Federated Hermes Inc (FHI) 2024 Q2 法說會逐字稿

Greetings and welcome to the Federated Hermes Incorporated second quarter 2024 analyst call and webcast. (Operator Instructions) Please note this conference is being recorded.

您好，歡迎參加 Federated Hermes Incorporated 2024 年第二季分析師電話會議和網路廣播。（操作員說明）請注意本次會議正在錄製中。

I will now turn the conference over to your host, Mr. Richard Donahue, Vice President, Financial Planning and Analysis. Sir, you may begin.

現在我將會議交給東道主財務規劃與分析副總裁理查德·多納休先生。先生，您可以開始了。

Thank you. Good morning. Leading today's call will be Chris Donahue, CEO and President, and Tom Donahue, Chief Financial Officer. Joining us for Q&A are Debbie Cunningham, Chief Investment Officer at Money Markets; and Saker Nusseibeh, CEO of Federated Hermes Limited. Ray Hanley is attending a family funeral and will not be with us today.

謝謝。早安.今天的電話會議將由執行長兼總裁 Chris Donahue 和財務長 Tom Donahue 主持。貨幣市場首席投資長黛比·坎寧安 (Debbie Cunningham) 與我們一起參與問答；以及 Hermes 聯合有限公司首席執行官 Saker Nusseibeh。雷·漢利 (Ray Hanley) 正在參加家庭葬禮，今天不會和我們在一起。

During today's call we may make forward-looking statements, and we want to note that Federated Hermes actual results may be materially different than the results implied by such statements. We invite you to review the risk disclosures in our SEC filings. No insurance can be given as to future results and Federated Hermes assumes no duty to update any of these forward-looking statements. Chris?

在今天的電話會議中，我們可能會做出前瞻性陳述，我們希望指出，Federated Hermes 的實際結果可能與此類陳述所暗示的結果有重大差異。我們邀請您查看我們向 SEC 提交的文件中的風險揭露。對於未來的結果無法提供保證，Federated Hermes 不承擔更新任何這些前瞻性陳述的責任。克里斯？

Thank you, Richard, and good morning, all. I will review Federated Hermes' business performance and Tom will comment on our financial results. We ended the second quarter with record assets under management of $783 billion, driven by record Money Market assets of $587 billion.

謝謝你，理查德，大家早安。我將回顧 Federated Hermes 的業務表現，而 Tom 將評論我們的財務表現。在創紀錄的 5,870 億美元貨幣市場資產的推動下，我們第二季末管理的資產達到創紀錄的 7,830 億美元。

Looking first at equities, assets decreased by $2.3 billion from Q1, to $77.9 billion due to net redemptions of $3.3 billion, partially offset by market gains of $933 million. We did see Q2 positive net sales in 11 equity strategies, including MDT large-cap growth, MDT mid-cap growth, and International Leaders Fund. The MDT fund strategies have shown accelerated sales and net sales in 2024, particularly in the growth space.

首先看股票，由於淨贖回 33 億美元，資產較第一季減少 23 億美元至 779 億美元，部分被 9.33 億美元的市場收益所抵銷。我們確實看到 11 個股票策略在第二季度實現了正淨銷售，包括 MDT 大盤成長型、MDT 中型成長型和國際領導基金。MDT 基金策略顯示 2024 年銷售額和淨銷售額將加速成長，尤其是在成長空間。

Year-to-date, through the end of the second quarter, MDT fund strategies have had about $1.8 billion in growth sales and $1.1 billion in net sales. Looking at our equity fund performance at the end of Q2 and using Morningstar data for the three years, 54% of our equity funds were beating peers and 38% were in the top quartile of their category.

今年迄今為止，截至第二季末，MDT 基金策略的成長銷售額約為 18 億美元，淨銷售額為 11 億美元。看看我們第二季末的股票基金表現，並使用晨星公司三年來的數據，我們的股票基金中有 54% 的表現優於同行，38% 的股票基金處於同類基金的前四分之一。

Now, for the first three weeks of Q3, combined equity funds and equity SMAs had net redemptions of $151 million. As my grandkids say, meaningfully less worse.

現在，在第三季的前三週，股票基金和股票 SMA 的合併淨贖回額為 1.51 億美元。正如我的孫子們所說，情況確實不那麼糟了。

Turning now to fixed income, assets decreased by about $1 billion in Q2 to $95.3 billion. Fixed income funds had Q2 net redemptions of $631 million, and fixed income separate accounts had net redemptions of $806 million. More on those numbers in a moment. We had 11 fixed income funds with positive net sales in Q2, including Total Return Bond Fund and Institutional Fixed Income.

現在轉向固定收益，第二季資產減少約 10 億美元，至 953 億美元。第二季固定收益基金淨贖回額為 6.31 億美元，固定收益獨立帳戶淨贖回額為 8.06 億美元。稍後將詳細介紹這些數字。第二季度，我們有 11 檔固定收益基金淨銷售額為正，其中包括總回報債券基金和機構固定收益基金。

Regarding performance, at the end of Q2 and using Morningstar data for the trailing three years, 45% of our fixed income funds were beating peers and 21% were in the top quartile of their category. For the first three weeks of Q3, combined fixed income and SMAs had net redemptions of $273 million.

就業成績而言，截至第二季末，根據晨星公司過去三年的數據，我們的固定收益基金中有 45% 的表現優於同行，21% 的基金處於同類基金的前四分之一。在第三季的前三週，固定收益和 SMA 的淨贖回總額為 2.73 億美元。

In the alternative private markets category, assets decreased by about $400 million in Q2 to just over $20 billion, due mainly to net redemptions in the unconstrained credit fund of about $500 million. We held our final close of Horizon III, the third vintage of our Horizon series of global private equity funds in Q2, with $1.08 billion raised.

在另類私募市場類別中，第二季資產減少約 4 億美元，至略高於 200 億美元，這主要是由於不受限制的信貸基金淨贖回約 5 億美元。我們完成了 Horizo​​​​n III 的最終募集，這是第二季度我們的 Horizo​​n 系列全球私募股權基金的第三個版本，籌集了 10.8 億美元。

Horizon invests globally with a mid-market focus. It's a hybrid strategy with roughly 50-50 allocation to co-investments and funds. Continuing on with private markets, we're in the market now with Federated Hermes GPE Innovation Fund II, the second vintage of our pan-European growth private equity innovation fund. We're also in the market with our European Direct Lending III, the third vintage of our European Direct Lending Fund.

Horizo​​n 在全球範圍內進行投資，重點關注中端市場。這是一種混合策略，大約有 50-50 的資金分配給聯合投資和基金。繼續私募市場，我們現在正在市場上推出 Federated Hermes GPE Innovation Fund II，這是我們泛歐成長型私募股權創新基金的第二個版本。我們還在市場上推出了歐洲直接貸款 III，這是歐洲直接貸款基金的第三個版本。

For equities, we have $166 million wins to fund, offset by $188 million of known redemptions. That will come up again later. To get back on the private label side, we are developing the Global Private Equity Co-Invest fund, the sixth vintage of the PEC series, targeting a Q4 launch.

對於股票，我們有 1.66 億美元的利潤可供資助，並被 1.88 億美元的已知贖回所抵消。稍後會再次出現。為了重返自有品牌領域，我們正在開發全球私募股權聯合投資基金，這是 PEC 系列的第六個版本，目標是在第四季度推出。

Now to get back to some of these redemptions, we estimated that about $1.5 billion of Q2 net redemptions are attributable to the Q2 departure of a UK-based senior portfolio manager. These redemptions occurred largely in certain high-yield, unconstrained credit, as I mentioned, and multi-asset credit strategies. And we've been in the process of harmonizing our US and UK-based fixed income themes to leverage the considerable strengths of this group on a global basis.

