Silvercrest Asset Management Group Inc (SAMG) 2024 Q2 法說會逐字稿

Good morning, and welcome to the Silvercrest Asset Management Group Inc. Q2 2024 earnings conference call. (Operator instructions) Please note, this event is being recorded. Before we begin, let me remind you that during today's call, certain statements made regarding our future performance are forward-looking statements. They are based on current expectations and projections, which are subject to a number of risks and uncertainties, and many factors could cause actual results to differ materially from the statements that are made.

早安，歡迎參加 Silvercrest Asset Management Group Inc. 2024 年第二季財報電話會議。（操作員說明）請注意，正在記錄此事件。在我們開始之前，讓我提醒您，在今天的電話會議中，有關我們未來業績的某些陳述屬於前瞻性陳述。它們基於目前的預期和預測，受到許多風險和不確定性的影響，許多因素可能導致實際結果與所做的陳述有重大差異。

Those factors are disclosed in our filings with the SEC under the caption Risk Factors. For all such forward-looking statements, we claim the protection provided by the Litigation Reform Act of 1995. All forward-looking statements made on this call are made as of the date hereof, and Silvercrest assumes no obligation to update them. I would now like to turn the conference over to Rick Hough, Chairman and CEO of Silvercrest. Please go ahead.

這些因素在我們向美國證券交易委員會提交的文件中的「風險因素」標題下進行了揭露。對於所有此類前瞻性陳述，我們要求 1995 年《訴訟改革法案》提供保護。本次電話會議中所做的所有前瞻性陳述均截至本新聞稿發布之日作出，Silvercrest 不承擔更新這些陳述的義務。我現在將會議交給 Silvercrest 董事長兼執行長 Rick Hough。請繼續。

Thank you so much, and thank you for joining us for the second quarter earnings call of 2024. Generally supportive markets and economic conditions continued their progress since the fourth quarter of 2023, but market leadership remained unusually narrow during the second quarter. Large cap growth primarily drove higher markets, a persistent trend of the market's recovery since 2022. Other segments, including large cap value and small cap, actually declined during the second quarter, which negatively affected Silvercrest's assets.

非常感謝您，也感謝您參加我們的 2024 年第二季財報電話會議。自 2023 年第四季以來，整體有利的市場和經濟狀況持續取得進展，但第二季的市場領先地位仍然異常狹窄。大盤股的成長主要推動了市場走高，這是自 2022 年以來市場復甦的持續趨勢。其他板塊，包括大盤股和小型股，實際上在第二季度出現了下降，這對 Silvercrest 的資產產生了負面影響。

It's important to note that Silvercrest's US value strategies and US small-cap growth strategies continue to perform well on a relative basis. Broader market participation benefits Silvercrest long term due to the firm's diversified wealth management business and the firm's exposure to the small-cap institutional business. The markets have more recently broadened during the quarter and, if sustained, should improve Silvercrest's future assets under management and our growth.

值得注意的是，Silvercrest 的美國價值策略和美國小型成長策略相對而言持續表現良好。由於該公司多元化的財富管理業務以及對小型機構業務的投資，更廣泛的市場參與對 Silvercrest 而言長期有利。市場最近在本季度有所擴大，如果持續下去，應該會改善 Silvercrest 未來管理的資產和我們的成長。

Silvercrest's discretionary AUM decreased $1.1 billion during the quarter to $21.6 billion, primarily due to the loss of institutional mandates. New client accounts and relationships during the quarter were modest but positive. Total AUM at the end of the second quarter was $33.4 billion, an increase modestly at 4.7% year-over-year from the second quarter of 2023.

Silvercrest 的可自由支配資產管理規模在本季減少了 11 億美元，至 216 億美元，這主要是由於機構授權的喪失。本季的新客戶帳戶和關係雖然溫和但積極。第二季末的總資產管理規模為 334 億美元，較 2023 年第二季較去年同期小幅成長 4.7%。

Quarterly revenue year-over-year increased $1.3 million or 4.2%. Silvercrest has been investing in the future growth of the business, including on higher compensation. As a result, while top line revenue has increased, most metrics of the business are down due to higher expenses. On our last call, I mentioned that Silvercrest has never had more business opportunities underway.

季度營收年增 130 萬美元，成長 4.2%。Silvercrest 一直在投資於業務的未來成長，包括提高薪酬。因此，雖然總收入有所增加，但由於費用增加，大多數業務指標都下降了。在我們上次通話中，我提到 Silvercrest 從未有過如此多的商機。

We have made and will continue to make investments to drive future growth in the business, including value-added hires. During the second quarter, we announced the hiring of a high-quality, well-known global equity investment team to complement our international strategies. We are excited about the potential for significant institutional mandates in future quarters, raising Silvercrest's visibility globally with institutions and families alike.

