景順投信 (IVZ) 2023 Q2 法說會逐字稿

Welcome to Invesco's Second Quarter Earnings Conference Call. (Operator Instructions) This call will last 1 hour. (Operator Instructions) Today's call is also being recorded.

歡迎參加景順第二季度收益電話會議。 （接線員說明）本次通話將持續 1 小時。 （操作員說明）今天的通話也正在錄音。

Now I'd like to turn today's meeting to your host, Mr. Greg Ketron, Invesco's Head of Investor Relations. Thank you. You may begin.

現在我想請主持人，景順投資者關係主管 Greg Ketron 先生主持今天的會議。謝謝。你可以開始了。

Okay. Thanks, operator, and to all of you join us on Invesco's quarterly earnings call. In addition to today's press release, we have provided a presentation that covers the topics we plan to address. The press release and presentation are available on our website, invesco.com. This information can be found by going to the Investor Relations section of the website. Our presentation today will include forward-looking statements and certain non-GAAP financial measures.

好的。感謝運營商以及大家參加景順的季度財報電話會議。除了今天的新聞稿外，我們還提供了涵蓋我們計劃討論的主題的演示文稿。新聞稿和演示文稿可在我們的網站 invesco.com 上獲取。您可以通過訪問網站的投資者關係部分找到此信息。我們今天的演講將包括前瞻性陳述和某些非公認會計準則財務指標。

Please review disclosures on Slide 2 of the presentation regarding these statements and measures as well as the appendix for the appropriate reconciliations to GAAP. Finally, Invesco is not responsible for and does not edit nor guarantee the accuracy of our earnings teleconference transcripts provided by third parties.

請查看演示文稿幻燈片 2 上有關這些聲明和措施的披露信息，以及根據 GAAP 進行適當調節的附錄。最後，景順不對第三方提供的收益電話會議記錄的準確性負責，也不編輯或保證其準確性。

The only authorized webcast are located on our website. Andrew Schlossberg, President and CEO; and Allison Dukes, Chief Financial Officer, will present our results this morning, and then we'll open the call up for questions. First, however, I'd like to turn the call over to Marty Flanagan, Chairman, Emeritus, who retired as CEO on June 30 after 18 years to provide a few comments before we get into the second quarter results. Marty?

唯一授權的網絡廣播位於我們的網站上。安德魯·施洛斯伯格，總裁兼首席執行官；首席財務官艾莉森·杜克斯 (Allison Dukes) 將在今天早上介紹我們的業績，然後我們將開始接受提問。不過，首先，我想將電話轉給榮譽董事長馬蒂·弗拉納根(Marty Flanagan)，他在擔任首席執行官18 年後於6 月30 日退休，以便在我們了解第二季度業績之前提供一些評論。馬蒂？

Thank you, Greg. And before I turn the call over to Andrew and Allison, I want to say it's been a pleasure to work with all of you over the years. It's really been an exciting, challenging, participating, fascinating industry that has continued to evolve and change, but always seeking to create better outcomes for clients and shareholders.

謝謝你，格雷格。在我將電話轉接給安德魯和艾利森之前，我想說，這些年來與你們所有人一起工作非常愉快。這確實是一個令人興奮、充滿挑戰、參與性強、令人著迷的行業，它不斷發展和變化，但始終尋求為客戶和股東創造更好的成果。

Over the years, I've learned from my engagement with all of you, all the key stakeholders, clients, analysts and shareholders, which has been instrumental in the success of Invesco. I'm immensely proud of this organization and the talented people around the world that make Invesco what it is. There's a tremendous opportunity in front of us going forward.

多年來，我從與你們所有人、所有主要利益相關者、客戶、分析師和股東的接觸中學到了很多東西，這對景順的成功發揮了重要作用。我對這個組織和世界各地的才華橫溢的人才感到非常自豪，他們造就了景順。未來，我們面臨著巨大的機遇。

Investor has the right strategy, the right team leading this organization into the future while navigating a challenging current market. The reality is that the strategies across firms in our industry are not very different. What separates winners and losers are those organizations that can execute effectively across all cycles and market condition.

投資者擁有正確的戰略和正確的團隊，可以帶領該組織走向未來，同時應對當前充滿挑戰的市場。現實情況是，我們行業內各公司的戰略並沒有太大不同。成功者和失敗者的區別在於那些能夠在所有周期和市場條件下有效執行的組織。

Andrew, Allison and the rest of the executive leadership team and our broader senior leadership team represent the most talented and experienced team Invesco's ever had. Their laser focus on accelerating growth strategy and making the necessary changes for the benefit of clients and shareholders. This is a team very well prepared and knows how to execute and deliver for all stakeholders.

安德魯、艾利森和其他執行領導團隊以及我們更廣泛的高級領導團隊代表了景順有史以來最有才華和經驗的團隊。他們專注於加速增長戰略並為客戶和股東的利益做出必要的改變。這是一個準備充分的團隊，知道如何為所有利益相關者執行和交付。

I'm confident in Andrew's and the leadership team's ability to achieve the full potential, and I look forward to seeing the firm do great things in the years ahead. Thank you.

我對安德魯和領導團隊充分發揮潛力的能力充滿信心，我期待看到公司在未來幾年取得偉大的成就。謝謝。

Andrew, I'll turn it over to you.

安德魯，我會把它交給你。

Thanks very much, Marty, and good morning to everyone. I'm pleased to be speaking with you today, and I look forward to continuing to work with all of you on the call. It's an absolute privilege to lead a global investment management organization built with such a solid, client-centered foundation and which possesses significant potential as we focus on delivering value for clients while innovating to meet their evolving needs.

非常感謝，馬蒂，祝大家早上好。我很高興今天與你們交談，我期待著繼續與你們所有人一起通話。能夠領導一家擁有如此堅實的、以客戶為中心的基礎的全球投資管理組織是一種絕對的榮幸，該組織擁有巨大的潛力，因為我們專注於為客戶提供價值，同時進行創新以滿足他們不斷變化的需求。

We have exceptional talent, robust investment capabilities, deep relationships with clients and a strong presence in key markets across the globe, all of which positions us well to stay in front of and lead during a period of growth and change in the asset management industry. At our core, we will be focused on delivering investment excellence for our clients.

我們擁有卓越的人才、強大的投資能力、與客戶的深厚關係以及在全球主要市場的強大影響力，所有這些使我們能夠在資產管理行業的增長和變革時期保持領先地位。我們的核心將專注於為客戶提供卓越的投資。

While we're pleased to have a strong foundation, we're not at all satisfied with our results to date and we're committed to improving our performance by simplifying our organizational model, aligning our expense base, strengthening our strategic focus, being agile and innovative in advancing our use of technology and executing at pace. We believe this will lead to outstanding client experience, attraction and retention of top talent and an enhanced ability to generate profitable growth for the future.

雖然我們很高興擁有堅實的基礎，但我們對迄今為止的結果並不滿意，我們致力於通過簡化組織模型、調整我們的費用基礎、加強我們的戰略重點、保持敏捷來提高我們的績效並在推進技術使用和快速執行方面進行創新。我們相信，這將帶來卓越的客戶體驗、吸引和留住頂尖人才，並增強未來創造盈利增長的能力。

I could not be more confident in the talented, experienced and collaborative team we have in place to take advantage of opportunities in the market and address the challenges confronting our clients and our industry. I want to again thank Marty for his visionary leadership that has provided Invesco, the foundation to capitalize on the opportunities that lie ahead.

我對我們擁有的才華橫溢、經驗豐富且協作的團隊充滿信心，他們能夠利用市場機會並應對客戶和行業面臨的挑戰。我想再次感謝馬蒂富有遠見的領導，為景順提供了利用未來機遇的基礎。

With that, I'll start today's presentation of second quarter results on Slide 3 for those following along. In the second quarter, financial markets showed signs of recovery even as investors continue to grapple with significant uncertainty. Recovery was uneven across sectors and geographies and while the headline moves in market indices were positive, the underlying client environment continues to be relatively cautious given the uncertain economic backdrop. Market gains were narrowly distributed U.S. equity market increases were concentrated in large-cap technology stocks, while non-U.S. equity markets, most notably emerging, international, and China as well as most long-dated bond index returns were flat or negative.

接下來，我將開始在幻燈片 3 上為後續人員介紹今天的第二季度業績。第二季度，儘管投資者繼續應對巨大的不確定性，但金融市場仍顯示出複甦的跡象。各行業和地區的複蘇並不均衡，儘管市場指數總體走勢積極，但鑑於不確定的經濟背景，潛在的客戶環境仍然相對謹慎。市場漲幅分佈狹窄。美國股市漲幅集中在大盤科技股，而非美國股市，尤其是新興市場、國際市場和中國市場以及大多數長期債券指數回報率持平或為負。

Client actions in the quarter remained risk off, resulting in slower industry growth and long-term assets while cash strategies continue to account for a historically large proportion of client portfolios. We did see an uptick in investor appetite for risk assets in June, providing some optimism for a broader recovery on the horizon.

本季度的客戶行動仍然規避風險，導致行業增長和長期資產放緩，而現金策略繼續在客戶投資組合中佔據歷史上較大的比例。我們確實看到 6 月份投資者對風險資產的興趣有所上升，這為即將到來的更廣泛的複蘇帶來了一些樂觀情緒。

Across our investment platform, performance is steadily improving in several of our key global equity capabilities and our fixed income performance remains robust across the board. Building on the delivery and quality of investment performance remains a key focus for me and for the management team.

在我們的投資平台上，我們的幾個主要全球股票能力的業績正在穩步提高，我們的固定收益業績仍然全面強勁。建立在投資業績的交付和質量之上仍然是我和管理團隊的重點關注點。

From an asset flow perspective, in the second quarter, Invesco's diversified business continues to deliver for our clients and prove resilient against market and industry challenges with sustained organic growth in several key capability areas where there is continued high client demand. The largest driver of growth in the quarter was our global ETF business. Net long-term inflows accelerated to $5.7 billion, more than double the growth we experienced in the first quarter and higher than our AUM market share.

從資產流的角度來看，第二季度，景順的多元化業務繼續為我們的客戶提供服務，並在客戶需求持續高漲的幾個關鍵能力領域實現了持續的有機增長，並證明了其能夠應對市場和行業挑戰。本季度增長的最大推動力是我們的全球 ETF 業務。長期淨流入加速至 57 億美元，是我們第一季度增長的兩倍多，也高於我們的 AUM 市場份額。

Our ETF capabilities have demonstrated the ability to sustain growth through the full market cycle with organic growth in 11 of the past 12 quarters. Our business maintains a revenue profile that is differentiated from competitors with the concentration of strategies, including things like alternative beta, commodities, senior loans and laddered maturity products.

我們的 ETF 能力證明了我們有能力在整個市場週期中保持增長，並在過去 12 個季度中的 11 個季度實現了有機增長。我們的業務保持著與競爭對手不同的收入狀況，戰略集中，包括替代貝塔、大宗商品、高級貸款和階梯式到期產品等。

I'm also pleased to note that our business in Greater China returned to organic growth this quarter with $1.6 billion in net long-term inflows. While the higher fixed income redemptions the industry experienced earlier this year have abated, organic growth in China's asset management industry has remained slower so far this year and overall assets raised by new fund launches across the industry sank to their lowest levels since 2019.

我還很高興地註意到，我們在大中華區的業務本季度恢復了有機增長，長期淨流入達到 16 億美元。儘管今年早些時候該行業經歷的較高的固定收益贖回有所減弱，但今年迄今為止，中國資產管理行業的有機增長仍然放緩，整個行業推出新基金籌集的總資產跌至2019 年以來的最低水平。

Despite this, Invesco Great Wall raised $1.4 billion from 6 new product launches in the second quarter, which ranked us fifth amongst all asset managers in China, which is well above our overall #12 ranking in that market. As the China economy recovers, we are extremely well positioned to capture additional market share in the world's fastest-growing asset management market. Client preferences for risk-off assets did continue to benefit our fixed income franchise across both institutional and retail channels, including mutual funds and SMAs.

