Virtus Investment Partners, Q3 2026 Earnings Call Transcript

Virtus Investment Partners’ third-quarter AUM fell 7% to $141.4 billion, as $6.1 billion in net outflows—mostly from quality-oriented equity strategies—and negative markets weighed on assets. Management said momentum and AI-led market leadership had challenged quality investing, but recent performance has improved as those stocks weakened; several strategies moved into the top half of peer groups, while fixed income and alternatives continued to post strong long-term results and positive flows. The company expects a more diversified mix of offerings to support greater earnings resilience and is prioritizing organic growth in ETFs, alternatives, fixed income and wealth management. ETF assets grew 24% over the past year, and alternatives account for about 14% of AUM, a share management would like to increase. Adjusted operating margin rose to 28.7% and EPS to $5.86. A $7 billion institutional redemption transitioned in October, though its below-average fee rate is expected to limit the revenue impact relative to the AUM reduction.