AFFILIATED MANAGERS GROUP, INC. 10-Q

Item 1. Financial Statements AFFILIATED MANAGERS GROUP, INC. CONSOLIDATED STATEMENTS OF INCOME (in millions, except per share data) (unaudited) For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Consolidated revenue $ 516.4 $ 528.0 $ 1,516.6 $ 1,517.8 Consolidated expenses: Compensation and related expenses 220.8 253.5 676.5 747.6 Selling, general and administrative 97.0 100.5 278.1 290.8 Intangible amortization and impairments 7.3 6.3 21.8 96.0 Interest expense 34.7 33.2 98.1 101.8 Depreciation and other amortization 3.3 2.6 9.4 7.9 Other expenses (net) 11.6 13.1 31.5 34.7 Total consolidated expenses 374.7 409.2 1,115.4 1,278.8 Equity method income (net) 52.6 88.5 188.3 229.5 Affiliate transaction gains (Note 9) — 127.6 — 127.6 Investment and other income 22.8 27.6 60.0 64.7 Income before income taxes 217.1 362.5 649.5 660.8 Income tax expense 31.3 71.6 130.0 134.7 Net income 185.8 290.9 519.5 526.1 Net income (non-controlling interests) ( 62.2 ) ( 78.5 ) ( 170.0 ) ( 157.1 ) Net income (controlling interest) $ 123.6 $ 212.4 $ 349.5 $ 369.0 Average shares outstanding (basic) 30.1 28.4 31.4 28.7 Average shares outstanding (diluted) 35.0 32.9 35.2 33.0 Earnings per share (basic) $ 4.11 $ 7.47 $ 11.11 $ 12.85 Earnings per share (diluted) $ 3.78 $ 6.87 $ 10.25 $ 11.83 The accompanying notes are an integral part of the Consolidated Financial Statements. 3 Table of Contents AFFILIATED MANAGERS GROUP, INC. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (in millions) (unaudited) For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Net income $ 185.8 $ 290.9 $ 519.5 $ 526.1 Other comprehensive income, net of tax: Foreign currency translation gain 39.2 11.0 42.6 68.7 Change in net realized and unrealized gain (loss) on derivative financial instruments 1.0 ( 0.5 ) 1.4 0.3 Change in net unrealized gain (loss) on available-for-sale debt securities 0.0 — 0.4 0.4 Other comprehensive income, net of tax 40.2 10.5 44.4 69.4 Comprehensive income 226.0 301.4 563.9 595.5 Comprehensive income (non-controlling interests) ( 77.9 ) ( 72.6 ) ( 186.0 ) ( 171.5 ) Comprehensive income (controlling interest) $ 148.1 $ 228.8 $ 377.9 $ 424.0 The accompanying notes are an integral part of the Consolidated Financial Statements. 4 Table of Contents AFFILIATED MANAGERS GROUP, INC. CONSOLIDATED BALANCE SHEETS (in millions) (unaudited) December 31, 2024 September 30, 2025 Assets Cash and cash equivalents $ 950.0 $ 476.1 Receivables 409.7 667.7 Investments 595.6 659.7 Goodwill 2,504.9 2,528.2 Acquired client relationships (net) 1,777.8 1,703.3 Equity method investments in Affiliates (net) 2,246.6 2,529.1 Fixed assets (net) 57.6 55.2 Other assets 288.7 308.9 Total assets $ 8,830.9 $ 8,928.2 Liabilities and Equity Payables and accrued liabilities $ 639.1 $ 879.7 Debt 2,620.2 2,371.6 Deferred tax liability (net) 520.5 542.4 Other liabilities 402.4 594.5 Total liabilities 4,182.2 4,388.2 Commitments and contingencies (Note 7) Redeemable non-controlling interests 350.5 273.5 Equity: Common stock ( $ 0.01 par value, 153.0 shares authorized; 58.5 shares issued as of December 31, 2024 and September 30, 2025 ) 0.6 0.6 Additional paid-in capital 733.1 714.6 Accumulated other comprehensive loss ( 163.6 ) ( 108.6 ) Retained earnings 6,899.8 7,268.0 7,469.9 7,874.6 Less: Treasury stock, at cost ( 28.9 shares and 30.2 shares as of December 31, 2024 and September 30, 2025 , respectively) ( 4,124.6 ) ( 4,531.2 ) Total stockholders' equity 3,345.3 3,343.4 Non-controlling interests 952.9 923.1 Total equity 4,298.2 4,266.5 Total liabilities and equity $ 8,830.9 $ 8,928.2 The accompanying notes are an integral part of the Consolidated Financial Statements. 5 Table of Contents AFFILIATED MANAGERS GROUP, INC. CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (in millions, except dividends per share) (unaudited) Three Months Ended September 30, 2024 Total Stockholders’ Equity Common Stock Additional Paid-In Capital Accumulated Other Comprehensive Loss Retained Earnings Treasury Stock at Cost Non- controlling Interests Total Equity June 30, 2024 $ 0.6 $ 712.8 $ ( 163.7 ) $ 6,614.7 $ ( 3,833.5 ) $ 931.8 $ 4,262.7 Net income — — — 123.6 — 62.2 185.8 Other comprehensive income, net of tax — — 24.5 — — 15.7 40.2 Share-based compensation — 10.2 — — — — 10.2 Common stock issued under share-based incentive plans — ( 0.8 ) — — ( 57.4 ) — ( 58.2 ) Share repurchases, inclusive of excise tax — — — — ( 103.6 ) — ( 103.6 ) Dividends ( $ 0.01 per share) — — — ( 0.2 ) — — ( 0.2 ) Affiliate equity activity: Affiliate equity compensation — 1.6 — — — 9.7 11.3 Issuances — — — — — — — Purchases — ( 0.5 ) — — — ( 0.7 ) ( 1.2 ) Changes in redemption value of Redeemable non- controlling