現在回到其中一些贖回，我們估計第二季約 15 億美元的淨贖回將因於一位英國高級投資組合經理的第二季離職。正如我所提到的，這些贖回主要發生在某些高收益、無約束信貸和多元資產信貸策略中。我們一直在協調美國和英國的固定收益主題，以在全球範圍內利用該集團的巨大優勢。

So we begin Q3 with about $1.9 billion in net institutional mandates yet to fund into both funds and separate accounts. These are diversified across private markets, fixed income, and equity. About $1.1 billion of net total wins is expected to come in private market strategy with wins in private equity and direct lending.

因此，我們在第三季開始時仍有約 19 億美元的淨機構授權尚未存入基金和單獨帳戶。這些產品在私募市場、固定收益和股票領域中多元化。預計私募市場策略將帶來約 11 億美元的淨收益，其中包括私募股權和直接貸款業務。

Fixed income is expected net additions of about $835 million with wins in ultra-short and short duration, sustainable investment-grade credit, government bond, and emerging market debt. I've already mentioned that for equities, we have $166 million in wins to fund, which is offset by $188 million of known redemptions. Both the wins and the losses are in the global equity mandate area.

預計固定收益將淨增加約 8.35 億美元，其中包括超短期和短期、永續投資等級信貸、政府債券和新興市場債務。我已經提到，對於股票，我們有 1.66 億美元的盈利可供資助，這被 1.88 億美元的已知贖回所抵消。勝利和失敗都發生在全球股票授權領域。

Now moving to Money Markets. In the second quarter, we reached another record high for Money Markets fund assets of $426 billion and total Money Markets assets of $587 billion, which I already mentioned. Total Money Markets assets increased by $8 billion in the second quarter.

現在轉向貨幣市場。第二季度，我們已經提到，貨幣市場基金資產達到4,260億美元，貨幣市場總資產達5,870億美元，再創歷史新高。第二季貨幣市場總資產增加了 80 億美元。

Money Markets strategies continue to benefit from favorable market conditions for cash as an asset class, elevated liquidity levels in the financial system, and attractive yields compared to cash management alternatives like bank deposits and direct investments in money market instruments like T-bills and commercial paper.

貨幣市場策略繼續受益於現金作為資產類別的有利市場條件、金融體系流動性水準的提高以及與銀行存款等現金管理替代方案以及國庫券和商業票據等貨幣市場工具直接投資相比具有吸引力的收益率。

It is expected in the upcoming period of declining short-term rates that we believe the market conditions for Money Markets strategies will continue to be favorable compared to direct market rates and bank deposit rates. Our estimate of Money Markets Mutual Fund market share, including sub-advised funds, was about 7.45% at the end of Q2, up from about 7.35% at the end of Q1.

預計在未來短期利率下降的時期，我們認為貨幣市場策略的市場條件將繼續優於直接市場利率和銀行存款利率。我們預計第二季末貨幣市場共同基金（包括次級顧問基金）的市佔率約為 7.45%，高於第一季末的約 7.35%。

Now, looking at recent asset totals as of a few days ago, managed assets were approximately $786 billion, including $589 billion in Money Markets, $78 billion in equities, $96 billion in fixed income, $20 billion in alternative private markets, and $3 billion in multi-asset. Money Markets mutual fund assets were at $429 billion. Tom?

現在，看看截至幾天前的近期資產總額，管理資產約為7,860 億美元，其中貨幣市場5,890 億美元，股票780 億美元，固定收益960 億美元，另類私募市場200 億美元，以及金融市場30億美元。貨幣市場共同基金資產為 4,290 億美元。湯姆？

Thanks, Chris. Total revenue for Q2 increased $6.2 million, or 2% from the prior quarter, due mainly to $3.4 million of higher carried interest revenue and $2.1 million of higher revenue from Money Markets assets, partially offset by lower revenue from equity assets and lower performance fees. Total Q2 carried interest and performance fees were $2.8 million, compared to $0.4 million in the first quarter.

謝謝，克里斯。第二季總收入增加620 萬美元，較上一季成長2%，主要是由於附帶利息收入增加340 萬美元，貨幣市場資產收入增加210 萬美元，部分被股權資產收入減少和績效費用減少所抵消。第二季附帶利息和績效費用總額為 280 萬美元，而第一季為 40 萬美元。

Q2 operating expenses increased by $64.1 million from the prior quarter, due mainly to the $66.3 million non-cash intangible asset impairment charge. All other operating expenses decreased by $2.2 million, or about 1% from the prior quarter.

第二季營運費用較上一季增加 6,410 萬美元，主要是由於 6,630 萬美元的非現金無形資產減損費用。所有其他營運費用減少 220 萬美元，比上一季減少約 1%。

The impairment charge was from the change in fair value of one of the intangible assets from the 2018 Federated Hermes Limited acquisition due to changes in projected cash flows compared to the prior quarter. Advertising expense increased in Q2 due to the timing of our ad programs.

減損費用來自 2018 年 Federated Hermes Limited 收購中一項無形資產的公允價值變化，原因是預期現金流量與上一季相比發生變化。由於我們的廣告計劃的時間安排，第二季的廣告費用有所增加。

The effective tax rate in Q2 reflects the impact of the valuation allowance on foreign deferred tax assets and the impairment charge. We expect the tax rate to be in the 27% to 29% over the rest of 2024. At the end of Q2, cash investments were $453 million. Cash investments excluding the portion attributable to non-controlling interest was $424 million.

第二季的有效稅率反映了評估備抵對外國遞延稅資產和減損費用的影響。我們預計 2024 年剩餘時間稅率將在 27% 至 29% 之間。截至第二季末，現金投資為 4.53 億美元。扣除非控制權益部分的現金投資為4.24億美元。

Olly, that completes our prepared remarks, and we'd like to open up the call for questions.

Olly，我們準備好的演講就這樣結束了，我們現在開始提問。

(Operator Instructions) Patrick Davitt, Autonomous Research.

（操作員說明）Patrick Davitt，自主研究。

All right. Good morning, everyone. You've been pointing to a pickup in institutional money fund flows when the Fed starts cutting. You hinted at it again today. And now that bets on that happening soon are picking up. Could you speak to maybe the conversations you're having with those kind of accounts? Are you seeing the conversations pick up like you would expect that could point to, say, an early pipeline of more of those mandates coming in later this year? Thank you.

好的。大家早安。您一直指出，當聯準會開始降息時，機構貨幣基金流量將會增加。今天你又暗示了。現在，人們對這種情況很快就會發生的押注正在增加。您能談談您與此類帳戶的對話嗎？您是否看到對話如您所預期的那樣加快，這可能表明今年稍後會出現更多此類任務的早期管道？謝謝。

Patrick, it's very hard to detect that movement when it hasn't happened yet. Debbie will comment on what's going on exactly in the marketplace, but we remain confident about the long-term progress of this event, because of what happened every time they have begun to ease rates. And we've gone through that a number of times before in the Q3 of ’19, when they began to ease rates and how that worked out for us in terms of 22% or so percent increase in assets, industry also went up 14%. But I'll let Debbie comment on discussions with institutional clients and how they're looking at this.

派崔克，當運動還沒有發生時，很難察覺到它。黛比將對市場上正在發生的事情發表評論，但我們對這一事件的長期進展仍然充滿信心，因為每次他們開始放鬆利率時都會發生什麼。我們在 19 年第三季之前已經經歷過很多次，當時他們開始放鬆利率，這對我們來說是如何實現的，資產增加了 22% 左右，工業也有所增長14%。但我會讓黛比評論一下與機構客戶的討論以及他們如何看待這個問題。

Thanks, Chris. As for the discussions that we're having, they're ongoing. We came into 2024 with the market, in our estimation, overdone but expecting 6.9, 7 rate cut, let's say, in 2024. We went down to a low of the market expecting no rate cuts in 2024.

