So, you heard us discuss today, our growth strategy is really driving an evolution of our business mix more towards secular growth areas. That’s the way that we think about the business. And as we continue to execute against that strategy, we fully expect to enhance the long-term organic growth and earnings growth profile of the business. So, I’ll touch both on the private market side as well as the liquid alternative side, and I’m sure Jay will want to add some as well. In terms of where we stand, look first of all, January was a much more constructive start to the year overall for AMG versus the environment that we faced in 2022, and we have a lot of positive setting up for 2023 and beyond. We continue to benefit from the diversity and depths of our private markets affiliates.
And they’re raising assets across a number of well-positioned strategies, including credit, infrastructure and real estate. And as we said, these flows are incredibly valuable given their fee rate, their long duration and the potential to generate carried interest. And I think importantly, most of our private markets AUM is also away from traditional private equity and that’s where you’re seeing the most acute impact of the denominator effect on fund raising. So, we feel more insulated from that trend given the unique nature of our private markets affiliates. And then, on liquid alternative strategies, as you know, we’re delivering excellent performance. We’re having much more active dialogue with clients around portfolio construction and the value of uncorrelated and diversifying return sources, and that all positions us very well in terms of future flow opportunities.
So, to put alternatives together, over the course of the last two years, we’ve seen approximately $40 billion of inflows into alternative strategies and collectively those now represent more than 40% of our overall EBITDA. Maybe just to round it out and go through the rest of the business. In U.S. equities, we’re very well positioned given our general tilt toward value strategies and sustainable strategies, and our performance is excellent. 97% of our U.S. fundamental value strategies are outperforming their benchmark on the three-year period. And looking ahead, we expect these categories to be even more in focus with clients. Look, obviously, global equities, the second half of the year was difficult in 2022, as we saw pretty significant de-risking across the industry.
And in a sense, you could say that what happened in global equities really is clouding some of the progress that we’ve been making overall in terms of the underlying flow profile of the business at AMG. That said, we remain well positioned in terms of the long-term track records that our global equity affiliates and just the quality of those businesses. And then lastly, on multi-asset and fixed income, we saw fourth quarter inflows in our wealth businesses, those have been a long-term source of stability and growth, and we’re also seeing some very positive signs out of the box in fixed income early in 2023. So, overall, really led by alternatives, a sizable position — portion of our overall business is both in flowing today as well as well positioned for the future, and we feel very confident in our ability to drive long-term organic growth.
Jay Horgen: Yes, Bill, let me just editorialize a bit further on Tom’s remarks. The second half of 2022, it was very much a risk-off environment and we think it masks some of the underlying trends in our business. It really hit our long-only equities part of our business. And as Tom said, in January and early February, we’ve seen that really abate, the long-term outflows have really slowed down on that part of our business. And clearly, the liquid alternatives and private markets have been driving our organic growth on the other side. Ultimately, or really for us, flows are really just an output of our strategy. We have high conviction that if we invest in areas of secular growth and new and existing affiliates that we will ultimately see the flows follow.