interests — ( 12.0 ) — — — — ( 12.0 ) Capital contributions and other — — — — — ( 2.1 ) ( 2.1 ) Distributions to non-controlling interests — — — — — ( 58.9 ) ( 58.9 ) September 30, 2024 $ 0.6 $ 711.3 $ ( 139.2 ) $ 6,738.1 $ ( 3,994.5 ) $ 957.7 $ 4,274.0 Three Months Ended September 30, 2025 Total Stockholders’ Equity Common Stock Additional Paid-In Capital Accumulated Other Comprehensive Loss Retained Earnings Treasury Stock at Cost Non- controlling Interests Total Equity June 30, 2025 $ 0.6 $ 701.2 $ ( 125.0 ) $ 7,055.9 $ ( 4,394.0 ) $ 900.0 $ 4,138.7 Net income — — — 212.4 — 78.5 290.9 Other comprehensive income (loss), net of tax — — 16.4 — — ( 5.9 ) 10.5 Share-based compensation — 12.5 — — — — 12.5 Common stock issued under share-based incentive plans — ( 1.5 ) — — ( 60.3 ) — ( 61.8 ) Share repurchases, inclusive of excise tax — — — — ( 76.9 ) — ( 76.9 ) Dividends ( $ 0.01 per share) — — — ( 0.3 ) — — ( 0.3 ) Affiliate equity activity: Affiliate equity compensation — 22.2 — — — 4.6 26.8 Issuances — ( 4.5 ) — — — 6.0 1.5 Purchases — 21.3 — — — — 21.3 Changes in redemption value of Redeemable non- controlling interests — ( 36.6 ) — — — — ( 36.6 ) Capital contributions and other — — — — — ( 4.3 ) ( 4.3 ) Distributions to non-controlling interests — — — — — ( 55.8 ) ( 55.8 ) September 30, 2025 $ 0.6 $ 714.6 $ ( 108.6 ) $ 7,268.0 $ ( 4,531.2 ) $ 923.1 $ 4,266.5 The accompanying notes are an integral part of the Consolidated Financial Statements. 6 Table of Contents AFFILIATED MANAGERS GROUP, INC. CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (in millions, except dividends per share) (unaudited) Nine Months Ended September 30, 2024 Total Stockholders' Equity Common Stock Additional Paid-In Capital Accumulated Other Comprehensive Loss Retained Earnings Treasury Stock at Cost Non- controlling Interests Total Equity December 31, 2023 $ 0.6 $ 741.4 $ ( 167.6 ) $ 6,389.6 $ ( 3,376.1 ) $ 982.2 $ 4,570.1 Net income — — — 349.5 — 170.0 519.5 Other comprehensive income, net of tax — — 28.4 — — 16.0 44.4 Share-based compensation — 42.1 — — — — 42.1 Common stock issued under share-based incentive plans — ( 43.5 ) — — ( 33.5 ) — ( 77.0 ) Share repurchases, inclusive of excise tax — — — — ( 584.9 ) — ( 584.9 ) Dividends ( $ 0.03 per share) — — — ( 1.0 ) — — ( 1.0 ) Affiliate equity activity: Affiliate equity compensation — 11.7 — — — 30.9 42.6 Issuances — ( 3.8 ) — — — 11.3 7.5 Purchases — 6.1 — — — ( 20.9 ) ( 14.8 ) Changes in redemption value of Redeemable non- controlling interests — ( 42.7 ) — — — — ( 42.7 ) Transfers to Redeemable non-controlling interests — — — — — ( 1.7 ) ( 1.7 ) Capital contributions and other — — — — — ( 23.6 ) ( 23.6 ) Distributions to non-controlling interests — — — — — ( 206.5 ) ( 206.5 ) September 30, 2024 $ 0.6 $ 711.3 $ ( 139.2 ) $ 6,738.1 $ ( 3,994.5 ) $ 957.7 $ 4,274.0 Nine Months Ended September 30, 2025 Total Stockholders' Equity Common Stock Additional Paid-In Capital Accumulated Other Comprehensive Loss Retained Earnings Treasury Stock at Cost Non- controlling Interests Total Equity December 31, 2024 $ 0.6 $ 733.1 $ ( 163.6 ) $ 6,899.8 $ ( 4,124.6 ) $ 952.9 $ 4,298.2 Net income — — — 369.0 — 157.1 526.1 Other comprehensive income, net of tax — — 55.0 — — 14.4 69.4 Share-based compensation — 34.3 — — — — 34.3 Common stock issued under share-based incentive plans — ( 48.5 ) — — ( 54.5 ) — ( 103.0 ) Share repurchases, inclusive of excise tax — — — — ( 352.1 ) — ( 352.1 ) Dividends ( $ 0.03 per share) — — — ( 0.8 ) — — ( 0.8 ) Affiliate equity activity: Affiliate equity compensation — 26.0 — — — 23.1 49.1 Issuances — ( 6.5 ) — — — 10.0 3.5 Purchases — 57.0 — — — ( 74.4 ) ( 17.4 ) Changes in redemption value of Redeemable non- controlling interests — ( 80.8 ) — — — — ( 80.8 ) Transfers from Redeemable non-controlling interests — — — — — 53.0 53.0 Capital contributions and other — — — — — ( 7.5 ) ( 7.5 ) Distributions to non-controlling interests — — — — — ( 205.5 ) ( 205.5 ) September 30, 2025 $ 0.6 $ 714.6 $ ( 108.6 ) $ 7,268.0 $ ( 4,531.2 ) $ 923.1 $ 4,266.5 The accompanying notes are an integral part of the Consolidated Financial Statements. 