Victory Capital Reports June 2024 Total Client Assets

Rhea-AI Summary

Victory Capital (NASDAQ: VCTR) announced its Total Client Assets were $173.8 billion as of June 30, 2024. This includes $168.7 billion in Assets Under Management (AUM) and $5.1 billion in Other Assets. In June, the average Total AUM was $168.7 billion, and the average Total Client Assets were $173.8 billion. The company recorded long-term AUM net flows of -$1.7 billion for the second quarter.

By asset class, Solutions assets were $58.9 billion, Fixed Income $24.4 billion, U.S. Mid Cap Equity $31.0 billion, U.S. Small Cap Equity $15.2 billion, U.S. Large Cap Equity $14.0 billion, Global/Non-U.S. Equity $18.5 billion, and Alternative Investments $3.4 billion. By vehicle, Mutual Funds totaled $112.6 billion, Separate Accounts and Other Pooled Vehicles $50.7 billion, and ETFs $5.4 billion.

Victory Capital will release its second-quarter 2024 financial results on August 1, 2024, and hold a conference call on August 2, 2024, at 8:00 a.m. ET.

Positive

• Total Client Assets increased to $173.8 billion as of June 30, 2024.
• Assets Under Management (AUM) grew to $168.7 billion.
• Solutions assets saw an increase to $58.9 billion.
• Institutional assets within Other Assets category increased to $5.1 billion.

Negative

• Long-term AUM net flows were -$1.7 billion for the second quarter.
• U.S. Mid Cap Equity assets decreased to $31.0 billion.
• U.S. Small Cap Equity assets fell to $15.2 billion.
• Global/Non-U.S. Equity assets dropped slightly to $18.5 billion.

Insights

Financial Analyst

Victory Capital reported Total Assets Under Management (AUM) of $168.7 billion as of June 30, 2024. This is essentially flat when compared to the previous month, showing a slight uptick in specific areas such as U.S. Large Cap Equity and Fixed Income. However, the company's net flows of $-1.7 billion in long-term assets for the second quarter is a significant negative point. Net flows, which represent the difference between the money being added to and withdrawn from the assets managed, are important for understanding the company's growth and client retention. A net outflow signifies that more money is leaving than entering, hinting at potential client dissatisfaction or better opportunities elsewhere. Retail investors should consider this data to gauge the company’s performance and market standing. While the total figures look stable, the net outflows suggest underlying challenges that need to be addressed for sustainable growth.

Market Research Analyst

The data shows that Victory Capital's different asset classes and vehicles are relatively stable month-over-month. The most notable movement is in the Solutions asset class, which grew by nearly $1 billion to $58.9 billion. This segment is often tailored to specific client needs and might indicate a more bespoke service offering that's gaining traction. However, the drop in the U.S. Mid Cap and Small Cap Equity categories reflects a cautious investor sentiment in these areas, potentially due to macroeconomic uncertainties. Retail investors should consider this trend as it might indicate where institutional focus and market opportunities are shifting. The upcoming financial results conference call will be important to understand how the management plans to tackle these net outflows and what strategies they plan to implement moving forward.

Schedules Second-Quarter Financial Results Conference Call for August 2

SAN ANTONIO--(BUSINESS WIRE)-- Victory Capital Holdings, Inc. (NASDAQ: VCTR) (“Victory Capital” or the “Company”) today reported Total Assets Under Management (AUM) of $168.7 billion, Other Assets of $5.1 billion, and Total Client Assets of $173.8 billion, as of June 30, 2024.

For the month of June, average Total AUM was $168.7 billion, average Other Assets was $5.0 billion, and average Total Client Assets was $173.8 billion.

For the second quarter, the Company reported long-term AUM net flows of -$1.7 billion.

Victory Capital Holdings, Inc.
Total Client Assets (unaudited; in millions) 1
	As of:
By Asset Class	June 30, 2024			May 31, 2024
Solutions	$	58,936		$	57,916
Fixed Income		24,398			24,215
U.S. Mid Cap Equity		31,015			31,725
U.S. Small Cap Equity		15,182			15,647
U.S. Large Cap Equity		13,983			13,657
Global / Non-U.S. Equity		18,459			18,521
Alternative Investments		3,390			3,465
Total Long-Term Assets	$	165,362		$	165,146
Money Market / Short Term Assets		3,320			3,309
Total Assets Under Management2	$	168,681		$	168,455
By Vehicle
Mutual Funds3	$	112,584		$	112,255
Separate Accounts and Other Pooled Vehicles4		50,657			50,814
ETFs5		5,440			5,386
Total Assets Under Management	$	168,681		$	168,455
Other Assets6
Institutional	$	5,094		$	4,938
Total Other Assets	$	5,094		$	4,938
Total Client Assets
Total Assets Under Management	$	168,681		$	168,455
Total Other Assets		5,094			4,938
Total Client Assets	$	173,775		$	173,394

