Virtus Investment Partners Inc (VRTS) 2025 Q3 法說會逐字稿

Good morning. My name is Dei, and I will be your conference operator today. I would like to welcome everyone to the Veruss Investment Partners quarterly conference call. The slide presentation for this call is available in the investor relations section of the Vertus website www. Vertus.com.

早安.我叫戴伊，今天我將擔任你們的會議接線生。歡迎各位參加 Veruss Investment Partners 的季度電話會議。本次電話會議的幻燈片簡報可在 Vertus 網站 www. 的投資者關係部分找到。Vertus.com。

This call is being recorded and will be available for replay on the Verus website at this time. All participants are in a listen-only mode. After the speaker's remarks, there will be a question-and-answer period, and instructions will follow at that time. I will now turn the conference to your host Sean Rourke.

本次通話正在錄音，稍後可在 Verus 網站上回放。所有參與者均處於唯讀模式。演講結束後，將進行問答環節，屆時將公佈相關說明。現在我將把會議交給主持人肖恩魯克。

Thanks, TD and good morning everyone. On behalf of Verdus Investment Partners, I'd like to welcome you to the discussion of our operating of financial results for the 3rd quarter of 2025. Our speakers today are George Elward, President and CEO, and Mike Angerthal, Chief Financial Officer.

謝謝TD，大家早安。我謹代表 Verdus Investment Partners，歡迎各位參加我們 2025 年第三季財務業績的討論會。今天的演講嘉賓是總裁兼執行長喬治·埃爾沃德和首席財務官邁克·安格塔爾。

Following their prepared remarks, we'll have a Q&A period. Before we begin, please note the disclosures on page 2 of the slide presentation. Certain matters discussed on this call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1,995, and as such are subject to known and unknown risks and uncertainties, including those factors set forth in today's news release.

在他們發言結束後，我們將進行問答環節。在開始之前，請注意投影片簡報第 2 頁的揭露資訊。本次電話會議討論的某些事項可能包含 1995 年《私人證券訴訟改革法案》所界定的前瞻性陳述，因此存在已知和未知的風險和不確定性，包括今天新聞稿中列出的那些因素。

And discussed in our SEC filings, these risks and uncertainties may cause actual results to differ materially from those discussed in these statements. In addition to results presented on a GAAP basis, we use certain non-GAAP measures to evaluate our financial results. Our non-GAAP financial measures are not substitutes for GAAP financial results and should be read in conjunction with them.

正如我們在提交給美國證券交易委員會的文件中所討論的那樣，這些風險和不確定性可能導致實際結果與這些聲明中討論的結果有重大差異。除了依照公認會計準則 (GAAP) 編製的財務績效外，我們還使用某些非公認會計準則 (non-GAAP) 指標來評估我們的財務表現。我們的非GAAP財務指標不能取代GAAP財務結果，應與GAAP財務結果一起閱讀。

Reconciliations of these non-GAAP financial measures, the applicable GAAP measures, are included in today's news release and financial supplement, which are available on our website.

這些非GAAP財務指標與適用的GAAP指標的調節表已包含在今天的新聞稿和財務補充文件中，可在我們的網站上查閱。

Now I'd like to turn the call over to George. George.

現在我想把電話交給喬治。喬治。

Thank you, Sean, and good morning everyone. I'll start with an overview of the results we reported this morning, and then I'll turn it over to Mike to give a little more detail.

謝謝你，肖恩，大家早安。我先概述一下我們今天早上公佈的結果，然後交給麥克來詳細介紹一下。

We delivered solid financial results in the 3rd quarter supported by higher average assets under management, and favorable market momentum.

在平均資產管理規模擴大和市場動能良好的情況下，我們第三季取得了穩健的財務表現。

We did, however, have net outflows as our quality oriented strategies continue to face headwinds in a market environment that has largely favored momentum.

然而，由於市場環境主要有利於動量型投資，我們的品質導向策略持續面臨不利因素，因此我們出現了淨資金流出。

Our focus remains on our initiatives to increase our retail separate account offerings, expand the availability of ETFs and key channels, and grow the wealth management business.

我們將繼續專注於各項舉措，包括增加零售獨立帳戶產品、擴大 ETF 和關鍵管道的供應，以及發展財富管理業務。

Key highlights of the quarter included higher earnings per share and operating margin.

本季的主要亮點包括每股收益和營業利潤率的成長。

Strong growth in ETF assets with our highest level of quarterly sales and net flows.

ETF資產強勁成長，季度銷售額和淨流入量均創歷史新高。

Positive net flows in both fixed income and alternative strategies.

固定收益和另類投資策略均達到正淨流入。

An increase in our quarterly dividend for the 8th consecutive year, and we completed a debt refinancing providing significant liquidity and flexibility to invest in the business and return capital to shareholders.

我們連續第八年提高了季度股息，並完成了債務再融資，為投資業務和向股東返還資本提供了重要的流動性和靈活性。

Our exchange traded fund business was a particular highlight this quarter. ETF assets reached 4.7 billion, up 79% over the prior year, with a strong organic growth rate over the period.

本季我們的交易所交易基金業務表現尤為突出。ETF資產達到47億美元，比上年增長79%，在此期間實現了強勁的內生成長率。

In the third quarter, ETF sales and flows reached their highest quarterly level at $0.9 billion each, benefiting from strong investment performance and demand for some of our strategies.

第三季度，ETF銷售額和資金流入均達到季度最高水平，分別為9億美元，這得益於強勁的投資業績和對我們某些策略的需求。

As of September 30th, 77% of ETFs were beating benchmarks over the three-year period, and 85% were outperforming peers over the same period.

截至 9 月 30 日，77% 的 ETF 在過去三年中跑贏了基準指數，85% 的 ETF 在同一時期內跑贏了同類產品。

We continue to focus on broadening access to our ETFs and key distribution channels and introducing compelling new offerings. We currently have 21 ETFs across a variety of strategies, and we have several actively managed funds and filing that we anticipate will launch over the next few quarters, including several growth equity oriented ETFs from Silver, a real estate income ETF managed by Duffin Phelps, a multi-managed fixed income ETF collaboration between New Fleet and Sykes.

我們將繼續致力於擴大ETF和主要分銷管道的覆蓋範圍，並推出引人注目的新產品。我們目前擁有 21 只涵蓋各種策略的 ETF，我們還有幾隻主動管理基金和一些備案文件預計將在未來幾個季度推出，其中包括 Silver 的幾隻成長型股票 ETF、Duffin Phelps 管理的房地產收益 ETF，以及 New Fleet 和 Sykes 合作的多管理型固定收益 ETF。

And a set of building block ETFs from Verus Systematic, and these followed the introduction of a global macro ETF from Alpha Simplex during the 3rd quarter.

