KKR & Co Inc at Goldman Sachs U.S. Financial Services Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Yeah, more to come. So first, Scott, I was hoping we kick things off with your views on the economy. KKR has really broad set of capabilities, really around the world, and as part of that, you obviously get a lot of insight into corporate health across many industries, across many geographies. What are you seeing on the ground today and how do you expect corporate outlook to shape up for '26?

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Yeah. So maybe more bifurcation in returns and probably wider divergent trends across. All right, let's step away from the macro for a second and talk about you guys specifically into next year. At KKR's Investor Day, you set targets to raise over $300 billion of capital '24 through '26. You're well on your way there. I think you raised over $200 billion so far, give or take, so kind of 70%-ish of your targets, clearly on your way there. As you move through the process, what are some of the key fundraising themes you're hearing from LPs? And then maybe spend a minute also on where are you surpassing your expectations and what are some of the areas that are proving to be a little bit more challenged within that $300 billion number.

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Sure.

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Great. Let's talk about the flip side of this, which is realizations. Probably most topical of that is really within private equity, as you mentioned, that's been also a bit of the world of the haves and the have-nots. KKR has been actually seeing a really nice ramp in realization activity over the last several quarters. I think Rob highlighted about $1 billion in monetization income opportunity over the next couple of quarters. So maybe you want to give us a bit of a mark to market on what you expect that to shake out. The market's been, I guess, a little bit more uneven, feels a little better today than it did a couple of weeks ago, but we are where we are. So how do you expect that to unfold? And as you look at your forward monetization pipeline, maybe give us a little bit of a breakdown between equity exit, sponsor versus corporates, continuation vehicles, kind of how are you thinking about this monetization cycle to unfold?

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Great. Well, speaking of headlines, I think we should probably talk for a couple of minutes about private credit. So credit broadly accounts for, I think, about a third of KKR's management fees, and it's growing mid to high teens, so quite healthy over the last few years. The business is also very balanced between liquid and direct lending. Obviously, you mentioned asset-based finance. GA has been a big important part of the conversation as well. As you look out over the next one to two years, how do you think about sustainability of that

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Let's double click on that for a second. Asset-based finance broadly for you guys, but the industry broadly has become a much more important driver of growth. GA has been an important sort of anchor and foundation around the platform for you guys, but you did mention that third-party capital is starting to become a bit more interested in the asset class. So spend a couple of minutes on how do you see third-party opportunities within KKR's ABF business evolving. And when you think about the risks, I think when it comes to direct lending, it's actually relatively easy to analyze. There's a lot of data out there. It's levered corporate credit. It's a little bit more opaque when it comes to asset-based finance, particularly related to consumer credit. So how do you think about the risks in that part of the market and what are your exposures to consumer maybe within ABF specifically? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. DECEMBER 09, 2025 / 1:40PM, KKR.N - KKR & Co Inc at Goldman Sachs U.S. Financial Services Conference

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Great. We'll get to private wealth in a second, but I did want to hit on real assets as another important growth vertical for you guys. You obviously have a very large infrastructure business, one of the largest in the world. This business as a whole has been growing management fees at over 20% per year really for the last three years. Maybe walk us through how you think about sustainability of that growth, especially once the Global Infra Fund completes the fundraising cycle, which you guys are still on the market with. And I guess in that context, any signs of real estate recovery? I know you mentioned there are some green shoots, but maybe you could expand on that a little bit as well.

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Well, and probably also a bit of that bifurcation right between the haves and have-nots.

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Yeah, and real estate is probably (inaudible)

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Okay, let's talk about the wealth channel, a bunch of questions on this because it's obviously a very important topic for you guys and really the space broadly. Starting maybe with a question around K-Series, really nice growth, $32 billion in assets currently and really consistent flows which we like to see across private equity and infra. Maybe walk us through your expansion plans for these vehicles across distribution networks and what are some of the other products you're thinking about coming to market with in this K-Series part of the story?

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Yeah, let's talk a little bit about that. So you guys were one of the first, maybe the first, alt manager to announce a partnership like that, obviously a really powerful brand between you guys and Capital. A slightly different audience for that, a slightly different sales process. The flows have been fairly muted so far, so maybe talk a little bit about reception you're hearing in this channel for this product and when you actually expect some of these initiatives to ramp a little faster.

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Yeah, so much more of a multifaceted relationship on that. As the wealth channel grows, it obviously creates a very different and new market structure for the alts ecosystem broadly than anything we've really seen. And as part of that, obviously alpha is not infinite, so to an extent where some of the institutional investors are used to getting some of the fee-free co-investment that's always been part of the relationship, that might change or that creates perhaps some tension as now you have vehicles competing for these investments at 125 basis points. So how do you manage that tension perhaps, and what do you think is the outcome of this kind of evolution going to be on the space? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. DECEMBER 09, 2025 / 1:40PM, KKR.N - KKR & Co Inc at Goldman Sachs U.S. Financial Services Conference

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Yeah. It's an easy trade-off to make between that decision on syndication versus substance keeping. Okay, let's pivot a bit. So one of the maybe unique elements of KKR's story is your strategic holdings. It's something you guys announced a couple of years ago, a bit of a pivot in the strategy, but your guidance is calling for material acceleration in dividends from that part of the business. You were doing about $120 million over the last 12 months on the way to $350 million in 2026. Can you update us on some of the key operating metrics at the portfolio company level? Anything you want to share on revenues, EBITDA growth, et cetera, and really importantly, that bridge of the pretty sizable ramp that you expect to see next year? And then when you zoom out a little bit broadly, a more strategic question, how do you manage this portfolio and what do you expect the composition to look like over the next several years? LSEG STREETEVENTS | www.lseg.com | Contact Us consent of LSEG. 'LSEG' and the LSEG logo are registered trademarks of LSEG and its affiliated companies. DECEMBER 09, 2025 / 1:40PM, KKR.N - KKR & Co Inc at Goldman Sachs U.S. Financial Services Conference

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Yeah, in the last couple of minutes here, I would love to get your perspective on some of the inorganic opportunities as well. KKR largely has been an organic growth story. You've stayed out of the market in terms of some of the larger deals that we've seen out there. There was a headline last week that you guys were looking at something perhaps in the sports media space, but how do you think about the opportunities for KKR to accelerate some of the growth in M&A? What are the things you're looking for?

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : Great. Okay. All right, we'll leave it there. Scott, thanks so much. Great to see you.