謝謝，克里斯。至於我們正在進行的討論，它們正在進行中。進入 2024 年，我們估計市場已經過度降息，但預計 2024 年將降息 6.9 至 7 次。我們跌至市場低點，預計 2024 年不會降息。

So it's been quite volatile. And so our conversations with customers have sort of had that same volatility. Everybody is discussing, all the clients are discussing extending duration, taking maybe some of their core cash or their strategic cash, moving it out the curve a little bit. They're questioning whether we're extending duration within our Money Markets funds themselves for their operating cash, which we have been.

所以它一直都非常不穩定。因此，我們與客戶的對話也有相同的波動性。每個人都在討論，所有客戶都在討論延長期限，也許可以拿出一些核心現金或戰略現金，將其稍微移出曲線。他們質疑我們是否正在延長貨幣市場基金本身的營運現金期限，而我們一直在這樣做。

But in fact, what generally happens, and it's not any different so far this cycle, is that until the first rate cut happens, you don't see much of that movement in anticipation. Everybody likes to prepare. Everybody likes to discuss. But the actual movement doesn't generally start to occur until the first cut happens.

但事實上，通常發生的情況是，在第一次降息發生之前，你不會看到太多預期的變動，而且本週期到目前為止沒有任何不同。每個人都喜歡準備。大家都喜歡討論。但實際的移動通常要等到第一次剪切發生後才會開始發生。

So we are having those conversations. There is nothing different about them. They are healthy. They are what we would expect. But we're not really seeing that type of movement yet, if the Fed cuts in September or November or December, that's when that should occur in all likelihood.

所以我們正在進行這些對話。他們沒有什麼不同。他們很健康。它們正是我們所期望的。但我們還沒有真正看到這種類型的走勢，如果聯準會在 9 月、11 月或 12 月降息，那麼很可能會發生這種情況。

Got it. Thanks. Just as a quick follow up, how are you thinking about second half repurchases? You still have a lot of cash. The share price is still around $35. Can we take that to mean that you could pick that up a fair amount at this point?

知道了。謝謝。作為快速跟進，您如何看待下半年的回購？你還有很多現金。股價仍在35美元左右。我們是否可以認為這意味著您現在可以拿到相當多的錢？

I would say that we would certainly expect to be active. If you saw what we did this past quarter, and the price was a little lower than $35, but we still believe that the stock is undervalued.

我想說，我們肯定會積極參與。如果您看到我們上個季度所做的事情，並且價格略低於 35 美元，但我們仍然認為該股票被低估。

Thank you.

謝謝。

Adam Beatty, UBS.

瑞銀集團的亞當比提。

Hi, thank you. Good morning. I just noticed among the top selling equity funds, there was a bit of a tilt this time toward smaller cap versus mid cap. And that seems to coincide with a bit of a rotation out of maybe the MAG-7 or what have you, large cap growth, into more of that broader emphasis. Just wondering -- it's fairly recent, so I'm just wondering how you're seeing that and whether your clients are pointing their conversations in that direction. Thank you.

你好，謝謝。早安.我剛剛注意到，在最暢銷的股票基金中，這次有一點偏向小型股而不是中盤股。這似乎與 MAG-7 或其他大盤股的成長轉向更廣泛的關注相吻合。只是想知道 - 這是最近的事，所以我只是想知道您如何看待這一點以及您的客戶是否將他們的對話指向這個方向。謝謝。

A hint of that, Adam, is that three weeks' worth of flow data. And it's only a hint, because three weeks, you go with three weeks, that's not the best thing to do. However, what's happened in the performance gives you maybe a reason for that. You take strategic value dividend, which was facing that headwind of the MAG-7, and that's been reversed, as we all know. So quarter to date, strategic value dividend is up 5.5%, and the S&P is down 0.5%.

Adam，這其中的一個暗示就是三週的流量數據。這只是一個暗示，因為三週，你就用三週，這不是最好的事。然而，表演中發生的事情也許給了你一個理由。眾所周知，戰略價值紅利曾面臨 MAG-7 的逆風，但現在已經逆轉了。截至目前，戰略價值股利上漲 5.5%，標準普爾指數下跌 0.5%。

So if you look at July's numbers in the Morningstar, which we don't like, the fund is the number one percentile in its peers. And the ETF is doing well on those numbers, too. But as we always say, that's an odd peer group for this dividend fund. And you're touching on the fact that many of the dividend-oriented products in our category are leading the way right now.

因此，如果你看看晨星公司 7 月的數據（我們不喜歡這一點），你會發現該基金在同類基金中排名第一。ETF 在這些數字上也表現良好。但正如我們常說的，對於這檔股息基金來說，這是一個奇怪的同業群體。您談到了這樣一個事實，即我們類別中的許多以股息為導向的產品目前處於領先地位。

And if you tear into the portfolios, you will see that finance and bank holdings have helped that particular fund. And if you talk about other funds, you take the Kauffman Fund. This is another one that's been one of the leaders in the clubhouse with net redemptions. The fund is in the top quartile for the trailing one year and top 12% for the trailing three months.

如果你仔細研究投資組合，你會發現金融和銀行控股對該特定基金有所幫助。如果你談論其他基金，那就是考夫曼基金。這是另一傢俱樂部中淨贖回率領先的公司。該基金在過去一年中名列前四分之一，在過去三個月中名列前 12%。

Again, three months is short. So that's a move. And just to expand on that a little bit, since I'm approaching this from the point of view of who are the leaders of our redemptions and what's going on, it's kind of a green shoots report, the GEMs product across the pond is in the 32nd percentile year-to-date and just about the top quartile in the preceding three months.

再說一次，三個月很短。所以這是一個舉動。只是為了擴展這一點，因為我是從誰是我們贖回的領導者以及正在發生的事情的角度來處理這個問題的，這是一份萌芽報告，整個池塘的創業板產品都在今年迄今為止的第32 個百分位數，以及前三個月的前四分之一。

And Asia ex-Japan is, as of the July 24, it's in the top 2% for the trailing three years and other good numbers. So yes, we're seeing the rotation and it's helping many of the small cap funds, especially on the MDT side. And Debbie mentioned that clients, both the institutional and the intermediaries, are all talking about both extending duration and then stepping out the risk curve and step -- and when are they going to join the rotation for the smaller stocks. So over the last three weeks, it has been a bit of a change in the marketplace.

截至 7 月 24 日，亞洲（日本除外）在過去三年和其他良好數字中均躋身前 2%。所以，是的，我們看到了輪換，它正在幫助許多小型基金，尤其是 MDT 方面。黛比提到，機構和中介機構的客戶都在談論延長久期，然後逐步走出風險曲線和步驟——以及他們什麼時候加入小型股票的輪換。因此，在過去的三週裡，市場發生了一些變化。

Thank you. Appreciate the detail and the green shoots report there. Just turning to Money Market funds, one of the big topics of conversation in the wealth management channel has been the need to pay higher yields on client cash. And obviously, there are several different options that those firms have to do that, but I was just wondering if you see potential opportunity with that move. Thank you.

謝謝。欣賞細節和新芽報告。就貨幣市場基金而言，財富管理管道的熱門話題之一是需要為客戶現金支付更高的收益率。顯然，這些公司必須有幾種不同的選擇來做到這一點，但我只是想知道您是否看到了這一舉措的潛在機會。謝謝。

Yes, we do. And here's one of the interesting one. Back in the stone age of the ‘70s when money market funds were just getting going and the bank saw that the funds had way higher yields the banks for the first time started advertising their yields. But guess what, their yields were way lower than the money fund.