此外，Verus Systematic 還推出了一系列建置模組 ETF，而在此之前，Alpha Simplex 在第三季推出了全球宏觀 ETF。

On the inorganic side, I would reiterate my comments from our last call that the environment remains very favorable with attractive opportunities to add compelling new capabilities or increased scale.

在非有機成長方面，我想重申我上次電話會議中的觀點，即當前環境仍然非常有利，存在著增加引人注目的新功能或擴大規模的誘人機會。

As always, however, we take a highly disciplined approach to inorganic growth and we'll have to only win on opportunities both financially and strategically compelling. I would note that in the quarter we did have $1 million of discrete business initiative expenses that were related to inorganic activity.

但與以往一樣，我們對非內生成長採取高度自律的態度，我們只會抓住那些在財務和策略上都具有吸引力的機會。我想指出的是，本季我們確實有 100 萬美元的獨立業務拓展支出，這些支出與非內生性成長活動有關。

Turning to investment performance, while recent equity performance reflects our quality orientation in a market that is favored momentum, we are pleased with the performance we have generated over market cycles. Over the 10 year period. 70% of our equity assets and 77% of our fixed income assets beat their benchmark. For just mutual funds, 70% of equity funds and 80% of fixed income funds outperform the pure median.

就投資績效而言，雖然近期的股票表現反映了我們在以動量為主的市場中對品質的追求，但我們對在市場週期中所取得的表現感到滿意。在過去的10年裡，我們70%的股票資產和77%的固定收益資產都跑贏了基準指數。僅就共同基金而言，70% 的股票型基金和 80% 的固定收益型基金的表現優於純粹的中位數。

I would also note that 25 of our retail funds are rated 4 and 5-star funds and 84% of our rated retail fund assets were in 34, or 5 star funds.

我還想指出，我們有 25 檔零售基金被評為 4 星或 5 星基金，84% 的評級零售基金資產投資於 34 檔或 5 星基金。

Turning now to review the results, total assetser management were $169 billion at September 30th, modestly below the prior quarter level, as favorable market performance was offset by net outflows.

現在來回顧業績，截至 9 月 30 日，資產管理總額為 1,690 億美元，略低於上一季水平，原因是良好的市場表現被淨流出所抵消。

Total sales of 6.3 billion increased 12% from $5.6 billion in the second quarter, with higher sales of fixed income and alternative strategies.

總銷售額為 63 億美元，比第二季度的 56 億美元增長了 12%，其中固定收益和另類策略的銷售額有所增長。

On a product basis we saw higher sales in institutional and ETFs.

從產品層面來看，機構客戶和ETF的銷售額更高。

Total net outflows for the quarter of 3.9 billion were unchanged sequentially in spite of our highest level of ETF flows and positive flows in fixed income and alternative strategies, which are more than offset by outflows in quality equity strategies.

儘管 ETF 資金流入量達到最高水平，固定收益和另類策略的資金流入量也為正，但本季淨流出總額為 39 億美元，與上一季持平，而優質股票策略的資金流出量則完全抵消了這些增長。

Looking at flows across asset classes, the equity net outflows largely reflect our weighting towards quality oriented strategies.

從各類資產的資金流動情況來看，股票淨流出在很大程度上反映了我們對品質導向策略的重視。

And while quality has historically outperformed over longer market cycles, it tends to underperform momentum and riskcon environments which has been particularly stark over the past two years.

雖然從歷史數據來看，優質資產在較長的市場週期中表現優異，但在動量和風險控制環境下，其表現往往遜於其他資產，而過去兩年尤其明顯地體現了這一點。

Fixed income net flows were positive for the quarter and the trailing 12 months, supported by very strong investment performance both for the shorter and longer-term periods.

本季及過去 12 個月的固定收益淨流入均為正值，得益於短期及長期投資績效的強勁表現。

For the quarter we saw positive net flows in our fixed income strategies across several products including ETFs, institutional, and retail separate accounts.

本季度，我們的固定收益策略在包括 ETF、機構和零售獨立帳戶在內的多個產品中實現了正淨流入。

Net flows of alternative strategies were also positive, primarily in ETFs.

其他投資策略的淨資金流入也為正，主要集中在ETF領域。

In terms of what we're seeing in October, flows across products and asset classes are trending similarly. ETF sales and net flows remain strong. The US retail mutual fund headwinds continue.

從 10 月的情況來看，各類產品和資產類別的資金流動趨勢相似。ETF銷售額和淨資金流入依然強勁。美國零售共同基金面臨的逆風仍在持續。

And institutional trends are also similar to the 3rd quarter with known redemptions exceeding known wins, and with the wins across a range of strategies including such things as emerging market debt and global and domestic REIT.

機構趨勢也與第三季類似，已知贖回量超過已知收益，且收益涵蓋一系列策略，包括新興市場債務以及全球和國內 REIT 等。

Turning now to our financial results, the sequential improvement reflected growth in average assets under management and stable operating expenses. The operating margin was up 170 basis points to 33% or 33.4% without discrete items, with an incremental margin that continues to be above 50%.

現在來看看我們的財務業績，環比改善反映了平均管理資產的成長和穩定的營運費用。營業利益率上升 170 個基點至 33%，若不計特殊項目則為 33.4%，增量利潤率持續維持在 50% 以上。

Earnings per share as adjusted of $6.69 increased from $6.25 in the second quarter.

經調整後，每股收益為 6.69 美元，高於第二季的 6.25 美元。

Relative to the prior year period, earnings per share, as suggested, decreased 3% on lower average assets.

與上年同期相比，正如預期的那樣，由於平均資產減少，每股收益下降了 3%。

In service of our balance sheet and capital.

為了服務我們的資產負債表和資本。

Given the nearing maturity of our previous credit agreement, we refinanced with a new $400 million term loan and $250 million revolving credit facility, increasing our financial flexibility and extending our debt maturity profile with attractive terms.

鑑於我們先前的信貸協議即將到期，我們透過新的 4 億美元定期貸款和 2.5 億美元循環信貸額度進行了再融資，提高了我們的財務靈活性，並以優惠的條款延長了我們的債務到期期限。

On a net basis, this added $158 million of cash to our balance sheet at the end of September.

截至9月底，這筆交易淨額為我們的資產負債表增加了1.58億美元的現金。

We also raised a quarterly dividend representing the 8th consecutive annual increase.

我們也提高了季度股息，這是連續第八年提高股息。

Regarding share repurchases, we were not in the market in the 3rd quarter given other considerations and priorities. As a reminder, we bought back 50 million of our shares in the first half of the year, which was higher than our full year of repurchases in each of the prior 2 years.

