前景？

Yes. No, thank you again for that. Question, and you're actually right on M&A. As we mentioned last quarter and certainly reiterated this quarter, it remains a very important part of our overall growth strategy. There's two areas that we're focused on in terms of kind of key M&A opportunities. One is really the consolidation opportunities. And the second is capabilities. One of the key things that we bring to a potential seller in the marketplace is really the scale that we bring our credibility and the renown sort of the service and the adviser experience that we deliver the distribution network that we have. And so we're engaged in a number of a number of high quality firms that were on that desire to be part of the AssetMark ecosystem. And what really what's really unique here is that, together with those firms, we have an opportunity to bring this unique joint value to the advisors. And so we're absolutely excited and committed to accelerating our core acquisitive mode that we have. And certainly even on the capability side, we're looking at a number of different technology providers, asset management providers and even marketing and lead-generation providers for advisers to help them grow and so on. So there's a lot of unique assets. Our corporate development team is heads-down working very hard and managing a very active pipeline. And so we hope to share a number of great news with the with the audience in the near future. But that is absolutely a important part of our overall strategy there.

是的。不，再次感謝您。問題是，你對併購的看法其實是正確的。正如我們上季度提到的以及本季重申的那樣，它仍然是我們整體成長策略的非常重要的一部分。就關鍵併購機會而言，我們重點關注兩個領域。一是真正的整合機會。第二是能力。我們為市場上的潛在賣家帶來的關鍵因素之一實際上是我們帶來的信譽規模、我們提供的分銷網絡所提供的知名服務和顧問經驗。因此，我們與許多高品質公司合作，他們希望成為 AssetMark 生態系統的一部分。這裡真正獨特的是，我們有機會與這些公司一起為顧問帶來這種獨特的聯合價值。因此，我們非常興奮並致力於加速我們現有的核心收購模式。當然，即使在能力方面，我們也在尋找許多不同的技術提供者、資產管理提供者，甚至行銷和潛在客戶開發提供者作為顧問來幫助他們成長等。所以有很多獨特的資產。我們的企業開發團隊正在埋頭苦幹，管理非常活躍的管道。因此，我們希望在不久的將來與觀眾分享一些好消息。但這絕對是我們整體策略的重要組成部分。

Yes. And Dan, I would just add that I think Michael centers over the past, let's call it six months.

是的。丹，我想補充一點，我認為麥可關注的是過去，我們稱之為六個月。

We've really reinvigorated these types of discussion. And of course, your M&A, there's a lot of ways of thinking about it right that, Mike, what center consolidation, the capabilities and what you're looking at, but you can buy you can partner, you can become a minority investor there are there, by the way we're looking at trying to put that capital to work at that. Heat is one example where it's certainly not acquisition happening there, but we're investing a lot of money to kind of create this partnership. And while that's not truly M&A, that is truly something that is inorganic.

我們確實重新激發了此類討論的活力。當然，你的併購，有很多思考的方式，麥克，什麼中心整合，能力和你正在尋找的東西，但你可以購買，你可以合作，你可以成為那裡的少數投資者順便說一句，我們正在考慮試著將這些資金投入這方面。Heat 就是一個例子，那裡肯定不會發生收購，但我們投入了大量資金來建立這種合作關係。雖然這不是真正的併購，但這確實是無機的。

Yes, yes. Starting point of kind of progress.

是的是的。某種進步的起點。

Great. Thank you.

偉大的。謝謝。

And thank you for your question.

謝謝你的提問。

The next question comes from the line of Jeff Schmitt with William Blair. Your line is now open.

下一個問題來自傑夫·施密特和威廉·布萊爾的對話。您的線路現已開通。

Thank you on that client cash, it appears to have stabilized around $2.9 billion to $3 billion when you adjust for seasonality. And just regarding where that may go, what are you seeing in terms of new cash coming in far from organic growth. Is that kind of largely sorted already in So it isn't providing much of an uplift to client cash? Or should we kind of expect to see some uplift from that this year.

