Artisan Partners reported third quarter 2026 results where adjusted earnings per share exceeded analyst expectations, though the firm faced significant net client outflows. While revenue grew 4% year-over-year, ending assets under management (AUM) declined sequentially as massive equity redemptions outweighed investment performance and gains in alternative strategies.
Key Highlights
- Net client outflows reached $10.6 billion, primarily pressured by a $5.9 billion rebalancing from a single large client and $1.9 billion associated with the U.S. Value team wind-down.
- Ending AUM fell to $168.7 billion from $183.4 billion at the beginning of the quarter, reflecting the impact of net outflows and a $3.8 billion reduction from investment returns.
- Credit and alternative strategies provided a growth offset, generating $1.1 billion in net inflows during the quarter, a 17% annualized growth rate.
- The board declared a variable quarterly dividend of $0.88 per share, representing approximately 80% of the cash generated during the period.