關於股票回購，由於其他方面的考慮和優先事項，我們在第三季沒有進行股票回購。提醒一下，我們在今年上半年回購了 5,000 萬股股票，高於前兩年全年的回購量。

Buybacks remain an important component of our capital management strategy, and given our strong liquidity position, we intend to continue to balance return of capital to shareholders with investments in the business, including inorganic opportunities.

股票回購仍然是我們資本管理策略的重要組成部分，鑑於我們強勁的流動性狀況，我們打算繼續平衡向股東返還資本與對業務的投資，包括非有機成長機會。

With that, I'll turn the call over to Mike.

這樣，我就把電話交給麥克了。

Thank you, George. Good to be with you all this morning.

謝謝你，喬治。很高興今天早上能和大家在一起。

Starting with our results on slide 7 assets under management.

首先來看投影片 7 中關於資產管理規模的結果。

Our total assets under management at September 30th were 169.3 billion.

截至9月30日，我們管理的資產總額為1,693億美元。

And average assets increased 2%.

平均資產成長了2%。

To 170.3 billion.

達到1703億。

Our AUM represented a broad range of products and asset classes. By product, Institutional is our largest category at 33% of AUM.

我們的資產管理規模涵蓋了廣泛的產品和資產類別。依產品類型劃分，機構客戶是我們最大的類別，佔資產管理規模的 33%。

Retail separate accounts, including wealth management at 28%.

零售獨立帳戶，包括財富管理，佔 28%。

And US retail mutual funds at 27%.

美國零售共同基金的收益率為 27%。

The remaining 12% comprises closed-end funds, global funds.

剩餘的 12% 包括封閉式基金和全球基金。

And ETS Within open end funds, ETF assets under management grew to 4.7 billion.

而 ETS 旗下開放式基金的 ETF 資產管理規模成長至 47 億美元。

Up by 1 billion sequentially on continued strong net flows.

由於淨流入持續強勁，季增10億。

And have increased 79% over the prior year.

與上一年相比成長了79%。

We are also diversified within asset classes in equities.

我們在股票等各類資產中也實現了多元化投資。

Between international and domestic, and within domestic well represented among mid, small and large cap strategies.

在國際和國內市場之間，以及在國內市場中，中型、小型和大型市值策略均有充分體現。

And fixed income is well diversified across duration, credit quality.

固定收益產品在期限和信用品質方面實現了良好的多元化。

And geography turning to slide 8, asset flows, sales grew 12% to 6.3 billion with higher sales of both fixed income and alternative strategies.

再來看第 8 張投影片，資產流動方面，銷售額成長了 12%，達到 63 億美元，其中固定收益和另類策略的銷售額均有所成長。

Reviewing by product, institutional sales of $2 billion compared with $1.3 billion last quarter, driven by fixed income and multi-asset strategies, and included the issuance of a new 0.4 billion CLO.

以產品來看，機構銷售額為 20 億美元，而上一季為 13 億美元，主要得益於固定收益和多元資產策略，其中包括發行新的 4 億美元 CLO。

Retail separate account sales were 1.4 billion essentially unchanged from the prior quarter.

零售獨立帳戶銷售額為14億美元，與上一季基本持平。

Open-end fund sales of 2.8 billion were consistent with the prior quarter as strong growth in ETF sales were offset by lower sales of US retail funds.

開放式基金銷售額為 28 億美元，與上一季持平，ETF 銷售額的強勁成長被美國零售基金銷售額的下降所抵銷。

ETF sales were 0.9 billion, more than double the prior quarter level.

ETF銷售額為9億美元，是上一季的兩倍多。

Total net outflows were 3.9 billion, consistent with the prior quarter. Reviewing by product.

淨流出總額為39億美元，與上一季持平。按產品進行評測。

Institutional net outflows of 1.5 billion improved from 2.2 billion due to the increase in inflows into fixed income strategies.

由於流入固定收益策略的資金增加，機構淨流出額從 22 億美元改善至 15 億美元。

As always, institutional flows will fluctuate depending on the timing of client actions. Retail separate accounts had net outflows of 1.2 billion driven by small and smid cap strategies, while large cap and fixed income generated positive net flows.

與以往一樣，機構資金流動會根據客戶行動的時機而波動。受小型股策略的影響，零售獨立帳戶淨流出 12 億美元，而大盤股和固定收益則產生了正的淨流入。

We also continue to see positive net flows in our style agnostic, high conviction, large cap growth offerings.

我們也看到，在我們風格不限、高信念、大盤成長股產品中，資金淨流入持續為正。

For open-end funds, net outflows of 1.1 billion compared with $1 billion in the prior quarter and were driven by equity strategies within US retail funds.

開放式基金的淨流出額為 11 億美元，而上一季為 10 億美元，主要是由於美國零售基金中的股票策略所致。

Which more than offset positive net flows in ETFs.

這足以抵消ETF的淨流入。

ETFs continued to generate strong double-digit organic growth rate with 0.9 billion of positive net flows.

ETF持續維持強勁的兩位數內生成長率，淨流入資金達9億美元。

Turning to slide 9, investment management fees as adjusted at 176.6 million, increased 3%, reflecting a consistent average fee rate and an increase in average assets under management.

翻到第 9 張投影片，經調整後的投資管理費為 1.766 億美元，成長了 3%，反映出平均費率的穩定和平均資產管理規模的增加。

The average fee rate excluding performance fees was 41.1 basis points unchanged from the prior quarter.

不包括業績費在內的平均費率為 41.1 個基點，與上一季持平。

Looking ahead, we believe this fee rate is reasonable for the fourth quarter modeling purposes.

展望未來，我們認為該費率對於第四季度建模而言是合理的。

And as always, The fee rate will be impacted by markets.

和以往一樣，費率會受到市場的影響。

And the mix of assets.

以及資產組合。

Slide 10 shows the five quarter trend in employment expenses.

第 10 張投影片顯示了就業支出的五個季度趨勢。

Total employment expenses as adjusted of $98.7 million increased slightly due to higher variable incentive compensation.

經調整後，僱用總支出為 9,870 萬美元，主要原因是可變激勵薪酬增加。

As a percentage of revenues, employment expenses as adjusted, declined by 70 basis points to 50.2%. Looking ahead, it is reasonable to anticipate employment expenses as a percentage of revenues.

經調整後，員工支出佔收入的百分比下降了 70 個基點，至 50.2%。展望未來，將僱用費用預測為收入的百分比是合理的。

Will remain within our recent 49% to 51% range.

