Tetragon Financial Group Limited · EURONEXT:TFG

Tetragon Financial — Q4 2024 Earnings Presentation

23 slides from Tetragon Financial's earnings presentation, Mar 5, 2025

  1. Slide 1: 2024 Annual Investor Call

    2024 Annual Investor Call 5 March 2025 THE INFORMATION CONTAINED HEREIN DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO PURCHASE ANY SECURITY OF TETRAGON. THIS INFORMATION IS CURRENT ONLY AS OF 31 DECEMBER 2024, UNLESS OTHERWISE STATED. TETRAGON UNDERTAKES NO OBLIGATION TO UPDA

  2. Slide 2: Contents

    Contents Key Performance Metrics 3 NAV Progression 6 Net Asset Composition Summary 9 Investment Performance 10 Future Investment Expectations 18 Q&A 19 2024 Annual Report Investor Presentation | 2

  3. Slide 3: Key Performance Metrics: NAV Per Share Total Return

    Key Performance Metrics: NAV Per Share Total Return 15.4% 14.1% 9.5% 6.4% 1.0% 2020 2021 2022 2023 2024 (i) Please refer to Endnotes on page 20 for certain relevant definitions. Source: Tetragon. 2024 Annual Report Investor Presentation | 3

  4. Slide 4: Key Performance Metrics: Return on Equity (RoE)

    Key Performance Metrics: Return on Equity (RoE)(i) Target RoE: 10-15% 17.3% — Average RoE: 11.4% 14.6% 7.6% 5.5% (0.8%) 2020 2021 2022 2023 2024 (i) Please refer to Endnotes on page 20 for certain relevant definitions. Source: Tetragon. 2024 Annual Report Investor Presentation | 4

  5. Slide 5: Key Performance Metrics: Dividends Per Share (DPS)

    Key Performance Metrics: Dividends Per Share (DPS) $0.44 $0.44 $0.44 $0.40 $0.41 2020 2021 2022 2023 2024 Source: Tetragon. 2024 Annual Report Investor Presentation | 5

  6. Slide 6: Year-on-Year NAV Progression

    Year-on-Year NAV Progression(i) 38.00 36.00 (1.54) (0.28) 6.45 (0.44) (0.46) 34.00 0.57 32.00 30.00 35.43 28.00 31.13 26.00 24.00 NAV at 31 Investment Operating Interest Dividends Other share Share NAV at 31 December 2023 income and expenses, expense dilution repurchase December 2024 losses manageme

  7. Slide 7: Tetragon NAV Per Share Total Return and Share Price

    Tetragon NAV Per Share Total Return and Share Price Since April 2007 IPO to 31 December 2024 511% 500% 400% 298% 300% 236% 200% 151% 100% 115% 0% Dec-07 Dec-09 Dec-11 Dec-13 Dec-15 Dec-17 Dec-19 Dec-21 Dec-23 Aug-08 Aug-10 Aug-12 Aug-14 Aug-16 Aug-18 Aug-20 Aug-22 Aug-24 Apr-07 Apr-09 Apr-11 Apr-13

  8. Slide 8: 2024 Snapshot

    2024 Snapshot Net Asset Value Ownership(i) $3.2 Bn 40.3% Principal and Employee 31 December 2024 Ownership at 31 December 2024 NAV Per Share Total Return(ii) 15.4% 9.1% 10.3% 10.8% 511% 2024 Full Year Five Years Annualised 10 Years Annualised Since IPO Annualised Since IPO Investment Returns/Return

  9. Slide 9: Net Asset Composition Summary

    Net Asset Composition Summary Net Asset Breakdown at 31 December 2023 Net Asset Breakdown at 31 December 2024 Other Other Legal assets equities and Legal assets equities and credit credit Private 1% equity and 1% Private venture 7% Private equity in equity and 6% capital asset management Private equ

  10. Slide 10: Net Asset Breakdown Summary

    Net Asset Breakdown Summary In millions of U.S. dollars NAV at Disposals/ Gains/ NAV at Asset Classes Additions(i) 31 Dec 2023 Receipts(i) Losses 31 Dec 2024 Private equity in asset management 1,345.4 43.1 (115.5) 299.8 1,572.8 companies Event-driven equities, convertible bonds and 572.5 5.8 (25.5)

  11. Slide 11: Private equity in asset management companies

    Private equity in asset management companies In millions of U.S. dollars ​NAV at Disposals/ Gains/ ​NAV at % of Asset Classes Additions(i) 31 Dec 2023​ Receipts(i) Losses 31 Dec 2024​ investments Equitix 737.6 - (93.8) 278.6 922.4 26.3% BGO 270.5 - (16.7) 36.4 290.2 8.3% LCM 258.5 - - (34.9) 223.6 6

