Virtus Investment Partners, Inc. · NYSE:VRTS
Virtus Investment Partners — Q4 2025 Earnings Presentation
50 slides from Virtus Investment Partners's earnings presentation, Feb 6, 2026
Slide 1: Fourth Quarter Earnings Presentation
FOURTH QUARTER EARNINGS PRESENTATION February 6, 2026 George R. Aylward President and Chief Executive Officer Michael A. Angerthal Executive Vice President and Chief Financial Officer
Slide 2: Important Disclosures
IMPORTANT DISCLOSURES This presentation contains statements that are, or may be considered to be, forward-looking statements. All statements that are not historical facts, including statements about our beliefs or expectations, are “forward-looking statements” within the meaning of The Private Secur
Slide 3: Agenda
AGENDA ■ Overview of Quarter ■ Results ■ Q & A Session 3
Slide 4: Overview of Quarter
INVESTMENT PARTNERS OVERVIEW OF QUARTER
Slide 5: Fourth Quarter 2025 Overview
FOURTH QUARTER 2025 OVERVIEW Assets and Flows ■ Assets under management (AUM) of $159.5 billion; average AUM declined 3% to $165.2 billion – Sales of $5.3 billion decreased 15% from the prior quarter, which included a CLO issuance – Net flows of ($8.1) billion primarily in quality-oriented equity st
Slide 6: Keystone National and Crescent Cove
KEYSTONE NATIONAL AND CRESCENT COVE
Slide 7: Agreement with Keystone National
AGREEMENT WITH KEYSTONE NATIONAL OVERVIEW About Keystone ■ Private credit manager specializing in asset-based lending ■ $2.5 billion1 in assets across equipment finance, real estate finance, financial assets, and asset-based corporate loans ■ $2.0 billion tender offer fund and two private REITs Stra
Slide 8: Investment in Crescent Cove Advisors
INVESTMENT IN CRESCENT COVE ADVISORS OVERVIEW About Crescent ■ Private markets manager specializing in capital solutions to middle market Cove technology companies ■ $1.0 billion in assets1 in an evergreen and private funds ■ Diversified client base includes RIAs, pensions, family offices, foundatio
Slide 9: Results
INVESTMENT PARTNERS RESULTS
Slide 10: Assets Under Management
ASSETS UNDER MANAGEMENT BROADLY DIVERSIFIED Institutional Accounts Closed-End Funds ■ AUM of $159.5 billion compared with U.S. Retail Funds Retail Separate Accounts $169.3 billion: Global Funds and ETFs – ($8.1) billion of net outflows primarily in equity strategies $175 $167 $171 $169 $8 $159 – ($0
Slide 11: Asset Flows
ASSET FLOWS REFLECT STYLE HEADWINDS ■ Sales of $5.3 billion decreased 15% from $6.3 billion. By product: – Institutional sales of $1.4 billion decreased from $2.0 billion, which included a new CLO – Retail separate account sales of $1.2 billion compared with $1.4 billion, as an increase in wealth ma
Slide 12: Investment Management Fees, as Adjusted
INVESTMENT MANAGEMENT FEES, AS ADJUSTED LOWER AVERAGE ASSETS ■ Investment management fees, as adjusted, declined 4% primarily due to lower average AUM ■ Average fee rate of 40.6 basis points – No meaningful performance fees ■ Average fee rate by product – Institutional: 31.5 bps – Retail separate ac
Slide 13: Employment Expenses, as Adjusted
EMPLOYMENT EXPENSES, AS ADJUSTED LOWER VARIABLE COMPENSATION ■ Employment expenses, as adjusted, decreased 3% to $95.8 million due to lower variable incentive compensation ■ Employment expenses, as adjusted, as a percentage of revenues, as adjusted, were relatively unchanged at 50.7% % of Revenues,
Slide 14: Other Operating Expenses, as Adjusted
OTHER OPERATING EXPENSES, AS ADJUSTED LOWER SEQUENTIALLY AND OVER PRIOR YEAR ■ Other operating expenses, as adjusted, of $30.2 million decreased from $31.1 million – Prior quarter included $1.0 million of discrete M&A related expenses ■ Other operating expenses, as adjusted, as a percentage of reven
Slide 15: Non-GAAP Results