將繼續維持在近期49%至51%的範圍內。

Turning to slide 11, other operating expenses as adjusted were 31.1 million.

翻到第 11 張投影片，經調整後的其他營運費用為 3,110 萬。

Down from $32 million due to lower rent expense from office consolidation.

由於辦公大樓整合導致租金支出減少，營收從 3,200 萬美元下降。

And the prior quarter impact of the annual equity grants to the board of directors.

以及上一季對董事會年度股權授予的影響。

Partially offset by $1 million of discrete business initiative expenses.

部分被100萬美元的獨立業務拓展支出所抵銷。

As a percentage of revenue, other operating expenses were 15.8%, down from 16.7%. For modeling purposes, our range of 30 to 32 million per quarter.

其他營運費用佔收入的百分比為 15.8%，低於先前的 16.7%。為了建模目的，我們每季的範圍是 3,000 萬到 3,200 萬。

Remains appropriate Slide 12 illustrates the trend in earnings.

仍然適用。第 12 張投影片展示了收益趨勢。

Operating income as adjusted of $65 million increased 9% sequentially due to higher revenues.

調整後的營業收入為 6,500 萬美元，較上季成長 9%，主要原因是營收增加。

And relatively stable operating expenses.

營運成本也相對穩定。

The operating margin as adjusted of 33% increased 170 basis points from the second quarter.

經調整後的營業利潤率為 33%，比第二季成長了 170 個基點。

Excluding the discrete business initiative expenses, the operating margin was 33.4%. With respect to non-operating items, interest and dividend income of 4.1 million declined sequentially due to elevated CLO interest income in the prior quarter.

不計入離散業務拓展支出，營業利益率為 33.4%。在非經營性項目方面，由於上一季 CLO 利息收入較高，利息和股息收入較上季下降 410 萬。

Looking ahead to the 4th quarter, it would be reasonable to anticipate a higher level of interest income.

展望第四季度，預計利息收入將有所增長。

Given increased cash balances at the end of the quarter as a result of the recent debt refinancing.

由於近期債務再融資，本季末現金餘額增加。

Offset partially by lower CLO interest income.

部分被較低的CLO利息收入所抵銷。

Interest expense was 4.8 million in the third quarter.

第三季利息支出為480萬。

It would be reasonable to assume that will increase in the 4th quarter given the higher debt level.

鑑於債務水平較高，可以合理推斷第四季度債務水平將會上升。

Non-controlling interests which reflect minority interests in one of our managers were modestly lower, primarily due to the increase in our ownership late in the quarter.

反映少數股東對我們一位經理人持股比例的非控股權益略有下降，這主要是由於我們在本季度末增加了持股比例。

A reasonable run rate for the 4th quarter is approximately 2 million.

第四季合理的運行速度約為 200 萬。

Net income as adjusted to $6.69 per diluted share.

經調整後，每股攤薄收益為 6.69 美元。

Which included $0.11 of discrete expenses.

其中包括 0.11 美元的零散費用。

Increased 7% from $6.25 in the second quarter.

較第二季的 6.25 美元成長 7%。

In terms of GAAP results, net income per share of $4.65 decreased from $6.12 per share in the second quarter due to $1.54 of unrealized losses on investments.

以 GAAP 準則計算，每股淨收入為 4.65 美元，低於第二季的每股 6.12 美元，因為投資方面出現了 1.54 美元的未實現損失。

Partially offset by $0.42 of fair value adjustments to minority interests.

部分被少數股東權益公允價值調整0.42美元抵銷。

Slide 13 shows the trend of our capital liquidity and select balance sheet items.

第 13 張投影片顯示了我們的資本流動性趨勢和部分資產負債表項目。

On September 26th, we completed the refinancing of our credit agreement.

9月26日，我們完成了信貸協議的再融資。

Increasing the company's financial flexibility and extending the maturity profile.

提高公司財務靈活性並延長到期期限。

The new $400 million term loan has a seven year maturity.

這筆新的 4 億美元定期貸款期限為七年。

And the revolver provides 250 million of capacity through 2030.

到 2030 年，該左輪手槍可提供 2.5 億發子彈的容量。

Each bearing interest that's safer plus 225 basis points.

每個承壓利息都更安全，外加 225 個基點。

Cash and equivalents of September 30th were 371 million.

截至9月30日，現金及現金等價物為3.71億。

In addition, we had 300 million of other investments, including seed capital, to support growth initiatives.

此外，我們還有 3 億美元的其他投資，包括種子資金，以支持成長計畫。

During the third quarter, we raised our quarterly common dividend by 7% to $2.40 per share.

第三季度，我們將季度普通股股息提高了 7%，至每股 2.40 美元。

Other uses of capital during the quarter included 29.7 million to sponsor the new CLO as well as 14.8 million for a planned increase in equity of our majority-owned affiliate.

本季其他資金用途包括：投入 2,970 萬美元用於發行新的 CLO，以及投入 1,480 萬美元用於計劃增加我們控股附屬公司的股權。

The last of the scheduled equity purchases of the affiliate will be approximately $7 million in the fourth quarter.

該關聯公司最後一筆計劃中的股權收購將在第四季度進行，金額約為 700 萬美元。

At September 30th, gross debt to EBITDA was 1.3 times, up from 0.7 times at June 30th due to the upsizing of our credit facility.

截至 9 月 30 日，總債務與 EBITDA 比率為 1.3 倍，高於 6 月 30 日的 0.7 倍，原因是我們的信貸額度增加。

And we entered the quarter with $29 million of net debt, or 0.1 times EBITDA.

本季開始時，我們的淨債務為 2,900 萬美元，相當於 EBITDA 的 0.1 倍。

Which declined from 0.2 times at June 30th.

6 月 30 日，這一數字下降了 0.2 倍。

Our strong levels of liquidity, including the undrawn revolver.

我們擁有充足的流動資金，包括未提取的循環信貸額度。

And modest net leverage provide meaningful financial flexibility to continue to invest in the business and return capital and with that.

適度的淨槓桿率能夠提供有意義的財務靈活性，使公司能夠繼續投資於業務並回報資本。

Let me turn the call back over to George.

讓我把電話轉回給喬治。

George, thank you, Mike. So, we'll now take your questions. Didi, would you open up the lines, please?

喬治，謝謝你，麥克。現在，我們將回答大家的問題。迪迪，請你接通電話好嗎？

Thank you. To ask a question, please press 11 on your telephone and wait for your name to be announced. To withdraw your question, please press 11 again. Please stand by while we compile the Q&A roster.