是的，我們願意。這是有趣的之一。早在1970年代的石器時代，當時貨幣市場基金才剛起步，銀行看到這些基金的收益率要高得多，銀​​行第一次開始宣傳其收益率。但你猜怎麼著，它們的收益率遠低於貨幣基金。

And when you start talking to people about yields -- and you say, I raised it from 0.1% to 1% or 2%, and they look around and they're taught about yields, all of a sudden, they say, it's 5% in the money fund that helps the retail trade in my opinion.

當你開始和人們談論收益率時——你說，我把收益率從 0.1% 提高到 1% 或 2%，他們環顧四周，被告知收益率，突然間，他們說，這是 5%。認為貨幣基金中的百分比有助於零售貿易。

And so that's what's going on. What we like about the whole move is that people and the marketplace do a lot better if they're getting marketplace returns for their cash. And so that's what we talk about. And I think if they're going to sell based on higher yields, and then they got to find out the money funds higher, that's going to work out well for us.

這就是正在發生的事情。我們喜歡整個舉措的一點是，如果人們和市場能夠從他們的現金中獲得市場回報，他們就會做得更好。這就是我們談論的內容。我認為，如果他們要根據更高的收益率出售，然後他們必須找到更高的資金，這對我們來說會很有利。

Sounds good. Thank you for taking my questions.

聽起來不錯。感謝您回答我的問題。

Dan Fannon, Jefferies.

丹‧範農，傑弗里斯。

Thanks, good morning. Just question on the fee rate. In the quarter itself, it came in a little bit better. So curious on the -- within money market funds or certain products that may be there are some underlying trends that maybe you're getting a little bit better. Then also, prospectively, as you think about that on a longer-term basis, how are you thinking about kind of the fee rate in the context of both where demand sits but also in terms of your products competitively in the market?

謝謝，早安。只是問一下收費標準。就本季而言，情況稍好一些。對貨幣市場基金或某些產品內可能存在的一些潛在趨勢感到好奇，也許你會變得更好一些。然後，從長遠來看，您如何考慮需求所在以及您的產品在市場上的競爭力的背景下的費率？

Well, the fee rate comes from the mix of all the assets, as you know, and we don't track that closely and think about that on a total basis. But we do look at each product and we have a monthly expense meeting at a fairly high level, looking at each product, not every product, every month, but we certainly cover all the products, analyzing where they fit in, what our prospects are, where is our performance, where does sales think we can generate more and more activity. So we are attentive to that very regularly and I think we have our products priced pretty well for success.

嗯，如您所知，費率來自所有資產的組合，我們不會密切跟踪並從總體上考慮這一點。但我們確實會關注每種產品，並且每月都會召開一次相當高水平的費用會議，每個月都會關注每種產品，而不是每種產品，但我們當然會涵蓋所有產品，分析它們的適用範圍以及我們的前景，我們的業績在哪裡，銷售人員認為我們可以在哪裡產生越來越多的活動。因此，我們經常關注這一點，我認為我們的產品定價非常合理，足以取得成功。

Okay. And then just on expenses, just as you think about the back half of the year, you've seen some growth in various of the sub-buckets, but curious if there's anything to call out as you think about the budget or the outlook in the second half versus kind of what's been run rating here in the first half?

好的。然後就費用而言，正如您考慮今年下半年一樣，您已經看到各個子類別有所增長，但很好奇當您考慮預算或前景時是否有什麼需要指出的下半場與上半場的表現如何？

Okay. Well, you see the comp number was down kind of like what we expected. And Chris is talking about green shoots and performance, I would anticipate that our comp numbers would probably go up on the incentive comp side based on performance expectations. And of course, that's not answering whether we're going to get carried interest or performance and I'm not giving a forecast on that.

好的。嗯，你看到補償數量下降了，就像我們預期的那樣。克里斯正在談論新芽和績效，我預計我們的薪酬數字可能會根據績效預期在激勵薪酬方面有所上升。當然，這並不能回答我們是否會獲得附帶權益或業績，我也不會對此做出預測。

But without that, I would expect the comp numbers to go up. And we expect to get higher money market assets through the second half of the year, and that will drive the distribution line up. Advertising and promotion, the second half is usually a little heavier than the first half. Systems in communications, we just continue to eat more investments in there.

但如果沒有這個，我預期補償數字會上升。我們預計下半年貨幣市場資產將增加，這將推動分配線的增加。廣告和促銷，下半年通常比上半年重一點。在通訊系統方面，我們只是繼續在那裡進行更多投資。

So that would be kind of slightly up professional service fees. I don't have much to comment on. Office and occupancy, I don't see much changes there. Travel and related, we do a little more of that, call it, prospecting in the second half of the year versus the first half of the year.

因此，專業服務費會略為上漲。我沒有太多要評論的。辦公室和入住率，我沒有看到太大的變化。在旅行和相關領域，我們在下半年比上半年做了更多的勘探工作。

And one other point, which is not on the expense side, but it really is expenses, we are going to have a proxy to elect our fund directors, which we have to do every 10 or 15 years, and that's going to come in the second half of the year. It comes as a reduction in revenue, and we expect that to be about a $6 million line item.

還有一點，這不是費用方面，但確實是費用，我們將有一名代理來選舉我們的基金董事，我們必須每 10 或 15 年做一次，這將在下半年。這是收入的減少，我們預計這將是大約 600 萬美元的項目。

And the reason why it's a reduction in revenue is because of waivers. And so it doesn't show up on the expense lines, but we'll get lower revenue over the second half of the year, and we estimate that's a $6 million cost to get all the directors elected properly.

收入減少的原因是因為豁免。因此，它不會出現在費用項目上，但我們下半年的收入將會減少，我們估計正確選舉所有董事需要 600 萬美元的成本。

Okay, thank you.

好的，謝謝。

Ken Worthington, JPMorgan.

肯‧沃辛頓，摩根大通。

Hi, good morning. Thanks for taking the questions. So I'd love to get more color on the impairment charge for Hermes. Since the deal was announced, the markets are up quite a bit since you acquired at least the first tranche in -- I think it was '18, I know there was aspirations to launch Hermes and ESG products in the US and leverage that brand to grow. So what happened here? What didn't work out? Why the impairment?

嗨，早安。感謝您提出問題。因此，我希望對愛馬仕的減損費用有更多了解。自從這筆交易宣布以來，自從你至少收購了第一批資金以來，市場上漲了很多——我想那是 18 年，我知道人們渴望在美國推出 Hermes 和 ESG 產品，並利用該品牌來生長。那麼這裡發生了什麼事？什麼沒解決？為什麼會出現減損？

Okay, Ken. We have to -- when we did the acquisition, we had to value the assets and the assets that we impaired this time and the assets that we impaired last time was the pooled assets, i.e., the funds. And so what happened really versus last quarter from where we were valuing things, we had the GEMs product, we had the Asia ex-Japan product.

好吧，肯。我們必須－當我們進行收購時，我們必須對資產和我們這次減損的資產進行估值，我們上次減損的資產是集合資產，也就是資金。因此，與上季度我們估值的情況相比，實際發生的情況是，我們有創業板產品，我們有亞洲（日本除外）產品。

The GEM pad performance thing, which Chris just said, has turned around, but there were significant redemptions in there. It has Asia ex-Japan product, which has always had good performance, but has a significant China ownership, and we had significant redemptions in there.

克里斯剛才說的創業板墊表現已經好轉，但其中存在大量贖回。它擁有亞洲（日本除外）產品，該產品一直表現良好，但在中國擁有大量所有權，我們在那裡進行了大量贖回。

And then Chris mentioned in his comments, the $1.5 billion of redemptions on the fixed side because of the PM departure. And so when you add all of those negative flows up in there and look at the forecast, it runs right into how we have to value the things. And we had to take the impairment. In terms of excitement for what's going on, which we still have.