  12. Slide 12: Event-driven equities, convertible bonds and other hedge funds

    Event-driven equities, convertible bonds and other hedge funds In millions of U.S. dollars ​NAV at Disposals/ Gains/ ​NAV at % of Asset Classes Additions(i) 31 Dec 2023​ Receipts(i) Losses 31 Dec 2024​ investments Westbourne River Event Fund - Low Net 302.5 - - 4.0 306.5 8.7% Westbourne River Event

  13. Slide 13: Bank loans

    Bank loans In millions of U.S. dollars ​NAV at Disposals/ Gains/ ​NAV at % of Asset Classes Additions(i) 31 Dec 2023​ Receipts(i) Losses 31 Dec 2024​ investments U.S. CLOs 133.2 7.3 (37.3) (13.5) 89.7 2.6% Tetragon Credit Partners funds 111.0 4.7 (37.0) (2.6) 76.1 2.2% (i) Any gains or losses on for

  14. Slide 14: Real estate

    Real estate In millions of U.S. dollars ​NAV at Disposals/ Gains/ ​NAV at % of Asset Classes Additions(i) 31 Dec 2023​ Receipts(i) Losses 31 Dec 2024​ investments BGO Europe funds & co-investments 41.3 12.7 (7.8) (0.7) 45.5 1.3% BGO U.S. funds & co-investments 46.1 1.3 (0.8) (18.4) 28.2 0.8% BGO Asi

  15. Slide 15: Private equity and venture capital

    Private equity and venture capital In millions of U.S. dollars ​NAV at Disposals/ Gains/ ​NAV at % of Asset Classes Additions(i) 31 Dec 2023​ Receipts(i) Losses 31 Dec 2024​ investments Hawke's Point funds & co-investments 116.7 3.8 (48.1) 126.0 198.4 5.6% Banyan Square funds 127.0 49.0 (14.2) 0.6 1

  16. Slide 16: Legal Assets

    Legal Assets In millions of U.S. dollars ​NAV at Disposals/ Gains/ ​NAV at % of Asset Classes Additions(i) 31 Dec 2023​ Receipts(i) Losses 31 Dec 2024​ investments Contingency Capital funds 37.5 10.2 (0.5) 4.3 51.5 1.5% (i) Any gains or losses on foreign exchange hedging instruments attributable to

  17. Slide 17: Other equities & credit; cash

    Other equities & credit; cash In millions of U.S. dollars ​NAV at Disposals/ Gains/ ​NAV at % of Asset Classes Additions(i) 31 Dec 2023​ Receipts(i) Losses 31 Dec 2024​ investments Other equities & credit(ii) Other equities 196.5 165.1 (125.7) (15.9) 220.0 6.3% Other credit 15.7 - (19.4) 3.7 - 0.0%

  18. Slide 18: Future Investment Expectations

    Future Investment Expectations(i) TFG Asset Management  Continue funding commitments Event-driven equities = Stable allocation Convertible bonds = Stable allocation Other hedge funds = Stable allocation Bank loans = Stable allocation; will invest via Tetragon Credit Partners vehicles; older funds c

  19. Slide 19: Q&A

    Q&A Contact us anytime: ir@tetragoninv.com 2024 Annual Report Investor Presentation | 19

  20. Slide 20: Endnotes

    Endnotes Page 3 Page 4 Certain definitions: Tetragon uses the following metrics, among others, to understand the Average RoE is calculated from Tetragon’s IPO in 2007. Tetragon seeks to progress and performance of the business: deliver 10-15% RoE per annum to shareholders. Over longer time horizons,

  21. Slide 21: Endnotes

    Endnotes Page 7 (i) NAV Per Share Total Return as of 31 December 2024 since Tetragon’s initial (iv) Cumulative return determined on a quarterly compounding basis using the public offering in April 2007. actual Tetragon quarterly incentive fee SOFR based hurdle rate. In the period from IPO to June 20

  22. Slide 22: Endnotes

    Endnotes Page 8 (i) Shareholdings at 31 December 2024 of the principals of Tetragon’s investment manager and employees of TFG Asset Management, including all deferred compensation arrangements (other than with respect to shares that are subject to performance criteria). Please refer to page 69 of th

  23. Slide 23: Legal Disclaimer

    Legal Disclaimer This document has been prepared by Tetragon Financial Group Limited, referred to in this report as Tetragon. References to “we” are to Tetragon Financial Management LP, Tetragon’s investment manager. Tetragon is a closed-ended investment company that invests in a broad range of asse

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