儘管如此，景順長城第二季度推出的 6 個新產品籌集了 14 億美元資金，在中國所有資產管理公司中排名第五，遠高於我們在該市場的整體排名第 12 位。隨著中國經濟的複蘇，我們處於非常有利的位置，可以在全球增長最快的資產管理市場中獲得更多的市場份額。客戶對避險資產的偏好確實繼續有利於我們在機構和零售渠道（包括共同基金和SMA）的固定收益特許經營權。

We generated a positive $1 billion in net long-term fixed income flows this quarter, extending our streak to 18 consecutive, positive flow quarters. Our money market business continues to show strong growth and market share gains. We brought in $15 billion of net new assets this quarter, and we've moved into the top 10 of money market managers in the U.S. institutional channel. We expect our overall fixed income franchise to continue to grow and benefit from our strong investment performance and the greater clarity we expect on the horizon as the interest rate picture becomes more clearer in coming quarters.

本季度我們的長期固定收益淨流量為正 10 億美元，連續 18 個季度實現正流量。我們的貨幣市場業務繼續呈現強勁增長和市場份額增長。本季度我們淨新增資產達 150 億美元，已躋身美國機構渠道貨幣市場管理公司前 10 名。我們預計我們的整體固定收益業務將繼續增長，並受益於我們強勁的投資業績，以及隨著未來幾個季度利率形勢變得更加清晰，我們預計未來會更加清晰。

Within active equity strategies, we did experience net long-term outflows of $4.5 billion in the second quarter, global and emerging market equities, where client demand has been slow to recover, and industry flows remain negative. This accounted for nearly 70% of our active equity net outflows. While headwinds have persisted in the asset class, net outflows for Invesco in developing markets were $1.2 billion. This is consistent with our experience last quarter, but meaningfully lower than last year. I'm optimistic for further stabilization of net flows in these key investment strategies as performance continues to improve and when client demand for risk on assets returns.

在主動股票策略中，我們在第二季度確實經歷了 45 億美元的長期淨流出，全球和新興市場股票的客戶需求恢復緩慢，行業流動仍然為負。這占我們主動股權淨流出的近 70%。儘管該資產類別的逆風持續存在，但景順在發展中市場的淨流出為 12 億美元。這與我們上季度的經驗一致，但明顯低於去年。隨著業績持續改善以及客戶對資產風險回報的需求，我對這些關鍵投資策略的淨流量進一步穩定持樂觀態度。

As we discussed on our last earnings call, growth in private markets has been more challenging this year due to overall market conditions, and we experienced $1.7 billion in net outflows in these areas during the second quarter. Despite the near-term headwinds, we have an excellent track record in both private real estate and private credit sectors, and we're well positioned to capture long-term growth in these asset classes, particularly in the underpenetrated wealth management channels in both the U.S. and globally.

正如我們在上次財報電話會議上討論的那樣，由於整體市場狀況，今年私募市場的增長更具挑戰性，第二季度我們在這些領域經歷了 17 億美元的淨流出。儘管存在短期阻力，我們在私人房地產和私人信貸領域都擁有出色的業績記錄，並且我們有能力抓住這些資產類別的長期增長，特別是在兩個領域滲透率不足的財富管理渠道中。美國和全球。

We expect our private markets and alternative capabilities to be an engine of growth in our future years and Allison is going to provide much more color on that business later in her comments. From a client and channel perspective, retail and wealth management flows were modestly positive in the second quarter, while our institutional channel had $2.2 billion in net outflows. This is the first outflow quarter in 3 years. And this comes following an especially strong quarter for fundings in the first quarter, where we had $6.6 billion of net inflows.

我們預計我們的私人市場和替代能力將成為未來幾年的增長引擎，艾莉森將在稍後的評論中提供有關該業務的更多信息。從客戶和渠道的角度來看，第二季度零售和財富管理流量略有增長，而我們的機構渠道淨流出 22 億美元。這是三年來首個季度資金流出。在此之前，第一季度的資金淨流入特別強勁，淨流入達 66 億美元。

As Allison will discuss later, our pipeline remains robust and a significant portion of our won not funded mandates are in higher fielding equity and alternative strategies. The longer-term growth of our institutional channels is a testament to our strength of that business and the depth of our client relationships that we have built over many years. As such, I am confident that we will again see robust growth in this channel as client caution abates and as reallocations begin to occur across this industry -- this part of the industry. Building balance sheet strength, continuing to invest in key growth areas and returning shareholders -- returning capital to shareholders are top priorities for us.

正如艾莉森稍後將討論的那樣，我們的管道仍然強勁，我們贏得的未資助任務的很大一部分是更高的部署公平性和替代策略。我們機構渠道的長期增長證明了我們的業務實力以及我們多年來建立的客戶關係的深度。因此，我相信，隨著客戶謹慎態度的減弱以及整個行業（行業的這一部分）開始發生重新分配，我們將再次看到該渠道的強勁增長。增強資產負債表實力、繼續投資關鍵增長領域以及回報股東——向股東返還資本是我們的首要任務。

To that end, I'm pleased to note that in the first half of June, we repurchased $150 million in common stock. We are able to capitalize on an attractive valuation because of the strong balance sheet position that the firm has worked hard to build over the last several years. We are determined to continue to build on that progress. We're also committed to driving a high level of financial performance in Invesco. We will keep our clients and service levels front and center while also striving for accelerated profit growth.

為此，我很高興地註意到，在 6 月上半月，我們回購了 1.5 億美元的普通股。由於該公司過去幾年努力建立的強勁資產負債表狀況，我們能夠利用有吸引力的估值。我們決心在這一進展的基礎上繼續前進。我們還致力於推動景順實現高水平的財務業績。我們將把我們的客戶和服務水平放在首位，同時努力加速利潤增長。

The leadership changes we announced in February have put us in a position to unlock more opportunity for the firm, and we continue to implement related organizational changes in the second quarter. We're taking action to simplify the company and eliminate sources of complexity that were necessary in the past but may no longer be appropriate today. This will help us shift investment to our strategic priorities and areas of growth while ensuring our clients continue to receive investment quality and the exceptional service, that's one of the hallmarks of Invesco. The primary benefits of these changes will be seen over time as revenue growth recovers and we take advantage of our further scale. At the same time, we're taking action that will enhance our near-term profitability and have identified an initial set of cost savings.

我們在二月份宣布的領導層變動使我們能夠為公司釋放更多機會，我們將在第二季度繼續實施相關的組織變革。我們正在採取行動簡化公司並消除過去必要但現在可能不再合適的複雜性來源。這將幫助我們將投資轉向我們的戰略重點和增長領域，同時確保我們的客戶繼續獲得投資質量和卓越的服務，這是景順的標誌之一。隨著收入增長的恢復以及我們進一步擴大規模的優勢，這些變化的主要好處將隨著時間的推移而顯現出來。與此同時，我們正在採取行動來提高我們的短期盈利能力，並確定了初步的成本節約措施。

Work will continue to identify and action additional efficiencies and enhancement opportunities and Allison is going to provide further detail on those efforts shortly. Although there is lots of work to do, Invesco is well positioned to take advantage of opportunities and address the challenges confronting the marketplace. I could not be more confident in the team that we have in place to execute on the opportunities that Marty created over his 18 years as CEO of Invesco.

我們將繼續努力確定並採取額外的效率和增強機會，艾里森將很快提供有關這些努力的進一步細節。儘管還有很多工作要做，景順已做好充分準備，充分利用機遇並應對市場面臨的挑戰。我對我們現有的團隊充滿信心，相信我們能夠抓住 Marty 在擔任 Invesco 首席執行官 18 年來創造的機會。

With that, I'm going to turn the call over to Allison for a closer look at our results, and I look forward to your questions.

說到這裡，我將把電話轉給艾莉森，以仔細查看我們的結果，並期待您的提問。

Thank you, Andrew, and I also want to convey my appreciation to Marty for his leadership. Good morning to everybody joining us today. I'm going to begin on Slide 4. Overall investment performance improved in the second quarter with 66% of actively managed funds in the top half of peers or beating benchmark on both a 3-year and a 5-year basis.

謝謝你，安德魯，我也想對馬蒂的領導表示讚賞。今天加入我們的大家早上好。我將從幻燈片 4 開始。第二季度整體投資業績有所改善，66% 的主動管理型基金在 3 年和 5 年基礎上處於同行前半部分或超過基準。

This is an improvement from 64% for both time frames in the first quarter. We have excellent performance in fixed income across nearly all capabilities and time horizons. Performance lagged benchmark in certain U.S. core and gross equity funds. Performance in global and emerging markets equities has been a headwind, but we're encouraged to see steady and meaningful improvement emerging in this asset class.

這比第一季度兩個時間段的 64% 都有所提高。我們在幾乎所有能力和時間範圍內的固定收益領域都擁有出色的表現。某些美國核心和總股票基金的業績落後於基準。全球和新興市場股票的表現一直是一個阻力，但我們很高興看到該資產類別出現穩定且有意義的改善。

Turning to Slide 5. AUM was $1.54 trillion at the end of the second quarter, which was $55 billion higher than the last quarter. Technology stock surged in the second quarter, and as a result, QQQ AUM reached $200 billion, an increase of $27 billion as compared to the end of the first quarter. Market increases and additional products, foreign exchange movements and reinvested dividends combined to increase assets under management by a further $15 billion.

轉向幻燈片 5。第二季度末的 AUM 為 1.54 萬億美元，比上季度增加 550 億美元。科技股二季度大幅上漲，QQQ 資產管理規模達到 2000 億美元，較一季度末增加 270 億美元。市場增長和更多產品、外匯變動和股息再投資結合起來，管理的資產又增加了 150 億美元。

Net inflows in the money market products were [$15 billion], and net long-term outflows were $2 billion. Despite the net long-term outflows for the quarter, we exited the quarter with strong momentum after more than $2 billion of net inflows for the month of June. We expect that we outperformed most peers on a net flow basis, another data point demonstrating the value of our breadth of capabilities in a difficult environment for our organic asset growth.

貨幣市場產品的淨流入為[150億美元]，長期淨流出為20億美元。儘管本季度出現長期淨流出，但在 6 月份淨流入超過 20 億美元後，我們以強勁勢頭結束了本季度。我們預計，在淨流量基礎上，我們的表現優於大多數同行，這是另一個數據點，證明了我們在困難的環境下的能力範圍對我們的有機資產增長的價值。

Client demand for passive capabilities was strong. And as a result, we garnered $6.4 billion of net long-term inflows in the second quarter. Offsetting the growth in passive was $8.4 billion of net outflows in active strategy. Through growth in our key capability areas, we are recapturing client demand as it moves to favor capabilities, led this quarter by growth in ETF and our business in Greater China.

客戶對被動能力的需求非常強烈。結果，我們在第二季度獲得了 64 億美元的長期淨流入。主動策略的 84 億美元淨流出抵消了被動策略的增長。通過我們關鍵能力領域的增長，我們正在重新抓住客戶需求，因為客戶需求轉向有利於能力的方向，本季度 ETF 和我們在大中華區業務的增長帶動了這一趨勢。

Our global ETF franchise delivered a strong quarter, growing at a 9% annualized organic growth rate with $5.7 billion of net inflows. Our top-selling ETFs included the S&P 500 Equal Weight and the QQQM, which grew over $13 billion in AUM after posting $3.3 billion net inflows. Innovation remained a key strength in this area, the QQQM, which was launched less than 3 years ago, now representing the fifth largest ETF in our lineup. Currency and commodity ETF, part of our alternative asset class experienced net outflows of $1.1 billion during the quarter. We delivered net inflows of $200 million from retail clients in the second quarter, an improvement from $3.7 billion in net outflows in the prior quarter. A rebound in Asia Pacific net flows was the primary driver of growth.