然後克里斯在評論中提到，由於總理離職，固定資產贖回了 15 億美元。因此，當你將所有這些負流量加起來並查看預測時，就會發現我們必須如何評估這些事物。我們必須接受減損。我們仍然對正在發生的事情感到興奮。

First of all, we're still and will remain a global entity, and it's because of the acquisition that we were able to do that. And I think Saker ought to give -- he's here and he ought to give a few comments on the rest of the business and why we still are highly, highly excited about it.

首先，我們仍然並將繼續是一個全球實體，正是因為這項收購，我們才能夠做到這一點。我認為薩克應該給出——他在這裡，他應該對其他業務發表一些評論，以及為什麼我們仍然對此感到非常非常興奮。

Thank you very much, Tom. So if you look at our business that's in the London office, you can look at it in thee ways. The first one is we have a large income stream that comes traditionally from our equity funds. Our equity funds are primarily not totally, but primarily I want to think about it quality growth. And investors have held off investing in quality growth until the rotation that the previous speaker mentioned earlier.

非常感謝你，湯姆。因此，如果您查看我們倫敦辦事處的業務，您可以用以下方式來看待它。第一個是我們擁有大量傳統上來自股票基金的收入流。我們的股票基金主要不是完全，但主要是我想考慮它的品質成長。投資者推遲了對高品質成長的投資，直到前一位發言者之前提到的輪換。

And we've begun to see green choose with inflows, for example, into our US small cap funds run out of London out of both places. If you look at specifically our GEMs product, which was a large revenue generator for us, and our Asia ex-Japan, we've seen the flow slowed down substantially, and given the valuation levels and the performance levels of the funds, you have to think that clients at some stage are going to look positively at those as we go forward.

我們已經開始看到資金流入的綠色選擇，例如，流入我們從倫敦流出的美國小型基金。如果您特別關注我們的創業板產品（該產品為我們帶來了巨大的收入來源）以及我們的亞洲（日本除外），我們會發現資金流動大幅放緩，並考慮到基金的估值水平和業績水平，您會發現相信在我們前進的過程中，客戶在某個階段會積極看待這些。

So that's the first thing. The second element you've got to think about is the fixed income. As Tom mentioned, we lost one senior PM, I will note, that's the only loss of any senior investment active PM that we've had since the acquisition in '18.

這是第一件事。您必須考慮的第二個要素是固定收入。正如湯姆所提到的，我們失去了一位高級 PM，我要指出的是，這是自 18 年收購以來我們唯一失去的高級投資活躍 PM。

And not surprisingly, with something like that, you will see outflows that follow with that as the consulting community puts you on either hold or redemption. So that's what tells us back there. Now we've been bringing together the two teams across the pond between London and between Pittsburgh, and we see good things coming through that.

毫不奇怪，有了類似的事情，你會看到隨之而來的資金外流，因為諮詢界要么讓你暫停，要么贖回。這就是後面告訴我們的。現在，我們已經將倫敦和匹茲堡之間的兩支團隊聚集在一起，我們看到了一些好的事情。

The third element that helps us back slightly is, again, interest rates. You know that we have a large and private markets, a large real estate business, particularly development business. Now to be able to harvest your performance fees and we can never predict performance fees, but be able to harvest them theoretically, what you're going to be able to do is run the offices that you've built.

第三個對我們略有幫助的因素是利率。你知道我們有一個大型的私人市場，一個大型的房地產業務，特別是開發業務。現在，為了能夠收取您的績效費，我們永遠無法預測績效費，但理論上能夠收取它們，您將能夠做的就是運營您所建造的辦公室。

And we have been successfully doing that despite the cycle, particularly in the developments in the north of the country, that's contributing the United Kingdom, and these have won a new award in leads. But the second thing you need to have is low interest rates. And interest rates in the UK are beginning to come down. But that has stopped us from harvesting as what performance fees as we have before.

儘管存在周期，但我們已經成功地做到了這一點，特別是在該國北部的發展中，這為英國做出了貢獻，並且這些項目贏得了新的領先獎。但你需要的第二件事是低利率。英國的利率開始下降。但這使我們無法像以前那樣收取績效費。

Now looking to the future, I would say that as the rotation goes away from the Magnificent 7, you would expect investors to begin to put more money back into actively managed funds. That's what we specialize in. You would expect with lower interest rates for the property business to do slightly better.

現在展望未來，我想說，隨著輪調遠離 Magnificent 7，您會期望投資者開始將更多資金投入主動式管理基金。這就是我們的專長。您預計，隨著利率降低，房地產業務的表現會稍微好一點。

And more importantly, you mentioned ESG, and I talk about sustainability. The wind behind that trend is very strong. I note the public announcement of the Irish sovereign wealth fund, which has said that it will only invest with managers who integrate sustainability, and that's going to be a very large fund that's going to grow over the next few years. That gives you an indication of where the market is going in Europe.

更重要的是，你提到了ESG，我談到了永續發展。這一趨勢背後的風非常強勁。我注意到愛爾蘭主權財富基金的公開聲明，該基金表示只會投資於整合可持續發展的經理，這將是一個非常大的基金，並將在未來幾年內不斷增長。這可以讓您了解歐洲市場的走向。

So I think for perfect and understandable reasons, it's been a tough quarter, but I think we've seen the turnaround in performance and the key performance that's what we manufacture and investment management. And it's looking good from here on.

因此，我認為出於完美且可以理解的原因，這是一個艱難的季度，但我認為我們已經看到了業績以及我們製造和投資管理的關鍵業績的改善。從現在開始，一切看起來都很好。

If I can add -- Ken, let me just add a couple of other things. I would do it again with enthusiasm, the whole deal, okay? So we started -- we are now a global company for real, which we weren't before. We have an engagement activity with statistics, with data that enables us to have what we think is an edge in looking at companies and understanding where they're going, where they've been.

如果我可以添加——肯，讓我添加一些其他內容。我會滿懷熱情地再做一遍，整個交易，好嗎？所以我們開始了——我們現在是一家真正的全球性公司，而我們以前並不是這樣的。我們開展了一項統計活動，這些數據使我們能夠在觀察公司並了解他們的發展方向和過去的情況方面擁有我們認為的優勢。

And this sets us up especially well in terms of gaining mandates in Europe. We were able to get a hold of a whole variety of private markets, enterprises, which the cost of creating or buying would be just enormous. And what's really happened in the US is that some people who were leaders in the investment industry decided to make all the ESG Jazz political and that never works out.

這使我們在獲得歐洲授權方面特別有利。我們能夠控制各種各樣的私人市場和企業，而創建或購買這些市場和企業的成本將是巨大的。美國真正發生的事情是，一些投資業的領導者決定將所有 ESG 爵士樂政治化，但這從未成功。

So we are not political, we are not moral. We are trying to evaluate risk and come up with excellent performance, as Saker mentioned. And we would happily do the whole Hermes things again. Go ahead.

所以我們不關心政治，也不關心道德。正如薩克所提到的，我們正在努力評估風險並拿出出色的表現。我們很樂意再次做所有愛馬仕的事情。前進。

Yeah. Thank you. And I'll just keep digging here. If you look at the multi-asset and the alternative business, the assets aren't growing. We're in the head of private market investing. I think those alternative assets have been sort of stagnant for three or so years. And on the multi-asset side, assets are down, I think, 40% since the acquisition was first announced.

是的。謝謝。我會繼續在這裡挖掘。如果你看看多元資產和另類業務，你會發現資產並沒有成長。我們處於私募市場投資的領先地位。我認為這些另類資產已經停滯了三年左右。在多元資產方面，我認為自首次宣布收購以來，資產已經下降了 40%。

So you mentioned real estate is one of the factors. Are there other factors on the alternative side that are sort of weighing on the growth there? And I know the multi-asset business is really tiny, but the fact that the assets are down so much sort of warrants the question what's going on there as well.