我們已經並將繼續進行投資，以推動業務的未來成長，包括增值招聘。第二季度，我們宣布聘請高素質、知名的全球股權投資團隊，以補充我們的國際化策略。我們對未來幾季重大機構授權的潛力感到興奮，這將提高 Silvercrest 在全球機構和家庭中的知名度。

We also have invested in the new business development professional and market leader in the Southeast, focused on serving ultra-high net worth families and family offices. We expect to make more hires to complement our outstanding professional team and to drive future growth. Silvercrest continues to accrue a higher interim percentage of revenue for compensation.

我們也投資了東南部的新業務開發專業人士和市場領導者，專注於服務超高淨值家庭和家族辦公室。我們期望招募更多員工來補充我們優秀的專業團隊並推動未來的成長。Silvercrest 繼續累積更高的中期收入百分比用於補償。

We will adjust variable compensation levels to match these important investments in the business, and I will keep you informed of our plans. Silvercrest's pipeline of new institutional business opportunities decreased during the second quarter to $1 billion. The pipeline remains up from the fourth quarter of last year and, importantly, the firm's pipeline does not yet include potential mandates for our new global equity team, which is a high capacity for significant inflows.

我們將調整可變薪酬水平以配合這些重要的業務投資，我將隨時向您通報我們的計劃。Silvercrest 的新機構業務機會管道在第二季減少至 10 億美元。該管道仍比去年第四季度有所增加，重要的是，該公司的管道尚未包括我們新的全球股權團隊的潛在授權，該團隊具有大量資金流入的高能力。

We continue to expect near-term positive flows to result from opportunities for both our institutional equity and OCIO capabilities in that pipeline. As a high-end wealth and asset management firm, Silvercrest serves families and institutions from across the globe. Despite headline news of international tensions, we see substantial new opportunities globally for a firm with our high-quality capabilities coupled with superior client service.

我們繼續預計，我們的機構股權和 OCIO 能力在該管道中的機會將帶來近期的積極資金流。作為一家高端財富和資產管理公司，Silvercrest 為全球各地的家庭和機構提供服務。儘管國際緊張局勢不斷成為頭條新聞，我們仍然看到，對於一家擁有高品質能力和卓越客戶服務的公司來說，全球範圍內存在著巨大的新機會。

On July 30 of this year, the company's Board of Directors approved an increase of approximately 5% of the company's quarterly dividend, rising from $0.19 per share to $0.20 per share. That dividend will be paid on or about September 20 to shareholders of record.

今年7月30日，公司董事會批准增加公司季度股利約5%，從每股0.19美元上漲至每股0.20美元。該股將於 9 月 20 日左右支付給登記在冊的股東。

With that, I'll turn things over to Scott Gerard, and then we'll have questions and commentary. Thank you.

接下來，我會將事情轉交給斯科特·傑拉德，然後我們將提出問題和評論。謝謝。

Thanks, Rick. Again, as disclosed in our earnings release for the second quarter, discretionary AUM as of June 30 of this year was $21.6 billion and total AUM as of the same period was $33.4 million. Revenue for the quarter was $31 million and reported consolidated net income for the quarter was $4.4 million.

謝謝，瑞克。同樣，正如我們在第二季財報中所揭露的那樣，截至今年 6 月 30 日，可自由支配的資產管理規模為 216 億美元，同期的總資產管理規模為 3,340 萬美元。該季度收入為 3,100 萬美元，報告的該季度合併淨利潤為 440 萬美元。

Looking further into the quarter, revenue increased year-over-year by $1.3 million or 4.2%, primarily driven by increased discretionary AUM resulting from market appreciation partially offset by net client outflows. Expenses for the quarter increased year-over-year by $2.5 million or 10.6%, primarily driven by increased compensation and benefits expense and, to a lesser extent, increased general and administrative expenses.

進一步展望本季度，營收年增 130 萬美元，即 4.2%，主要是由於市場升值導致可自由支配資產管理規模增加，但部分被客戶淨流出所抵銷。本季費用年增 250 萬美元，或 10.6%，主要是由於薪資和福利費用增加，以及較小程度的一般和管理費用增加。

Compensation and benefits expense for the quarter increased year-over-year by $1.7 million or 10.4%, primarily due to an increase in the accrual for bonuses. Based on the increased recurring cash compensation ratio over the past two years, due in part to the investment in the next generation of portfolio managers and other associates, we increased the amount of the interim variable compensation accrual to potentially narrow the adjustment in the fourth quarter.

本季的薪資和福利費用年增 170 萬美元，即 10.4%，主要是由於應計獎金增加。基於過去兩年經常性現金薪酬比率的增加，部分原因是對下一代投資組合經理和其他同事的投資，我們增加了臨時可變薪酬應計金額，以可能縮小第四季度的調整範圍。

Also, compensation and benefits expense for the quarter increased year-over-year as a result of increases in salaries due to merit-based increases. General and administrative expenses increased by $0.7 million or approximately 11.3%, primarily due to increases in professional fees and recruiting expenses. Reported net income attributable to Silvercrest or the Class A shareholders for the second quarter was approximately $2.7 million or $0.28 per basic and diluted Class A share.

