BrightSphere Investment Group Inc. (NYSE:BSIG) Q1 2023 Earnings Conference Call May 4, 2023 11:00 AM ET

Company Participants

Melody Huang - Senior Vice President, Director of Finance & Investor Relations

Suren Rana - President & Chief Executive Officer

Conference Call Participants

Michael Cyprys - Morgan Stanley

Operator

Ladies and gentlemen, thank you for standing by. Welcome to the BrightSphere Investment Group Earnings Conference Call and Webcast for the First Quarter 2023. During the call, all participants will be in a listen-only mode. After the presentation, we will conduct a question-and-answer session. [Operator Instructions] Please note, this call is being recorded today, Thursday, May 4, 2023, at 11 a.m. Eastern Time.

I would now like to turn the meeting over to Melody Huang, Senior Vice President, Director of Finance and Investor Relations. Please go ahead, Melody.

Melody Huang

Good morning and welcome to BrightSphere's conference call to discuss our results for the first quarter ended March 31, 2023. Before we get started, please note that we may make forward-looking statements about our business and financial performance. Each forward-looking statement is subject to risks and uncertainties that could cause actual results to differ materially from those projected. Additional information regarding these risks and uncertainties appears in our SEC filings, including the Form 8-K filed today containing the earnings release in our 2022 Form 10-K.

Any forward-looking statements that we make on this call are based on assumptions as of today and we undertake no obligation to update them as a result of new information or future events. We may also reference certain non-GAAP financial measures. Information about any non-GAAP measures reflected, including a reconciliation of those measures to GAAP measures can be found on our website along with the slides that we will use as part of today's discussion. Finally, nothing herein shall be deemed to be an offer or solicitation to buy any investment products. Suren Rana, our President and Chief Executive Officer will lead the call.

And now, I'm pleased to turn the call over to Suren.

Suren Rana

Thanks, Melody. Good morning, everyone, and thanks for joining us today. As usual, I'll start off with the highlights on Slide 5 of the deck. For Q1 2023, the company reported ENI per share of $0.28 compared to $0.52 in Q1 of 2022. The drop in earnings was driven by lower AUM due to equity market declines throughout 2022 and also lower performance fee in the quarter compared to 1Q 2022. We're pleased, however, that Acadian's investment performance has continued to be strong throughout this volatile period. As of March 31, 2023, 87%, 86% and 90% of strategies by revenue beat their benchmarks over the prior three, five and 10-year periods respectively.