Janus Henderson Group PLC Q1 2025 Earnings Call Transcript

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

Question: Ken Worthington - JPMorgan - Analyst : Hi, good morning. Thanks for taking the questions. Maybe first, I wanted to dig into CLO, CLO ETF capacity. Given the size of money coming in over a short period and the risk that in poor market conditions, money might be possibly flowing out as quickly. How are you thinking about the ETF franchises' ability to navigate CLO liquidity, particularly in times of stress? And are there any lessons maybe learned in April that sort of confirm or alter your views on the build-out of this product suite?

Question: Ken Worthington - JPMorgan - Analyst : Okay, perfect. Thank you for that. And then just maybe quickly on the institutional channel. Second consecutive quarter of positive flows. That part of the franchise continues to perform better. Can you talk about next steps in terms of where you're going to drive better results from here going forward? What's sort of next in the pecking order priorities to continue to drive even better results as we look forward?

Question: Ken Worthington - JPMorgan - Analyst : Institutional specifically.

Question: Ken Worthington - JPMorgan - Analyst : That's excellent. Thank you so much.

Question: Bill Katz - TD Cowen - Analyst : Great, thank you very much. Good morning and congrats again on the Guardian transaction. Maybe starting there. It seems like a very intriguing deal on a lot of vectors from my perspective. Can you talk a little bit about where you see the greatest opportunity for incremental growth, maybe just with the Guardian itself? I think you mentioned that business is growing about 7% annually. But also in terms of their incremental distribution platform, what kind of products might you see the early opportunities for wins? Thank you.

Question: Bill Katz - TD Cowen - Analyst : Great, thank you. And then just as a follow-up, I think you mentioned a couple of times in the commentary, just around the pipeline for M&A. Can you talk a little bit about where incrementally, you might be interested on -- interested in, excuse me? And then as you think about maybe the expectation between the bid and the ask, where does that sit, particularly at such a turbulent year-to-date market backdrop? Thank you.

Question: Bill Katz - TD Cowen - Analyst : Thank you for taking the questions. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 01, 2025 / 1:00PM, JHG.N - Q1 2025 Janus Henderson Group PLC Earnings Call

Question: Craig Siegenthaler - Bank of America - Analyst : Good morning, Ali. Hope everyone is doing well and congrats on the Guardian Life IM agreement signing. We actually have a follow-up to Bill's question. And I heard your comments on the $45 billion AUM and the net 5 to 6 basis point management fee rate. But my question is on the organic growth rate. What do you see as the flow trajectory on this $45 billion AUM base going forward? Or should we essentially assume it's sort of stable at $45 billion at the 5 to 6 basis point fee rate?

Question: Craig Siegenthaler - Bank of America - Analyst : Thanks, Ali. And just for our follow-up, when we take a step back and look at the entire $100 billion-plus AUM insurance client business, there's lots of partnerships now formed between insurance companies' and asset managers, especially annuity business. Is there a lot more AUM up for grabs? Or is most of it tied up now, either with third-party asset managers or internal CIO divisions where they're really not looking for a partner?

Question: Craig Siegenthaler - Bank of America - Analyst : Thanks, Ali. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 01, 2025 / 1:00PM, JHG.N - Q1 2025 Janus Henderson Group PLC Earnings Call

Question: Annalei Davis - Morgan Stanley - Analyst : Hey, this is Annalei Davis on for Mike. You guys talked a little bit about the setup for active management in 2025. Just curious if you could talk a little bit more about how you see the opportunities that just given continued uncertainty, and also what steps you guys taking to help your investment teams best capture this. Thanks.

Question: John Dunn - Evercore ISI - Analyst : Thank you. Could you maybe talk a little bit about the geographic -- looking across regions, the kind of color on the different demand -- flow demands regionally in the intermediary channel and then separately in the institutional channel?

Question: John Dunn - Evercore ISI - Analyst : The products, but also just like the temperature of kind of demand. Any differences between the regions?

Question: John Dunn - Evercore ISI - Analyst : Great. Thank you very much.