Artisan Partners Asset Management Inc. (NYSE:APAM) Q4 2023 Earnings Call Transcript

Kenneth Lee: Great. Very helpful there and just one follow-up, if I may. I think at the prepared remarks, you talked about an increase in distribution headcount. I’m wondering if you could just talk a little bit more about expansion plans for distribution this year. Thanks.

Eric Colson: Yes, certainly. Last year, we spent quite a bit of time optimizing our distribution team. We looked at the array of strategies, getting up to 25 strategies, the complexity of the product mix, including credit and alternatives. We felt the need to emphasize the sales orientation of our distribution, of our centralized distribution, groups going after the intermediary, non-U.S. That centralized group, we adjusted compensation. We added resources. We built in training with a real focus on sales and expanded relationship management for continued cross-selling. We then also emphasized client service and product knowledge inside the dedicated distribution, those individuals attached to our autonomous teams and with those adjustments, we’re also adding a few individuals into both areas, as well as we launched a alternatives distribution team that is focused in the center of the firm to help amplify sales for credit opportunities, global unconstrained, and other alternative strategies.

We think at the end of the day, that will create a smoother sales cycle selling across the firm and also, with the complexity, our clients will get direct relationship management and product knowledge from individuals that are closest to the teams.

Operator: Thanks again. This concludes our question-and-answer session and the Artisan Partners fourth quarter 2023 earnings conference call. Thank you. You may now disconnect.