我們的全球 ETF 業務在本季度表現強勁，年化有機增長率為 9%，淨流入達 57 億美元。我們最暢銷的 ETF 包括 S&P 500 Equal Weight 和 QQQM，在淨流入 33 億美元後，它們的 AUM 增長了超過 130 億美元。創新仍然是該領域的關鍵優勢，QQQM 推出不到 3 年，目前是我們產品陣容中第五大 ETF。貨幣和商品 ETF（我們另類資產類別的一部分）在本季度經歷了 11 億美元的淨流出。第二季度我們的零售客戶淨流入為 2 億美元，較上一季度的 37 億美元淨流出有所改善。亞太地區淨流量的反彈是增長的主要推動力。

More specifically, we've experienced strong growth in Japan for several quarters now, ending the second quarter with $54 billion of AUM. Our Henley Global Equity and income fund garnered $1.6 billion of net inflows from Japanese clients, making it the top selling retail fund in Japan on both a quarterly and year-to-date basis. Moving forward, we are well positioned in this important market and Japanese markets are experiencing some of the most constructive conditions for risk on assets in many years.

更具體地說，我們在日本經歷了幾個季度的強勁增長，第二季度末的資產管理規模達到 540 億美元。我們的亨利全球股票和收益基金從日本客戶那裡獲得了 16 億美元的淨流入，使其成為日本季度和年初至今最暢銷的零售基金。展望未來，我們在這個重要市場中處於有利地位，日本市場正在經歷多年來資產風險方面最具建設性的一些條件。

Offsetting growth in the retail channel was $2.2 billion of net long-term outflows in the institutional channel, primarily in the Americas. The channel remains in net inflows year-to-date after $6.6 billion of net inflows in the first quarter. Further, we have a robust and diversified won not funded pipeline.

機構渠道（主要是美洲）的 22 億美元長期淨流出抵消了零售渠道的增長。繼第一季度淨流入 66 億美元之後，該渠道今年迄今仍保持淨流入。此外，我們擁有強大且多元化的非融資管道。

Moving to Slide 6. Net long-term inflows resumed in Asia Pacific with $1.5 billion in the second quarter due to the growth I just discussed in Japan and a rebound to net inflows in our China joint venture. Net outflows were modestly negative in the Americas and in EMEA. Looking at flows by asset class. Fixed income capabilities experienced net inflows for the 18th straight quarter with $1 billion.

轉向幻燈片 6。由於我剛才討論的日本的增長以及我們中國合資企業的淨流入反彈，第二季度亞太地區的長期淨流入恢復了 15 億美元。美洲和歐洲、中東和非洲的淨流出略有負值。按資產類別查看流量。固定收益能力連續第 18 個季度淨流入 10 億美元。

Drivers of growth this quarter included China, where we launched an institutional fixed income product and our tax-managed SMA capability, partially offset by net outflows in EMEA ETFs. Net outflows in global and emerging market equities continued to be a headwind in the second quarter with $3 billion of net outflows, including $1.2 billion from our emerging market spot. Encouragingly, this is similar to the net outflows experienced last quarter from emerging markets and below the redemption rates we experienced last year. We're optimistic that headwinds appear to be further diminishing in emerging markets.

本季度的增長動力包括中國，我們在中國推出了機構固定收益產品和稅務管理的 SMA 能力，部分被歐洲、中東和非洲 ETF 的淨流出所抵消。全球和新興市場股票的淨流出繼續成為第二季度的阻力，淨流出達 30 億美元，其中包括來自新興市場的 12 億美元。令人鼓舞的是，這與上季度新興市場的淨流出類似，並且低於我們去年經歷的贖回率。我們樂觀地認為新興市場的阻力似乎正在進一步減弱。

Alternative net outflows were $3.4 billion in the second quarter. Public alternatives accounted for $1.9 billion with $1.1 billion concentrated in commodity and currency ETFs as commodities have been out of favor across the industry in recent quarters. Private markets net outflows were $1.5 billion, inclusive of $1 billion of net outflows in direct real estate strategies.

第二季度替代品淨流出為 34 億美元。公共另類投資佔 19 億美元，其中 11 億美元集中在商品和貨幣 ETF，因為近幾個季度大宗商品在整個行業中失寵。私募市場淨流出為 15 億美元，其中包括直接房地產策略淨流出 10 億美元。

As we move to Slide 7, I'd like to take a few minutes to highlight our global alternative platform, which had $182 billion in assets under management as of June 30. Although market conditions have made it a challenging year for organic growth in the asset class, we have high conviction that alternatives will be one of the key pillars of our long-term success.

當我們轉向幻燈片 7 時，我想花幾分鐘時間重點介紹一下我們的全球另類平台，截至 6 月 30 日，該平台管理著 1,820 億美元的資產。就資產類別而言，我們堅信另類投資將成為我們長期成功的關鍵支柱之一。

Within alternatives, we have a diverse range of capabilities, including $72 billion of public alternatives, spanning commodity strategies, listed real estate and hedged and macro strategy. Real estate is the largest component of our private alternatives platform, with $72 billion in direct real estate AUMs at the end of second quarter. Invesco competes throughout the capital stack by investing in direct real estate and originating real estate debt.

在另類投資中，我們擁有多種能力，包括 720 億美元的公共另類投資，涵蓋商品策略、上市房地產以及對沖和宏觀策略。房地產是我們私人另類平台的最大組成部分，截至第二季度末，直接房地產資產管理規模為 720 億美元。景順通過投資直接房地產和發起房地產債務在整個資本體系中進行競爭。

Our direct real estate business offers a range of investment styles, including Core and Core-plus strategies as well as funds with higher return strategies. Our private credit platform is the second component of our private alternatives business with $38 billion in assets under management, anchored by our bank loan capability that holds U.S. and European securities. We have over 30 years of experience managing senior corporate loans, relationships with over 2,000 unique companies and more than 200 private equity firms. More recently, we began to offer direct lending to middle-market companies as well as opportunistic investments in special situations and distressed credit.

我們的直接房地產業務提供一系列投資風格，包括核心和核心+策略以及具有更高回報策略的基金。我們的私人信貸平台是我們私人另類業務的第二個組成部分，管理著 380 億美元的資產，以我們持有美國和歐洲證券的銀行貸款能力為基礎。我們擁有 30 多年管理高級企業貸款的經驗，以及與 2,000 多家獨特公司和 200 多家私募股權公司的關係。最近，我們開始向中間市場公司提供直接貸款，以及針對特殊情況和不良信貸的機會主義投資。

On Slide 8, we want to provide a deeper look at our direct real estate portfolio, where we have 40 years of experience investing on behalf of our clients worldwide. Our direct real estate holdings are well diversified by product property type. Commercial office properties comprise about 35% of our AUM. Apartments and other residential properties account for approximately 23%. And the AUM share of industrial properties, about 22% at the end of the second quarter. The final 20% of our AUM is invested in retail and specialty sectors, including mixed-use developments, self-storage and medical.

在幻燈片 8 中，我們希望更深入地了解我們的直接房地產投資組合，我們在代表全球客戶進行投資方面擁有 40 年的經驗。我們直接持有的房地產按產品物業類型實現了多元化。商業辦公物業約占我們管理資產的 35%。公寓和其他住宅物業約佔23%。而工業地產的AUM份額，二季度末約為22%。我們資產管理規模的最後 20% 投資於零售和專業領域，包括綜合用途開發、自助倉儲和醫療。

Focusing on office properties specifically, since the beginning of the COVID-19 pandemic, we've been deliberately managing our exposure down, particularly in the Americas and EMEA as market dynamics have shifted with attitudes towards remote work. In the first quarter of 2020, 42% of our institutional open-end AUM and core and core-plus strategies was comprised of traditional office properties. At the end of the second quarter, it was 27%, and our exposure in the Americas was reduced by about 1/3. Several of our direct real estate funds use leverage but were measured in our approach and the average loan-to-value across our direct real estate funds was approximately 35% as of March 31, 2023.

特別關注辦公物業，自 COVID-19 大流行開始以來，我們一直在刻意降低風險敞口，尤其是在美洲和歐洲、中東和非洲，因為市場動態隨著人們對遠程工作的態度而發生變化。 2020年第一季度，我們的機構開放式資產管理規模以及核心和核心+戰略中有42%由傳統辦公物業組成。第二季度末是27%，我們在美洲的敞口減少了約1/3。我們的一些直接房地產基金使用槓桿，但採用我們的方法進行衡量，截至 2023 年 3 月 31 日，我們直接房地產基金的平均貸款價值約為 35%。

These figures may fluctuate over time and vary across specific funds. We serve our clients through a range of vehicle type and manage liquidity in accordance with the established bylaws of each fund. Approximately half of our AUM is in institutional separate accounts or closed-end funds with a predetermined life. The remainder in open-end vehicles that manage redemptions on a best effort basis. In our open-end funds, redemption requests go into a queue and are mainly met by net investors into the fund. Investors in our open-end strategies are highly sophisticated institutional investors that understand it may take several quarters to work down a redemption queue while preserving the fund performance for all investors.

這些數字可能會隨著時間的推移而波動，並且因特定基金而異。我們通過一系列工具類型為客戶提供服務，並根據每隻基金既定的章程管理流動性。我們大約一半的資產管理規模位於機構獨立賬戶或具有預定壽命的封閉式基金中。其餘的則為開放式車輛，盡力管理兌換。在我們的開放式基金中，贖回請求需要排隊，並且主要由基金的淨投資者來滿足。我們開放式策略的投資者是高度成熟的機構投資者，他們了解可能需要幾個季度的時間才能完成贖回隊列，同時為所有投資者保留基金業績。

Of our full business cycle, we would expect funds to average a redemption queue of 5% to 6% of NAV. This can fluctuate higher in times of market volatility like we've been experiencing recently. As of the end of the second quarter, all of our open-end funds were operating according to normal redemption protocols and our real estate teams have successfully navigated market cycles for 4 decades. Real estate activity has been slower during the first half of 2023, and we would expect activity to be muted in the near term until market conditions improve.

在我們的整個商業周期中，我們預計基金的平均贖回隊列為資產淨值的 5% 至 6%。正如我們最近經歷的那樣，在市場波動時期，該價格可能會波動得更高。截至第二季度末，我們所有的開放式基金均按照正常贖回協議運作，我們的房地產團隊已成功駕馭市場週期長達 4 年。 2023 年上半年房地產活動放緩，我們預計近期活動將放緩，直至市場狀況改善。

In the long run, we expect that investor demand for private market capabilities will grow significantly, and we're well positioned to capitalize on that growth. Next, I'll move to Slide 9. Our institutional pipeline was $22 billion at quarter end, consistent with last quarter. Although we experienced net outflows in the second quarter, our institutional business remains in net inflows for the year-to-date, and we continue to win new mandates. Our pipelines have been running in the mid-$20 billion to mid-$30 billion range, dating back to late 2019.

從長遠來看，我們預計投資者對私募市場能力的需求將大幅增長，而我們已做好充分利用這一增長的準備。接下來，我將轉向幻燈片 9。截至季度末，我們的機構渠道為 220 億美元，與上季度一致。儘管我們在第二季度經歷了淨流出，但我們的機構業務今年迄今仍保持淨流入，並且我們繼續贏得新的委託。自 2019 年底以來，我們的管道運營成本一直在 200 億美元至 300 億美元之間。

So this is on the lower end of that range. We view our pipeline as strong given the market volatility we've been experiencing and the $6.6 billion in net inflows that occurred in the first quarter. As we've noted previously, some mandates are taking longer to fund in this environment, we would estimate the funding cycle of our pipeline is running in the 3 to 4 quarter range versus 2 to 3 quarters prior to the market downturn.

所以這是該範圍的下限。考慮到我們所經歷的市場波動以及第一季度出現的 66 億美元的淨流入，我們認為我們的渠道強勁。正如我們之前指出的，在這種環境下，一些任務需要更長的時間才能籌集資金，我們估計我們的融資週期在 3 至 4 個季度範圍內，而市場低迷之前為 2 至 3 個季度。

Our solutions capability enabled 35% of the global institutional pipeline in second quarter and we're pleased to see the share increase from 14% last quarter. We embed solutions into our client interactions, and we have ongoing engagements about new opportunities. The pipeline reflects a diverse business mix with alternative and active equity accounting for 40% of the total associated assets.

