Partners Group Holding Ag · SIX:PGHN
Partners — H1 2024 Earnings Presentation
20 slides from Partners's earnings presentation, Jul 11, 2024
Slide 1: H1 2024 business update & outlook
H1 2024 business update & outlook
Slide 2: The transaction environment has shown signs of gradual improvement during 2024
H1 2024 business update & outlook 2 The transaction environment has shown signs of gradual improvement during 2024 Global buyout and IPO volumes (in USD billion)1 North America Europe Improving fundamentals 1'090 Asia-Pacific Rest of World Accessibility to financing 707 +18% Recalibrating valuations
Slide 3: Realizations within the industry remain low; moderate improvement expected during H2 2024
H1 2024 business update & outlook 3 Realizations within the industry remain low; moderate improvement is expected to occur during H2 2024 Private equity industry liquidity levels (based on annual realizations in % of NAV)1 50% 45% "86% [of managers] expect a rise in distribution levels in 2024, the
Slide 4: The changing environment has initiated a period of natural selection among managers
H1 2024 business update & outlook 4 The changing environment has initiated a period of natural selection; fewer, more differentiated managers are successfully raising capital today Industry fundraising (in USD trillion)1 Private equity Real estate +24% Midpoint of Direct lending guidance2 Secondarie
Slide 5: Our platform delivered solid results during H1 2024
H1 2024 business update & outlook 5 Our platform delivered solid results during H1 2024 $9bn Invested ▪ Transaction environment gradually improving ▪ Strong pipeline built over years of thematic research +55% YoY $9bn Realized ▪ Realizations concentrated across credit and portfolio assets ▪ Strong 1
Slide 6: We successfully translated our thematic pipeline into attractive investment opportunities
H1 2024 business update & outlook 6 We successfully translated our thematic pipeline into attractive investment opportunities for our clients Investments1 Portfolio assets ▪ Secondaries often overweighted in periods of economic Liquid loans 43% 18% recalibration as part of allocation management Equi
Slide 7: Private equity example: FairJourney Biologics
H1 2024 business update & outlook 7 Private equity example: FairJourney Biologics Porto, Portugal Partner to pharmaceutical companies for the discovery, production, and characterization of antibody-based therapies1 Benefitting from two thematic drivers ▪ Increased outsourcing of pharmaceutical resea
Slide 8: We achieved USD 9 billion in realizations during H1 2024
H1 2024 business update & outlook 8 We achieved USD 9 billion in realizations during H1 2024 Portfolio realizations Portfolio assets 30% ▪ Combined credit, secondaries, and primaries drove realizations (68% of total) Second. & prim. 30% Credit ▪ Direct equity exit activity remains slow but is expect
Slide 9: We raised USD 11 billion in H1 2024; up 39% vs. the same period last year
H1 2024 business update & outlook 9 We raised USD 11 billion in H1 2024; up 39% vs. the same period last year Fundraising by asset class Royalties Private equity ▪ Private equity: fundraising driven predominantly by private wealth and mandates; Direct Equity V completed fundraising Real estate 1% 3%
Slide 10: Differentiation in the current market is key; client demand driven by tailored solutions
H1 2024 business update & outlook 10 Differentiation in the current market is key; H1 2024 client demand was driven by tailored private market solutions Fundraising by program type Traditional ▪ Mandates: solid demand as increasing numbers of private programs markets investors prefer custom solution
Slide 11: Customization and perpetuality of bespoke solutions makes them preferred choice
H1 2024 business update & outlook 11 Customization and perpetuality of bespoke solutions makes them preferred choice for both clients and Partners Group Illustrative example of program characteristics from a client's perspective Mandates Evergreens Traditional funds Strategic allocation decision Dec
Slide 12: Our portfolio solutions are amongst the most sophisticated in the industry
H1 2024 business update & outlook 12 Our portfolio solutions are amongst the most sophisticated in the industry Mandate portfolio (example) Evergreen solution (example) Strategy allocation Asset allocation (Private equity directs, private (IT, healthcare, consumer, equity secondaries, private equity
Slide 13: Our track record was built on 20+ years of experience
H1 2024 business update & outlook 13 Our track record was built on 20+ years of experience Success of mandates Success of evergreens ▪ 26 years of experience providing mandate solutions ▪ 23 years experience; over 5 economic cycles ▪ >150 mandates under management ▪ 17 evergreen funds under manageme
Slide 14: Bespoke solutions continue to provide a differentiated growth path
H1 2024 business update & outlook 14 Bespoke solutions continue to provide a differentiated growth path for Partners Group Bespoke solutions (69% of total AuM1) Traditional funds (31%) Mandates USD USD USD 2014 11 billion 7 billion 27 billion Evergreens 20% p.a. 21% p.a. 5% p.a. H1 USD USD USD 2024
Slide 15: Solid development of assets under management in a gradually improving environment
H1 2024 business update & outlook 15 We've experienced solid development of assets under management during this gradually improving environment H1 2024 AuM bridge (in USD bn) ▪ Tail-downs: mainly formula-based in 11.1 -4.5 -2.3 traditional programs and mandates Perform./others (pre-agreed with clien
Slide 16: Robust and geographically diversified fundraising pipeline
H1 2024 business update & outlook 16 We have a robust and geographically diversified fundraising pipeline that we will continue to develop during 2024 Illustrative 2024 fundraising pipeline 2024 fundraising & (indicative size of pipeline per region) tail-down guidance ▪ Client demand: +$20 to +25 bi
Slide 17: Q&A
17 Q&A
Slide 18: Appendix: AuM development by asset class in H1 2024
H1 2024 business update & outlook 18 Appendix: AuM development by asset class in H1 2024 AuM New money/ Tail-downs1 Perform./other, AuM 31 Dec 2023 commitments redemptions, 30 Jun 2024 and FX2,3 Private equity 75.5 +4.7 -1.6 -2.7 75.9 Private credit 29.3 +4.0 -1.5 -0.8 30.8 Infrastructure 25.2 +2.0
Slide 19: Contacts
19 Contacts Zugerstrasse 57 Philip Sauer Head Corporate Development T +41 41 784 66 60 6341 Baar-Zug philip.sauer@partnersgroup.com Switzerland T +41 41 784 60 00 shareholders@partnersgroup.com www.partnersgroup.com Danica Ruso Corporate Development T +41 41 784 67 67 danica.ruso@partnersgroup.com
Slide 20: Disclaimer
20 Disclaimer This presentation has been prepared by Partners Group Holding AG (the "Company") solely for information purposes and use at the presentation to the respective recipient ("Presentation"). All sources, which have not been otherwise credited, have been derived from Partners Group. The inf
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