謝謝您的客戶現金，當您根據季節性進行調整時，它似乎穩定在 29 億至 30 億美元左右。就其可能的去向而言，您在遠離有機增長的新現金方面看到了什麼。這種情況是否已經在很大程度上得到了解決，因此它並沒有為客戶現金帶來太大的提升？或者我們是否應該期望今年會看到一些提升。

And it's a great question, Jeff, and nice to talk to you again. So let me I'll give you now and start that micro-fulfillment, but no comment on that. Any more details, but give our airframe that most of that cash tax rate is the nondiscretionary cash is not the end investors choosing. It is our strategy of allocating part of their strategy. And therefore, it's not really susceptible to the kind of cash joining us when the banks are dealing with.

這是一個很好的問題，傑夫，很高興再次與你交談。所以讓我現在就開始這個微觀實現，但對此不予評論。任何更多細節，但請告訴我們，大部分現金稅率是非自由支配現金，不是最終投資者選擇的。這是我們的策略配置了他們的策略的一部分。因此，當銀行處理交易時，它並不太容易受到加入我們的現金的影響。

But it is a reflection at that percent has settled its generic around on 4% of our total AssetMark Trust assets. And as that cash as a percentage of settled right now is 3.8% percent today. That's an indication that's a reflection actually the strategy of putting that money to work because they're getting more confidence in the economics.

但這反映了該百分比已穩定在我們 AssetMark Trust 總資產的 4% 左右。目前現金佔已結算的百分比為 3.8%。這表明這實際上反映了將這筆錢投入使用的策略，因為他們對經濟越來越有信心。

Now that being said, the cash balance grows as our asset level. So when we think of our overall asset level growing that, that 10% to 12% we talked about in the upcoming year, that's going to be that's going to be reflected in our cash balances at our trust company. And the extent that we have an outsized amount of money go through our trust company versus other custodians that will ease that will even further help the growth of our cash that we will put to work.

話雖這麼說，現金餘額隨著我們的資產水平而增長。因此，當我們想到我們的整體資產水準將在來年增長 10% 至 12% 時，這將反映在我們信託公司的現金餘額中。與其他託管人相比，我們有大量資金通過我們的信託公司，這將進一步緩解我們將投入使用的現金的成長。

I think maybe just to kind of build off of that, Jeff, on a couple of other things to consider. So number one, I think to Gary's point, we're seeing just given the improved sentiment and investors coming back into the equity market that we're seeing more and more of the strategists deploying the cash into their strategies and through the equity allocation at the same time of really the given the expansion into adjacent markets and Gary alluded to the architect Cheetah, which is really our partnership that will help us expand into the regional banks and regional trust companies. We believe that the new relationships that we sign on, which will also be custodied at ACC that will add to the overall cash balances as well. So we're super excited about that new partnership and the additional balances that we know will those relationships will drive.

我想也許只是以此為基礎，傑夫，還有其他一些需要考慮的事情。因此，第一，我認為就加里的觀點而言，鑑於情緒改善和投資者重返股市，我們看到越來越多的策略師將現金部署到他們的策略中，並通過股票配置與此同時，考慮到向鄰近市場的擴張，加里提到了建築師獵豹，這實際上是我們的合作夥伴關係，將幫助我們擴展到地區銀行和地區信託公司。我們相信，我們簽署的新關係也將由 ACC 託管，這也將增加整體現金餘額。因此，我們對這種新的合作關係以及我們知道這些關係將帶來的額外平衡感到非常興奮。

And then the other thing that, again, just to underscore Gary's points earlier, one of the unique things about our model is just sort of natural revenue hedge that we have. And I think we all expect at some point probably longer than expected, but at some point, the Fed will begin to reduce their rates in a way, we actually welcome that and that given our revenue model, we know that that is going to create a tailwind for the asset base revenue stream as well so one of the key and really the unique aspects of our revenue model is that there's this natural hedge built in between the subscription between the spread revenue and the asset base revenue has. So we're fully prepared for those changes that are forthcoming.

然後，再次強調加里先前的觀點，我們模型的獨特之處之一就是我們擁有的自然收入對沖。我認為我們都預計在某個時候可能會比預期的時間更長，但在某個時候，美聯儲將開始以某種方式降低利率，我們實際上對此表示歡迎，考慮到我們的收入模式，我們知道這將創造這也是資產基礎收入流的順風車，因此我們收入模式的關鍵和真正獨特的方面之一是，在價差收入和資產基礎收入之間的認購之間建立了這種自然對沖。因此，我們已為即將發生的變化做好充分準備。

Okay. Yes, that's very helpful. And then I guess that takes me to the next question. Just looking at I think you have 45% of cash getting fixed rate now average maturity still fairly low, 2.3 years. Is there potential, you know, could we expect to see roll that over into four or five year contracts calm, you know, especially with the Fed likely to cut at some point here is like what type of rate, I guess could you could you get for that if you're if you are looking?