第二季度，我們的解決方案能力佔全球機構渠道的 35%，我們很高興看到這一份額較上季度的 14% 有所增長。我們將解決方案嵌入到與客戶的互動中，並且我們不斷致力於尋找新的機會。該管道反映了多元化的業務組合，其中另類股權和主動股權佔相關資產總額的 40%。

Now turning to Slide 10. Net revenue of $1.09 billion in the second quarter was $83 million lower than the second quarter of 2022 and $15 million or 1% higher than the first quarter. The decline from the second quarter of last year was due largely to lower investment management fees, driven by asset mix favoring, lower-yielding strategies. The sequential quarter increase was primarily due to higher performance fees earned on private real estate mandates, a $4 million decline in other revenues partially offset the increase in performance fees.

現在轉向幻燈片 10。第二季度淨收入為 10.9 億美元，比 2022 年第二季度減少 8300 萬美元，比第一季度增加 1500 萬美元，即 1%。較去年第二季度的下降主要是由於有利於低收益策略的資產組合推動了投資管理費的下降。環比增長主要是由於私人房地產委託賺取的績效費增加，其他收入減少 400 萬美元，部分抵消了績效費的增長。

A shift in asset mix has had a meaningful impact on our revenue due to the uneven performance across key market indices as well as investor preferences for passive and risk of strategies, including demand for money market products. Total average AUM for the second quarter, $1.49 trillion, was $32 billion or 2% higher than the first quarter. However, $25 billion of the increase was in QQQ average AUM for which we do not earn management fees. A further $4 million of the increase was in money market AUM.

由於主要市場指數的表現參差不齊，以及投資者對被動和風險策略的偏好（包括對貨幣市場產品的需求），資產結構的轉變對我們的收入產生了重大影響。第二季度平均資產管理規模總額為 1.49 萬億美元，比第一季度增加 320 億美元，即 2%。然而，增量中的 250 億美元是 QQQ 平均資產管理規模，我們不賺取管理費。另外 400 萬美元的增量來自貨幣市場資產管理規模。

Meanwhile, average passive AUM ex-QQQ was up $3 billion and average active AUM was flat to last quarter. As compared to the second quarter of 2022, total average AUM increased by [$38 billion] or 3%. The primary driver was a [$58 billion] increase in average money market AUM, given the risk of investor sentiment of the past 12 months. Average assets in the QQQ were $12 billion higher than the second quarter of 2022.

與此同時，除 QQQ 之外的平均被動資產管理規模增長了 30 億美元，平均主動資產管理規模與上季度持平。與 2022 年第二季度相比，平均資產管理規模總額增加了 [380 億美元]，即 3%。考慮到過去 12 個月的投資者情緒風險，主要驅動因素是平均貨幣市場資產管理規模 (AUM) 增加 [580 億美元]。 QQQ 的平均資產比 2022 年第二季度增加了 120 億美元。

Average passive AUM, excluding the Qs, increased by $9 [billion], while average active AUM declined by 5%. We believe that a meaningful portion of the asset mix shift that has occurred is a product of market movements and risk of sentiment, and those pressures should abate as preference for risk assets, returns and conditions improve. That said, growth in investor preference for passive exposure and solutions capabilities is a long-term secular trend, and we continue to reposition our cost base to align with changes in our business mix as we build greater scale in key capability areas. Total adjusted operating expenses in the second quarter were $789 million, $27 million higher than the second quarter of 2022 and an increase of $40 million from the prior quarter.

平均被動 AUM（不包括 Q）增加了 9 億美元，而平均主動 AUM 下降了 5%。我們認為，已發生的資產結構轉變的一個有意義的部分是市場走勢和風險情緒的產物，隨著對風險資產、回報和狀況的偏好的改善，這些壓力應該會減輕。也就是說，投資者對被動投資和解決方案能力的偏好增長是一個長期趨勢，隨著我們在關鍵能力領域建立更大的規模，我們將繼續重新定位我們的成本基礎，以適應我們業務組合的變化。第二季度調整後運營支出總額為 7.89 億美元，比 2022 年第二季度增加 2700 萬美元，比上一季度增加 4000 萬美元。

Included in our second quarter operating expenses were $27 million of compensation expenses related to executive retirements and organizational changes. In the second quarter of 2022 expenses of this nature were not included in our non-GAAP results as they were included in transaction, integration and restructuring expenses. We recognized $13 million of such expenses in the first quarter of 2023. Also impacting second quarter compensation expense with higher incentive pay on $22 million of performance fees partially offset by a seasonal decline in payroll taxes.

我們第二季度的運營支出包括 2700 萬美元與高管退休和組織變革相關的薪酬支出。 2022 年第二季度，此類性質的費用未包含在我們的非 GAAP 業績中，因為它們已包含在交易、整合和重組費用中。我們在 2023 年第一季度確認了 1,300 萬美元的此類費用。同樣影響了第二季度的薪酬費用，2,200 萬美元的績效費的激勵工資增加，部分被工資稅的季節性下降所抵消。

As Andrew noted, we are simplifying the organization to position the firm for greater scale and profitability as we grow our revenue base. The majority of the $27 million of compensation expense I mentioned was related to executive retirements and the balance was a result of other organizational actions taken in the quarter. We will action further adjustments to our operating model over the remainder of 2023 and would expect to recognize approximately $20 million of additional costs associated with these decisions in the third quarter. The full benefits from our simplification efforts will be seen over time as we generate revenue growth and margin recovery. To this point, we have identified $50 million of annual run rate expense savings that will be realized by the beginning of 2024.

正如安德魯所指出的，我們正在簡化組織結構，以便隨著我們收入基礎的擴大，使公司規模更大、盈利能力更強。我提到的 2700 萬美元薪酬費用中的大部分與高管退休有關，餘額是本季度採取的其他組織行動的結果。我們將在 2023 年剩餘時間內對我們的運營模式進行進一步調整，並預計在第三季度確認與這些決策相關的約 2000 萬美元的額外成本。隨著時間的推移，隨著我們實現收入增長和利潤恢復，我們的簡化工作所帶來的全部好處將會顯現出來。到目前為止，我們已確定到 2024 年初將實現每年節省 5000 萬美元的運行費用。

Work is ongoing to quantify and action additional opportunities, and we will keep you informed on our progress. As we've discussed, we managed variable compensation to a full year outcome in line with company performance and competitive industry practices. Historically, our compensation to net revenue ratio has been in the 38% to 42% range, trending towards the upper end of that range and periods of revenue decline. At current AUM levels, we would expect the ratio to continue to be at or slightly above the high end of the range for 2023, when excluding the cost pertaining to executive retirements and other organizational changes.

量化和行動額外機會的工作正在進行中，我們將隨時向您通報我們的進展情況。正如我們所討論的，我們根據公司業績和競爭性行業慣例管理了全年業績的可變薪酬。從歷史上看，我們的薪酬與淨收入的比率一直在 38% 至 42% 的範圍內，並趨向於該範圍的上限和收入下降時期。在目前的 AUM 水平上，我們預計該比率將繼續處於或略高於 2023 年範圍的高端（不包括與高管退休和其他組織變革相關的成本）。

Marketing expenses of $32 million, $4 million higher than the prior quarter, indicative of the seasonally higher activity we typically see in second quarter. Marketing expenses were $4 million lower than the second quarter of last year as we are tightly managing discretionary spend in this revenue environment. Property, office and technology expenses were $2 million higher than the first quarter primarily due to higher software costs, partially offset by the end of overlapping rent now that we have completed the move to our new Atlanta headquarters.

營銷費用為 3200 萬美元，比上一季度高出 400 萬美元，這表明我們通常會在第二季度看到季節性活動的增加。營銷費用比去年第二季度減少了 400 萬美元，因為我們在這種收入環境下嚴格管理可自由支配支出。財產、辦公室和技術費用比第一季度增加了 200 萬美元，主要是由於軟件成本增加，但由於我們已經完成了向亞特蘭大新總部的搬遷，部分抵消了重疊租金的結束。

G&A expenses of $114 million increased $19 million from the prior quarter. Second quarter expenses included approximately $7 million in spending on our Alpha NextGen program, which was previously included in transaction, integration and restructuring expenses. Going forward, these costs will be reflected in our non-GAAP results. We would expect quarterly average spending on Alpha NextGen to remain at the same level for the next few quarters.

一般管理費用為 1.14 億美元，較上一季度增加 1,900 萬美元。第二季度支出包括大約 700 萬美元的 Alpha NextGen 計劃支出，該支出之前包含在交易、整合和重組支出中。展望未來，這些成本將反映在我們的非公認會計準則業績中。我們預計 Alpha NextGen 的季度平均支出在接下來的幾個季度將保持在同一水平。

As we mentioned on our last call, we benefited from indirect tax credits in the first quarter, a reduction in credits received drove a $3 million increase in expenses quarter-over-quarter. The remaining increase in G&A expenses related to higher project spending for ongoing technology improvement initiatives as well as normal fluctuation that we can see in G&A period to period after relatively lower spending in Q1.

正如我們在上次電話會議中提到的，我們在第一季度受益於間接稅收抵免，收到的抵免額減少導致費用環比增加 300 萬美元。 G&A 費用的剩餘增長與持續技術改進計劃的項目支出增加以及第一季度支出相對較低後我們可以在 G&A 期間看到的正常波動有關。

Looking ahead, we expect G&A expenses in the third quarter to be flat to modestly lower than the second quarter. We're balancing continued investment in our key growth areas and technology programs while diligently managing discretionary spend, and we are limiting hiring to key growth areas and critical positions. We've also been increasing our use of lower cost locations where it makes sense to do so. As an executive leadership team, we are committed to driving profitable growth in the coming quarters.

展望未來，我們預計第三季度的一般管理費用將與第二季度持平或小幅下降。我們正在平衡對關鍵增長領域和技術項目的持續投資，同時努力管理可自由支配的支出，並且我們將招聘限制在關鍵增長領域和關鍵職位。我們還一直在合理的情況下增加對成本較低的地點的使用。作為執行領導團隊，我們致力於在未來幾個季度推動盈利增長。

Moving to Slide 11. Adjusted operating income was $302 million in the second quarter, which included the costs related to executive retirements and other organizational changes. Adjusted operating margin was 27.7% for the second quarter. Excluding the costs related to retirement and other org changes, second quarter operating margin would have been 250 basis points higher.

轉到幻燈片 11。第二季度調整後的營業收入為 3.02 億美元，其中包括與高管退休和其他組織變革相關的成本。第二季度調整後營業利潤率為 27.7%。排除與退休和其他組織變革相關的成本，第二季度營業利潤率將高出 250 個基點。

Earnings per share was $0.31 in the second quarter, excluding those same expenses related to executive retirement and organizational changes, second quarter earnings per share would have been $0.05 higher. The effective tax rate was 24.7% in the second quarter. We estimate our non-GAAP effective tax rate to be between 23% and 25% for the third quarter of 2023.

第二季度每股收益為 0.31 美元，不包括與高管退休和組織變革相關的費用，第二季度每股收益將增加 0.05 美元。第二季度有效稅率為24.7%。我們預計 2023 年第三季度的非 GAAP 有效稅率將在 23% 至 25% 之間。

The actual effective rate may vary from this estimate due to the impact of nonrecurring items on pretax income and discrete tax items. I'll finish on Slide 12. Building balance sheet strength has been an unwavering priority, and I'm pleased to note that our cash balance increased in the second quarter to $1.01 billion, and that with $1.5 billion of outstanding debt this lowered our net debt to less than $500 million.

由於非經常性項目對稅前收入和離散稅項的影響，實際有效利率可能與此估計有所不同。我將在幻燈片12 上結束。增強資產負債表實力一直是堅定不移的首要任務，我很高興地註意到，我們的現金餘額在第二季度增加至10.1 億美元，而未償債務為15 億美元，這降低了我們的淨負債債務少於5億美元。

We were able to achieve this reduction in net debt while also repurchasing $150 million of common stock in the quarter, or 9.6 million shares, equivalent to 2% of the total common shares outstanding. The share buybacks occurred at an average price of $15.65, which we viewed as a very attractive opportunity. The improvements we have made on the balance sheet in the past several years facilitated our ability to take advantage of this opportunity. Our leverage ratio, as defined under our credit facility agreement was 0.7x at the end of the second quarter modestly lower than last quarter.