7 Table of Contents AFFILIATED MANAGERS GROUP, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (in millions) (unaudited) For the Nine Months Ended September 30, 2024 2025 Cash flow from (used in) operating activities: Net income $ 519.5 $ 526.1 Adjustments to reconcile Net income to cash flow from (used in) operating activities: Intangible amortization and impairments 21.8 96.0 Depreciation and other amortization 9.4 7.9 Deferred income tax expense 59.5 44.1 Equity method income (net) ( 188.3 ) ( 229.5 ) Distributions received from equity method investments 357.3 379.7 Affiliate transaction gains — ( 127.6 ) Share-based compensation and Affiliate equity compensation expense 88.6 148.6 Net realized and unrealized gains on investment securities ( 30.7 ) ( 43.1 ) Other non-cash items ( 3.8 ) ( 1.9 ) Changes in assets and liabilities: Purchases of securities by consolidated Affiliate sponsored investment products ( 61.8 ) ( 72.1 ) Sales of securities by consolidated Affiliate sponsored investment products 48.1 45.3 Increase in receivables ( 76.5 ) ( 231.8 ) Decrease (increase) in other assets 13.8 ( 23.0 ) (Decrease) increase in payables, accrued liabilities, and other liabilities ( 37.3 ) 198.1 Cash flow from operating activities 719.6 716.8 Cash flow from (used in) investing activities: Investments in Affiliates, net of cash acquired ( 5.9 ) ( 515.1 ) Proceeds from Affiliate transactions — 99.8 Return of capital from equity method investments — 3.8 Purchases of fixed assets ( 2.3 ) ( 4.2 ) Purchases of investment securities ( 496.4 ) ( 72.3 ) Maturities and sales of investment securities 875.2 229.4 Cash flow from (used in) investing activities 370.6 ( 258.6 ) Cash flow from (used in) financing activities: Borrowings of senior bank debt, senior notes, and junior subordinated notes 847.6 100.0 Repayments of senior bank debt and senior notes ( 750.0 ) ( 350.0 ) Repurchases of common stock, net ( 589.5 ) ( 353.2 ) Dividends paid on common stock ( 1.0 ) ( 0.8 ) Distributions to non-controlling interests ( 206.5 ) ( 205.5 ) Affiliate equity purchases, net ( 54.1 ) ( 50.0 ) Taxes paid on shares withheld on share-based awards ( 77.3 ) ( 105.8 ) Other financing items ( 73.3 ) 16.7 Cash flow used in financing activities ( 904.1 ) ( 948.6 ) Effect of foreign currency exchange rate changes on cash and cash equivalents 5.7 10.5 Net increase (decrease) in cash and cash equivalents 191.8 ( 479.9 ) Cash and cash equivalents at beginning of period 813.6 950.0 Effect of consolidation of Affiliate sponsored investment products 5.3 6.0 Cash and cash equivalents at end of period $ 1,010.7 $ 476.1 Supplemental disclosure of non-cash investing and financing activities: Shares received from Affiliate transactions $ — $ 154.0 Payables recorded for Affiliate equity repurchases 38.7 205.8 Stock issued upon vesting of restricted stock units and exercise of stock options 102.2 133.9 Stock received for tax withholdings on share-based payments 77.3 105.8 Stock received for the exercise of stock options 98.8 100.6 The accompanying notes are an integral part of the Consolidated Financial Statements. 8 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) 1. Basis of Presentation and Use of Estimates The Consolidated Financial Statements of Affiliated Managers Group, Inc. (“AMG” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the U.S. (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for full year financial statements. In the opinion of management, all normal and recurring adjustments considered necessary for a fair statement of the Company’s interim financial position and results of operations have been included and all intercompany balances and transactions have been eliminated. Certain reclassifications have been made to the prior period’s financial statements to conform to the current period’s presentation. Operating results for interim periods are not necessarily indicative of the results that may be expected for any other period or for the full year. The Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024 includes additional information about its operations, financial position, and accounting policies, and should be read in conjunction with this Quarterly Report on Form 10-Q. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those estimates. All dollar amounts, except per share, per unit, and per option data in the text and tables herein, are stated in millions unless otherwise indicated . 2. Accounting Standards and Policies Recently Adopted Accounting Standards Effective for the financial year ended December 31, 2024 and for interim periods beginning January 1, 2025, the Company adopted Accounting Standard Update (“ASU”) 2023-07, Segment Reporting: Improvements to Reportable Segment Disclosures. Effective January 1, 2025, the Company adopted ASU 2024-01, Compensation—Stock Compensation: Scope Application of Profits Interest and Similar Awards. The adoption of these standards did not have a material impact on the Company’s Consolidated Financial Statements. Recent Accounting Development s In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires greater disaggregation of income tax disclosures related to the income tax rate reconciliation and income taxes paid. The standard is effective for annual periods beginning after December 15, 2024. The Company