好的。是的，這非常有幫助。然後我想這會帶我進入下一個問題。看看我認為你有 45% 的現金獲得固定利率，現在平均期限仍然相當低，2.3 年。是否有潛力，你知道，我們是否可以期望看到將其轉為四年或五年的合同，你知道，特別是在美聯儲可能在某個時候降息的情況下，就像什麼類型的利率一樣，我想你可以嗎？如果你正在尋找的話，得到那個嗎？

Yes. So that's a great point, Jeff. And we actually have just started that's, I believe, a yield premium when we talked we had like a one, two and three year ladder in terms of our contracts. And we did just recently at one contract for four year and won contracts in a five year to kind of extended. I think it was like just We extended the term of from a 2 to 2.2 or whatever it is now. So we absolutely are focused on extending that on now we are that is the trade-off in rate and whatnot, and I can't actually tell you what those rates are now in the Form five years of my head, but that is our consideration to make sure that we are not giving up too much value in extending it that the goal of having me the fixed rates, Jeff, is we gave us a good glide path, 18, 24, 32.5 years, 30 months or so at good glide path where Michael pointed out, we have a natural hedge as rates come down, equity market should rebound and that glide path and help us match the revenue offsets effective.

是的。所以這是一個很好的觀點，傑夫。我相信，當我們談到我們的合約有一年、兩年和三年的階梯時，我們實際上才剛開始，這是一個收益率溢價。我們最近剛簽訂了一份為期四年的合同，並贏得了五年的合同，甚至可以延長。我認為這就像我們將期限從 2 延長到 2.2 或現在的任何內容。因此，我們絕對專注於擴展這一點，現在我們就是在費率等方面進行權衡，我實際上無法告訴您我頭腦中五年內的這些費率是多少，但這是我們的考慮因素為了確保我們在延長固定費率時不會放棄太多價值，傑夫，我們給了我們一個良好的滑行路徑，18、24、32.5年、30個月左右的良好滑行時間邁克爾指出的路徑，隨著利率下降，股市應該反彈，我們有自然對沖，下滑路徑有助於我們有效地匹配收入抵消。

Yes, Jeff, the only thing I would add is that our product team, they do an excellent job. We have a we have a monthly pricing committee meeting and it is really our way and the process that that team is incorporated a way for us to actively monitor and make the appropriate adjustments. We want to make sure that we put on really the liquidity and the client experience at the as our first principle. But really there's a very stringent process in place to have regular and active monitoring of the fixed terms and make sure that we are optimizing the cash balances at ATC today.

是的，傑夫，我唯一要補充的是我們的產品團隊，他們做得非常好。我們每月召開一次定價委員會會議，這確實是我們的方式和團隊合併的過程，是我們積極監控和做出適當調整的一種方式。我們希望確保真正將流動性和客戶體驗作為我們的首要原則。但實際上，我們有一個非常嚴格的流程來定期、主動地監控固定條款，並確保我們正在優化 ATC 的現金餘額。

Okay, great. Thank you.

好的，太好了。謝謝。

In fact.

實際上。

Thank you. Thank you for your question. The next question comes from the line of Patrick O'Shaughnessy with Raymond James, Raymond James.

謝謝。謝謝你的問題。下一個問題來自派崔克·奧肖內西和雷蒙德·詹姆斯，雷蒙德·詹姆斯。

Apologies. Your line is now open.

道歉。您的線路現已開通。

Hey, good afternoon. So in December, Bloomberg reported that what I was exploring strategic options for its investment asset, Mark, I'm sure you can't or don't want to speak for them directly, but what have they communicated you guys about this process.