NON-GAAP RESULTS MODESTLY LOWER EARNINGS ■ Operating margin, as adjusted, of 32.4% Operating Income, as Adjusted compared with 33.0% Diluted earnings per share, as adjusted ■ Noncontrolling interests of ($1.5) million decreased from ($2.1) million due to increase in ownership of majority-owned manag
Slide 16: Capital and Select Balance Sheet
CAPITAL AND SELECT BALANCE SHEET RETURNED CAPITAL AND INVESTED IN GROWTH ■ Significant liquidity at year end Select Balance Sheet Items: 12/31/24 3/31/25 6/30/25 9/30/25 12/31/25 – Cash and investments of $692 million Cash and cash equivalents $266 $135 $172 $371 $386 – Undrawn revolver of $250 mill
Slide 17: Investment Performance
INVESTMENT PERFORMANCE PERFORMANCE VERSUS BENCHMARK Total AUM Outperforming Benchmark1 1-Year 3-Year 5-Year 10-Year Equity 6% 21% 20% 62% Fixed Income 63% 76% 66% 77% Alternatives2 53% 60% 60% 71% Multi-Asset3 8% 41% 38% 41% Total 24% 39% 36% 64% Total AUM Outperforming Benchmark1 at Quarter-End - T
Slide 18: Financial Supplement
INVESTMENT PARTNERS FINANCIAL SUPPLEMENT
Slide 19: Non-GAAP Information: Income Statement
NON-GAAP INFORMATION INCOME STATEMENT1 (UNAUDITED) Q4:24 Q1:25 Q2:25 Q3:25 Q4:25 TY:24 TY:25 Revenues, As Adjusted Investment management fees, as adjusted $192,176 $178,501 $171,879 $176,561 $168,896 $741,880 $695,837 Administration and shareholder service fees, as adjusted 18,751 18,029 18,073 18,8
Slide 20: Non-GAAP Information: Income Statement (Continued)
NON-GAAP INFORMATION INCOME STATEMENT1 (CONTINUED) (UNAUDITED) Q4:24 Q1:25 Q2:25 Q3:25 Q4:25 TY:24 TY:25 Other Income (Expense), As Adjusted Realized and unrealized gain (loss) on investments, net, as adjusted ($389) $341 ($49) $83 ($13) $178 $362 Other income, net, as adjusted 341 998 1,151 522 802
Slide 21: Non-GAAP Information: Balance Sheet
NON-GAAP INFORMATION BALANCE SHEET1 (UNAUDITED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Assets: Cash and cash equivalents $265,888 $135,380 $172,204 $370,563 $386,483 Investments – seed capital 140,049 143,000 148,192 153,870 161,674 Investments – other 142,317 132,798 126,670 146,109 14
Slide 22: Non-GAAP Information: Balance Sheet (Continued)
NON-GAAP INFORMATION BALANCE SHEET1 (CONTINUED) (UNAUDITED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Liabilities and Equity Liabilities: Accrued compensation and benefits $224,501 $92,988 $120,204 $162,566 $197,745 Accounts payable and accrued liabilities 49,492 56,699 49,428 51,663 54,52
Slide 23: U.S. GAAP Information: Income Statement
U.S. GAAP INFORMATION INCOME STATEMENT (UNAUDITED) Q4:24 Q1:25 Q2:25 Q3:25 Q4:25 TY:24 TY:25 Revenues Investment management fees $199,975 $186,091 $179,476 $183,762 $175,710 $773,830 $725,039 Distribution and service fees 13,685 12,753 11,968 12,517 12,341 54,692 49,579 Administration and shareholde
Slide 24: U.S. GAAP Information: Income Statement (Continued)
U.S. GAAP INFORMATION INCOME STATEMENT (CONTINUED) (UNAUDITED) Q4:24 Q1:25 Q2:25 Q3:25 Q4:25 TY:24 TY:25 Other Income (Expense) Realized and unrealized gain (loss) on investments, net ($2,501) ($991) $3,971 $2,257 $586 $3,914 $5,823 Realized and unrealized gain (loss) of CIP1, net 2,069 (7,649) (5,2
Slide 25: Assets Under Management by Product, Asset Class and Region
ASSETS UNDER MANAGEMENT BY PRODUCT, ASSET CLASS AND REGION 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 Assets by Product U.S. Retail Funds $47,814 $44,952 $46,457 $45,713 $42,261 Global Funds 5,208 5,241 5,522 5,281 5,259 Exchange Traded Funds 3,051 3,415 3,674 4,730 5,239 Total – Open-End F
Slide 26: Assets Under Management by Product and Asset Class
ASSETS UNDER MANAGEMENT BY PRODUCT AND ASSET CLASS Open-End Closed-End Retail Separate Institutional Total as of Funds Funds Accounts Accounts 12/31/2025 Equity: Domestic Equity $15,774 $— $32,788 $19,279 $67,841 International Equity 2,542 — 9 1,504 4,055 Global Equity 2,226 — 253 4,297 6,776 Specia
Slide 27: Asset Flows: Total
