Apollo Global Management Investor Day Presentation Deck
FAQ: Are Athene Management Fees Paid by Athene
to Apollo Truly Management Fees?
●
ATHENE MERGER DID NOT CHANGE CHARACTERISTICS OF FEE EARNINGS STREAM TO APOLLO
Athene has generated strong net
profitability due to its active asset
management partnership with Apollo
●
PAID FOR PERFORMANCE
Strong ROE generation drove a
17% CAGR¹ in Athene's adj. book
value per share since inception
~30 bps of asset outperformance
generated, net of fees²
FAIRLY PRICED
Athene's fees are in-line
with the market for scope
of services provided
• In addition to direct asset
management, Apollo provides
M&A transaction diligence &
structuring, capital markets
support, advisory and operational
support, AUM management, etc.
●
●
EXTERNALLY VALIDATED
Market reception of
strategic capital sidecar
validates our strategy
Third-party capital vehicle (ADIP)
pays the same fee rate Athene pays,
plus a fronting fee to Athene for its
sourcing capabilities
>$7B of high-grade alpha AUM in
separately managed accounts for
third-party insurance clients
1. As of December 31, 2021. 2. Net asset yield calculated based on average stat investment yield on bonds and mortgages disclosed in annual U.S. life insurance statutory fillings. Stat investment yield reduced for each company's respective investment fees and expenses approximated by taking annual GAAP investment expenses
divided by average GAAP invested assets. Athene's stat investment yield was adjusted to include assets in Bermuda entities and separate accounts backing pension risk transfer transactions, and to back out the impact of the larger Lincoln and Jackson National block trades during their respective 12 months deployment periods, as
well as the impact of PRT transactions >$750mm that closed in December on yields in the year that they closed.
APOLLO RETIREMENT SERVICES BUSINESS UPDATE 2022
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