Partners Group Holding AG · SIX:PGHN
Partners — H1 2023 Earnings Presentation
22 slides from Partners's earnings presentation, Jul 13, 2023
Slide 1: Business update H1 2023
13 JULY 2023 Business update H1 2023 David Layton, CEO | Sarah Brewer, Global Co-Head Client Solutions | Philip Sauer, Head Corporate Development
Slide 2: Solid AuM growth in H1; stronger fundraising anticipated in H2
BUSINESS UPDATE H1 2023 2 Solid AuM growth in H1; stronger fundraising anticipated in H2 Clients Investments Bespoke solutions drove growth USD 5 billion thematically invested Bespoke solutions led H1 client demand, Focus on transformational investment opportunities accounting for 68% of total funds
Slide 3: Table of contents
BUSINESS UPDATE H1 2023 3 Table of contents 1 Investments & outlook 2 AuM development H1 2023 3 AuM outlook 2023
Slide 4: Transaction activity has trended lower but there are signs of stabilization
INVESTMENTS & OUTLOOK 4 Transaction activity has trended lower but there are signs of stabilization Sponsor-backed private market transaction volume (USD bn)1 • Recalibration of economy due to COVID Recalibration of the significant rate changes led to a price economy finding process over past 18-mon
Slide 5: Thematic investing allows us to identify areas of structural growth
INVESTMENTS & OUTLOOK 5 Thematic investing allows us to identify areas of structural growth with potential for transformation Outsourcing of Data analytics as Water Omics data Clean power New mobility non-core a service sustainability A multi-year process Assets beyond the 1st order have the Asset l
Slide 6: A look inside SureWerx: a thematically sourced leader in personal protective equipment
INVESTMENTS & OUTLOOK 6 A look inside SureWerx: a thematically sourced leader in personal protective equipment 18 well-established brands Personal protective 27 product categories equipment & industrial safety >350 employees Cycle resilient with stable long-term demand driven in part by increased re
Slide 7: Biogas and biomethane platform: a thematically sourced leader in renewable power generation
INVESTMENTS & OUTLOOK 7 Biogas and biomethane platform: a thematically sourced leader in renewable power generation 60 MW portfolio 35 biogas plants Biomethane as an alternative fuel 10 biomethane plants Benefiting from regulatory support for clean energy, industrial decarbonization goals, and heigh
Slide 8: USD 5 billion invested into thematic investment opportunities
INVESTMENTS & OUTLOOK 8 USD 5 billion invested into thematic investment opportunities Partners Group's private markets investments (in USD billion) Prim. 31.7 Sec. Equity 26.0 • Lower deployment volumes as we applied a conservative 21.7 investment approach H2 Debt H2 17.0 • Direct assets represented
Slide 9: Operational results support underlying portfolio performance
INVESTMENTS & OUTLOOK 9 Operational results support underlying portfolio performance Net direct portfolio performance overview Partners Group1 Q1 2023 Last 10 years p.a. YTD as of 31 March 2023 Private equity 1.6% 17.6% Private debt 1.5% 6.0% Private infrastructure 3.4% 13.9% Private real estate -1.
Slide 10: Realizations driven by direct infrastructure and portfolio assets
INVESTMENTS & OUTLOOK 10 Realizations driven by direct infrastructure and portfolio assets Partners Group's portfolio realizations (in USD billion) 29.1 • Elected to postpone divestments of direct lead assets to H2 future periods in order to realize full value for clients • Majority of H1 realizatio
Slide 11: Table of contents
BUSINESS UPDATE H1 2023 11 Table of contents 1 Investments & outlook 2 AuM development H1 2023 3 AuM outlook 2023
Slide 12: Continued AuM growth
AUM DEVELOPMENT H1 2023 12 Continued AuM growth Total assets under management1 (in USD billion) 142 74bn 29bn Private Private equity debt 22bn 17bn 11 Private Private infrastructure real estate 2008 2011 2014 2006 2007 2009 2010 2012 2013 2015 2016 2017 2018 2019 2020 2021 2022 H1 2023 IPO 1 Partner
Slide 13: AuM growth supported by diversified offering
AUM DEVELOPMENT H1 2023 13 AuM growth supported by diversified offering Assets raised during H1 2023 AuM as of 30 June 2023 Private real estate Private real estate 13% 12% Private Private infrastructure Private equity infrastructure USD 15% USD Private equity 15% 40% 142 billion 8 billion 53% Privat
Slide 14: Sustained AuM growth continues in H1
AUM DEVELOPMENT H1 2023 14 Sustained AuM growth continues in H1 Total assets under management development (in USD billion) -5.3 +8.0 Tail-downs: -2.9 +3.7 Other +1.8 141.7 = EUR 129.9 bn = CHF 126.8 bn 135.4 Redemptions: -2.4 FX +1.9 Based on Equals 5.9% of the Performance on Mainly EUR formula in t
Slide 15: H1 2023 fundraising driven by private equity and private debt
AUM DEVELOPMENT H1 2023 15 H1 2023 fundraising driven by private equity and private debt Assets under management development in H1 2023 (in USD billion) • Private equity well-diversified across strategies with bespoke solutions and most recent direct strategy being the main drivers • Private debt in
Slide 16: Table of contents
BUSINESS UPDATE H1 2023 16 Table of contents 1 Investments & outlook 2 AuM development H1 2023 3 AuM outlook 2023
Slide 17: Allocations to alternatives remain low for many significant client segments
AUM OUTLOOK 2023 17 Allocations to alternatives remain low for many significant client segments Alternative investment allocations based on investor type1 Mass affluent Total other allocation Private wealth HNW individuals USD 140 - 150tn2 <1.5% Very HNW individuals allocation to private markets onl
Slide 18: Evergreen solutions will play a central role in the private wealth shift to private markets
AUM OUTLOOK 2023 18 Evergreen solutions will play a central role in the private wealth shift to private markets Private wealth allocations to private markets Private wealth AuM Of which Of which USD ~150tn private markets: evergreens: (2022) • Growth potential in private <1.5% USD ~2tn1 markets stem
Slide 19: Full-year fundraising guidance reconfirmed
AUM OUTLOOK 2023 19 Full-year fundraising guidance reconfirmed AuM, client demand and other effects (in USD billion) 22.3 17 to 22 Client demand 25.0 135 127 16.0 109 -10.5 Tail-downs & 16.5 -10.2 15.7 94 to -12.5 redemptions1 83 -8.3 74 -4.0 -8.1 FX & other2 FX & other2 -7.1 +1.6 +/- -5.6 FX & othe
Slide 20: Q&A
BUSINESS UPDATE H1 2023 & OUTLOOK H2 2023 Q&A
Slide 21: Contacts
21 Contacts Shareholder relations contact: Zugerstrasse 57 Philip Sauer 6341 Baar-Zug T +41 41 784 66 60 Switzerland philip.sauer@partnersgroup.com T +41 41 784 60 00 shareholders@partnersgroup.com Media relations contact: Alec Zimmermann www.partnersgroup.com T +41 41 784 69 68 alec.zimmermann@part
Slide 22: Disclaimer
IMPORTANT NOTICE 22 Disclaimer This presentation is strictly confidential to the recipient and 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 oth
Partners Group Holding — H1 2023 Earnings Presentation on 6ix