我們在實現淨債務減少的同時，還在本季度回購了 1.5 億美元的普通股，即 960 萬股，相當於已發行普通股總數的 2%。股票回購的平均價格為 15.65 美元，我們認為這是一個非常有吸引力的機會。過去幾年我們在資產負債表上所做的改進促進了我們利用這一機會的能力。根據我們的信貸融資協議，我們的槓桿率在第二季度末為 0.7 倍，略低於上季度。

We are committed to building an even stronger balance sheet, and our goal is to bring net debt excluding the preferred shares down to zero in 2024. We have an opportunity to further address outstanding debt with the maturity of the $600 million in senior notes at the end of January. We ended the second quarter with nothing drawn on our revolving credit facility.

我們致力於建立更強大的資產負債表，我們的目標是到2024 年將不包括優先股的淨債務降至零。隨著6 億美元優先票據到期，我們有機會進一步解決未償債務問題。一月底。第二季度結束時，我們的循環信貸額度沒有任何動用。

To conclude the resiliency of our firm's net flows performance in a difficult market for organic growth is evident again in this quarter, and I'm pleased with the progress we're making to simplify the organization and build a stronger balance sheet while continuing to invest in key capability areas.

總而言之，在有機增長困難的市場中，我們公司的淨流量表現的彈性在本季度再次顯現出來，我對我們在繼續投資的同時簡化組織和建立更強大的資產負債表所取得的進展感到高興在關鍵能力領域。

As a firm, we're committed to driving profitable growth and a high level of financial performance, and we're confident that we have the right talent, mindset and strategic positioning to do so.

作為一家公司，我們致力於推動盈利增長和高水平的財務業績，並且我們相信我們擁有合適的人才、心態和戰略定位來實現這一目標。

And with that, I'll ask the operator to open up the line to Q&A.

然後，我會要求接線員開通問答線路。

(Operator Instructions)

（操作員說明）

Our first question comes from Glenn Schorr with Evercore.

我們的第一個問題來自 Evercore 的 Glenn Schorr。

Appreciate it. Just a follow-up question on real estate. So obviously not unique to Invesco, but just given higher rates, some problem areas and long-tail workouts across parts of real estate demand is low as you mentioned. So curious if you could just sum up what's the overall message on the health of the current portfolio? I think you put all that extra disclosure to tell us it's good. But one, if you could just comment that. And two, more importantly, what do you think the environment does need to look like for demand for real estate related products to improve? Because that would be a big growth driver for when we get there.

欣賞它。只是關於房地產的後續問題。因此，顯然這並不是景順所獨有的，但正如您提到的，由於利率較高，一些問題領域和跨部分房地產需求的長尾解決方案較低。很好奇您能否總結一下當前投資組合健康狀況的總體信息是什麼？我認為你提供所有額外的披露是為了告訴我們這很好。但有一點，如果你能評論一下的話。第二，更重要的是，您認為環境需要怎樣才能改善房地產相關產品的需求？因為當我們到達那裡時，這將是一個巨大的增長動力。

Sure. Why don't I start. And I'd say the overall message on the health of the portfolio is, yes, as you said, it's good. Look, it is in terms of where we are from a cyclicality perspective, it's been a challenging environment. That's not unique to us, and that has a lot to do with some of the -- just the backup and transactions in that market as rates have increased, the return profile, the ability to put leverage on some of these transactions, it's more difficult. And that's caused the back up to slowdown in some of the transactions, which slows down activity overall.

當然。我為什麼不開始呢。我想說的是，關於投資組合健康狀況的總體信息是，是的，正如您所說，這很好。看，從周期性的角度來看，這是一個充滿挑戰的環境。這並不是我們獨有的，這與一些因素有很大關係——隨著利率的增加，該市場的備份和交易、回報率、對其中一些交易施加槓桿的能力，這變得更加困難。這導致某些交易的備份速度減慢，從而減慢了整體活動的速度。

That said, as we tried to highlight some of the detail we provided, our portfolio is performing very well. And we are long term, very optimistic about how we're positioned. And I would say everything is performing as one would expect in an environment like this. And we think we've made a lot of good strong decisions to diversify that portfolio, especially managing down the office exposure in advance of some of the downturn of the last year, and we feel good about where we're positioned overall.

也就是說，當我們試圖強調我們提供的一些細節時，我們的投資組合表現非常好。從長遠來看，我們對自己的定位非常樂觀。我想說，在這樣的環境中，一切都按照人們的預期進行。我們認為，我們已經做出了很多良好而有力的決定來實現投資組合多元化，特別是在去年的一些經濟低迷之前控制辦公室風險，並且我們對我們的整體定位感到滿意。

What does it take to see activity pick back up? I definitely think normalization in the leverage markets will help quite a bit. That has been, obviously, with some of the bank challenges that started in the first quarter and progress into the second quarter. That wasn't helpful. But as you start to see, I think, some conviction around the rate environment, stabilize and you see banks and leverage markets performing at a more normal level, we'll start to see activity pick back up.

怎樣才能看到活動回升？我絕對認為槓桿市場的正常化將會有很大幫助。顯然，銀行面臨的一些挑戰從第一季度開始一直持續到第二季度。那沒有幫助。但我認為，當你開始看到利率環境穩定下來，銀行和槓桿市場表現在更正常的水平時，我們將開始看到經濟活動回升。

I think demand remains strong. I guess the last thing I would say is, certainly, we saw some challenges as it relates to institutional allocations. When you saw equity markets and fixed income markets declined pretty significantly over the past year that cause a lot of institutions to be overexposed in real estate as equity markets and fixed income markets improve, the denominator effect is less of a concern, and some of the allocations there come back in line with what's expected. And that's going to be -- that portends well for the future pipeline.

我認為需求依然強勁。我想我要說的最後一件事是，我們當然看到了一些與機構分配相關的挑戰。當你看到股票市場和固定收益市場在過去一年中大幅下跌，導致許多機構在股票市場和固定收益市場改善時過度投資房地產時，分母效應就不那麼令人擔憂了，而且一些那裡的分配情況與預期相符。這對未來的管道來說是個好兆頭。

And Glenn, I'd just add that as we look for the opportunities, recall our portfolio is fairly global. So the dynamics are pretty different outside the U.S. than the U.S., and it's a pretty diverse national footprint as well in the United States. Also I'd say is real estate debt is something we're hearing increased demand for and have capability there, and we're going to continue to focus on opportunities in the debt side of the market. And then the last thing I'd say is, while the institutional market is fairly well penetrated, the wealth management markets in the U.S. and globally we see tremendous opportunity where portfolio allocations are less than 1% to things like real assets at the moment.

格倫，我想補充一點，當我們尋找機會時，請記住我們的投資組合相當全球化。因此，美國以外的動態與美國有很大不同，而且美國的國家足跡也相當多樣化。我還想說的是，我們聽說房地產債務的需求不斷增加，並且有能力，我們將繼續關注市場債務方面的機會。我要說的最後一件事是，雖然機構市場的滲透率相當高，但我們在美國和全球的財富管理市場看到了巨大的機會，目前投資組合配置不到實物資產等資產的 1%。

I appreciate all that. Allison, one other quickie. On the comments on the $20 million in the third quarter and $50 million for -- by the end of '24 and identified efficiency savings. Should we be thinking that it is all falling to the bottom line like or is there a netting effect in terms of the ongoing investments that you're making?

我很感激這一切。艾莉森，另一位快手。關於第三季度 2000 萬美元和 24 年底前 5000 萬美元的評論，並確定了效率節省。我們是否應該認為這一切都已跌至底線，或者您正在進行的投資是否存在淨效應？

Yes. Sure. Good question. Thank you. And let me clean that up a little bit. $20 million in additional costs that we expect to incur in the third quarter with $50 million of net realized savings that we expect to be realized in the beginning of 2024, not the end. And so yes, to answer your question, that would be net savings that we would expect to fall in bottom line tax affected, of course.

是的。當然。好問題。謝謝。讓我稍微清理一下。我們預計第三季度將產生 2000 萬美元的額外成本，預計將在 2024 年初（而不是年底）實現 5000 萬美元的淨實現節省。所以，是的，為了回答你的問題，這當然是我們預計會在底線稅收影響下下降的淨儲蓄。

Our next question comes from Brennan Hawken with UBS.

我們的下一個問題來自瑞銀集團的布倫南霍肯。

I'd like to touch on sort of at a high level here, Andrew. You referenced changes you wanted to make to simplify the organization. Allison added some additional color in the context of costs. But could you maybe either give us a frame of reference around what you think could help to simplify the organization. And is this -- is this an opening salvo and something you intend to approach over the course of many years. And how should we think about maybe like incremental updates on your approach as you get your hands around and get settled into the seat?

安德魯，我想談談高層次的問題。您提到了為了簡化組織而想要進行的更改。艾里森在成本方面添加了一些額外的色彩。但您能否給我們一個您認為有助於簡化組織的參考框架？這是否是一個開局，也是你多年來打算實現的目標？當您開始著手並就座時，我們應該如何考慮您的方法的增量更新？

Sure. Thanks, Brennan. Good questions. Maybe just to start at a high level of what we're trying to achieve. So our aim of simplifying and streamlining the organization, obviously, is to generate better profit growth, but it's also to improve quality of investment performance. We want to simplify the organization so we can accelerate more quickly strategic execution, and we want to be able to use our scale and leverage that we have in the business.

當然。謝謝，布倫南。好問題。也許只是從我們想要實現的目標的高水平開始。因此，我們簡化組織的目標顯然是為了實現更好的利潤增長，但也是為了提高投資績效的質量。我們希望簡化組織，以便更快地加速戰略執行，並且我們希望能夠利用我們在業務中擁有的規模和槓桿作用。

So what we did was we started this process earlier this year. And to answer your question, it's going to willing to continue through the course of this year and going forward. This is an ongoing effort to continue to reposition our business for where client demand is. A few examples of some things that we've been working on and it will continue to work on. One is around investment team simplification and quality improvement.

所以我們所做的就是在今年早些時候開始這個過程。為了回答你的問題，它將願意在今年和未來繼續下去。這是一項持續的努力，旨在根據客戶需求繼續重新定位我們的業務。以下是我們一直在努力並將繼續努力的一些事情的例子。一是圍繞投資團隊簡化和質量提升。

So for instance, we brought together 3 multi-asset strategy teams into one. We're further bringing together our fixed income platform around the world. We've enhanced leadership -- global leadership with our co-CIO structure and fundamental equity. So things like that around investment team simplification, we'll continue to focus on. We're also looking to globalize core elements of our client engagement and client delivery. So we combined leadership in the Americas and EMEA.

例如，我們將 3 個多資產策略團隊合併為一個。我們正在進一步整合我們在世界各地的固定收益平台。我們通過聯席 CIO 結構和基本股權增強了領導力——全球領導力。因此，我們將繼續關注投資團隊簡化等問題。我們還希望將客戶參與和客戶交付的核心要素全球化。因此，我們結合了美洲和歐洲、中東和非洲地區的領導地位。

We established a single marketing organization. We're globalizing digital platforms, and we're taking out complexity in our product platform. We combined our ETF and SMA and custom index leadership and reduced our product line by over 150 products. So lots going on in the client delivery side. And then we're simplifying and reviewing our operating and enterprise models sort of end-to-end looking for ways to take advantage of those front-end changes and move them through the cost base and be more efficient.

我們建立了一個單一的營銷組織。我們正在全球化數字平台，並且正在消除產品平台的複雜性。我們將 ETF 和 SMA 以及定制指數的領先地位結合起來，並將我們的產品線減少了 150 多種產品。客戶端交付方面發生了很多事情。然後，我們正在端到端地簡化和審查我們的運營和企業模型，尋找利用這些前端變化的方法，並將它們轉移到成本基礎上並提高效率。

And then the last thing I'd say, which I think speaks to what we're going to continue to do going forward is evolve the culture. And so we're going to be tightening our execution edge as a team.