currently does not expect the adoption to have a material impact on its Consolidated Financial Statements. In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which requires improved disclosure of the nature and disaggregation of income statement expenses. The standard is effective for annual periods beginning after December 15, 2026 and interim periods beginning after December 15, 2027. The Company is currently evaluating the potential impact that this standard may have on its Consolidated Financial Statements. In May 2025, the FASB issued ASU 2025-03, Business Combinations (Topic 805) and Consolidation (Topic 810): Determining the Accounting Acquirer in the Acquisition of a Variable Interest Entity, which revises guidance on how an entity should identify the accounting acquirer in a business combination in which the legal acquiree is a variable interest entity. The standard is effective for annual periods beginning after December 15, 2026 and interim periods within those annual reporting periods . The Company is currently evaluating the potential impact that this standard may have on its Consolidated Financial Statements. In July 2025, the FASB issued ASU 2025-05, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets, which introduces a practical expedient for all entities and an accounting policy election for entities other than public business entities related to applying Subtopic 326-20 to current accounts receivable and current contract assets arising from transactions accounted for under Topic 606. The standard is effective for annual periods beginning after December 15, 2025 and interim periods within those annual reporting periods. The Company is currently evaluating the potential impact that this standard may have on its Consolidated Financial Statements. 9 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) In September 2025, the FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software, which increases the operability of the recognition guidance considering different methods of software development. The standard is effective for annual periods beginning after December 15, 2027 and interim periods within those annual reporting periods. The Company is currently evaluating the potential impact that this standard may have on its Consolidated Financial Statements. 3. Investments The following table summarizes the Company’s Investments: December 31, 2024 September 30, 2025 Investments in marketable securities Equity securities $ 32.3 $ 37.1 Debt securities 24.3 48.4 Total investments in marketable securities 56.6 85.5 Other investments Investments measured at NAV as a practical expedient $ 488.6 $ 523.8 Investments without readily determinable fair values 50.4 50.4 Total other investments 539.0 574.2 Investments $ 595.6 $ 659.7 Investments in Marketable Securities Equity Securities The following table summarizes the cost, gross unrealized gains, gross unrealized losses, and fair value of investments in equity securities: December 31, 2024 September 30, 2025 Cost $ 30.0 $ 37.8 Unrealized gains 3.7 7.9 Unrealized losses ( 1.4 ) ( 8.6 ) Fair value $ 32.3 $ 37.1 As of December 31, 2024 and September 30, 2025 , investments in equity securities include consolidated Affiliate sponsored investment products with fair values of $ 10.9 million and $ 8.5 million , respectively. For the three and nine months ended September 30, 2024 , the Company recognized net unrealized gains on equity securities still held as of September 30, 2024 of $ 2.0 million and $ 3.5 million , respectively. For the three and nine months ended September 30, 2025 , the Company recognized net unrealized gains on equity securities still held as of September 30, 2025 of $ 1.4 million and $ 5.7 million , respectively. Debt Securities The following table summarizes the cost, gross unrealized gains , gross unrealized losses, and fair value of investments in consolidated Affiliate sponsored investment products classified as trading : December 31, 2024 September 30, 2025 Cost $ 24.6 $ 47.7 Unrealized gains — 1.0 Unrealized losses ( 0.3 ) ( 0.3 ) Fair value $ 24.3 $ 48.4 10 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) For the three and nine months ended September 30, 2024 , the Company recognized net unrealized gains on debt securities classified as trading still held as of September 30, 2024 of $ 0.8 million and $ 1.4 million , respectively. For the three and nine months ended September 30, 2025 , the Company recognized net unrealized gains (losses) on debt securities classified as trading still held as of September 30, 2025 of $( 0.4 ) million and $ 1.8 million , respectively. Other Investments Investments Measured at NAV as a Practical Expedient The following table