嘿，下午好。因此，去年 12 月，彭博社報道稱，我正在探索其投資資產的戰略選擇，馬克，我相信你不能或不想直接代表他們說話，但他們就這一過程向你們傳達了哪些信息。

And that, Derek, thank you for the question on. Yes, I mean, obviously, I think we've seen all those different articles as well. And as you mentioned, you know, our position is that we don't comment on these rumors and these types of articles what we can tell you, Patrick, is that we have regular conversations with our majority shareholder as well as the entire board. I think they remain very, very supportive of the business and the entire management team. With that in mind, one of the key things that we talk about on a very regular basis as a management team is really thinking about the three key areas of our focus, the organic growth we talk nonstop about getting back to that 10%-plus organic growth rate as we talked about number two, let's make sure that we deploy the capital in a right way and focus and have that really targeted focus on the right M&A opportunities. We believe that we have an opportunity to really win in a strategic way, leveraging all of the financial resources that we can bring as well as our position in the market.

德里克，謝謝你提出這個問題。是的，我的意思是，顯然，我認為我們也看過所有這些不同的文章。正如你所提到的，你知道，我們的立場是，我們不對這些謠言和此類文章發表評論，帕特里克，我們可以告訴你的是，我們與我們的大股東以及整個董事會進行定期對話。我認為他們仍然非常非常支持公司和整個管理團隊。考慮到這一點，作為管理團隊，我們經常討論的關鍵事情之一是真正思考我們重點關注的三個關鍵領域，即我們不停地談論恢復到 10% 以上的有機增長正如我們談到的第二點，我們要確保以正確的方式和重點部署資本，並真正有針對性地關注正確的併購機會。我們相信，我們有機會利用我們可以帶來的所有財務資源以及我們在市場中的地位，以戰略方式真正獲勝。

And then the third area of focus is really driving scale. We talked about a number of the automation initiatives that touch this new accounting opening initiative as an example. And our goal is to really remove up to about $25 million of operational costs over the next few years. And so those are the key areas that we're super focused on, Patrick, well, obviously, there's a lots of distractions that rumors and talk what are the key things that we as a leadership team we talk a lot about is let's focus on what's within our control and not get hung up on the different articles and the rumors that are floating out there. And again, going back to the board, they are just super supportive of the entire team and the business. And so we're excited by the opportunity, their mood and momentum that we have in the business here today.

第三個重點領域是真正推動規模化。我們以涉及這項新會計開放措施的一些自動化措施為例進行了討論。我們的目標是在未來幾年內真正消除高達約 2500 萬美元的營運成本。因此，這些是我們非常關注的關鍵領域，帕特里克，嗯，顯然，謠言和談話有很多幹擾，我們作為領導團隊經常談論的關鍵事情是什麼，讓我們專注於一切在我們的控制範圍之內，不要沉迷於各種不同的文章和謠言。再次回到董事會，他們非常支持整個團隊和業務。因此，我們對今天在這裡的業務中所擁有的機會、他們的情緒和動力感到興奮。

Yes, Patrick, I would just add, I think we've got our [20,000] employees and our 9,000 advisors here, and we are focused on a great 2020 for some top level of the outlook or any. And the Board has been so supportive of the investment that Michael has stepped up for 2024 and for our technology spend, et cetera, and so on, we've got our mission clear for ourselves and that's that. But that is constant and that motivates all our employees and out of service to anybody.

是的，派崔克，我想補充一點，我認為我們這裡有 [20,000] 名員工和 9,000 名顧問，我們專注於 2020 年的某些頂級前景或任何目標。董事會非常支持麥可在 2024 年加大投資力度，以及我們的技術支出等等，我們已經明確了自己的使命，僅此而已。但這是不變的，它激勵我們所有的員工，並為任何人提供服務。

Okay. Fair enough. Appreciate that. And then with your tax management services solution, is that incremental monetization opportunity for you guys?

好的。很公平。感謝。然後，透過您的稅務管理服務解決方案，這對你們來說是增量貨幣化機會嗎？

Yes, absolutely. I'll start on And then Gary, please share some specifics on the financial value there. So tax management services or TMS arm, it is a incremental service with an incremental revenue opportunity, 10 basis points growth on in terms of what we charge to our clients.