ASSET FLOWS TOTAL 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Total Beginning balance $183,742 $175,001 $167,463 $170,710 $169,325 $172,259 $175,001 Inflows 6,440 6,240 5,580 6,273 5,346 26,757 23,439 Outflows (11,286) (9,219) (9,527) (10,125) (13,444) (37,190) (42,315) Net Flows
Slide 28: Asset Flows by Product
ASSET FLOWS BY PRODUCT 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 U.S. Retail Funds Beginning balance $50,115 $47,814 $44,952 $46,457 $45,713 $49,957 $47,814 Inflows 2,267 2,376 2,290 1,784 1,839 9,902 8,289 Outflows (3,964) (3,792) (3,335) (3,512) (4,886) (15,737) (15,525) Net
Slide 29: Asset Flows by Product (Continued)
ASSET FLOWS BY PRODUCT (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Exchange Traded Funds Beginning balance $2,642 $3,051 $3,415 $3,674 $4,730 $1,545 $3,051 Inflows 508 434 395 924 780 1,497 2,533 Outflows (64) (88) (153) (62) (192) (194) (495) Net Flows 444 346 242 86
Slide 30: Asset Flows by Product (Continued)
ASSET FLOWS BY PRODUCT (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Closed-End Funds Beginning balance $10,432 $10,225 $10,273 $10,481 $10,867 $10,026 $10,225 Inflows 1 5 4 3 — 1 12 Outflows — (40) (2) (10) (52) (41) (104) Net Flows 1 (35) 2 (7) (52) (40) (92) Market p
Slide 31: Asset Flows by Product (Continued)
ASSET FLOWS BY PRODUCT (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Intermediary Sold Managed Accounts2 Beginning balance $41,913 $40,857 $38,447 $38,610 $37,795 $35,438 $40,857 Inflows 1,526 1,522 1,248 1,253 906 7,577 4,929 Outflows (1,504) (2,179) (1,951) (2,444) (3
Slide 32: Asset Flows by Product (Continued)
ASSET FLOWS BY PRODUCT (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Institutional Separate Accounts Beginning balance $61,142 $56,084 $53,702 $54,332 $52,838 $59,548 $56,084 Inflows 1,574 1,455 1,283 1,636 1,362 5,336 5,736 Outflows (5,376) (2,659) (3,455) (3,548) (4,4
Slide 33: Asset Flows by Asset Class
ASSET FLOWS BY ASSET CLASS 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Domestic Equity Beginning balance $86,474 $81,315 $76,053 $77,321 $75,342 $77,263 $81,315 Inflows 2,921 2,659 2,450 2,266 2,045 13,877 9,420 Outflows (6,888) (4,084) (4,576) (4,895) (7,729) (19,886) (21,284) N
Slide 34: Asset Flows by Asset Class (Continued)
ASSET FLOWS BY ASSET CLASS (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Global Equity Beginning balance $11,824 $11,633 $10,294 $10,699 $8,470 $10,552 $11,633 Inflows 525 549 302 142 138 1,480 1,131 Outflows (601) (1,398) (1,122) (2,089) (1,767) (1,536) (6,376) Net Flo
Slide 35: Asset Flows by Asset Class (Continued)
ASSET FLOWS BY ASSET CLASS (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Leveraged Finance Beginning balance $8,990 $8,612 $8,450 $8,160 $8,619 $9,083 $8,612 Inflows 353 395 297 676 214 1,613 1,582 Outflows (377) (504) (514) (285) (661) (1,655) (1,964) Net Flows (24) (1
Slide 36: Asset Flows by Asset Class (Continued)
ASSET FLOWS BY ASSET CLASS (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Investment Grade Beginning balance $10,616 $9,973 $9,840 $10,214 $9,889 $10,128 $9,973 Inflows 154 137 280 334 189 754 940 Outflows (256) (484) (241) (685) (307) (908) (1,717) Net Flows (102) (347)
Slide 37: Asset Flows by Asset Class (Continued)
ASSET FLOWS BY ASSET CLASS (CONTINUED) 12/31/2024 3/31/2025 6/30/2025 9/30/2025 12/31/2025 TY:24 TY:25 Multi-Asset1 Beginning balance $21,619 $21,174 $20,834 $21,430 $22,078 $21,411 $21,174 Inflows 360 321 319 412 379 1,479 1,431 Outflows (513) (532) (536) (426) (740) (2,633) (2,234) Net Flows (153)
Slide 38: Investment Management Fees: Average Assets by Product
INVESTMENT MANAGEMENT FEES AVERAGE ASSETS1 BY PRODUCT Q4:24 Q1:25 Q2:25 Q3:25 Q4:25 TY:24 TY:25 Average Assets by Product U.S. Retail Funds $49,723 $47,451 $44,973 $46,327 $44,296 $49,878 $45,762 Global Funds 5,249 5,291 5,324 5,399 5,223 4,925 5,309 Exchange Traded Funds 2,933 3,362 3,445 4,163 4,9
Slide 39: Investment Management Fees: Average Management Fees Earned