summarizes the fair values of investments that are measured at net asset value (“NAV”) as a practical expedient and any related unfunded commitments: December 31, 2024 September 30, 2025 Fair Value Unfunded Commitments Fair Value Unfunded Commitments Investments with limited liquidity (1) $ 486.9 $ 205.5 $ 474.8 $ 240.6 Investments with periodic liquidity (2) 1.7 — 49.0 24.7 Total (3) $ 488.6 $ 205.5 $ 523.8 $ 265.3 ___________________________ (1) The Company expects to receive distributions related to its interests in investments with limited liquidity as the underlying assets are liquidated over the life of the investments, which is generally up to 15 years . The Company accounts for the majority of its interests in investments with limited liquidity one quarter in arrears (adjusted for current period calls and distributions). (2) Investments with periodic liquidity are generally redeemable on a daily, monthly, or quarterly basis. (3) Investments measured at NAV as a practical expedient primarily invest in a broad range of private markets. Fair value attributable to the controlling interest was $ 370.1 million and $ 405.2 million as of December 31, 2024 and September 30, 2025 , respectively. Investments Without Readily Determinable Fair Values The following table summarizes the cost, cumulative unrealized gains, and carrying amount of the Company’s investment in a private corporation where it does not exercise significant influence, and does not have a readily determinable fair value: December 31, 2024 September 30, 2025 Cost $ 8.5 $ 8.5 Cumulative unrealized gains 41.9 41.9 Carrying amount $ 50.4 $ 50.4 For the three and nine months ended September 30, 2025 , the Company recorded no gains or losses on the underlying investment. The following tables present the changes in other investments: For the Three Months Ended September 30, 2024 2025 Measured at NAV as a Practical Expedient Without Readily Determinable Fair Values Total Measured at NAV as a Practical Expedient Without Readily Determinable Fair Values Total Balance, beginning of period $ 479.9 $ 50.4 $ 530.3 $ 515.7 $ 50.4 $ 566.1 Purchases and commitments funded 13.6 — 13.6 19.6 — 19.6 Sales and distributions ( 20.4 ) — ( 20.4 ) ( 25.4 ) — ( 25.4 ) Net realized and unrealized gains 9.3 — 9.3 13.9 — 13.9 Balance, end of period $ 482.4 $ 50.4 $ 532.8 $ 523.8 $ 50.4 $ 574.2 11 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) For the Nine Months Ended September 30, 2024 2025 Measured at NAV as a Practical Expedient Without Readily Determinable Fair Values Total Measured at NAV as a Practical Expedient Without Readily Determinable Fair Values Total Balance, beginning of period $ 430.5 $ 50.4 $ 480.9 $ 488.6 $ 50.4 $ 539.0 Purchases and commitments funded 78.1 — 78.1 68.5 — 68.5 Sales and distributions ( 47.1 ) — ( 47.1 ) ( 67.3 ) — ( 67.3 ) Net realized and unrealized gains 20.9 — 20.9 34.0 — 34.0 Balance, end of period $ 482.4 $ 50.4 $ 532.8 $ 523.8 $ 50.4 $ 574.2 4. Fair Value Measurements The following tables summarize financial assets and liabilities that are measured at fair value on a recurring basis: Fair Value Measurements December 31, 2024 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets Investments in equity securities (1) $ 32.3 $ 32.3 $ — $ — Investments in debt securities (1) 24.3 — 24.3 — Financial Liabilities (2) Contingent payment obligations $ 5.7 $ — $ — $ 5.7 Affiliate equity purchase obligations 54.8 — — 54.8 Fair Value Measurements September 30, 2025 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial Assets Investments in equity securities (1) $ 37.1 $ 37.1 $ — $ — Investments in debt securities (1) 48.4 — 48.4 — Financial Liabilities (2) Contingent payment obligations $ 0.0 $ — $ — $ 0.0 Affiliate equity purchase obligations 235.2 — — 235.2 ___________________________ (1) Amounts are recorded in Investments on the Consolidated Balance Sheets. (2) Amounts are recorded in Other liabilities on the Consolidated Balance Sheets. 12 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) Level 3 Financial Liabilities The following tables present the changes in Level 3 liabilities: For the Three Months Ended September 30, 2024 2025 Contingent Payment Obligations Affiliate Equity Purchase Obligations Contingent Payment Obligations Affiliate Equity Purchase Obligations Balance, beginning of period $ 7.9 $ 53.9 $ 0.0 $ 117.9 Purchases and issuances (1) — 10.1 — 112.3 Settlements and reductions — ( 5.0 ) — ( 10.4 ) Net realized and unrealized (gains) losses (2) ( 1.4 ) ( 0.1 ) — 15.4 Balance, end of period $ 6.5 $ 58.9 $ 0.0 $ 235.2 Net change in unrealized (gains) losses relating to instruments still held at the reporting date (1) $ ( 1.4 ) $ ( 0.5 ) $ — $ 15.2 For the Nine