Apollo Global Management Inc Q3 2025 Earnings Call Summary

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

Question: Alexander Blostein - Goldman Sachs Group Inc - Analyst : I wanted to start with a question around the wealth market for Apollo broadly. A couple of really strong quarters, $5 billion of flows in the third quarter. You talked about the new product pipeline. And Marc, I was intrigued by your comments around the Asset Management partnerships broadly. So maybe you could expand a little bit on how you view this $5 billion trajectory from here? How much is likely to come from new products or the existing lineup? And when it comes to the Asset Management partnerships, maybe expand on what that could look like for Apollo over the next couple of years.

Question: Patrick Davitt - Bernstein Autonomous LLP - Analyst : I'm sure you've seen, but Colm Kelleher is on the tape this morning warning on private letter ratings arbitrage in US insurance being, quote, looming systemic risk. Firstly, what are your thoughts on that view? And then perhaps more specifically to Athene, can you remind us to what extent Athene is using similar private letter ratings in its own portfolio?

Question: Bill Katz - Cowen and Company LLC - Analyst : I just want to circle back on the wealth management opportunity. One of the pushbacks we get for Apollo and the industry at large is just as rates come down, the demand for yield or income will come down and the industry will suffer from rotation risk. I was wondering if you could address what you're seeing and how you think about that? And then as you look out to 2026, I wonder if you could just lay out a little bit more detail the road map in terms of what drives the incremental growth from here?

Question: Craig Siegenthaler - Bofa Merrill Lynch Asset Holdings Inc - Analyst : We wanted to come back to Marc's comments on the six markets, including several new-ish markets like the traditional Asset Management and the $12 trillion US 401(k) channel. What type of share do you think the alts will eventually take on both the traditional and the 401(k) markets? And also, what investments does not just Apollo, but the entire industry need to make, in order to prepare the origination platforms to address this much larger TAM?

Question: Benjamin Budish - Barclays Services Corp - Analyst : Just wondering if you could unpack a few more of the details around the 2026 SRE guide. And how should we be thinking about gross flows, outflows, the level of spread? It sounds like versus, at least prior expectations, the decline in spread over the next couple of quarters should be much lower than expected. So any other details you can share in a utilization just as we're fine-tuning models after the results?

Question: John Barnidge - Piper Sandler - Analyst : With the capital markets world opening up more and OpenAI moving towards an IPO in '26, do you think this open capital markets environment and those companies moving from the private bucket to the public market will cause a natural inflow of public dollars back into those private assets from those asset managers you mentioned?

Question: Michael Cyprys - Morgan Stanley - Analyst : I wanted to ask about the partnerships with the traditional asset managers that you were alluding to earlier. I was hoping you could elaborate a bit on how you anticipate these partnerships evolving? What the different flavors might look like? And what scenario might it make sense to maybe even acquire in some of those types of firms as opposed to partnering? And then if you could just speak to market making around your aspirations and steps you're taking there as you look to support the development of the marketplace? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 04, 2025 / 1:30PM, APO.N - Q3 2025 Apollo Global Management Inc Earnings Call

Question: Brennan Hawken - Bank of Montreal - Analyst : I just wanted to ask, I know we're going to get into all the components of SRE on the 24th. But on the alt return, you guys restructured the portfolio about a year ago, laid it out at the Investor Day. The returns have gotten better, but they still have run below that 11% level. I know you guys are assuming a return to the 11% for next year and it's part of the outlook. So what has constrained it even despite the restructuring from getting to that 11% and maybe even seeing a few quarters above it, which you would think with an average would happen? And what's the confidence of the progression continuing to eliminate that gap?

Question: Brian Bedell - Deutsche Bank AG - Analyst : Maybe just back on the 401(k) theme. I guess, Marc, are you seeing any near-term traction from planned sponsors in thinking about adding privates to their portfolios? I know it's a long-term theme, but just trying to get a sense of if we might see some progress actually this year in the industry? And then also on the deaccumulation side, you've talked about the importance of -- or the opportunity for Athene to make its way into the deaccumulation strategies for retirement plans. Is that something that you might see traction in the next couple of years and begin to generate even some upside to that $85 billion run rate that you're running at now for retirement service inflows?

Question: Wilma Burdis - Raymond James - Analyst : How do you think about the trade-off between higher volumes versus higher spreads in this ultra-tight credit spread environment? And how does that change Athene's capital efficiency or ROE?