我要說的最後一件事，我認為這說明了我們未來將繼續做的事情是發展文化。因此，我們將加強團隊的執行力。

We're going to be simplifying our operating and organizational models, which we've started, and we're going to enhance the accountability around profit growth. So you should expect to continue to hear updates from me and Allison regularly about these efforts.

我們將簡化我們已經開始的運營和組織模式，並且我們將加強圍繞利潤增長的責任。因此，您應該會繼續定期聽到我和艾莉森關於這些努力的最新消息。

Andrew, much appreciate it. For my follow-up question on real estate, sort of following on to Glenn's question. So you break out traditional office -- traditional U.S. office, which is great. But what -- how would you define nontraditional office, I guess? And what would that do to those numbers?

安德魯，非常感謝。對於我關於房地產的後續問題，有點類似於格倫的問題。所以你打破了傳統的辦公室——傳統的美國辦公室，這很棒。但是我猜你會如何定義非傳統辦公室呢？這會對這些數字產生什麼影響？

And then when we look at the difference in the allocation to traditional office from 20% down to 13% in the Americas over that 3-year -- sorry, 1Q '20 to 2Q '23. How much of that were disposals versus price declines in the assets?

然後，當我們看到美洲傳統辦公室的分配在這三年中從 20% 下降到 13% 的差異時——抱歉，是 20 年第一季度到 23 年第二季度。其中有多少是資產處置與價格下跌之間的關係？

Let me take maybe the second one first. That would primarily be dispositions. The vast majority of that would be deliberate choices that were made, not declining asset values there. So it's been a rocky environment but not an entirely terrible one to try to exit and reposition that portfolio. So I think we were I think our timing was good. In a lot of ways, we moved quickly, and we've been able to, I think, show the results very quickly.

讓我先來看第二個。這主要是處置。其中絕大多數是經過深思熟慮的選擇，而不是資產價值的下降。因此，這是一個不穩定的環境，但試圖退出並重新定位該投資組合併不是一個完全糟糕的環境。所以我認為我們的時機很好。在很多方面，我們行動迅速，而且我認為我們能夠很快地展示結果。

So that -- there's a good news story there, not a bad news story. In terms of what's -- I'm not sure I followed your question on traditional office versus non-traditional office.

所以，這是一個好消息，而不是一個壞消息。就什麼而言——我不確定我是否遵循了您關於傳統辦公室與非傳統辦公室的問題。

I guess I was just trying...

我想我只是想嘗試...

Office -- sorry, yes...

辦公室——抱歉，是的……

Yes, I was just trying to understand office like is the overall office exposure actually larger than what you guys defined as traditional? Or did you just use the term traditional just to define the office sector broadly?

是的，我只是想了解辦公室的整體情況是否真的比你們定義的傳統辦公室更大？或者您只是使用“傳統”一詞來廣義地定義辦公部門？

No. We -- it's not larger than what we would define. If you think about what's outside of what we would consider traditional things. Things like medical office buildings and things that we would truly consider to be different than mid-rise, high-rise kind of office exposure.

不，我們——它並不比我們定義的更大。如果你想想我們認為的傳統事物之外的東西。像醫療辦公樓這樣的東西，以及我們真正認為與中層、高層辦公場所不同的東西。

Our next question comes from Brian Bedell with Deutsche Bank.

我們的下一個問題來自德意志銀行的 Brian Bedell。

Just staying with the private alternative platform theme. I guess as we sort of look forward, just a couple of some of the potential bigger drivers within this bucket. So maybe if you could just size the redemptions that you're currently running at for the open-end strategies that you talked about in real estate. And then the opportunity going forward, particularly in direct lending, to what extent do you think you can expand these strategies given potential pullback in banks? And is that something that's more of a near-term development or really more to longer term?

只是停留在私人替代平台主題上。我想，當我們展望未來時，這個桶中只有一些潛在的更大的驅動因素。因此，也許您可​​以調整您目前在房地產中談到的開放式策略的贖回規模。然後，未來的機會，特別是在直接貸款方面，考慮到銀行可能出現的回調，您認為您可以在多大程度上擴展這些策略？這是更多的是近期發展還是更長遠的發展？

Yes, I'll take the first one. I'd say the redemption rates in the open-end strategies, and again, what we tried to do was narrow down the percentage of our portfolio that is in an open-end strategy. And with that, normal redemption rates through the cycle would be kind of 5% to 6%. And as we noted, we'd be on the higher side of that. We would be above that range. And it varies though and it varies quite a bit across the different products. So on average, it's a touch higher than where we are today.

是的，我會選擇第一個。我想說的是開放式策略中的贖回率，我們再次嘗試做的是縮小開放式策略中投資組合的百分比。這樣一來，整個週期的正常贖回率將為 5% 至 6%。正如我們所指出的，我們會處於較高的水平。我們會高於這個範圍。但它有所不同，而且不同產品的差異很大。所以平均而言，它比我們今天的水平要高一些。

Operating though very normally and very consistent with what we've experienced in cycles like this over 40 years in the business. So more than anything, I think what we hope to convey is it's quite normal and quite manageable. And there are no liquidity issues or concerns across any of those individual funds. I'd say maybe, Andrew, you want to take direct lending.

儘管運營非常正常，但與我們 40 多年來在業務週期中所經歷的情況非常一致。因此，最重要的是，我認為我們希望傳達的是這是很正常且易於管理的。這些單獨的基金不存在流動性問題或擔憂。我想說，安德魯，也許你想接受直接貸款。

Sure. Yes. In private credit, we've been building out our capabilities over the last few years in distressed and in direct lending. And demand, both from institutions and emerging from high net worth retail or wealth management continues to -- we continue to see it. We continue to have asset raises and focus both in the U.S. and in Europe. We expect to continue to see that demand for the reasons you described. I'd say given that we're relatively new entrant into that space, and we're building our reputation it will be a driver, but it will take some time for it to be, I think, a meaningful part of the private markets enterprise like our private real estate franchise is.

當然。是的。在私人信貸方面，過去幾年我們一直在加強不良貸款和直接貸款方面的能力。我們繼續看到來自機構和高淨值零售或財富管理的需求繼續增長。我們繼續進行資產籌集，並重點關注美國和歐洲。由於您所描述的原因，我們預計會繼續看到這種需求。我想說，鑑於我們是該領域相對較新的進入者，並且我們正在建立我們的聲譽，它將成為一個驅動力，但我認為它需要一些時間才能成為私募市場的一個有意義的部分像我們私人房地產特許經營這樣的企業。

Got it. Great. That's great color. And then just on the cost side, Allison, maybe on the Alpha Gen program, it sounds like that $7 million run rate is sort of -- it's a cost number, but I guess is that -- should we be considering that to be like a net cost number of savings? And I guess, do we have any idea yet longer term as you get that platform completely on to and integrated with Alpha, any sense of sizing what potential cost savings can come from that initiative longer term?

知道了。偉大的。那顏色真棒。然後就成本方面而言，艾里森，也許在 Alpha Gen 項目上，聽起來 700 萬美元的運行率有點——這是一個成本數字，但我想是——我們是否應該考慮將其視為這樣節省的淨成本是多少？我想，從長遠來看，當您將該平台完全納入 Alpha 並與 Alpha 集成時，我們是否有任何想法，可以從長遠來看該計劃可以節省哪些潛在成本？

Yes. Great. Thanks for the question, Brian. So on A&G, just a reminder, one thing I've said that we've had A&G costs for the last year plus in our transaction integration and restructuring expense. And with that, you discontinued after the first quarter. You do see our cost base now fully loaded through our GAAP financials with the cost that we are incurring for Alpha NextGen and some of these organizational-related changes as well. So it is a difference that does cause changes in our overall operating expense base I noted that it was about $7 million in the second quarter and that we would expect it to be at about that level for the next few quarters.

是的。偉大的。謝謝你的提問，布萊恩。關於 A&G，我提醒一下，我說過，我們去年有 A&G 成本，加上我們的交易整合和重組費用。就這樣，你在第一季度後就停產了。您確實可以看到我們的成本基礎現在已完全通過我們的 GAAP 財務報表來計算，其中包括我們為 Alpha NextGen 產生的成本以及其中一些與組織相關的變化。因此，這種差異確實會導致我們的整體運營費用基礎發生變化，我注意到第二季度約為 700 萬美元，我們預計未來幾個季度將保持在這一水平。

We will be hard at work on Alpha NextGen really through 2024 and into 2025. So we will be providing ongoing updates, but I think that's a reasonable expectation for the cost right now. In terms of savings, savings will come once we are able to go live. And we do not -- we will not be going live until we are into 2024. And then we will be running parallel for some time. And then savings and rationalization really is something that would occur on the other side of that.

我們將在 2024 年和 2025 年真正努力開發 Alpha NextGen。因此，我們將提供持續更新，但我認為這是目前成本的合理預期。就節省而言，一旦我們能夠上線，就會節省開支。我們不會——我們要到 2024 年才會上線。然後我們將並行運行一段時間。然後，節約和合理化確實會發生在另一方面。

So as we get closer to 2025. So we're ways off from providing you estimates on how our expense base could improve over time. But we are entirely focused on a successful execution right now, and we do expect the cost that we saw in the second quarter to remain in our cost base for some time as we really focus on the execution here.

因此，隨著 2025 年的臨近，我們距離為您提供有關我們的費用基礎如何隨著時間的推移而改善的估計還有很長的路要走。但我們現在完全專注於成功執行，並且我們確實預計第二季度的成本將在一段時間內保留在我們的成本基礎中，因為我們真正專注於這裡的執行。

Our next question comes from Craig Siegenthaler with Bank of America.

我們的下一個問題來自美國銀行的克雷格·西根塔勒。

Buyback activity was quite strong in the quarter. You paid out 170% of your earnings power. And I think most of the buybacks just came in the month of June. So how should we expect your share repurchase effort going forward to trend. And will it be more consistent than in the past or more episodic?

本季度回購活動相當強勁。您支付了 170% 的盈利能力。我認為大部分回購都是在六月份發生的。那麼，我們應該如何預期您的股票回購努力會走向趨勢。它會比過去更加一致還是更加斷斷續續？

Thanks, Craig. I think, look, as we've noted all along, we've had several priorities that we've been working really hard on making parallel progress on. And one of which has been improving the balance sheet overall. And improving the balance sheet is what gave us the capacity and the flexibility to be opportunistic in the second quarter and execute on those buybacks.

謝謝，克雷格。我認為，正如我們一直以來所指出的，我們有幾個優先事項，我們一直在努力取得併行進展。其中之一就是改善整體資產負債表。改善資產負債表使我們有能力和靈活性在第二季度抓住機會並執行這些回購。

And we were pleased that we were able to do so and to do so without any additional borrowings on our credit facility and continuing to manage our net debt down. So -- those are the types of things we need to see to put us in a position to be opportunistic going forward. We were not particularly pleased with our price when we were staring at something that started with $14. And so we did have the opportunity in the second quarter to make some progress there. And I think you should expect over time that we're going to be disciplined and diligent and continuing to improve our balance sheet. But where we see opportunities to return capital to shareholders, we're going to do so as well.

我們很高興我們能夠做到這一點，並且不需要我們的信貸安排增加任何借款，並繼續管理我們的淨債務。因此，這些都是我們需要看到的事情，以使我們能夠在未來保持機會主義。當我們盯著 14 美元起價的東西時，我們對我們的價格並不是特別滿意。因此，我們確實有機會在第二季度取得一些進展。我認為，隨著時間的推移，我們將遵守紀律、勤奮工作，並繼續改善我們的資產負債表。但只要我們看到有機會向股東返還資本，我們也會這樣做。

Thank you, Allison. Just as my follow-up, money market flows continue to be strong. You've doubled this business in less than 3 years. Can you just update us on the drivers? And can this trajectory continue even if overall trends like broker cash sorting slows?