Months Ended September 30, 2024 2025 Contingent Payment Obligations Affiliate Equity Purchase Obligations Contingent Payment Obligations Affiliate Equity Purchase Obligations Balance, beginning of period $ 14.7 $ 53.9 $ 5.7 $ 54.8 Purchases and issuances (1) — 66.3 — 205.4 Settlements and reductions — ( 62.1 ) ( 4.9 ) ( 53.8 ) Net realized and unrealized (gains) losses (2) ( 8.2 ) 0.8 ( 0.8 ) 28.8 Balance, end of period $ 6.5 $ 58.9 $ 0.0 $ 235.2 Net change in unrealized (gains) losses relating to instruments still held at the reporting date (1) $ ( 8.2 ) $ 0.4 $ ( 0.1 ) $ 29.6 ___________________________ (1) Affiliate equity purchase obligation activity includes transfers from Redeemable non-controlling interests. (2) Gains and losses resulting from changes to expected payments related to contingent payment obligations and the accretion of these o bligations are included in Other expenses (net) and included in Interest expense, respectively, in the Consolidated Statements of Income. Changes to the redemption value of Affiliate equity purchase obligations are included in Compensation and related expenses in the Consolidated Statements of Income. 13 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) The following table presents certain quantitative information about the significant unobservable inputs used in valuing the Company’s Level 3 fair value measurements: Quantitative Information about Level 3 Fair Value Measurements December 31, 2024 September 30, 2025 Valuation Techniques Unobservable Input Fair Value Range Weighted Average (1) Fair Value Range Weighted Average (1) Contingent payment obligations Monte Carlo Simulation Volatility $ 5.7 18 % 18 % $ 0.0 17 % 17 % Discount rates 4 % 4 % 4 % 4 % Affiliate equity purchase obligations Discounted cash flow Growth rates (2) $ 54.8 ( 4 )% - 9 % 1 % $ 235.2 ( 4 )% - 6 % 2 % Discount rates 12 % - 19 % 14 % 12 % - 19 % 14 % ___________________________ (1) Calculated by comparing the relative fair value of an obligation to its respective total. (2) Represents growth rates of asset- and performance-based fees. Contingent payment obligations represent the fair value of the expected future settlement amounts related to the Company’s investments in its consolidated Affiliates. Changes to assumed volatility and discount rates change the fair value of contingent payment obligations. Increases to the volatility rates used would result in higher fair values, while increases to the discount rates used would result in lower fair values. Affiliate equity purchase obligations include agreements to purchase Affiliate equity and represent the fair value of the expected future settlement amounts. Changes to assumed growth rates and discount rates change the fair value of the Affiliate equity purchase obligations. Increases to the assumed growth rates used would result in higher fair values, while increases to the discount rates used would result in lower fair values. Other Financial Assets and Liabilities Not Carried at Fair Value The following table summarizes the Company’s other financial liabilities not carried at fair value: December 31, 2024 September 30, 2025 Carrying Value Fair Value Carrying Value Fair Value Fair Value Hierarchy Senior notes $ 1,097.4 $ 1,062.9 $ 747.7 $ 740.9 Level 2 Junior subordinated notes 1,216.0 1,035.6 1,216.1 1,031.2 Level 2 Junior convertible securities 341.7 372.2 341.7 437.4 Level 2 The Company has other financial assets and liabilities that are not required to be carried at fair value, but are required to be disclosed at fair value. The carrying amount of Cash and cash equivalents, Receivables, Payables and accrued liabilities, and certain Other liabilities approximates fair value because of the short-term nature of these instruments. The carrying value of the revolver (as defined in Note 6) approximates fair value because the revolver has variable interest based on selected short-term rates. 5. Investments in Affiliates and Affiliate Sponsored Investment Products In evaluating whether an investment must be consolidated, the Company evaluates the risk, rewards, and significant terms of each of its Affiliates and other investments to determine if an investment is considered a voting rights entity (“VRE”) or a variable interest entity (“VIE”). An entity is a VRE when the total equity investment at risk is sufficient to enable the entity to finance its activities independently, and when the equity holders have the obligation to absorb losses, the right to receive residual returns, and the right to direct the activities of the entity that most significantly impact its economic performance. An entity is a VIE when it lacks one or more of the characteristics of a VRE, which, for the Company, are Affiliate investments structured as partnerships (or similar entities) where the Company is a limited partner and lacks substantive kick-out or substantive participation rights over the general partner. Assessing whether an entity is a VRE or VIE involves judgment. 