所以你提到房地產是因素之一。另類方面是否還有其他因素在某種程度上影響了那裡的成長？我知道多資產業務確實很小，但資產下降如此之多的事實也讓人懷疑那裡發生了什麼。

So if you look at -- this is Saker again. If you look at the private markets business, we're seeing really good traction in part of the private markets but not as much good traction in other bots. Now in the really strong part of the traction we're seeing in our direct lending business.

所以如果你看一下——這又是薩克爾。如果你看看私募市場業務，我們會發現部分私募市場的吸引力確實很大，但其他機器人的吸引力卻沒那麼好。現在，我們在直接貸款業務中看到了真正強勁的吸引力。

Chris mentioned earlier on that we're in the process of closing Direct Lending III fund, which we've launched, and we expect that to close to a higher level than one or two. And that's been a strong growth story pushed by very good performance and a very unique way of approaching the market. So that's been doing what we talked about our private equity business, and that's done while other parts have been more difficult.

克里斯早些時候提到，我們正在關閉我們已經推出的直接貸款 III 基金，我們預計該基金將接近一兩個以上的水平。這是一個由出色的業績和非常獨特的行銷方式推動的強勁成長故事。因此，我們一直在做我們談論的私募股權業務，而其他部分則更加困難。

If you look at the infrastructure business, that is more difficult because of the regulators, particularly we're talking about the United Kingdom and the way that they've directed with that. So I think that the rotation into private market assets does happen, and people can raise money, but it's a matter of investing in them.

如果你看看基礎設施業務，你會發現由於監管機構的原因，這變得更加困難，特別是我們談論的是英國以及他們的指導方式。所以我認為，私募市場資產的輪換確實發生了，人們可以籌集資金，但問題在於投資它們。

And our approach tends to be more cautious and more client oriented. And that would explain our positioning in general in the private markets. I'm not commenting about the multi-strategy specifically.

我們的方法往往更加謹慎，更加以客戶為導向。這可以解釋我們在私募市場的整體定位。我不會具體評論多重策略。

Ken, this is Tom. From acquisition and look at the company point of view, when we got the private markets business, and we've talked about this many times before. It was a business for one, which was the parent. And we have taken a significant amount of time, effort and money and investment making that an institutional salable product, and we are still in the process of that.

肯，這是湯姆。從收購和公司的角度來看，當我們拿到私募市場業務時，我們之前已經討論過很多次了。這是一個人的事業，也就是父母的事業。我們花了大量的時間、精力、金錢和投資，使之成為一個機構可銷售的產品，而且我們仍在這個過程中。

And it just has taken a long time to get other claims to get it built up and to work successfully along with having a great investment team and continuing to get performed out of it. The other thing on a treadmill that we're on, there's a really good part of that treadmill whereas we raise assets and the funds that we're investing in generate return and send money back to the investors.

只是花了很長時間才得到其他索賠來建立它並成功運作，同時擁有一支優秀的投資團隊並繼續從中發揮作用。我們在跑步機上的另一件事是，當我們籌集資產和我們投資的資金產生回報並將資金回饋給投資者時，跑步機有一個非常好的部分。

So the investor, particularly BTPS has been happy with the treadmill, although it doesn't look like we grow, we are getting new assets as we sell, we need to sell something and distribute out to the product. So it's still a great business, and we do hope to get off the treadmill and go faster than the redemptions that and returns to the clients that we're delivering.

因此，投資者，尤其是 BTPS 對跑步機感到滿意，儘管我們看起來並沒有成長，但我們在出售時獲得了新資產，我們需要出售一些東西並分發到產品中。因此，這仍然是一項偉大的業務，我們確實希望擺脫困境，以比贖回更快的速度回報給我們所提供的客戶。

Okay, great. Thanks for the color.

好的，太好了。謝謝你的顏色。

Bill Katz, TD Cowen.

比爾·卡茨，TD·考恩。

Okay, thank you very much for taking the question. Good morning, everybody. Just sort of scratching my head trying to figure out the path forward here in terms of organic growth. The redemptions that you mentioned in fixed income sort of quarterized out to just over $1 billion again.

好的，非常感謝您提出問題。大家早安。只是有點摸不著頭腦，試圖找出有機成長的前進道路。您提到的固定收益贖回額再次四分至略高於 10 億美元。

And you sort of step back for a moment, if rates start to go lower, the expectation for most of your peers is that money that's sitting in money market is going to migrate out and go into longer duration. When I look at relatively weak performance based on what you just disclosed, how do I think about the organic growth rate for the fixed income business versus money market and then the implication for revenue growth? Thank you.

退一步來說，如果利率開始走低，大多數同業的預期是，貨幣市場上的資金將會流出並進入更長的期限。當我根據您剛剛披露的內容查看相對疲軟的業績時，我如何看待固定收益業務相對於貨幣市場的有機增長率以及對收入增長的影響？謝謝。

Hi, Bill. So let's attack this a little differently. What we see in the money market fund side is that, that money market asset continues to grow. If you ask Debbie or me or somebody else would say the whole thing is going to $7 trillion, and we're going to maintain, if not expand our market share.

嗨，比爾。因此，讓我們以不同的方式來解決這個問題。我們在貨幣市場基金方面看到的是，貨幣市場資產持續成長。如果你問黛比、我或其他人，他們會說整個市場將達到 7 兆美元，我們將維持（即使不擴大）我們的市場份額。

And even though people will move out the yield curve, is very difficult for us to, a, see the money move from one part to the other money funds to fixed income. But there's so much more money coming into the system that you just continue this March growth up and you have a cash management service.

即使人們將殖利率曲線移出，我們也很難看到資金從一部分轉移到另一部分貨幣基金，然後再轉移到固定收益。但是，有更多的資金進入系統，您只需在今年三月繼續成長，就可以享受現金管理服務。

So I would not look for the money market part of our business declining because rates rise, I look at it on the opposite. Now if you go into the performance of fixed income, the reason that total return bond funds performance isn't where it has been as they are a little reticent on the high-yield side and have been so, and that's their call.

因此，我不會認為我們業務的貨幣市場部分會因為利率上升而下降，我的看法恰恰相反。現在，如果你研究固定收益的表現，你會發現總回報債券基金的表現不如以前，因為它們在高收益方面有點沉默寡言，而且一直如此，這就是他們的說法。

And we've seen them make that call before. And when that snaps back, it snaps back. And it's a very strong franchise with strong people in it. And then on the yield curve, there is excellent performance straight through. That's why I mentioned all those wins in the institutional side on short duration government bonds and things like that. So the path forward for organic growth is continued money market funds and continued activity on the fixed income side across the yield curve.

我們以前看過他們打過這樣的電話。當它彈回來時，它就會彈回來。這是一個非常強大的特許經營權，裡面有強大的人才。然後在殖利率曲線上，一直表現出色。這就是為什麼我提到機構方面在短期政府債券等方面取得的所有勝利。因此，有機成長的前進之路是持續的貨幣市場基金以及整個殖利率曲線上固定收益的持續活動。

The only thing I'd add -- this is Debbie, to embellish that is the flows that we had since the cycle began into liquidity products have been 80% driven by retail flows versus deposit products, which will still continue to be in the favor of the money market fund. The institutional flows have been minor in comparison. Our expectation would be that when rates start to go lower, you'll see that makeup of flows be about 50-50, 50% retail, 50% institutional. So the retail will continue. It's just the institutional pickup. So that's just a little embellishment to what Chris has already confirmed.