¹Due to rounding, numbers presented in these tables may not add up precisely to the totals provided.
²Total AUM includes both discretionary assets under management and non-discretionary assets under advisement and excludes Other Assets.
³Includes institutional and retail share classes, money market and VIP funds.
⁴Includes wrap program accounts, CITs, UMAs, UCITS, private funds, and non-U.S. domiciled pooled vehicles.
⁵Represents only ETF assets held by third parties and excludes ETF assets held by other Victory Capital products.
⁶Includes low-fee (2 to 4 bps) institutional assets, previously reported in the Solutions asset class within the by asset class table and in Separate Accounts and Other Pooled Vehicles within the by vehicle table. These assets are included as part of Victory’s Regulatory Assets Under Management reported in Form ADV Part 1.

Second-Quarter Conference Call and Webcast Details

Victory Capital will report second-quarter 2024 financial results after the market closes on Thursday, August 1, 2024. The Company will host a conference call the following morning, Friday, August 2, at 8:00 a.m. ET to discuss the results. Victory Capital’s earnings release and supplemental materials will be available on the investor relations section of the Company’s website at https://ir.vcm.com before the conference call begins.

To participate in the conference call, please call 1-888-330-3571 (domestic) or 1-646-960-0657 (international), shortly before 8:00 a.m. ET and reference the Victory Capital Conference Call. A live, listen-only webcast will also be available via the investor relations section of the Company’s website at https://ir.vcm.com. For anyone who is unable to join the live event, an archive of the webcast will be available for replay, at the same location, shortly after the call concludes.

About Victory Capital

Victory Capital is a diversified global asset management firm with total assets under management of $168.7 billion, and $173.8 billion in total client assets, as of June 30, 2024. The Company employs a next-generation business strategy that combines boutique investment qualities with the benefits of a fully integrated, centralized operating and distribution platform.

Victory Capital provides specialized investment strategies to institutions, intermediaries, retirement platforms and individual investors. With 11 autonomous Investment Franchises and a Solutions Business, Victory Capital offers a wide array of investment products and services, including mutual funds, ETFs, separately managed accounts, alternative investments, third-party ETF model strategies, collective investment trusts, private funds, a 529 Education Savings Plan, and brokerage services.

Victory Capital is headquartered in San Antonio, Texas, with offices and investment professionals in the U.S. and around the world. To learn more please visit www.vcm.com or follow Victory Capital on Facebook, Twitter, and LinkedIn.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240710048755/en/

Investors:

Matthew Dennis, CFA

Chief of Staff

Director, Investor Relations

216-898-2412

mdennis@vcm.com

Media:

Jessica Davila

Director of Global Communications

210-694-9693

Jessica_davila@vcm.com

Source: Victory Capital Holdings, Inc.

FAQ

What were Victory Capital's Total Client Assets as of June 30, 2024?

Victory Capital reported Total Client Assets of $173.8 billion as of June 30, 2024.

What is Victory Capital's (VCTR) current Assets Under Management (AUM)?

As of June 30, 2024, Victory Capital's AUM was $168.7 billion.

When will Victory Capital release its second-quarter 2024 financial results?

Victory Capital will release its second-quarter 2024 financial results on August 1, 2024.

How did Victory Capital's (VCTR) long-term AUM net flows perform in Q2 2024?

Victory Capital reported long-term AUM net flows of -$1.7 billion for the second quarter of 2024.

What was the increase in Victory Capital's Solutions assets in June 2024?

Victory Capital's Solutions assets increased to $58.9 billion in June 2024.

How did Victory Capital's U.S. Mid Cap Equity assets change as of June 30, 2024?

U.S. Mid Cap Equity assets decreased to $31.0 billion as of June 30, 2024.

What is the scheduled date and time for Victory Capital's Q2 2024 conference call?

Victory Capital's Q2 2024 conference call is scheduled for August 2, 2024, at 8:00 a.m. ET.

What was the performance of Victory Capital's U.S. Small Cap Equity assets in June 2024?

Victory Capital's U.S. Small Cap Equity assets decreased to $15.2 billion in June 2024.