14 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) Upon the occurrence of certain events, management reviews and reconsiders its previous conclusion regarding the status of an entity as a VRE or a VIE. The Company consolidates VREs when it has control over significant operating, financial, and investing decisions of the entity. When the Company lacks such control, but is deemed to have significant influence, the Company accounts for the VRE under the equity method. Investments with readily determinable fair values in which the Company does not have rights to exercise significant influence are recorded at fair value on the Consolidated Balance Sheets, with changes in fair value included in Investment and other income in the Consolidated Statements of Income. The Company consolidates VIEs when it is the primary beneficiary of the entity, which is defined as having the power to direct the activities that most significantly impact the VIE’s economic performance and the obligation to absorb losses of, or the right to receive benefits from, the entity that could potentially be significant to the VIE. Substantially all of the Company’s consolidated Affiliates considered VIEs are controlled because the Company holds a majority of the voting interests or it is the managing member or general partner. Furthermore, an Affiliate’s assets can be used for purposes other than the settlement of the respective Affiliate’s obligations. The Company applies the equity method of accounting to VIEs where the Company is not the primary beneficiary, but has the ability to exercise significant influence over operating and financial matters of the VIE. Investments in Affiliates Substantially all of the Company’s Affiliates are considered VIEs and are either consolidated or accounted for under the equity method. A limited number of the Company’s Affiliates are considered VREs and most of these are accounted for under the equity method. When an Affiliate is consolidated, the portion of the earnings attributable to Affiliate management’s and any co-investor’s equity ownership is included in Net income (non-controlling interests) in the Consolidated Statements of Income. Undistributed earnings attributable to Affiliate management’s and any co-investor’s equity ownership, along with their share of any tangible or intangible net assets, are included in Non-controlling interests on the Consolidated Balance Sheets. Affiliate equity interests where the holder has certain rights to demand settlement are presented, at their current redemption values, as Redeemable non-controlling interests or Other liabilities on the Consolidated Balance Sheets. The Company periodically issues, sells, and purchases the equity of its consolidated Affiliates. Because these transactions take place between entities that are under common control, any gains or losses attributable to these transactions are required to be included in Additional paid- in capital in the Consolidated Balance Sheets, net of any related income tax effects in the period the transaction occurs. When an Affiliate is accounted for under the equity method, the Company’s share of an Affiliate’s earnings or losses, net of intangible amortization and impairments and tax, is included in Equity method income (net) in the Consolidated Statements of Income and the carrying value of the Affiliate is recorded in Equity method investments in Affiliates (net) in the Consolidated Balance Sheets. The Company periodically performs assessments to determine if the fair value of an investment may have declined below its related carrying value for its Affiliates accounted for under the equity method for a period that the Company considers to be other-than-temporary. The Company performs these assessments if certain triggering events occur or annually during the fourth quarter. The Company first considers whether certain qualitative factors indicate an increased likelihood of a decline in the fair value of an Affiliate during the reporting period. If such a decline is identified, and it is likely that an investment’s fair value may have declined below its carrying value, the Company performs a quantitative assessment to determine if an impairment exists. Impairments are recorded as an expense in Equity method income (net) to reduce the carrying value of the Affiliate to fair value. The unconsolidated assets, net of liabilities and non-controlling interests of Affiliates accounted for under