我唯一要補充的是——這是黛比，為了補充一點，自周期開始以來，我們進入流動性產品的資金流有 80% 是由零售資金流驅動的，而存款產品仍將繼續受到青睞貨幣市場基金。相比之下，機構流動較小。我們的預期是，當利率開始走低時，您會看到流量組成約為 50-50，其中 50% 為零售，50% 為機構。因此，零售業仍將持續。這只是機構的拾取。所以這只是對克里斯已經確認的事情的一點修飾。

Okay. Thank you. And just a follow-up. In terms of just sort of strategic positioning here, there's a lot of either bigger players scaling instead of retail democratization opportunity on the sort of the pure-play side. There's the beginning of some alliances that you're seeing between the KKR Capital Group and others that are trying to figure out co-branded ways to invest publicly and privately.

好的。謝謝。只是後續行動。就這裡的策略定位而言，有許多更大的參與者正在擴大規模，而不是純粹的零售民主化機會。您可以看到 KKR 資本集團和其他試圖找出聯名品牌方式進行公開和私人投資的公司之間已經開始結盟。

Can you talk about, a, your ability to do this on a de novo basis? And b, how open are you to either selling the franchise to a larger player or doing an alliance to potentially catalyze organic growth? Thank you.

您能談談您從頭開始做到這一點的能力嗎？b，您是否願意將特許經營權出售給更大的公司或結盟以潛在地促進有機成長？謝謝。

So I'll take the last part and let Tom comment on the first one. As we've said, and you remember this from way back in the old days, Bill. If there is a big hairy deal that is available, then we would consider a full transaction.

所以我將討論最後一部分，並讓湯姆評論第一部分。正如我們所說，你從很久以前就記得這一點，比爾。如果有一筆大交易可用，那麼我們會考慮全額交易。

And the way we talked about that, and we have talked about that on these calls for many years, is that the succeeding enterprise would be a public company called Federated Hermes or some other name that comes up because of a big Harry player. But if we run as a public company run by us as investment managers, even though it might have more assets.

我們談論這個問題的方式，以及我們多年來在這些電話會議上談論的方式是，接替的企業將是一家名為 Federated Hermes 的上市公司，或者其他因哈利大玩家而出現的名字。但如果我們作為一家上市公司運營，由我們作為投資經理運營，即使它可能擁有更多資產。

And then we would divide up the equity as appropriate with said partner. In terms of doing a deal such as others have talked about, we would be open to do those kinds of things in terms of democratization of private equity and things like that. I'll just give you one little hint that the tough guys at Kaufmann always felt they were the first at democratizing in effect, hedge funds.

然後我們會與該合作夥伴酌情分割股權。在進行其他人談論的交易方面，我們願意在私募股權民主化等方面做類似的事情。我只是給你一個小提示，考夫曼的硬漢總是認為他們是第一個真正實現對沖基金民主化的人。

And that's how they felt they were running their funds. And if you look at their record over 38 years, it's quite impressive, maybe recent to the contrary notwithstanding. Tom?

這就是他們管理資金的方式。如果你看看他們 38 年來的記錄，你會發現這是相當令人印象深刻的，儘管相反，也許是最近的事。湯姆？

Yeah, I don't think there's much to have to follow up with you on that, Chris. The only comment I'd make is we have almost $8 billion in private equity and infrastructure, and we have great teams. And we are looking at the thing that you're talking about, how can we do that to enhance our business.

是的，我認為在這件事上不需要對你進行太多跟進，克里斯。我唯一想說的是，我們擁有近 80 億美元的私募股權和基礎設施，我們擁有優秀的團隊。我們正在研究您所談論的事情，我們如何做到這一點來增強我們的業務。

And the private equity people look at the distribution in the US and say, can we figure out how to get attest to that to get funds out there that would be readily available to an investor class that can get in them that can't get in the bigger funds because they have smaller asset sizes. So it is absolutely interesting thing to consider.

私募股權人士查看美國的分配情況並說，我們能否弄清楚如何證明這一點，以便將資金提供給那些無法進入的投資者階層，這些投資者可以隨時獲得這些資金較大的基金，因為它們的資產規模較小。所以這絕對是值得考慮的有趣的事情。

Thank you.

謝謝。

Brian Bedell, Deutsche Bank.

布萊恩·比德爾，德意志銀行。

Great, thanks very much for taking my question. Good morning, everyone. Most of my questions have been asked and -- have asked, but maybe just to come back to the money market funds. Going back to an earlier question on the potential benefit from some of these concerns around sweep deposits.

太好了，非常感謝您提出我的問題。大家早安。我的大部分問題都被問過，而且已經問過，但也許只是為了回到貨幣市場基金。回到先前的問題，即圍繞掃蕩存款的一些擔憂可能帶來的潛在好處。

Can you talk about your -- I guess, your asset exposure or your asset size in those particular channels where if someone were to make that move into a money fund from a sweep deposit in terms of what kind of -- how would you size that potential benefit from that actual action and your presence in that channel?

你能談談你的——我想，你在那些特定管道的資產敞口或資產規模，如果有人要從掃蕩存款轉入貨幣基金，你會如何調整規模？的存在可能帶來哪些潛在好處？

That would be hard for me to do. Maybe Debbie has a magic wand to figure that one out. But what I was saying before is if they start advertising yield, that's going to help us. You obviously heard that. I think it would be very difficult for us to go chapter and verse on clients and say, well, if Wirehouse A increases their yield from x to y, what does that do to us?

這對我來說很難做到。也許黛比有一根魔杖可以解決這個問題。但我之前說的是，如果他們開始獲得廣告收益，那將對我們有所幫助。你顯然聽到了。我認為我們很難逐章地對客戶說，如果 Wirehouse A 將其收益率從 x 增加到 y，這對我們有什麼影響？

I'm looking at it like it helps us. And I don't know -- we could go through and see we know how much money are these clients. But those moves, I don't look at it as negatively impacting or potentially negatively impacting us at all. Debbie, do you have any wisdom on that?

我看著它，就像它對我們有幫助一樣。我不知道——我們可以仔細查看一下，看看我們知道這些客戶有多少錢。但我認為這些舉措根本不會對我們產生負面影響或潛在的負面影響。黛比，你對此有什麼智慧嗎？

The only thing I'd say, Chris, is that we do have a lot of sweep account products through intermediaries. And when they advertise something like an increase in their deposit sweeps to maybe 2%, as you mentioned, Chris, they then look at where their sweep is with the money fund and see it coming in at over 5%.

克里斯，我唯一想說的是，我們確實有很多透過仲介提供的掃帳產品。當他們宣傳存款利率增加到 2% 之類的東西時，正如克里斯你提到的，他們會查看貨幣基金的存款利率，發現存款利率超過 5%。

And it's more of an advertisement as to the realization of where true yields are in the market today and I think beneficial to us. As far as sweep products into our money funds, we have many, many relationships along those lines. Prior to the reforms that took place in 2016 when institutional prime funds became floating NAV. The sweep products went into prime institutional products.

它更像是一個廣告，旨在了解當今市場上的真實收益率，我認為這對我們有利。就將產品納入我們的貨幣基金而言，我們有許多許多類似的關係。在 2016 年進行改革之前，機構優質基金變成了浮動資產淨值。掃描產品進入主要機構產品。

For the most part, now the sweep products go into our government products. And those continue to be stable net asset value and very viable. And with a yield even with the increased deposit rates at more than double those rates. So I think the benefit of just knowledge that there or higher rates out there is good from our business standpoint and would agree just any kind of sort of socialization of the yields is a positive in our regard.

現在大多數情況下，清掃產品都進入了我們的政府產品。這些資產淨值仍然穩定且非常可行。即使存款利率提高了一倍以上，收益率仍然很高。因此，我認為，從我們的商業角度來看，了解存在或更高的利率是有好處的，並且同意任何形式的收益率社會化對我們來說都是積極的。

And I meant it as a positive switch potentially if advisers were decided to move to money funds instead of taking on even higher sweep rates in those channels. And then just maybe just a follow-up. I think you mentioned Debbie earlier about extending duration in the money market funds.