此外，由於績效加薪導致薪資增加，本季的薪資和福利費用較去年同期增加。一般及行政費用增加 70 萬美元，約 11.3%，主要是由於專業費用和招聘費用的增加。第二季歸屬於 Silvercrest 或 A 類股東的報告淨利潤約為 270 萬美元，即每股基本和稀釋 A 類股 0.28 美元。

Adjusted EBITDA, which we define as EBITDA without giving effect to equity-based compensation expense, and noncore and nonrecurring items, was approximately $7.2 million or 23.3% of revenue for the quarter. Adjusted net income, which we define as net income without giving effect to noncore and nonrecurring items and income tax expense assuming a corporate rate of 26%, was approximately $4.4 million for the quarter or $0.31 and $0.30 per adjusted basic and diluted earnings per share, respectively.

調整後 EBITDA（我們將其定義為不考慮股權薪酬費用以及非核心和非經常性項目的 EBITDA）約為 720 萬美元，佔本季營收的 23.3%。調整後淨利潤（我們將其定義為不考慮非核心和非經常性項目以及假設公司稅率為26% 的所得稅費用的淨利潤），本季度約為440 萬美元，即調整後基本每股收益和稀釋每股收益分別為0.31 美元和0.30 美元。

Adjusted earnings per share is equal to adjusted net income divided by the actual Class A and Class B shares outstanding as of the end of the reporting period for basic adjusted EPS and, to the extent dilutive, we add unvested restricted stock units and nonqualified stock options to the total shares outstanding to compute diluted adjusted EPS.

調整後每股收益等於調整後淨利潤除以截至報告期末已發行的實際A 類和B 類股票的基本調整後每股收益，並且在稀釋程度內，我們添加了未歸屬的限制性股票單位和非合格股票選擇權計算稀釋調整後每股盈餘的流通股總數。

Looking at the first half, revenue increased year-over-year by $2.1 million or 3.6%, again, primarily driven by increased discretionary AUM resulting from market appreciation, partially offset by net client outflows. Expenses for the first half increased year-over-year by $4.2 million or 9.1%, primarily driven by increased compensation expense and, to a lesser extent, increased G&A.

回顧上半年，營收年增 210 萬美元，即 3.6%，這主要是由於市場升值導致可自由支配資產管理規模增加，部分被客戶淨流出所抵銷。上半年費用年增 420 萬美元，即 9.1%，主要是由於薪酬費用增加以及一般管理費用增加所致。

Compensation and benefits for the first half increased year-over-year by $2.9 million or 8.7% primarily due to an increase again in the accrual for bonuses. Compensation and benefits also increased for the first half year-over-year due to salary increases. G&A increased by $1.3 million or approximately 9.9%, primarily due to increases in travel and entertainment expenses, occupancy expense, professional fees and recruiting expenses.

上半年薪資和福利年增 290 萬美元，即 8.7%，主要是由於應計獎金再次增加。由於薪資上漲，上半年薪資和福利也較去年同期增加。G&A 增加了 130 萬美元，約 9.9%，主要是由於差旅和娛樂費用、入住費用、專業費用和招聘費用的增加。

Reported net income attributable to Silvercrest for the first half was approximately $5.7 million or $0.60 per basic and diluted Class A share. Adjusted EBITDA was approximately $14.7 million or 24% of revenue for the first half. Adjusted net income was approximately $9.1 million for the first half or $0.65 and $0.63 per adjusted basic and diluted EPS, respectively.

上半年報告的 Silvercrest 淨利潤約為 570 萬美元，即每股基本和稀釋 A 類股 0.60 美元。調整後 EBITDA 約為 1,470 萬美元，佔上半年營收的 24%。上半年調整後淨利潤約為 910 萬美元，調整後基本每股收益和稀釋每股收益分別為 0.65 美元和 0.63 美元。

Looking at the balance sheet, total assets were approximately $177.6 million as of June 30 of this year compared to $199.6 million as of the end of last year. Cash and cash equivalents at June 30 of this year were approximately $49.9 million compared to $70.3 million at the end of last year. As of June 30, we had no borrowings, but we did renew the term portion of our credit facility for three years. Lastly, total Class A stockholders' equity was approximately $85.3 million at June 30 of this year.

從資產負債表來看，截至今年 6 月 30 日，總資產約為 1.776 億美元，而去年年底的總資產為 1.996 億美元。截至今年 6 月 30 日，現金和現金等價物約為 4,990 萬美元，而去年年底為 7,030 萬美元。截至 6 月 30 日，我們沒有任何借款，但我們確實將信貸安排的期限部分續展了三年。最後，截至今年 6 月 30 日，A 類股東權益總額約 8,530 萬美元。

That concludes my remarks, and we'll turn it over for Q&A.

我的發言到此結束，我們將進行問答。

Thank you, Scott. We're available now for questions.