是的，一點沒錯。我將從 Gary 開始，請分享一些有關財務價值的細節。因此，稅務管理服務或 TMS 部門，它是一項增量服務，具有增量收入機會，就我們向客戶收取的費用而言，增長了 10 個基點。

And Patrick, I mean, I've been with the firm for over 13 years now and over 13 years now. And this is one of the most exciting is one of the most exciting initiatives that we've launched and that it is being received so well by our advisers and they see the value and they are super excited by it. As I mentioned earlier, we are getting more assets being enrolled into this program than ever before. And so this is one of those unique programs where we know that it's resonating well, the end clients, they're engaged with their advisers and understanding and wanting to understand kind of different portfolio construction strategies and all the nuances about the portfolio. But I do today the end clients, the investors, they understand taxes and they view they look to their advisors as really the on the steward of not only the meeting the financial goals, but tax management. And so I can't say enough about the opportunities that CMS is creating not only from a revenue and tax point of view, but also to really attract new producing advisers onto the platform.

派崔克，我的意思是，我在公司工作已經超過 13 年了，現在已經超過 13 年了。這是我們推出的最令人興奮的舉措之一，也是我們推出的最令人興奮的舉措之一，我們的顧問對此非常滿意，他們看到了其中的價值，對此感到非常興奮。正如我之前提到的，我們加入該計劃的資產比以往任何時候都多。因此，這是那些獨特的項目之一，我們知道它能引起最終客戶的共鳴，他們與顧問互動，了解並希望了解不同的投資組合構建策略以及投資組合的所有細微差別。但我今天與最終客戶、投資者打交道，他們了解稅收，他們認為顧問不僅是實現財務目標的真正管理者，也是稅務管理的真正管理者。因此，對於 CMS 所創造的機會，我無法說太多，不僅從收入和稅收的角度來看，而且還真正吸引新的製作顧問進入該平台。

One of the big upticks that we're seeing from an NPA perspective is really related to the excitement around TMS. And so Gary, you know how much I'm excited about CMS and down, what do we share with Patrick, some of the financial value that CMS will bring to the firm.

從 NPA 的角度來看，我們看到的大幅成長之一確實與 TMS 相關。所以加里，你知道我對 CMS 和 down 多麼興奮，我們與帕特里克分享什麼，CMS 將為公司帶來的一些財務價值。

Up back again is a great opportunity for us to know. Normally we most of our pricing, the rack pricing between segments and income 10 basis points of so many folks at AssetMark has spent a good 18 months building a system, a significant capital spend to set this up and the partnership we have and it's a nice example of where this win win-win-win all around on clients to be on record, realizing material yield improvements in their in their tax positions.

再次回來對我們來說是一個了解的好機會。通常情況下，我們的大部分定價、細分市場之間的機架定價和收入10 個基點，AssetMark 的許多人花了18 個月的時間構建了一個系統，並投入了大量資本來建立這個系統，我們建立了合作夥伴關係，這是一個很好的合作夥伴關係。這個雙贏的例子對客戶來說是雙贏的，在他們的稅務狀況中實現了實質性的收益提高。

Advisors now have another tool in their quiver, another arrow in their quiver to service their clients and we are able to capture some of the economics.

現在，顧問們的箭袋裡有了另一個工具，他們的箭袋裡又多了一支箭來為客戶提供服務，我們能夠捕捉到一些經濟原理。

Great. Thank you.

偉大的。謝謝。

Thank you for your question. There are currently no questions registered. So as a reminder, it star one to ask a question. There are no additional questions waiting at this time. I would now like to pass the conference back, Michael Kim for any closing remarks.

謝謝你的問題。目前沒有登記任何問題。提醒一下，首先要提出一個問題。目前沒有其他問題等待。現在我想請邁克爾金 (Michael Kim) 向會議傳達結束語。

Great. Thank you. Let me just wrap up with a big big thank you to all of you that have joined us here today. As well as everyone that is supporting AssetMark. We truly value the partnership and your continued support. And we're excited about 2024 and a big shout out to all of the AMK. employees who make it happen every single day. So with that, thank you, everybody, and we will call it a wrap to see everybody. Goodbye.

偉大的。謝謝。最後，我要向今天來到這裡的所有人表示衷心的感謝。以及所有支持 AssetMark 的人。我們非常重視這種合作關係以及您持續的支持。我們對 2024 年感到興奮，並向所有 AMK 大聲喊叫。每天都讓這一切發生的員工。所以，謝謝大家，我們就到此結束，與大家見面。再見。

That concludes today's call. Thank you for your patience, patience, and enjoy the rest of your day single day.

今天的電話會議到此結束。感謝您的耐心、耐心，祝您有個愉快的一天。