Silvercrest Asset Management Group Inc. Q4 FY2025 earnings call

Silvercrest added $124.5 million in organic new client accounts in Q4 2025. Embarked on significant strategic investments in intellectual capital and headcount. New business pipeline robust in global and international equity strategies. Ranked number six in NASDAQ investments Q4 2025 brand awareness rankings. Reorganized international business development with professionals in London and Australia. Nearly complete with Australian investment trust and USITS vehicle in Europe, expect regulatory approval in Europe by Q2 2026. Opened physical office in Atlanta, office in Singapore, and space in Dublin; continuing to invest in talent across organization.

Discretionary AUM in Q4 2025 decreased 1.2% to $24 billion, while for 2025 total discretionary AUM increased 3% to $24 billion aided by $688.3 million in organic new client account flows. Total AUM decreased 1.6% in Q4 2025 to $37 billion, up 2% year over year. Non-discretionary AUM is associated with 4% of total revenue and will be adjusted in future quarters to substantially lower non-discretionary AUM on a one-time basis.

Expect compensation ratio to remain elevated for foreseeable future dependent on flows. Anticipate seeing flows in 2026 from global and international strategies. Will report progress on flows. Consider buybacks and returning capital to investors, with multiple uses of capital to be considered.

Forward-looking statements subject to risks and uncertainties in SEC filings. Non-discretionary AUM adjustment impact on reporting. Hiring and investment in growth may not bear fruit as expected.

Q: The global international had very strong performance, can you disclose AUM in these strategies and potential AUM growth?

A: Currently over $2 billion in global and international strategies, pipeline bodes well for significant flows, expect flows in 2026.

Q: Compensation was up, where will comp be in 2026-2027?

A: Depends on flows, still hiring needed, comp ratio will be dependent on flows.

Q: Thoughts on another buyback?

A: Will consider buybacks, love returning capital to investors, will depend on stock price.