謝謝你，艾莉森。正如我的後續行動一樣，貨幣市場流動繼續強勁。在不到 3 年的時間裡，您的業務已增加了一倍。您能給我們更新一下驅動程序嗎？即使經紀人現金分類等整體趨勢放緩，這種軌跡還能繼續嗎？

I'll make a couple of comments, maybe and then Allison can jump in. We're really pleased with the growth and it was deliberate. I mean we focused on quality in the cash management, money market side, client engagement and pricing, and it paid off. We saw $15 billion in inflows this quarter. It's important to remember, 85% of our business is institutional. And we don't expect that to change. We're very strong there. We've moved into the top 10, and we're taking market share I think with high yields continuing for some time, it's going to continue to be a drive on demand, and we expect to continue to take share. Allison, I don't know...

也許我會發表一些評論，然後艾莉森可以介入。我們對增長感到非常滿意，這是經過深思熟慮的。我的意思是，我們專注於現金管理、貨幣市場方面、客戶參與和定價方面的質量，並且得到了回報。本季度我們看到 150 億美元的資金流入。重要的是要記住，我們 85% 的業務是機構業務。我們預計這種情況不會改變。我們在那裡非常強大。我們已經進入前十名，並且我們正在佔據市場份額，我認為隨著高收益率持續一段時間，這將繼續成為需求的驅動力，我們預計將繼續佔據份額。艾莉森，我不知道...

Got it.

知道了。

Our next question comes from Alex Blostein with Goldman Sachs.

我們的下一個問題來自高盛的 Alex Blostein。

So maybe we can just kind of wrap up the private markets growth strategy through a couple of questions here. I guess when you look at the real estate business, to your point, there are a number of challenges facing over the next several quarters. And in private credit, some of the growthy areas, whether it's direct lending and kind of distressed or opportunistic credit are newer, and you highlighted that it's going to take a little bit of time for them to contribute. So how are you thinking about organically turning this business into a positive net flow mode over the near term? Or do you think it will require some inorganic opportunities to add more product breadth as well?

因此，也許我們可以通過這裡的幾個問題來總結私募市場的增長策略。我想當你審視房地產業務時，就你的觀點而言，未來幾個季度將面臨許多挑戰。在私人信貸方面，一些增長領域，無論是直接貸款以及不良信貸還是機會主義信貸都是較新的，您強調說它們需要一點時間才能做出貢獻。那麼您如何考慮在短期內將這項業務有機地轉變為正淨流量模式？或者您是否認為還需要一些無機機會來增加更多的產品廣度？

Yes. So we're -- I'll start by saying we're very focused organically. We think the spaces we're in, in private real estate and in the private debt side of the markets are the places we want to be. We'll continue to look over time, obviously, to grow that organically. And if things present themselves to extend off of that, we'll pay attention. But our focus right now is growing them organically. In addition to some of the things that Allison already covered on the recovery on the institutional side of things, which will -- we think will happen in time.

是的。所以我們——我首先要說的是，我們非常注重有機發展。我們認為我們所處的領域、私人房地產和市場的私人債務方面都是我們想要進入的地方。顯然，隨著時間的推移，我們將繼續尋求有機增長。如果事情超出了這一範圍，我們會注意的。但我們現在的重點是有機地發展它們。除了艾利森已經介紹過的關於製度方面復甦的一些事情之外，我們認為這將會及時發生。

The real growth driver for our real estate business is going to be through the wealth management channels. We started that effort several years ago. We've seen strong placements for our nontraded REIT strategy, and we're going to be and continue to be in market with strategies like those, including on the debt side of real estate. And as I mentioned, the penetration in wealth management for the industry is less than 1% with most expectations getting it to 10% to 15%. That will take some time. So we think with an offering like we have in a pedigree, combined with our wealth management distribution, strength in the U.S. and in Europe, that that's going to be an amazing opportunity.

我們房地產業務的真正增長動力將來自財富管理渠道。我們幾年前就開始了這項努力。我們已經看到我們的非交易房地產投資信託策略的強勁配置，我們將並將繼續在市場上採用此類策略，包括房地產的債務方面。正如我所提到的，財富管理行業的滲透率不到 1%，大多數人的預期是 10% 到 15%。這需要一些時間。因此，我們認為，憑藉我們的血統產品，再加上我們的財富管理分佈以及在美國和歐洲的實力，這將是一個絕佳的機會。

We've invested in those areas already. So the growth is going to come to us in the next couple of years, and we think it could be meaningful. So those are the areas that we're going to be focused on in addition to the institutional space.

我們已經在這些領域進行了投資。因此，我們將在未來幾年內實現增長，我們認為這可能是有意義的。因此，除了機構空間之外，這些是我們要關注的領域。

Got it. And for my follow-up, Allison, just around Alpha NextGen, obviously, it's been taking longer. It's a complicated transaction, so that's all fair. But what has gone right, what has gone wrong? Why do you think it's taking longer than sort of original expectations? And on the other end of that, do you think there's going to be room for you guys to negotiate fees down at the ultimate kind of end game of this transaction given the fact that it's taken longer than expected?

知道了。對於我的後續行動，Allison，就在 Alpha NextGen 周圍，顯然花了更長的時間。這是一項複雜的交易，所以這很公平。但什麼是對的，什麼是錯的？您認為為什麼花費的時間比最初的預期要長？另一方面，考慮到花費的時間比預期要長，您認為在這筆交易的最終結局中，你們是否還有談判降低費用的空間？

Well, so I would say, look, it's been a strong partnership with State Street. We've worked closely on the execution of this for the last couple of years, and we have been negotiating around the ultimate cost of this, and it is an important partnership on both sides. And I would say both parties have been responsive and thoughtful as to both the cost and the time that's involved here. So you should expect that's ongoing, not something that happens on the back end.

嗯，所以我想說，看，它與道富銀行建立了牢固的合作夥伴關係。在過去的幾年裡，我們一直在密切合作執行該項目，並且一直在圍繞其最終成本進行談判，這對雙方來說都是重要的合作夥伴關係。我想說，雙方對於這裡涉及的成本和時間都做出了積極的回應和深思熟慮。所以你應該預料到這是持續的，而不是後端發生的事情。

What's gone right or wrong? I think that's harder to answer. And I guess I would say, in many respects, it is large and it is a bit uncharted for both parties. And so we've been working together to try to do this in a way that's very thoughtful and provides the benefits we're looking for, for our business. So I think if I could say anything, I would say probably everything going harder and longer than you expect in large-scale technology implementations.

哪些是對的，哪些是錯的？我認為這更難回答。我想我會說，從很多方面來看，它規模很大，而且對雙方來說都有點未知。因此，我們一直在共同努力，嘗試以一種非常周到的方式來做到這一點，並為我們的業務提供我們正在尋找的好處。所以我想如果我能說什麼的話，我會說在大規模技術實施中，一切都比你預期的更困難、更漫長。

And I don't think that's unusual, but one that we are certainly making our way through. We feel good about where we are right now. We feel good about the attention of all teams from both parties and the work that's underway. The fact that it's taking a little longer than we expected, I don't see it as a huge negative, but one that is just something that we're figuring it about as we go along on both sides.

我認為這並不罕見，但我們肯定正在克服這一困難。我們對現在的處境感覺良好。我們對雙方所有團隊的關注以及正在進行的工作感到滿意。事實上，它花費的時間比我們預期的要長一些，我不認為這是一個巨大的負面影響，但這只是我們在雙方合作過程中正在考慮的事情。

Yes, the commitment is high from -- obviously, from both parties and other related parties that are working on it, we're really heads down trying to get the execution and implementation done, and we feel good about that.

是的，顯然，雙方和其他相關方都做出了很高的承諾，我們確實正在埋頭努力完成執行和實施，我們對此感覺很好。

The next question comes from Mike Brown with KBW.

下一個問題來自 KBW 的 Mike Brown。

In China, it looks like there's been a regulatory mandate to limit the fee rates for products there to 1.2%. Has that already begun to impact China, Great Wall? Or is that something that will kind of come through later this year? And then as you look to next quarter, can you just expand on maybe some of the puts and takes we should consider here for the fee rate when we think about next quarter, maybe that exit fee rate, if you will?

在中國，監管機構似乎已強制要求將產品費率限制在 1.2%。這已經開始影響中國的長城了嗎？或者這會在今年晚些時候實現嗎？然後，當您展望下個季度時，您能否擴展一下我們在考慮下個季度時應該考慮的一些看跌期權和看跌期權的費率，也許是退出費率，如果您願意的話？

Sure. Let me start with China. That was just announced in early July, so just a couple of weeks ago. So we are evaluating what that means for our portfolio right now. Our estimates right now is that those fee cuts will impact about $24 billion of AUM, so about 28% of our portfolio there. It's early, and we are still working through a lot of this in terms of both timing and overall impact. The timing is perhaps here in the third quarter, but certainly into the fourth quarter as we anticipate revenue being on a net basis lower, somewhere between $5 million and $10 million per quarter.

當然。讓我從中國開始。這是七月初剛剛宣布的，也就是幾週前。因此，我們現在正在評估這對我們的投資組合意味著什麼。我們目前的估計是，這些費用削減將影響約 240 億美元的資產管理規模，即我們投資組合的約 28%。現在還為時尚早，我們仍在努力解決時間安排和總體影響方面的問題。時機可能是在第三季度，但肯定是在第四季度，因為我們預計淨收入會下降，每季度在 500 萬美元到 1000 萬美元之間。

Now that's for all of the JV. And of course, we own a 49% share of that. But with that lower revenue, there's also lower compensation changes that come with it. So the ultimate impact to net income will be much lower than that. And I think we'll be able to provide clear guidance around all of that at the end of the third quarter.

現在這就是所有合資企業的情況。當然，我們擁有其中 49% 的股份。但隨著收入的減少，隨之而來的薪酬變化也隨之減少。因此，最終對淨利潤的影響將遠低於此。我認為我們將能夠在第三季度末圍繞所有這些提供明確的指導。

Overall, I'd say we actually are really well positioned with that change just given our more mature market positioning in China overall. As a reminder, we're the 12th largest asset manager there, the largest foreign -- and we have a very mature business, having just celebrated our 20th anniversary there. And we actually think this reform is really going to facilitate high-quality development of the overall mutual fund industry in China, and that's going to just serve to accelerate growth and really better serve investor needs.

總的來說，我想說，鑑於我們在中國整體市場定位更加成熟，我們實際上已經在這一變化中處於有利位置。提醒一下，我們是那裡第 12 大資產管理公司，也是最大的外國資產管理公司，而且我們的業務非常成熟，剛剛慶祝了我們在那裡成立 20 週年。我們實際上認為這項改革確實將促進中國整個共同基金行業的高質量發展，這將有助於加速增長，真正更好地滿足投資者的需求。

So while there is a near-term impact, we actually think this portends well for the overall growth of the industry in China and that we are well positioned to capture some of that growth. To your question around fee rate and what that means, what we could expect from an exit perspective going into the third quarter. We've definitely seen continued declines in our overall net revenue yield, and that's really a function of mix shift dynamics. We gave a lot of color about in the prepared remarks around just the uneven recovery across asset classes and the particular impact of the risk off sentiment in our overall net revenue yield.

因此，雖然存在短期影響，但我們實際上認為這對中國該行業的整體增長來說是個好兆頭，並且我們有能力抓住其中的一些增長。對於您關於費率及其含義的問題，從進入第三季度的退出角度來看，我們可以期待什麼。我們確實看到我們的整體淨收入收益率持續下降，這實際上是混合轉變動態的函數。我們在準備好的評論中對各資產類別的複蘇不均衡以及避險情緒對我們整體淨收入收益率的特殊影響進行了很多闡述。

I'll say we are not seeing fee pressure, but we are seeing high demand for some of our lower fee assets even within our passive assets. We see high demand for some of our lower fee capabilities there. As an example, our 2 largest selling ETFs in the second quarter were the QQQM and the S&P Equal Weight 500. And those -- would both be on the lower end of kind of our fee range for our passive capabilities.