謝謝。如有任何疑問，請按電話上的 11 鍵，然後等待播報您的名字。如需撤回您的問題，請再按 11。請稍候，我們正在整理問答名單。

And our first question comes from Benjamin Budish from Barclays PLC

我們的第一個問題來自巴克萊銀行的本傑明·布迪什。

Your line is open.

您的線路已開通。

Hi, good morning and thank you for taking my questions.

您好，早安，感謝您回答我的問題。

Maybe just first on the ETF side, you've noticed that's noted that that's an area of strength. Could you just maybe unpack for us a little bit, what are the key strategies that are attracting the most interest? Is it the rapper itself or is it the particular strategies that are offered in that wrapper or the franchises? And and how do you think about that in terms of what informs, the future pipeline you you mentioned a couple of things, upcoming, but as you think about the next couple of years, how else are you thinking what might make sense either to launch or to kind of re wrap, you know how you're thinking about all that?

首先，就ETF方面而言，您可能已經注意到，這被認為是一個優勢領域。能否請您為我們詳細介紹一下，哪些關鍵策略最受關注？是饒舌歌手本身，還是這種包裝下提供的特定策略，又或者是相關的品牌或系統？那麼，您是如何考慮未來發展方向的呢？您提到了一些即將推出的產品，但當您考慮未來幾年時，您還有哪些想法，例如推出新產品或重新包裝現有產品？您是如何考慮所有這些問題的？

Sure, yeah, so I think in terms of what's driving, I think it's it's both components, so I think the ETF wrapper itself is highly preferred by a large number of investors and financial advisors, transparency, benefits, tax efficiency. So I think in certain instances for specific strategies, it's become a vehicle of choice.

當然，是的，所以我認為就驅動因素而言，我認為是這兩個因素共同作用的結果。我認為ETF本身因其透明度、收益和稅收效率而受到眾多投資者和財務顧問的青睞。所以我認為在某些情況下，針對特定策略，它已經成為一種首選工具。

In terms of what strategies people are accessing, so for us, our ETF business is a newer business, and we've been building our track records in many of our strategies. And currently, we've seen growth occurring in several of them, particularly those that I think we noted in the alt space or that have certain kinds of return patterns that are being found to be, very attractive, so. I commented a little bit on some of our our pipelines. We really do see a lot of opportunities for very specific types of strategies in the ETF wrapper that increasingly will be utilized in portfolios. Although I also make comments, for us getting availability for ETFs is is a big focus. A lot of times with newer ETFs, it's harder to get access in certain of the subchannels. So as we grow them and so including in this quarter we had one that we, got to a level of access and that drove some of our flows this quarter. So that continues to be a priority for us. And then just separately I would note for the ETF share class relief we are one of the firms that do have filings in process related to that as well.

就人們正在採用的策略而言，對我們來說，我們的 ETF 業務是一個較新的業務，我們一直在多種策略中累積業績記錄。目前，我們看到其中一些出現了成長，特別是那些我們在另類投資領域注意到的，或是具有某些回報模式的，這些模式被認為非常有吸引力。我對我們的一些管道做了一些簡要評論。我們確實看到，ETF這種投資形式為非常特定的策略類型提供了許多機會，這些策略將越來越多地應用於投資組合。雖然我也會發表意見，但對我們來說，確保 ETF 的可用性是一個重要的關注點。很多時候，對於較新的 ETF，透過某些子管道進行交易會比較困難。因此，隨著我們不斷發展壯大，包括本季度在內，我們有一個客戶達到了一定的訪問水平，這推動了我們本季的部分業務成長。所以這仍然是我們的首要任務。另外，我還想單獨指出，關於 ETF 份額類別豁免，我們也是目前正在進行相關備案的公司之一。

Very helpful, thank you. Maybe just, following up in terms of, growth priorities you mentioned, inorganic opportunities, in your kind of brief comments about the uses of capital just any update on pipeline.

非常有用，謝謝。或許可以跟進您提到的成長重點、非有機成長機會，以及您在關於資本用途的簡短評論中提到的任何專案進度。

Potential timing and are there any changes in the environment that make things, more or less feasible? You talked about sort of growth versus momentum. Does that sort of inform the types of assets you're interested in acquiring? Just any update there would be helpful as well.

潛在的時機是什麼？環境方面是否有任何變化會使事情變得更容易或更難實現？你談到了成長與勢頭之間的關係。這是否會影響您感興趣的資產類型？任何相關方面的更新都會很有幫助。

Thank you very much.

非常感謝。

Yeah, but on the last point in terms of the quality versus momentum and again having been in a period where, for the last two years quality has significantly underperformed the momentum, that is a current event. So in terms of a long-term M&A strategy that might not necessarily have a huge impact on it though it would influence it. We look forward to the reversion for quality coming back into favor, which is generally when quality oriented strategies have their best performance, so. Unless momentum continues to lead the markets for the next multiple years, we'll have a headwind, but when it inverts, we will be well positioned to take care of that. In terms of inorganic, again, I repeated some of the comments from Lescor which is that the activity remains.

是的，但關於最後一點，即質量與動量之間的關係，以及過去兩年質量明顯遜於動量的情況，這都是當前形勢。因此，就長期併購策略而言，這可能不會對其產生巨大影響，但肯定會對其產生影響。我們期待品質導向策略重新受到青睞，因為通常情況下，品質導向策略在品質導向策略中表現最佳。除非未來幾年市場繼續保持上漲勢頭，否則我們將面臨逆風，但當市場趨勢逆轉時，我們將能夠很好地應對。就無機物而言，我再次重複了萊斯科爾的一些評論，即該領域仍然活躍。

Very active and that there is a lot of opportunities in terms of things that could potentially make sense, we really focus in on a very disciplined and focused approach on what really makes sense in terms of either, adding another differentiated, high performing traditional capability or private market expansion or something that would allow us to have access to more clients outside the US. Those are the three areas. I believe we previously have commented on, and we do think all of those could potentially be interesting opportunities for us. We have nothing specific to announce at this time on on anything that we're doing, but again, it continues to be a very active area for us.

我們非常活躍，並且有很多機會，在很多方面都可能有意義，我們真正專注於採取非常自律和專注的方法，專注於真正有意義的事情，無論是增加一項差異化的、高性能的傳統能力，還是拓展私人市場，或者做一些能夠讓我們接觸到美國以外更多客戶的事情。以上就是這三個面向。我相信我們之前已經評論過，而且我們認為所有這些都可能成為我們感興趣的機會。目前我們沒有任何具體計劃可以公佈，但再次強調，這仍然是我們非常關注的領域。

All right, understood. Thanks for taking my questions.

好的，明白了。謝謝您回答我的問題。

No, thank you.

不，謝謝。

Thank you.

謝謝。

And our next question comes from Kristen Love of Piper Sandler. Your line is open.

