Virtus Investment Partners, Inc. (NASDAQ:VRTS) Q3 2022 Earnings Conference Call October 26, 2022 10:00 AM ET

Company Participants

Sean Rourke - Investor Relations

George Aylward - President and Chief Executive Officer

Mike Angerthal - Chief Financial Officer

Conference Call Participants

Sumeet Mody - Piper Sandler

Michael Cyprys - Morgan Stanley

Operator

Good morning. My name is Michelle and I will be your conference operator today. I would like to welcome everyone to the Virtus Investment Partners Quarterly Conference Call. The slide presentation for this call is available on the Investor Relations section of the Virtus website, www.virtus.com. The call is being recorded and will be available for replay on the Virtus website. [Operator Instructions] I would now turn the conference to your host, Sean Rourke.

Sean Rourke

Thank you and good morning, everyone. On behalf of Virtus Investment Partners, I’d like to welcome you to the discussion of our operating and financial results for the third quarter of 2022. Our speakers today are George Aylward, President and CEO and Mike Angerthal, Chief Financial Officer. Following the prepared remarks, we will have a Q&A period.

Before we begin, please note the disclosures on Page 2 of the slide presentation. Certain matters discussed on this call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and as such, are subject to known and unknown risks and uncertainties, including but not limited to, those factors set forth in today’s news release and discussed in our SEC filings. These risks and uncertainties may cause actual results to differ materially from those discussed in the statements.

In addition to results presented on a GAAP basis, we use certain non-GAAP measures to evaluate our financial results. Our non-GAAP financial measures are not substitutes for GAAP financial results and should be read in conjunction with the GAAP results. Reconciliations of these non-GAAP financial measures to the applicable GAAP measures are included in today’s news release and financial supplement, which are available on our website.

Now, I’d like to turn the call over to George. George?

George Aylward

Thank you, Sean. Good morning everyone. I will start with an overview of the results we reported earlier today, before turning it over to Mike to provide some more detail, and then I’ll provide some additional background on our announcement last week of the AlphaSimplex agreement.

The equity and credit markets remained exceptionally challenging in the third quarter. Concerns over rising interest rates, inflation, geopolitical tension and heightened volatility have negatively affected investor sentiment across products and asset classes. Our third quarter results reflected this difficult environment, with year-to-date market declines meaningfully impacting assets under management and operating earnings.