謝謝你，斯科特。我們現在可以回答問題。

(Operator instructions)

（操作員說明）

Sandy Mehta, Evaluate Research.

桑迪·梅塔，評估研究。

Good morning, Rick and Scott, relative performance has been strong. So what exactly are you hearing from consultants and institutional clients? And what is causing the minor outflows?

早上好，里克和斯科特，相對表現一直很強勁。那麼您從顧問和機構客戶到底聽到了什麼呢？是什麼導致了小額資金外流？

Thank you. So yes, relative performance has been strong, thankfully. In particular, where we've seen some attrition in the value book, if you look at the trends over the past two years or so, some of it is due to fully funded plans, so that's a shift in allocation, not really something you can do about. We did a great job, and that just happens. There were some long-term clients, so that occurred.

謝謝。所以，是的，值得慶幸的是，相對錶現一直很強勁。特別是，我們在價值帳簿中看到了一些損耗，如果你看看過去兩年左右的趨勢，你會發現其中一些是由於資金充足的計劃造成的，所以這是分配的轉變，而不是你真正想要的。我們做得很好，而這一切就發生了。有一些長期客戶，所以就發生了這種情況。

The particular outflow that we saw in the second quarter this year was a very large institution that consolidated, their managers have been removed most of them. They had done this two years ago, and we made the cut then, but they brought a lot of their money management internally to them. So that was an unusual change for an institution of this type. We worked with them a very long time. And as you point out, our performance for them was quite good.

我們在今年第二季度看到的特別的資金外流是一家非常大的機構進行了整合，他們的大部分經理都被撤職了。他們兩年前就這麼做了，我們當時就削減了開支，但他們把很多資金管理都交給了他們內部。因此，對於此類機構來說，這是一個不尋常的變化。我們與他們合作了很長時間。正如您所指出的，我們為他們提供的表現非常好。

So look, that kind of thing is just going to happen in the business. We have had in certain places, very short-term performance, relative underperformance, but that's reversed. We've stayed in close touch with our institutions. And I can safely say we have not lost institutional business due to performance.

所以看，這種事情在商業上將會發生。我們在某些​​地方的表現非常短期，表現相對較差，但情況卻相反。我們一直與我們的機構保持密切聯繫。我可以有把握地說，我們並沒有因為業績而失去機構業務。

We have also seen inflows, and we did last quarter. It just did not offset the outflow from that institutional investor from wealth investors and others. That has been a net positive for the firm. There is a tremendous amount of tension, as you might expect, more so on growth, just given the momentum and growth in the market.

我們也看到了資金流入，上個季度就是這樣。它只是沒有抵消財富投資者和其他機構投資者的資金流出。這對公司來說是一個淨積極的結果。正如您可能預料到的那樣，鑑於市場的動力和成長，存在著巨大的緊張局勢，尤其是成長方面的緊張局勢。

The value pipeline is very anemic and low right now. It's just not in favor. That will change. These things come in cycles. There just has to be something of a regime change in the markets. People do need to be allocated towards value. And you might even argue the more growth runs, the more they ought to. But of course, that hasn't been the case for a very sustained period of time as we all know.

目前價值管道非常貧乏且較低。只是不被贊成而已。這將會改變。這些事情是循環發生的。市場上一定會發生某種政權更迭。人們確實需要按照價值進行分配。你甚至可能會說，成長跑得越多，他們就應該跑得越多。但當然，眾所周知，這種情況已經持續了一段時間。

Small cap remains to be a very favorable asset class. Small cap value portfolio is very strong. Some of the capacity that we have can be filled with higher revenue-paying clients. Small cap growth has been very strong. We have an excellent pipeline there, so that bodes well.

小型股仍然是非常有利的資產類別。小盤價值投資組合非常強勁。我們擁有的一些產能可以滿足高收入客戶的需求。小型股成長非常強勁。我們在那裡有一個很好的管道，所以這是個好兆頭。

And then to finish up, I think a comprehensive answer for you, the new global team, the equity team that I mentioned in my remarks that we've hired, is in the middle of some of the strongest flows that are happening right now from consultants and institutions when you look outside the United States. That is a very strong heavy demand for that capability.

最後，我認為對你們來說，一個全面的答案是，新的全球團隊，我在發言中提到的我們聘用的股權團隊，正處於目前正在發生的一些最強勁的流動之中。美國以外的地區時，您會看到顧問和機構。這是對這種能力的非常強烈的需求。

In terms of this new global strategy and opportunity, can you quantify? I mean, looking out a few years without obviously making predictions, but is this a multibillion-dollar opportunity? Any guidance you can give on that or your expectations or hopes?

對於這個新的全球策略和機遇，您能能量化一下嗎？我的意思是，展望未來幾年，但沒有做出明顯的預測，但這是否是一個價值數十億美元的機會？您可以就此提供任何指導或您的期望或希望嗎？

Yes. I'm careful with that, as you know, and pretty conservative. It's definitely a multibillion-dollar opportunity in the next few years, a very large opportunity. I would not want to get more specific than that. And if all goes well, given the potential for that capability, I think we'll be well on our way within the next few quarters, to be honest.