INVESTMENT MANAGEMENT FEES AVERAGE MANAGEMENT FEES EARNED1 BY PRODUCT (IN BASIS POINTS) Q4:24 Q1:25 Q2:25 Q3:25 Q4:25 TY:24 TY:25 Average Management Fees Earned by Product U.S. Retail Funds 53.1 51.4 50.2 50.8 49.8 52.9 50.6 Global Funds 36.2 37.7 35.3 38.4 32.9 37.8 36.1 Exchange Traded Funds 12.4
Slide 40: Reconciliation: U.S. GAAP to Non-GAAP Q4 2025
RECONCILIATION: U.S. GAAP TO NON-GAAP Q4 2025 (UNAUDITED) Reclassification Other adjustments Deferred Consolidated Distributions Amortization Seed capital compensation Acquisition U.S. GAAP investment to minority Revenue of intangible and CLO and related and Non-GAAP Basis products interests related
Slide 41: Reconciliation: U.S. GAAP to Non-GAAP Q3 2025
RECONCILIATION: U.S. GAAP TO NON-GAAP Q3 2025 (UNAUDITED) Reclassification Other adjustments Deferred Consolidated Distributions Amortization Seed capital compensation Acquisition U.S. GAAP investment to minority Revenue of intangible Restructuring and CLO and related and Non-GAAP Basis products int
Slide 42: Reconciliation: U.S. GAAP to Non-GAAP Q2 2025
RECONCILIATION: U.S. GAAP TO NON-GAAP Q2 2025 (UNAUDITED) Reclassification Other adjustments Deferred Consolidated Distributions Amortization Seed capital compensation Acquisition U.S. GAAP investment to minority Revenue of intangible and CLO and related and Non-GAAP Basis products interests related
Slide 43: Reconciliation: U.S. GAAP to Non-GAAP Q1 2025
RECONCILIATION: U.S. GAAP TO NON-GAAP Q1 2025 (UNAUDITED) Reclassification Other adjustments Deferred Consolidated Distributions Amortization Seed capital compensation Acquisition U.S. GAAP investment to minority Revenue of intangible and CLO and related and Non-GAAP Basis products interests related
Slide 44: Reconciliation: U.S. GAAP to Non-GAAP Q4 2024
RECONCILIATION: U.S. GAAP TO NON-GAAP Q4 2024 (UNAUDITED) Reclassification Other adjustments Deferred Consolidated Amortization Seed capital compensation Acquisition U.S. GAAP investment Revenue of intangible and CLO and related and Non-GAAP Basis products related assets investments investments inte
Slide 45: Reconciliation: U.S. GAAP to Non-GAAP TY 2025
RECONCILIATION: U.S. GAAP TO NON-GAAP TY 2025 (UNAUDITED) Reclassification Other adjustments Deferred Consolidated Distributions Amortization Seed capital compensation Acquisition U.S. GAAP investment to minority Revenue of intangible Restructuring and CLO and related and Non-GAAP Basis products int
Slide 46: Reconciliation: U.S. GAAP to Non-GAAP TY 2024
RECONCILIATION: U.S. GAAP TO NON-GAAP TY 2024 (UNAUDITED) Reclassification Other adjustments Deferred Consolidated Amortization Seed capital compensation Acquisition U.S. GAAP investment Revenue of intangible Restructuring and CLO and related and Non-GAAP Basis products related assets expense invest
Slide 47: Reconciliation: Footnotes
RECONCILIATION: FOOTNOTES Non-GAAP financial information differs from financial information determined in accordance with U.S. GAAP as a result of the reclassification of certain income statement items, as well as the exclusion of certain expenses and other items that are not reflective of the earni
Slide 48: Reconciliation: Footnotes
RECONCILIATION: FOOTNOTES Seed Capital and CLO Related: 10. Seed capital and CLO investments (gains) losses - Gains and losses (realized and unrealized) of seed capital and CLO investments. Gains and losses (realized and unrealized) generated by seed capital and CLO investments can vary significantl
Slide 49: Reconciliation: Footnotes
RECONCILIATION: FOOTNOTES (UNAUDITED) Components of Acquisition and Integration Expenses and Other for the respective periods are shown in the table below: Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 TY:24 TY:25 Acquisition and Integration Expenses Employment expenses $861 $417 $435 $454 $116 $3,958 $1,
Slide 50: Investment Partners
INVESTMENT PARTNERS
Virtus Investment Partners — Q4 2025 Earnings Presentation on 6ix