我想說的是，我們沒有看到費用壓力，但我們看到對一些費用較低的資產的需求很高，即使在我們的被動資產中也是如此。我們看到那裡對我們的一些較低費用功能的需求很高。舉個例子，我們第二季度銷量最大的 2 個 ETF 是 QQQM 和 S&P Equal Weight 500。這些 ETF 都屬於我們被動能力費用範圍的下限。

So on the one hand, we're incredibly pleased that we continue to capture flows and we're well positioned in areas of client demand. On the other hand, that does continue to put some pressure on our fee rates. What does it mean going forward? I think we expect some mix shift dynamics to continue. That said, we're pleased with some of the recovery we're seeing in some of our active equity strategies, both in terms of market recovery and diminished headwinds as it relates to redemptions and improving sales particularly as we see performance recover in areas like our developing market strategy. So net-net, I think you should expect continued modest pressure, certainly dependent on market recovery dynamics from here.

因此，一方面，我們非常高興能夠繼續捕獲流量，並且在客戶需求領域處於有利位置。另一方面，這確實繼續給我們的費率帶來一些壓力。繼續前進意味著什麼？我認為我們預計一些混合轉變動態將會持續下去。也就是說，我們對我們在一些主動股票策略中看到的一些復甦感到高興，無論是在市場復甦還是在減少阻力方面，因為這與贖回和銷售改善有關，特別是當我們看到以下領域的業績復甦時我們的發展市場戰略。因此，我認為您應該預期持續的適度壓力，這當然取決於市場的複蘇動態。

Yes. If I can just go back to China and just for -- just to add a couple of comments, a couple of additional comments. I mean, certainly, market sentiment post-COVID has been a little more negative, and it's been slow. But I think the Chinese government's pro-growth reforms and the things that policies and actions underway. We're starting to see some of that demand come back. And I'll just reemphasize something Allison said, which is our strong position there and our conviction about the Chinese asset management markets growth.

是的。如果我能回到中國，只是想添加一些評論，一些額外的評論。我的意思是，當然，疫情過後的市場情緒更加消極，而且進展緩慢。但我認為中國政府的促增長改革以及正在進行的政策和行動。我們開始看到一些需求回升。我只想再次強調艾利森說過的話，那就是我們在這方面的強勢地位以及我們對中國資產管理市場增長的信念。

It is very early days in terms of investors' sophistication and asset classes. It's very early days in retirement markets and our position being there for 20 years with close to $100 billion in assets under management, good performance, a good reputation and a bit of a moat around competition coming in, really bodes well for long-term success in China, and we're looking forward to seeing that for the years to come.

就投資者的成熟度和資產類別而言，現在還處於早期階段。退休市場還處於早期階段，我們已經存在了 20 年，管理著近 1000 億美元的資產，良好的業績、良好的聲譽以及圍繞競爭的一點護城河，這確實是長期成功的好兆頭在中國，我們期待在未來幾年看到這一點。

Great. Appreciate all the color there. And then just as a follow-up on the other revenue line that was down again sequentially. I know last quarter was impacted by lower real estate transaction activity. Was that kind of a similar story here this quarter? And any view on the near term there as well. I appreciate all the comments in your prepared remarks on the real estate side, but just kind of interested in that line near term.

偉大的。欣賞那裡的所有顏色。然後，作為另一條收入線的後續行動，該收入線再次連續下降。我知道上季度受到房地產交易活動減少的影響。本季度也有類似的情況嗎？還有對近期的任何看法。我感謝您在房地產方面準備好的評論中的所有評論，但只是對近期的這條線感興趣。

Sure. Well, some puts and takes in that line item. Real estate transaction fees were actually a little bit higher in that line item and the second quarter is compared to first quarter. But the negative, what was offsetting that was a lower front-end fees. You really just saw a decrease in some of the transaction fees that were driven by a decrease in equity sales. So puts and takes always a little bit of a lot of discrete items in that line item.

當然。好吧，該行項目中有一些放入和取出。該行項目中的房地產交易費用實際上略高，第二季度與第一季度相比。但負面影響是前端費用較低。您實際上只是看到由於股票銷售減少而導致的一些交易費用下降。因此，放置和取出總是該行項目中大量離散項目的一點點。

Okay. Is it fair to assume that next quarter or maybe next couple of quarters would be similar to that level?

好的。假設下個季度或接下來的幾個季度將與該水平類似是否公平？

I think that's a reasonable expectation. I mean it moves so modestly up and down. It's hard to predict that as that's kind of discrete level. But you can probably look at the average over the last couple of quarters, and that would be reasonable.

我認為這是一個合理的期望。我的意思是它上下移動得如此溫和。很難預測這一點，因為這是一種離散的水平。但你可能可以看看過去幾個季度的平均值，這是合理的。

Next question comes from Daniel Fannon with Jefferies.

下一個問題來自杰弗里斯的丹尼爾·範農 (Daniel Fannon)。

So I wanted to take a little bit longer view on the fee rate. Obviously, the mix shift trend has been happening for some time. Allison, you mentioned the current dynamics. But as you look out over the multiple year period, how do you see that -- do you see that trend stabilizing, accelerating or kind of continuing?

所以我想對費率有更長遠的看法。顯然，混合轉變趨勢已經發生了一段時間。艾莉森，你提到了當前的動態。但當你展望多年以來，你如何看待這一趨勢——你認為這種趨勢是穩定、加速還是持續？

And then as you announced on the cost side, are you adjusting the expense base fast enough to deal with that trend? Because clearly, there's been some lag effect of expenses in terms of this mix shift. So excluding beta kind of as you think about that fee rate and then ultimately, the expense base, how we should think about the appropriate use of scale and margin in that context.

然後，正如您在成本方面宣布的那樣，您是否足夠快地調整費用基礎以應對這一趨勢？因為顯然，就這種混合轉變而言，費用存在一些滯後效應。因此，當您考慮費率以及最終的費用基礎時，排除貝塔，我們應該如何考慮在這種情況下適當使用規模和利潤。

Thanks, Dan. I do think that over time, you start to see the decline in the fee rates start to abate. I don't know where that is exactly, but you can look at where the demand is for some of our higher growth capabilities. And those fee rates, if you look at -- let's take the ETF portfolio and our passive fee rate, that has declined, and that is all available in our disclosures. And that declined to just under 16 basis points in the second quarter, which was down about a basis point. But again, that's because of what I just pointed to in the growth in some of our capabilities that are in high demand that are around a 15 basis point fee rate.

謝謝，丹。我確實認為，隨著時間的推移，您會開始看到費率的下降開始減弱。我不知道具體在哪裡，但你可以看看我們的一些更高增長能力的需求在哪裡。這些費率，如果你看一下——讓我們以 ETF 投資組合和我們的被動費率為例，這些費率已經下降，這些都可以在我們的披露中找到。第二季度下降至略低於 16 個基點，下降了約一個基點。但同樣，這是因為我剛才指出我們的一些能力的增長，這些能力的需求量很大，費用率約為 15 個基點。

If you look at some of the areas of our ETFs capabilities that were trending off in the last couple of quarters, that would be around commodity and currency ETFs that are going to be on the higher side. And once we see more of a return to a risk on mentality, we would expect that to come back. So I think, look, our passive fee rate, I think it probably is in that 16-ish basis points over a long-term horizon.

如果你看看我們的 ETF 能力在過去幾個季度呈下降趨勢，就會發現商品和貨幣 ETF 的表現將會較高。一旦我們看到更多的風險心態回歸，我們預計這種情況將會回歸。所以我認為，從長遠來看，我們的被動費率可能會在 16 個基點左右。

China has obviously had some pressure given the fee cuts we just talked about, but that is on the much higher side, much higher than the firm average, and we expect to see continued strong growth in China as the economy recovers there. Our private market capabilities would be on the higher side, too.

考慮到我們剛才談到的費用削減，中國顯然面臨著一些壓力，但壓力要大得多，遠高於公司平均水平，我們預計隨著中國經濟的複蘇，中國將繼續強勁增長。我們的私人市場能力也會更高。

You kind of take all of that, you think about the barbelling and one would think that, yes, the fee rate starts to even out roughly, maybe diminishes a bit more as we continue to see some of this mix shift, and we continue to see the growth of our passive capabilities. But over time, over a longer-term time horizon, it should start to abate and even out a bit. Scale, getting to scale and our passive capabilities has been something we've talked about a lot, something we continue to be very focused on and getting to the second part of your question, aligning our expenses around that.

你考慮了所有這些，你考慮一下槓鈴，人們會認為，是的，費用率開始大致趨於平衡，隨著我們繼續看到這種混合變化，也許會減少一點，並且我們繼續看看我們被動能力的增長。但隨著時間的推移，從長遠來看，它應該開始減弱甚至趨於平衡。規模、擴大規模和我們的被動能力一直是我們經常談論的話題，我們仍然非常關注這一點，並討論你問題的第二部分，圍繞這一點調整我們的開支。

It takes some time to reposition an expense base that was built to support who the company was 7, 8, 10 years ago to where we think it will be 7, 8, 10 years from now. And it's really part of the methodical work we are undertaking now as we continue to simplify the organization and continue to look at how we can reposition our overall organizational structure as well as our technology and operational structure to support where the business is going and continue to really create scale there and focus on the marginal profitability improvements, we think we can garner as we get to scale in some of those asset classes.

需要一些時間來重新定位為支持公司 7、8、10 年前的情況而建立的費用基礎，以達到我們認為 7、8、10 年後的水平。這確實是我們現在正在進行的有條不紊工作的一部分，我們將繼續簡化組織，並繼續研究如何重新定位我們的整體組織結構以及我們的技術和運營結構，以支持業務發展方向並繼續發展。真正在那裡創造規模並專注於邊際盈利能力的提高，我們認為，當我們在某些資產類別中擴大規模時，我們可以獲得收益。

And I think as Allison was alluding to on the revenue yield, client demands and broadening of markets, which we talked about in our comments are 2 of the things that have a major impact on the revenue yield, and Allison pointed some of those. In terms of the scale and the expense base, the scale of the company, we're certainly going to benefit from our side.

我認為，正如艾里森提到的收入收益率、客戶需求和市場拓寬，我們在評論中談到的是對收入收益率產生重大影響的兩個因素，艾里森指出了其中的一些。就規模和費用基礎、公司規模而言，我們肯定會從我們這邊受益。

I think as Allison was alluding to, we're going to continue to look at the different component parts of our business and what's required from an expense-based standpoint, in an ETF franchise versus a private markets franchise are going to be -- are obviously different. So we're going to continue to look business by business, not just our global scale.

我認為，正如艾利森所提到的，我們將繼續審視我們業務的不同組成部分，以及從基於費用的角度來看，ETF 特許經營權與私募市場特許經營權的要求將是——顯然不同。因此，我們將繼續逐個業務來考慮，而不僅僅是我們的全球規模。

And in that, I think the concluding comments as I would say, we feel very confident we can improve operating margin from here. And that remains our area of focus. The challenge and the really fast remixing of our asset base over the last 12 to 18 months, has been a pretty tough challenge to contend with. At the same time, we've been making deliberate changes along the way, and we think we're really well positioned to capture, really start to improve operating leverage over time, and make sure that the expense structure of the business is repositioned to really support what we think the revenue environment will be for the next few years.

在這一點上，我認為正如我所說的結論性意見，我們非常有信心能夠從這裡提高營業利潤率。這仍然是我們關注的領域。在過去 12 到 18 個月裡，我們的資產基礎的快速重組一直是一個相當艱鉅的挑戰。與此同時，我們一路上一直在進行深思熟慮的改變，我們認為我們確實處於有利地位，能夠隨著時間的推移真正開始提高運營槓桿，並確保業務的費用結構重新定位為真正支持我們對未來幾年收入環境的看法。

I'll turn it back over to you.

我會把它還給你。

All right. Well, we'll just wrap it up by saying thank you, and we look forward to speaking with everybody next quarter. Have a great rest of the day.

好的。好吧，我們將通過說謝謝來結束它，我們期待著下個季度與大家交談。祝你這一天好好休息。

Thank you.

謝謝。

Thank you. And that concludes today's conference. You may all disconnect at this time.

謝謝。今天的會議到此結束。此時你們都可以斷開連接。