下一個問題來自Piper Sandler的Kristen Love。您的線路已開通。

Thank you. Good morning. First, just looking big picture at net flows, they've been pretty elevated for, 4 consecutive quarters net outflows. When you look forward, do you see any fee levers to be able to improve those flows to get to more neutral, at least less negative outside of just quality coming more into favor versus momentum?

謝謝。早安.首先，從宏觀角度來看淨流量，已經連續四個季度出現淨流出，處於相當高位。展望未來，除了品質比動量更受青睞之外，您是否看到任何費用槓桿可以改善這些流動，使其更加中性，至少減少負面影響？

Yeah, well, I mean, a couple of things. So we did have positive flows in fixed income strategies in the quarter. We had positive flows and alternative strategies. We have positive flows in our ETFs and in multi-asset, I think we were kind of break even. So a lot of our flows are really around our overweight to quality oriented equity strategies.

嗯，我的意思是，有幾件事。因此，本季我們在固定收益策略方面確實實現了正向資金流入。我們擁有積極的業務流程和多種替代策略。我們的ETF和多元資產都有正資金流入，我認為我們基本上實現了收支平衡。因此，我們的許多資金流動其實都圍繞著我們超配優質股票策略。

Actually our equity strategies. That are not highly correlated to quality actually are in positive flows. So, it's just the the significant overweight that we have for those types of strategies is the reason that it's overshadowed any of the other areas that have been positive. So, what we're focusing in on primarily now while the cycle is still A negative towards us is to grow those things that don't have that same correlation. So as I commented on some of our more styling agnostic or momentum oriented equity strategies actually were in positive flows, and we're actually seeing activity there, but they're just such a smaller part of our business.

實際上，我們的股權策略。與品質相關性不高的因素實際上處於正向流動狀態。所以，正是因為我們對這些策略的投入過多，才導致其他正面領域的表現被掩蓋了。所以，在當前週期仍然對我們不利的情況下，我們主要關注的是發展那些與我們沒有相同相關性的事物。正如我之前評論的那樣，我們一些更不拘泥於風格或以動量為導向的股票策略實際上出現了正向資金流動，我們確實看到了這些策略的活躍度，但它們在我們業務中所佔的比例非常小。

They're they're not going to overshadow the quality and the momentum.

它們不會掩蓋品質和動力。

But in terms of the quality of momentum and again this has really been, and we highlighted how bad of a two-year period this has been, to give some examples.

但就發展動能的品質而言，情況確實如此，我們強調了這兩年有多糟糕，舉幾個例子來說明。

So, for the S&P midcap quality index, it's trailed the S&P midcap momentum by about 32%, which is really kind of ranks in the 93rd percentile of the data that goes all the way back to 1992, and actually it's the worst level since October of 2000. And similarly on the small caps, the Morningstar US small cap quality trailed the Morningstar US small cap momentum by about 82%. And that's the worst level going back to 2008. So it really has been an unusually stark, underperformance of quality versus momentum for a longer period of time. And I think as I just commented previously, Historically, as they invert is usually when quality has some of its strongest outperformance, right? So in some of these strategies and some of these strategies I Personally been watching for over 20 years, they can generally have some of their best performance and then following that some of their best flows after that inversion. So we don't fundamentally believe that lower quality, less profitable, highly shorted companies are going to continue to always lead the market. And then lastly, When we sell our strategies, we sell them how they'll fit into a portfolio, right? So so generally people aren't just buying one equity manager hoping for the highest return, so really where we're positioning those capabilities is really that someone should have a portion of their equity allocation, not only in just the pure indexes, which is really a small number of names leading those indices. But to also then have certain allocations to either quality or other types of capabilities in the event that the markets inflect. And so I think increasingly as people will look at do they need to have some protection in case there is that flip, that will be an area that we would be able to take advantage.

因此，標普中型股品質指數比標普中型股動量指數落後約 32%，這實際上在可追溯到 1992 年的數據中排名在第 93 個百分位，而且實際上是自 2000 年 10 月以來的最差水平。同樣，在小型股方面，晨星美國小型股質量指數比晨星美國小型股動量指數落後約 82%。這是自 2008 年以來的最差水準。因此，品質與發展動能之間長期存在著異常明顯的差距，這種情況實屬罕見。而且我認為，正如我之前評論的那樣，從歷史來看，當它們發生逆轉時，通常是品質表現最強勁的時候，對吧？所以，在某些策略中，尤其是我個人觀察了 20 多年的策略中，它們通常會在反轉後取得一些最佳表現，然後緊接著取得一些最佳走勢。因此，我們從根本上不認為品質較低、獲利能力較弱、被大量做空的公司會一直引領市場。最後，當我們推銷我們的策略時，我們會推銷它們如何融入投資組合，對吧？所以一般來說，人們不會僅僅為了獲得最高回報而購買單一的股票基金經理，因此，我們定位這些能力的真正目的是，人們應該將一部分股票配置於純粹的指數中，而純粹的指數實際上只是少數幾隻領銜這些指數的股票。但同時也要對品質或其他類型的能力進行一定的分配，以因應市場波動。因此，我認為隨著越來越多的人開始考慮是否需要採取一些保護措施以防市場反轉，這將是我們能夠利用的領域。

Great, thank you, George. I appreciate all the color there and then just second question for me on other op X, you had the office-based consolidation. Is this something that you've been thinking about for several quarters and then shouldn't that drive down the run rate for Opp X going forward or all their offsets in there as well? And then also if you can just detail what the 1 million of discrete business initiative expenses were in the quarter.

太好了，謝謝你，喬治。我很欣賞那裡的色彩，然後我還有一個關於其他操作 X 的問題，你們進行了基於辦公室的整合。這是你已經考慮好幾季的事情了嗎？如果是這樣，那是否應該降低 Opp X 的運行率，或者降低他們所有相關抵消項的運行率？另外，如果您能詳細說明本季100萬美元的獨立業務計劃支出具體是多少就更好了。

Sure, Kristen, I'll jump in. It's Mike. Good morning.

當然，克里斯汀，我願意加入。是麥克。早安.

So with respect to the office consolidation, this is the quarter that you actually see it in the run rate. Those are some actions that we have taken, starting late last year and earlier this year that have have now been reflected in the run rate so.

所以就辦公室整合而言，本季你就能真正從運作率中看到它了。這些是我們從去年年底到今年年初採取的一些措施，現在已經反映在了運行率上。

We talked about the $30 to $32 million dollar range, ex the discrete items sort of coming in at the low end of that range, given the benefit of that office consolidation.