我的意思是，如果顧問決定轉向貨幣基金，而不是在這些管道中接受更高的掃蕩率，那麼這可能是一個積極的轉變。然後也許只是後續行動。我想您之前提到過黛比關於延長貨幣市場基金久期的問題。

Can you talk a little bit more about that how much has that extended across the franchise in the last, I don't know, a month or two? And what are your thoughts about if the Fed is going to start cutting, how you might -- how much more you might extend in the money funds?

你能多談談在過去一兩個月裡，我不知道整個特許經營權延伸了多少嗎？如果聯準會要開始削減，你會如何考慮——你會增加貨幣基金的多少？

Sure. Product by product is a little bit different, but we are probably extended somewhere in the neighborhood of five to eight days over the course of the last month or so. And that is a reflection of number one, getting some what we think was good relative value in the curve early on in that time period. Not so much today, it would be more difficult extending today.

當然。每個產品略有不同，但在過去一個月左右的時間裡，我們可能會延長大約五到八天的時間。這反映了第一點，即在該時期的早期就在曲線中獲得了一些我們認為良好的相對價值。今天還沒有那麼多，今天擴展會更困難。

So today, we're happy to be able to just maintain where we are. And most of our products are in what I call the 40 -- low 40 to low 50-day rated average maturity target range. The cap for our product is at 60 days. So those that are in the low 40s have room to extend those that in the low 50s probably won't extend very much.

所以今天，我們很高興能夠維持現狀。我們的大多數產品都處於我所說的 40 天——低 40 到低 50 天的額定平均成熟度目標範圍內。我們產品的有效期限為 60 天。因此，那些 40 多歲以下的人有延長的空間，而 50 多歲以下的人可能不會延長太多。

But honestly, with where the yield curve is right now, we think it's overdone with the expectation of rate cuts coming as soon as July, which we don't agree with at all. And even those that are contemplating, there's been discussion around 50 basis points in September, that just makes no sense to us at this point.

但老實說，就目前的殖利率曲線而言，我們認為對最早在 7 月降息的預期有些過頭，我們根本不同意這種預期。即使那些正在考慮的人，9 月也曾討論過 50 個基點左右的問題，但目前這對我們來說毫無意義。

So our current expectation would be for two rate cuts, it really hasn't changed too much. Some in the group expecting a September start with then a December follow-on. My own expectation would be more like November. I don't think there's any reason to do anything ahead of the election. Certainly, with the GDP print that we just had the first quarter -- the second quarter continues to be, I think, the type of growth environment that's acceptable to the Fed.

所以我們目前的預期是兩次降息，實際上並沒有太大變化。小組中的一些人預計九月開始，然後是十二月的後續活動。我自己的預期更像是十一月。我認為沒有任何理由在選舉前做任何事。當然，根據我們剛剛公佈的第一季 GDP 數據，我認為第二季仍然是聯準會可以接受的成長環境類型。

And why contemplate or bring about the contemplation of pre-election sort of discussions about the Fed if you don't have to. So that's my reasoning behind why a November start. But again, with the two rate cuts in 2024, which would take the target rate down into that 4.75% level rather than the 5.25% where it is today.

如果不需要的話，為什麼要考慮或促成選舉前有關聯準會的討論呢？這就是我為什麼要在 11 月開始的原因。但同樣，隨著 2024 年的兩次降息，目標利率將降至 4.75%，而不是目前的 5.25%。

That’s great color. Thank you.

那是很棒的顏色。謝謝。

John Dunn, Evercore ISI.

約翰‧鄧恩，Evercore ISI。

Thank you. Could you maybe talk a little bit about the time to funding for the institutional pipeline in the second half, and maybe based on the conversations you're having, the prospects of it kind of leveling up?

謝謝。您能否談談下半年為機構管道提供資金的時間，也許根據您正在進行的對話，其前景是否會有所改善？

Sure. This is Richard Donahue here. A lot of the funding in the private market will be over the next year or two years as we build into those. Some of the other stuff is going to be shorter and quicker, obviously, if it's an equity or a fixed income stuff.

當然。我是理查德·多納休。隨著我們的建設，私募市場上的大量資金將在未來一兩年內進行。顯然，如果是股票或固定收益產品，其他一些東西將會更短、更快。

But the way to think about that is if you break it out by product, it takes a couple of years or at least a couple of quarters for some of these direct lending and some of these private equity stuff to actually fund the wins that we have going into there. So kind of a mishmash of longer on the private market stuff and then shorter quarter, next quarter, next two quarters on the other stuff.

但思考這個問題的方法是，如果你按產品來細分，那麼其中一些直接貸款和一些私募股權產品需要幾年或至少幾個季度的時間才能真正為我們所取得的勝利提供資金進入那裡。私募市場上的時間較長，而其他方面的季度、下個季度、下兩個季度較短，這是一種混雜。

Got it. And then you guys talked about a rotation going on in the market. But can you focus a little bit and talk on the outlook for demand for non-US and emerging market strategies?

知道了。然後你們談到了市場上正在發生的輪調。但您能稍微關註一下非美國和新興市場策略的需求前景嗎？

So it's clear to us that the valuation, it's interesting to go back on. We run two strategies that are exposed to emerging markets. One is Asia ex-Japan which you call a value strategy and one is the GEM strategy, where effectively is a quality growth tilted strategy. What's interesting is both of these strategies not only have good strong performance, but both of them are seeing very high values in stocks that they buy.

所以我們很清楚，估值很有趣。我們運行兩種針對新興市場的策略。一種是亞洲（日本除外），您稱之為價值策略，另一種是創業板策略，實際上是一種注重品質成長的策略。有趣的是，這兩種策略不僅都有良好的強勁表現，而且都看到了他們購買的股票的非常高的價值。

Remember, we're active managers, we buy stocks. And at some stage, I'm a fund manager by background at some stage, the reality of the valuation will attract people in. It just takes time. Over the last year and half, most clients in Europe, which are sitting on their hands because of the narrowness of the market because of the uncertainty of interest rate rises. Without commenting about our particular fund because I don't want to make specific predictions.

請記住，我們是主動管理者，我們買股票。而且在某個階段，我有基金經理人的背景，在某個階段，現實的估值會吸引人進來。只是需要時間。在過去的一年半裡，由於利率上升的不確定性，市場狹窄，大多數歐洲客戶都按兵不動。不對我們的特定基金發表評論，因為我不想做出具體的預測。

But in general, I'd say if you have a declining interest rate environment, you have huge value in parts of the world. That means that, that becomes attractive to institutional and retail clients’ outlook year after again. And as I said, there are indications of that rotation is beginning to happen because the flows we've seen in equity in the London business have come into the small-cap US for. And that's been really interesting because people can begin to see that the returns are quite attractive and allocate assets.

但總的來說，我想說，如果利率環境不斷下降，那麼在世界某些地區就會有巨大的價值。這意味著，這對機構和零售客戶的前景年復一年有吸引力。正如我所說，有跡象表明這種輪換已經開始發生，因為我們在倫敦業務中看到的股權資金流已經流入美國小型股。這真的很有趣，因為人們可以開始看到回報相當有吸引力並配置資產。

Thank you.

謝謝。

Thank you. As we have no further questions at this time, I will hand it back over to Mr. Donahue and management for any closing re\marks.

謝謝。由於我們目前沒有進一步的問題，我將把它交還給多納休先生和管理層以供結束語。

Thank you. That concludes our call.

謝謝。我們的通話到此結束。

Thank you very much, ladies and gentlemen. This does conclude today's call. And you may disconnect your lines at this time. And we thank you for your participation.

非常感謝你們，女士們、先生們。今天的電話會議到此結束。此時您可以斷開線路。我們感謝您的參與。