Q3 2026 results
| Metric | Result | Change |
|---|---|---|
| GAAP net income | $1.3 billion | Not stated |
| Distributable earnings | $1.7 billion | Not stated |
| Total AUM | $1.4 trillion | up 10% year-over-year |
| Total fee revenues | $2.7 billion | up 8% year-over-year |
| Fee-related earnings | $1.6 billion | up 6% year-over-year |
Guidance and outlook
- Management anticipates a significant step-up in net realizations in the fourth quarter.
- The firm expects to return to double-digit year-over-year growth in base management fees in 2027.
How management sounded
Positive (+6 on our -10 to +10 scale). Management expressed confidence in the firm's underlying earnings power, citing record inflows and a positive outlook for 2027. Management sounded more upbeat than on 8% of the 190 calls we cover; most companies sound positive on their own calls, so the comparison says more than the label.
Q&A summary
AI Infrastructure Risks
Asked: How sensitive is the AI financing build-out to higher rates and what are the risks?
Answer: Management emphasized that most investments are in long-term contracted assets with highly creditworthy counterparties, and the scarcity of compute makes their projects more valuable.
Private Wealth Momentum
Asked: What are the drivers of private wealth fundraising and can it be sustained?
Answer: Performance is the key driver, alongside the firm's brand and global reach, with new products like the hedge fund strategy contributing to growth.
Real Estate Outlook
Asked: How are higher interest rates impacting real estate fundamentals?
Answer: While higher rates are a headwind, accelerating demand in data centers and logistics, combined with low new supply, supports a recovery.
Insurance Channel Growth
Asked: Can the growth in the insurance segment be sustained and what is the competitive backdrop?
Answer: The firm is an independent third-party manager, which allows it to serve a large universe of clients, and it expects continued growth in asset-based financing.
What to watch before the next call
- The timing of the stabilization and inflection point in the real estate segment.
- The pace of deployment in credit and infrastructure as the firm works through its dry powder.
- The regulatory environment regarding retirement and advised assets for private market products.