我們討論了 3000 萬至 3200 萬美元的範圍，考慮到辦公室整合帶來的好處，個別項目的價格大致處於該範圍的低端。

So we provided the transparency around the discrete items as George alluded to. They're generally related to at elevated levels based on some of the inorganic activity that we have been focused on. So we thought providing that transparency would be would be helpful. In the analysis of other operating. So again, it is specific to some of those activities and at levels higher than what we would anticipate a more normalized level.

因此，正如喬治所暗示的那樣，我們對各個獨立項目提供了透明度。它們通常與我們一直關注的一些無機活性物質的升高水平有關。所以我們認為，提供這種透明度會很有幫助。對其他營運情況的分析。所以，這再次表明，這種情況只發生在某些特定活動中，而且其程度高於我們預期的正常水平。

Perfect, appreciate that, Mike, and thank you for taking my questions.

太好了，謝謝，麥克，也謝謝你回答我的問題。

Thanks.

謝謝。

Thank you.

謝謝。

And our next question comes from William (Bill) Katz of TD Cowan. Your line is open.

下一個問題來自 TD Cowan 的 William (Bill) Katz。您的線路已開通。

Okay, thank you very much and I apologize for the hoarse voice but under the weather.

好的，非常感謝。很抱歉我的聲音有點沙啞，因為我身體不舒服。

Just sticking on the discreet spend here, is that now over or should we anticipate that that will persist? And then relatedly, are you back in the market for buyback at present?

就目前這種低調的消費來看，這種情況是已經結束了，還是會持續下去？那麼，您目前是否又開始進行股票回購了呢？

Yeah, so on the first part of the question again in the prepared comments we're clear that we're still being very active and there's still a lot of opportunities for us. So we'll sort of stand by that and sort of saying we are still being very active in evaluating potential opportunities and as it relates, we don't have anything specific to discuss or announce at this point, but that continues to be an area where we are being very active.

是的，關於問題的第一部分，我們在準備好的評論中已經明確表示，我們仍然非常活躍，我們仍然有很多機會。所以我們會堅持先前的說法，並表示我們仍在積極評估潛在的機會，目前我們沒有什麼具體的事情要討論或宣布，但這仍然是我們非常活躍的領域。

Oh, and buybacks nothing specific to say other than, we continue to view that as a core element of our capital strategy right, halfway through the year we had done 50 million which had gotten us to the highest level of over 2 years. So that will continue to be something that we will always evaluate, but as always we have to balance it with. Other factors and other considerations for that. So nothing specific on what that might be in the short-term other than to say we still view return of capital as a critical part of our Capital strategy.

哦，關於股票回購，沒什麼特別要說的，我們仍然將其視為我們資本策略的核心要素。今年年中，我們已經完成了 5,000 萬美元的股票回購，達到了兩年多來的最高水準。所以我們會一直評估這個問題，但一如既往，我們必須權衡利弊。還有其他因素和需要考慮的因素。所以，除了我們仍然將資本回報視為我們資本策略的關鍵部分之外，短期內還沒有任何具體措施。

Okay, thank you for that. And this is a follow-up just going back to your commentary that the 4th quarter of the institutional trends are sort of looking like they were in the prior quarter. Can you unpack that a little bit where you're seeing strength, where you're seeing the weakness, and underneath that I sort of wondering if you could just talk about what you just sort of seeing generally in terms of allocations. I'm curious specifically about the demand for liquid alts.

好的，謝謝。這是您先前評論的後續補充，即第四季度的機構趨勢看起來與上一季的情況有些相似。能否稍微詳細分析一下，您認為優勢在哪裡，劣勢在哪裡？另外，我還想知道您能否談談您在資源配置方面整體觀察到的情況。我特別想了解市場對流動性較強的替代貨幣的需求。

Thank you.

謝謝。

Yeah, and actually two of the areas that actually I was actually very happy to see is I mentioned emerging market debt, right, which is an area that had previously maybe not been as much in favor as some of us believe it should have been. So, I think I commented on opportunities that we've seen in emerging market debt as well as global REIT as well as domestic REIT. So those are really nice to see there. I think generally.

是的，實際上，我非常高興地看到其中兩個領域，我剛才提到了新興市場債務，對吧，這個領域以前可能沒有像我們中的一些人認為的那樣受到重視。所以，我認為我已經談到了我們在新興市場債務、全球房地產投資信託基金以及國內房地產投資信託基金中看到的機會。看到這些真令人高興。我覺得整體上是這樣。

In in the institutional, which for us, we have a nice non-US institutional business, and I believe both of the ones I referenced are non-US.

在機構業務方面，我們擁有良好的非美國機構業務，而且我相信我提到的那兩個機構都是非美國的。

You kind of have a slightly different investor profile there, so that's why sometimes we can see.

你們那裡的投資者情況略有不同，所以有時候我們可以看到一些不同之處。

Interest in strategies that may not be as in favor in the US retail market, even the US institutional market, but they have some opportunities there. So I mean those are the two that I would highlight, but I think there's a variety of managers. Mike, I don't know if there's anything else you'd.

人們對一些在美國零售市場，甚至在美國機構市場可能不太受歡迎的策略感興趣，但這些策略在那裡也有一些機會。所以我的意思是，我會重點介紹這兩位，但我認為經理人有很多種類型。麥克，我不知道你還有什麼其他要求。

I think you covered it. We've, the pipeline is across managers and across geographies, including from our European and Middle Eastern teams.

我覺得你已經說得很清楚了。我們的人才儲備涵蓋各個經理和各個地區，包括來自我們歐洲和中東團隊的人才。

Okay, thank you.

好的，謝謝。

Thank you.

謝謝。

Thank you.

謝謝。

And our next question comes from Michael Cyprys of Morgan Stanley. Your line is open.

下一個問題來自摩根士丹利的邁克爾·西普里斯。您的線路已開通。

Hey, good morning. Thanks for taking the question. Just want to ask about ETFs. I was hoping maybe you could speak to how broadly distributed your ETFs are today across the wires, IBDs, RAAs, etc.

嘿，早安。感謝您回答這個問題。我想諮詢一下關於ETF的問題。我希望您能談談您的 ETF 目前在各大交易所、獨立經紀商、註冊代理商等管道的廣泛分銷情況。

And how that is compared to where you'd like that to be. Talk about some of the steps you're taking to expand your distribution presence for your ETFs, including in models. And if you could maybe just update us on how models are contributing, if at all today.

