AB Announces December 31, 2023 Assets Under Management

Rhea-AI Summary

AllianceBernstein L.P. (AB) announced a 4% increase in preliminary assets under management to $725 billion in December 2023 from $696 billion in November. This increase was driven by market appreciation, with slight firmwide net outflows. The net flows were flat within Institutions and Retail, while Private Wealth posted minimal net outflows.

Insights

Financial Analyst

The reported increase in assets under management (AUM) for AllianceBernstein L.P. is a positive indicator of the firm's asset growth and potential revenue enhancement. A 4% month-over-month growth in AUM, particularly in a climate of market volatility, suggests that the firm's investment strategies and portfolio management are resonating with investors, despite the noted slight firmwide net outflows. The stability in the Institutions and Retail channels indicates a steady client base, while the minimal net outflows in Private Wealth could be a point of focus for the firm to bolster client retention and attract new capital.

It is important to note that market appreciation is a double-edged sword; while it can inflate AUM in the short term, it does not necessarily reflect new business or organic growth. The flat and minimal net flows across channels may suggest a need for the firm to enhance its product offerings or client engagement strategies to capitalize on the positive market conditions and convert them into net positive inflows.

Market Research Analyst

The diversification of AllianceBernstein's AUM across equity (both active and passive), fixed income and alternatives/multi-asset solutions is indicative of a strategic approach to asset allocation that can appeal to a broad range of investors. The data reflects a balanced exposure to various asset classes, which may provide a buffer against market downturns in any single category. The increase in AUM within the equity segment, particularly in actively managed funds, suggests a market trend where investors may be seeking higher returns through active management, possibly in response to market conditions or perceived opportunities by the investment managers.

Furthermore, the growth in alternatives/multi-asset solutions signifies an interest in non-traditional investment options, which could be a response to investors seeking diversification and risk management. This trend may represent an area for further growth and innovation within AllianceBernstein's offerings, potentially leading to increased market share in these segments.

Economist

The reported AUM figures for AllianceBernstein L.P. provide insights into broader economic trends, such as investor confidence and risk appetite. A 4% increase in AUM, driven primarily by market appreciation, may reflect an overall positive economic outlook, with investors remaining active in the markets. However, the slight firmwide net outflows could signal underlying concerns about economic conditions or sector-specific issues that are leading some investors to reallocate their assets.

It is also crucial to consider the macroeconomic context, such as interest rate movements, inflationary pressures and geopolitical events, which can significantly impact market dynamics and investor behavior. The ability of AllianceBernstein to navigate these challenges and continue to grow its AUM will be an important factor in assessing its long-term financial health and competitive position within the asset management industry.

NASHVILLE, Tenn., Jan. 10, 2024 /PRNewswire/ -- AllianceBernstein L.P. ("AB") and AllianceBernstein Holding L.P. ("AB Holding") (NYSE: AB) today announced that preliminary assets under management increased to $725 billion during December 2023 from $696 billion at the end of November. The 4% AUM increase was driven by market appreciation with slight firmwide net outflows. By channel, December net flows were flat within Institutions and Retail, while Private Wealth posted minimal net outflows.

AllianceBernstein L.P. (The Operating Partnership)
Assets Under Management ($ in Billions)
	At December 31, 2023																Nov 30,
																	2023
									Private
	Institutions				Retail				Wealth				Total				Total
Equity
Actively Managed	$	59			$	138			$	50			$	247			$	237
Passive	24				35				4				63				59
Total Equity	83				173				54				310				296
Fixed Income
Taxable	127				64				18				209				200
Tax-Exempt	1				33				27				61				59
Passive	—				11				—				11				11
Total Fixed Income	128				108				45				281				270
Alternatives/Multi-Asset Solutions(1)	106				6				22				134				130
Total	$	317			$	287			$	121			$	725			$	696
	At November 30, 2023
Total	$	305			$	274			$	117			$	696
(1) Includes certain multi-asset solutions and services not included in equity or fixed income services.

 

Cautions Regarding Forward-Looking Statements
Certain statements provided by management in this news release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. The most significant of these factors include, but are not limited to, the following: the performance of financial markets, the investment performance of sponsored investment products and separately-managed accounts, general economic conditions, industry trends, future acquisitions, integration of acquired companies, competitive conditions, and government regulations, including changes in tax regulations and rates and the manner in which the earnings of publicly-traded partnerships are taxed. AB cautions readers to carefully consider such factors. Further, such forward-looking statements speak only as of the date on which such statements are made; AB undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statements. For further information regarding these forward-looking statements and the factors that could cause actual results to differ, see "Risk Factors" and "Cautions Regarding Forward-Looking Statements" in AB's Form 10-K for the year ended December 31, 2022 or form 10-Q for the quarter ended September 30, 2023. Any or all of the forward-looking statements made in this news release, Form 10-K, Form 10-Q, other documents AB files with or furnishes to the SEC and any other public statements issued by AB, may turn out to be wrong. It is important to remember that other factors besides those listed in "Risk Factors" and "Cautions Regarding Forward-Looking Statements", and those listed above, could also adversely affect AB's financial condition, results of operations and business prospects.

About AllianceBernstein

AllianceBernstein is a leading global investment management firm that offers high-quality research and diversified investment services to institutional investors, individuals and private wealth clients in major world markets.

As of December 31, 2023, including both the general partnership and limited partnership interests in AllianceBernstein, AllianceBernstein Holding owned approximately 39.5% of AllianceBernstein and Equitable Holdings, Inc. ("EQH"), directly and through various subsidiaries, owned an approximate 61.2% economic interest in AllianceBernstein.

Additional information about AB may be found on our website, www.alliancebernstein.com.

View original content:https://www.prnewswire.com/news-releases/ab-announces-december-31-2023-assets-under-management-302031841.html

SOURCE AllianceBernstein

FAQ

What is the ticker symbol for AllianceBernstein L.P.?

The ticker symbol for AllianceBernstein L.P. is AB.

What caused the increase in assets under management for AllianceBernstein L.P.?

The 4% increase in assets under management was driven by market appreciation with slight firmwide net outflows.

What were the net flows like for AllianceBernstein L.P. in December 2023?

The net flows were flat within Institutions and Retail, while Private Wealth posted minimal net outflows.

What were the total assets under management for AllianceBernstein L.P. in December 2023?

The total assets under management for AllianceBernstein L.P. in December 2023 were $725 billion.