是的。如你所知，我對此很謹慎，而且相當保守。這絕對是未來幾年價值數十億美元的機會，非常大的機會。我不想說得更具體。如果一切順利，考慮到這種能力的潛力，老實說，我認為我們將在接下來的幾個季度內順利前進。

But I have purposely not put that capability into our pipeline because it's new, and we're just developing and building that pipeline by meeting with potential allocators and consultants that would be making allocations to this mandate.

但我故意沒有將該能力放入我們的管道中，因為它是新的，我們只是透過與將為該任務分配資金的潛在分配者和顧問會面來開發和建造該管道。

One thing that is very encouraging to us as a firm, but also for that capability, is that the relationships that have come along with this team include large consultants with whom we have not done much business, and that's exciting to develop new relationships that cannot only allocate to this new capability, but would certainly find our existing value and growth capabilities as well as our international capability and emerging markets capability worthy of allocations.

作為一家公司，對我們來說非常令人鼓舞的一件事，也是對這種能力而言，是與這個團隊建立的關係包括與我們沒有做太多業務的大型顧問，而建立新的關係是令人興奮的，而這些關係是我們無法做到的。

We're out of the incubation period for the international and emerging markets capabilities we already had. This team complements that, and those strategies have excellent long-term track records. In fact, one of them was just awarded one of the top performance awards from PSN for the last three rolling periods.

我們已經過了國際和新興市場能力的孵化期。該團隊對此進行了補充，並且這些策略具有出色的長期追蹤記錄。事實上，其中一位剛剛獲得了 PSN 過去三個滾動週期的最高表現獎之一。

So that all looks pretty positive.

所以這一切看起來都很正面。

Okay. Okay. And where are you in terms of OCIO assets now?

好的。好的。就 OCIO 資產而言，您現在處於什麼位置？

OCIO is about $1.5 billion. Some of that's come down a bit. The pipeline is pretty strong there. I think it's about -- it's almost $600 million. It's just under that, I believe.

OCIO 約 15 億美元。其中一些有所下降。那裡的管道非常強大。我認為大約是——將近 6 億美元。我相信它就在下面。

The good news about the OCIO pipeline is that it has been bigger, but it was dominated by a couple of very large potential mandates. The pipeline now is comprised of more variety of institutions. So it's a little bit more reliable before I would say when it was dominated by some bigger opportunities, it was either you got it and the pipeline crashed or you didn't and it looked great. Here, there's a little more diversification. So it will be a little bit more dependable going forward, I think.

關於 OCIO 管道的好消息是，它的規模更大，但它主要由幾個非常大的潛在任務主導。該管道現在由更多種類的機構組成。因此，在我說當它被一些更大的機會主導時，它更可靠一些，要么你得到了它，但管道崩潰了，要么你沒有得到它，但它看起來很棒。在這裡，有更多的多樣化。所以我認為未來會更可靠。

Okay. And one final question. You talked about higher compensation expenses and some of the key new hires. Is that something for modeling purposes? Are we looking at sort of higher compensation than normally you would guide us to this year and next year?

好的。最後一個問題。您談到了更高的薪資支出和一些關鍵的新員工。這是出於建模目的嗎？我們是否正在尋求比您今年和明年指導我們通常更高的薪酬？

Yes, absolutely. Let's just stick to this year. I'll mention next year. But I've been very clear in the past two or three years that we were going to be making investments in the business, both in technology as well as in new talent -- portfolio management teams, business development, and of course, I've hired this new global equity team.

是的，絕對是。咱們還是堅持今年吧。明年我會提到。但在過去的兩三年裡，我一直非常清楚，我們將在業務上進行投資，包括技術和新人才——投資組合管理團隊、業務開發，當然，我」我們聘請了這個新的全球股權團隊。

It's required to grow the company and so that's definitely above that sort of target 55% as a percentage of revenue that we've had for a very long time and have been right hovering around off and under in years of stronger growth. That is still my long-term target for the business. But while we make these investments and before we get flows that justify those investments, we're going to be running 57%, 58%, which we have been.

這是公司發展所必需的，所以這絕對高於我們長期以來的收入百分比 55% 的目標，並且在強勁增長的幾年裡一直在上下徘徊。這仍然是我的長期業務目標。但是，當我們進行這些投資時，在我們獲得證明這些投資合理的流量之前，我們將運行 57%、58%，這就是我們一直以來的情況。

And one reason I want to be clear about it is because we also want to avoid, to the extent we can, a large adjustment in the fourth quarter. As you know, we're accruing towards year-end compensation. We don't have control over the market and some other things. And then we have to true up and that was a large one, as you well know.