以及這與你期望達到的目標相比如何。談談您為擴大 ETF 分銷管道所採取的一些措施，包括模型方面的措施。如果您能簡要介紹模型今天是如何發揮作用的，或者是否有任何作用，那就太好了。

Yeah, no, it's a great question, and that's specific to what the comments we made and where we're focusing and one of the main areas of focus is increasing the availability of our ETFs in certain channels because as you're kind of intimating, getting access is not the same in every channel, right, the wires versus the RIAs as well as getting access into some of the big model providers and, professional ETF buyers. Of so for us we're focused on all of those areas where, we're not where we want to be. We think we have a great opportunity, particularly if we can get some of our ETFs up to a certain level of scale which will matter in some of the channels, say like the wire houses where you know you need a certain period of time and you need a certain asset level to have access.

是的，這是一個很好的問題，這具體關係到我們之前的評論以及我們關注的重點，其中一個主要重點是增加我們ETF在某些渠道的可用性，因為正如您所暗示的，在每個渠道獲得訪問權限並不相同，對吧，比如電匯和RIA，以及如何獲得一些大型模型提供商和專業ETF買家的訪問權限。因此，我們專注於所有我們尚未達到預期目標的領域。我們認為我們擁有一個巨大的機會，特別是如果我們能夠讓我們的某些 ETF 達到一定的規模，這在某些管道中將非常重要，例如券商，因為你知道你需要一定的時間以及一定的資產規模才能獲得交易權限。

We always have focused in on some of the model providers and the professional buyers. But again, I still think that's a huge opportunity for us. I mean, one of the reasons that we we're focused on both sides of increasing the distribution as well as increasing the offerings because we just really see that that there is just a great opportunity set for us and some of the areas that we kind of focus in on as we move forward. So, our hope is Is that the growth will come from getting a lot more of the access that we currently don't have that we that we we do want and but then expanding those offerings to provide more building blocks for EF models as well as for individual investors and I think as I commented on a previous call, another area that we focus in on is is our own models and using our ETFs for a solution oriented outcome oriented types of capabilities. Which we have seeded and designed several things along that way. So that's why it's just been a big area of focus for us and I think as you've seen.

我們一直專注於一些模特兒供應商和專業買家。但我仍然認為這對我們來說是一個巨大的機會。我的意思是，我們之所以專注於擴大分銷管道和增加產品種類，其中一個原因是，我們確實看到了一個巨大的機遇，這也是我們未來發展過程中需要重點關注的一些領域。所以，我們希望成長能夠來自獲得更多我們目前還沒有但又渴望獲得的資源，然後擴展這些產品，為 EF 模型以及個人投資者提供更多構建模組。正如我在先前的電話會議上提到的，我們關注的另一個領域是我們自己的模型，並利用我們的 ETF 來實現以解決方案為導向、以結果為導向的能力。我們已為此播種並設計了幾個項目。所以，這一直是我們的重點領域，我想正如你所看到的。

Almost all of our product development has either been on the ETF side or the global fund side, as well as, and I don't want to leave retail separate accounts out because retail separate accounts, our focus there has really been on expanding the offerings, we have a strong placement in retail separate accounts on the equity side, and we have been just expanding the number of fixed income offerings. And have put together several structures to allow us to take advantage of that. So that's another area that we would like to see some additional growth because we think we have a good opportunity set.

我們幾乎所有的產品開發都集中在 ETF 或全球基金領域，此外，我不想忽略零售獨立帳戶，因為我們一直專注於擴大零售獨立帳戶的產品範圍，我們在股票領域的零售獨立帳戶方面佔據了強大的地位，並且我們一直在擴大固定收益產品的數量。我們已經建立了幾個機制，以便能夠利用這些機制。所以，這是我們希望看到進一步成長的另一個領域，因為我們認為我們擁有很好的發展機會。

Great. And then just a follow-up question on inorganic activity. I was hoping maybe you could elaborate on the types and size of properties that you're evaluating, talk about your process of how you're going about sifting and sorting through these these properties, and remind us of your criteria and hurdle rates. Does a transaction need to be created day one or within the 1st 12 months? How are you thinking about that?

偉大的。然後還有一個關於無機活性的後續問題。我希望您能詳細說明您正在評估的房產類型和規模，談談您是如何篩選和分類這些房產的，並提醒我們您的標準和最低成交率。交易必須在第一天或前 12 個月內創建嗎？你對此有何看法？

Yeah, so, and so when we speak about inorganic, we, we're covering the whole continuum of those things which are really could add, meaningful scale. Those things that can add capabilities that are quite additive to our current set of offerings and that would that would also include expanding us from the public market offerings into the private markets. When we talk about inorganic, we also, because of our flexible model that could include things like joint ventures or other types of structures. So we kind of leave ourselves open to a variety of different opportunities set and kind of evaluate. Primarily what we're we're trying to evaluate is the best, strategic fit, the financial benefit, and really the long-term value creation.

是的，所以，當我們談到無機物時，我們指的是那些真正能夠增加有意義的規模的事物的整個連續體。這些可以為我們目前的產品組合增添更多功能的東西，也包括將我們從公開市場擴展到私募市場。當我們談到無機成長時，我們也考慮到我們靈活的模式，這種模式可以包括合資企業或其他類型的結構。所以我們會給自己留有餘地，去迎接各種不同的機會，然後再進行評估。我們主要想評估的是最佳策略契合度、財務收益以及真正的長期價值創造。

So we'll include a lot of factors which will include things like accretion, but we'll also include factors like what impact we'll have in our growth rates, etc. So I don't have specific hurdles that I would provide, but we do go through a filter of various elements as we determine. Between two alternatives or 3 alternatives, what we would prioritize. The good news is again with our current level of net debt being the minimis and our cash flow still generating, we do have flexibility to evaluate different types of opportunities.

因此，我們會考慮許多因素，包括成長等因素，也會考慮我們對成長率的影響等因素。所以我不會列出具體的障礙，但我們在確定目標時會篩選各種因素。在兩個或三個備選方案中，我們會優先考慮哪一個？好消息是，由於我們目前的淨債務水平處於最低水平，而且現金流仍在產生，因此我們有靈活性來評估不同類型的機會。

Great, thank you.

太好了，謝謝。

You Thank you. This concludes our question-and-answer session. I would like to turn the conference back over to Mr. Aylward.

謝謝你。我們的問答環節到此結束。我想把會議交還給艾爾沃德先生。

Great. Now, thank you and I want to thank everyone today for joining us and obviously, as always, if you have any other questions, please reach out and thank you very much.

偉大的。現在，謝謝大家，我要感謝今天所有參加我們節目的朋友。當然，像往常一樣，如果您有任何其他問題，請隨時聯繫我們，非常感謝。

That concludes today's call.

今天的電話會議到此結束。

Thank you for participating and you may now disconnect.

感謝您的參與，您現在可以斷開連接了。