我想澄清這一點的原因之一是，我們也希望盡可能避免第四季大幅調整。如您所知，我們正在累積年終薪酬。我們無法控制市場和其他一些事情。然後我們必須做到這一點，這是一個很大的問題，正如你所知。

In other years, there have been large adjustments that were very favorable. Most years, there isn't much of an adjustment at all. So I try to be clear about that. That's where we are. I will update those numbers if justified, so that you will all have some visibility into the future.

在其他年份，也出現了非常有利的大幅調整。大多數年份，根本沒有太大的調整。所以我試著澄清這一點。這就是我們現在的處境。如果有道理的話，我會更新這些數字，讓大家對未來有一定的了解。

As for next year, it kind of depends where we see we are with the current investments, but it also depends on some of these flows that I expect to come in. Keep in mind, I can be hiring and grow faster than those compensation expenses. We actually did that just prior to the COVID period and into it, and we grew right through those expenses. Had we not grown, you would have seen higher compensation expenses as a percentage of revenue higher than what we're running right now with these investments.

至於明年，這在某種程度上取決於我們對當前投資的看法，但也取決於我預計會出現的一些資金流入。請記住，我可以比這些補償費用更快地招募和成長。事實上，我們在新冠疫情爆發之前就做到了這一點，並透過這些費用實現了成長。如果我們沒有成長，你會看到更高的薪資支出佔收入的百分比高於我們現在透過這些投資進行的支出。

We just happen to grow faster than we were making the investments. So it was a bit hidden for our investors that was great. But that's not the situation we're in right now, especially when you're talking about such a narrow leadership in climbing markets. So it will be more evident that we need to grow into these compensation expenses. I hope that's very clear.

我們只是碰巧成長速度快於投資速度。所以這對我們的投資者來說有點隱藏，這很好。但這不是我們現在所處的情況，尤其是當你談論的是攀登市場中如此狹窄的領導地位時。因此，更明顯的是，我們需要增加這些補償費用。我希望這是非常清楚的。

Happy to talk more about it or as much as you need.

很樂意談論更多或根據您的需求進行討論。

(Operator instructions)

（操作員說明）

Christopher Marinac, Janney Montgomery Scott.

克里斯多福·馬裡納克，珍妮·蒙哥馬利·斯科特。

Thanks for taking the questions this morning for everybody. Just to go on to the last question, just to go one step further. Is it unusual to accrue extra salary and bonuses this time of year? Or is it normal or you're just doing a higher amount?

感謝您今天早上向大家提出問題。繼續最後一個問題，只是更進一步。每年這個時候累積額外薪水和獎金是否不尋常？或者這是正常的還是你只是做了更多的事情？

I would say it's normal. I think last earnings call, certainly the ones before that, I certainly mentioned I'd be doing this at some point and hit earnings in this way. I think I've talked about it for a couple of years. But I believe our last earnings call, Christopher, maybe it was the one before that, I specifically mentioned accruing more at this level. I would say it's not unusual.

我想說這很正常。我認為上次的財報電話會議，當然是之前的財報電話會議，我當然提到我會在某個時候這樣做，並以這種方式實現盈利。我想我已經談論這個問題好幾年了。但我相信我們的上一次財報電話會議，克里斯托弗，也許是之前的一次，我特別提到了在這個水平上應計更多。我想說這並不罕見。

We kind of set the standard, and we want to make the adjustment as we hire now instead of a big adjustment later in the year. I'd rather you all see what is happening than stick to our standard 55% and then get to the fourth quarter and say, Oops, we made these investments we've been talking about. It's actually 58%, or whatever. So no, I don't think it's unusual. Scott will have a little more detail from his perspective.

我們設定了標準，我們希望在現在招募時進行調整，而不是在今年稍後進行大幅調整。我寧願你們都看到正在發生的事情，而不是堅持我們的 55% 標準，然後到第四季說，哎呀，我們做了我們一直在談論的這些投資。實際上是58%，或其他什麼。所以不，我不認為這有什麼不尋常。斯科特將從他的角度提供更多細節。

But I would also point out that, look, if I'm going to be off the mark with some other hires, I'm going to let everyone know. Go ahead, Scott.

但我還要指出，如果我與其他一些員工的做法不符，我會讓大家知道。來吧，斯科特。

Yes, Chris. Basically, it's always been our policy and it's the prudent approach that based on estimates that we have, we monitor the variable comp adjustment accordingly. Given that we are in this mode of hiring, and it's a little bit more dynamic, it's required us to take a more introspective look and evaluate that ratio. So certainly, in this environment, it's prudent to adjust that quarterly.

是的，克里斯。基本上，這一直是我們的政策，也是基於我們的估計的審慎方法，我們相應地監控可變薪酬調整。鑑於我們處於這種招募模式，並且更具活力，因此需要我們更加內省並評估該比率。因此，在這種環境下，每季調整一次是謹慎的做法。

That all makes sense. Just want to go back through the pipeline changing from March to June. It feels like you had maybe an unusually strong first quarter, and so you gave that back. But in the big picture, you still have a pipeline. It's still going to contribute positively.

這一切都是有道理的。只是想回到從三月到六月的管道。感覺你的第一季可能異常強勁，所以你回饋了這一點。但從大局來看，你仍然有一條管道。它仍然會做出積極的貢獻。

So I guess I just want to put the weight or maybe not as much weight on this pipeline change. Just wondered if you can talk through that.

所以我想我只是想對這個管道變化給予重視，或者也許不那麼重視。只是想知道你是否可以談談這個問題。

Okay. Do you mean the fact that it decreased? I just want to be --

好的。你的意思是它減少了嗎？我只想成為--

Yes.

是的。

Okay. There have been times when we adjusted it downward not just because we have won or lost a mandate, but we're very rigorous about how we manage and measure it. And sometimes something that we're actively working on falls outside the six-month window where we think the action will occur. And we'll take it out of the pipeline. This is a pipeline meant to be things that are very strong for the next six months. And so it can come down for that alone.

好的。有時我們會向下調整它，不僅是因為我們贏得或失去了授權，而且我們對管理和衡量它的方式非常嚴格。有時，我們正在積極的工作超出了我們認為將採取行動的六個月期限。我們會將其從管道中刪除。這是一個在未來六個月內非常強大的管道。因此，僅此一點就可以降低。

The real reason it came down, not only did we get a couple of mandates, but it also had a really chunky one in there too and so you had a little more variation or variability in not getting one of them, which in fact happens, I believe, in the OCIO book. So it just -- that was not successful, came out of the pipeline. That's why I was commenting on the fact that the pipeline now is a little more diversified.

它失敗的真正原因是，我們不僅獲得了幾項任務，而且其中還有一項非常龐大的任務，因此，如果沒有獲得其中一項任務，就會有更多的變化或變化，這實際上發生了，我相信，在 OCIO 的書中。所以它只是──沒有成功，就從管道中出來了。這就是為什麼我評論現在的管道更加多樣化這一事實。

It's not going to be kind of on or off, if you will, hot or cold. It's a little more dependable. If we win some and lose some, it's not going to dramatically move the pipeline in quite the same way. It is higher than the fourth quarter. And of course, we've seen it much lower than this.

如果你願意的話，它不會是開或關，熱或冷。這樣比較可靠一點。如果我們贏了一些，輸了一些，它不會以完全相同的方式顯著地改變管道。高於第四季。當然，我們已經看到它比這低得多。

So it's a pretty stable strong one. The only thing I would note about it that's a little unusual is that there really isn't anything in the value pipeline right now that's usually a significant contributor to the overall pipeline. What we're really seeing it in is OCIO and growth as well as international and emerging markets. What I did not include, just to be clear again, is the potential in the global equity strategy for this team that we've just hired, the performance that was ported over to Silvercrest is excellent. The conversations with allocators has been superb.

所以這是一個相當穩定的強者。我要注意的唯一一點有點不尋常的是，目前價值管道中確實沒有任何東西通常對整個管道有重大貢獻。我們真正看到的是 OCIO 和成長以及國際和新興市場。我沒有包括在內，只是再次明確的是，我們剛剛聘請的團隊在全球股權策略方面的潛力，移植到 Silvercrest 的表現非常出色。與分配者的對話非常精彩。

In fact, we just had marketing people come back from almost two weeks in Australia. As you know, those are very substantial pools of capital that are potentially interested in this kind of capability. I just don't want to put it into a pipeline until we get more of a feel of how that's developing. But overall, I would say to give more color on it, it's a strong pipeline, it's up from fourth quarter of last year very nicely, and it's a little more diversified in terms of the size of the mandates, which is actually helpful.

事實上，我們的行銷人員剛從澳洲回來了近兩週。如您所知，這些資金池非常龐大，可能對這種能力感興趣。我只是不想將其放入管道中，直到我們更多地了解它的發展。但總的來說，我想說的是，要給它更多的色彩，它是一個強大的管道，比去年第四季度增長得非常好，而且在任務規模方面更加多樣化，這實際上是有幫助的。

Understood, that's great. Last question for me just goes back to sort of the changes in the equity market the last sort of 4, 5 weeks that we've seen post June 30. Has any of that sort of resonated? And I know it's probably early to comment, but just kind of curious on how you have interpreted that here in recent weeks.

明白了，太好了。我的最後一個問題可以追溯到 6 月 30 日之後的最後 4、5 週內股市的變化。有這樣的共鳴嗎？我知道現在發表評論可能還為時過早，但只是有點好奇你最近幾週是如何解釋這一點的。

Yes, it's resonated. I think I was running around the halls here. It's very frustrating to see so-called strong markets and have such narrow leadership in a recovery after a weak equity year of 2022. And we can build a great business, have wonderful intellectual capital. And meaningful size of assets, capital gain or loss in a given quarter or a year has a big effect on our revenue. And frankly, it's really frustrating when -- like last year, you're talking about seven stocks.

是的，它引起了共鳴。我想我當時正在這裡的大廳裡跑來跑去。在 2022 年股市疲弱之後，看到所謂的強勁市場，但在復甦中的領先優勢如此之小，真是令人沮喪。我們可以建立一個偉大的企業，擁有優秀的智力資本。特定季度或一年內的資產規模、資本利得或損失對我們的收入有很大影響。坦白說，像去年一樣，當你談論七隻股票時，這確實令人沮喪。

The market broadens out in the fourth quarter. Okay, that's great. We went through it, and then it narrows back down again. So the broadening out that we've seen was really welcome, is very helpful, that we've seen in the third quarter. And then, of course, the other thing is to see small cap finally get it to do. Hopefully, that can stick.

第四季市場範圍擴大。好的，太好了。我們經歷了它，然後它又縮小了。因此，我們在第三季看到的業務範圍擴大確實令人歡迎，也非常有幫助。當然，另一件事是看到小型股最終能做到這一點。希望這能堅持下去。

That's really important for our institutional business. We have superb small-cap capabilities across international growth and value. They maintain really good relative performance. It's capacity constrained. I mentioned that in my opening remarks. Those are very important to this firm from existing AUM and the revenue effect to potential future mandates.

這對我們的機構業務來說非常重要。我們在國際成長和價值方面擁有卓越的小型股能力。他們保持著非常好的相對錶現。其容量有限。我在開場白中提到了這一點。從現有的資產管理規模以及對未來潛在授權的收入影響來看，這些對該公司來說非常重要。

So seeing that regime change is really welcome. It's very good for our business. Your guess is as good as mine and whether or not that can be sustained, right? We've been waiting for small caps to catch up and prove their worth for a very long time. We can get into why that may be in our economy with interest rates and all the rest.

因此，看到政權更迭確實是值得歡迎的。這對我們的生意非常有利。你的猜測和我的一樣好，是否可以持續，對吧？很長一段時間以來，我們一直在等待小型股迎頭趕上並證明其價值。我們可以透過利率和其他因素來了解為什麼我們的經濟會出現這種情況。

But the regime change, at least that we've seen recently, has been very welcome. I will say just one more comment, Chris. It's a little tiresome for there to be so much focus on the Fed instead of on fundamental businesses and earnings of companies and small cap companies. That's ultimately what has to happen. And yes, the Fed matters, of course, but it can't be all about that for a healthy economy and market.

但政權更迭，至少我們最近看到的，是非常受歡迎的。我只想再說一句評論，克里斯。如此多的注意力集中在美聯儲而不是基本業務以及公司和小型股公司的盈利上，這有點令人厭煩。這就是最終必鬚髮生的事情。是的，聯準會當然很重要，但對於健康的經濟和市場而言，這並不能僅此而已。

It's got to be ultimately about a growing economy and earnings. And we've just been in such an unusual period. I would argue even since the financial crisis, where certain values in the market, I would argue, have been somewhat distorted and inverted, whether that's capital allocation or the nature of what asset classes are in favor. But that's enough of me on my soapbox. I hope that answers your question.

最終必須與經濟和收入的成長有關。我們剛剛經歷了一個不尋常的時期。我認為，即使自金融危機以來，市場中的某些價值觀，無論是資本配置，還是受青睞的資產類別的性質，都已被某種程度上扭曲和倒置。但我在肥皂盒上的表演就夠了。我希望這能回答你的問題。

Thank you. Ladies and gentlemen, this concludes our question-and-answer session. I'd like to turn the conference back over to Rick Hough for any closing remarks.

謝謝。女士們先生們，我們的問答環節到此結束。我想將會議轉回給里克·霍夫（Rick Hough）做總結發言。

Great. Thanks so much. Thanks for joining us. Look forward to updating you at the end of the third quarter. As I mentioned, we've got a very nice pipeline that's well diversified, and we're really excited about the new intellectual capital that we've attracted to this firm.

偉大的。非常感謝。感謝您加入我們。期待在第三季末為您更新。正如我所提到的，我們有一個非常好的多元化管道，我們對我們為這家公司吸引的新智力資本感到非常興奮。

It's top tier, it's compatible and complementary to the capabilities we already have here at the firm, opens up new opportunities for us in terms of visibility with significant asset allocators and families. And I'm generally excited about these investments, whether that's business development in the Southeast or this new equity team or some of the others that potentially come as we grow. So stay tuned. Look forward to updating you next quarter. Thanks so much.

它是頂級的，與我們公司已有的能力兼容和補充，為我們在重要資產分配者和家族的知名度方面開闢了新的機會。我總體上對這些投資感到興奮，無論是東南部的業務發展、新的股權團隊還是隨著我們的成長而可能出現的其他一些投資。所以請繼續關注。期待下個季度為您更新。非常感謝。

Thank you. This concludes today's conference call. We thank you all for attending today's presentation. You may now disconnect your lines, and have a wonderful weekend.

謝謝。今天的電話會議到此結束。我們感謝大家參加今天的演講。您現在可以斷開線路，度過一個愉快的週末。