the equity method considered VIEs, and the Company’s carrying value and maximum exposure to loss, were as follows: December 31, 2024 September 30, 2025 Unconsolidated VIE Net Assets Carrying Value and Maximum Exposure to Loss Unconsolidated VIE Net Assets Carrying Value and Maximum Exposure to Loss Affiliates accounted for under the equity method $ 1,820.4 $ 2,135.2 $ 1,662.0 $ 2,410.8 15 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) As of December 31, 2024 and September 30, 2025 , the carrying value and maximum exposure to loss for all of the Company’s Affiliates accounted for under the equity method was $ 2,246.6 million and $ 2,529.1 million , respectively, including Affiliates accounted for under the equity method considered VREs of $ 111.4 million and $ 118.3 million , respectively. Affiliate Sponsored Investment Products The Company’s Affiliates sponsor various investment products where the Affiliate also acts as the investment adviser. These investment products are typically owned primarily by third-party investors; however, certain products are funded with general partner and seed capital investments from the Company and its Affiliates. Third-party investors in Affiliate sponsored investment products are generally entitled to substantially all of the economics of these products, except for the asset- and performance-based fees earned by the Company’s Affiliates or any gains or losses attributable to the Company’s or its Affiliates’ investments in these products. As a result, the Company generally does not consolidate these products. However, for certain products, the Company’s consolidated Affiliates, as the investment manager, have the power to direct the activities of the investment product and have an exposure to the economics of the product that is more than insignificant, though generally only for a short period while the product is established and has yet to attract significant third-party investors. When the products are consolidated, the Company retains the specialized investment company accounting principles of the underlying products, and all of the underlying investments are carried at fair value in Investments, with corresponding changes in the investments’ fair values included in Investment and other income. Purchases and sales of securities are included in purchases and sales by consolidated Affiliate sponsored investment products in the Consolidated Statements of Cash Flows, respectively, and the third-party investors’ interests are recorded in Redeemable non-controlling interests. When the Company or its consolidated Affiliates no longer control these products, due to a reduction in ownership or other reasons, the products are deconsolidated with only the Company’s or its consolidated Affiliate’s investment in the product reported from the date of deconsolidation. The Company’s carrying value and maximum exposure to loss from unconsolidated Affiliate sponsored investment products, is its or its consolidated Affiliates’ interests in the unconsolidated net assets of the respective products. The net assets of unconsolidated VIEs attributable to Affiliate sponsored investment products, and the Company’s carrying value and maximum exposure to loss, were as follows: December 31, 2024 September 30, 2025 Unconsolidated VIE Net Assets Carrying Value and Maximum Exposure to Loss Unconsolidated VIE Net Assets Carrying Value and Maximum Exposure to Loss Affiliate sponsored investment products $ 5,925.0 $ 28.0 $ 8,744.9 $ 86.5 6. Debt The following table summarizes the Company’s Debt: December 31, 2024 September 30, 2025 Senior bank debt $ — $ 100.0 Senior notes 1,092.1 743.1 Junior subordinated notes 1,189.0 1,189.3 Junior convertible securities 339.1 339.2 Debt $ 2,620.2 $ 2,371.6 The Company’s senior bank debt, senior notes, junior subordinated notes, and junior convertible securities are carried at amortized cost. Unamortized discounts and debt issuance costs associated with the Company’s debt instruments, with the exception of its senior unsecured multicurrency revolving credit facility (the “revolver”), are presented on the Consolidated Balance Sheets as an adjustment to the carrying value of the associated debt. Senior Bank Debt As of September 30, 2025 , the Company had a $ 1.25 billion revolver which matures on November 15, 2029. Subject to certain conditions, the Company may increase the commitments under the revolver by up to an additional $ 500.0 million . The Company pays interest on any outstanding obligations under the revolver at a specified rate, currently based either on an 16 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) applicable term-SOFR plus a SOFR adjustment of 0.10 % , or prime rate, plus a marginal rate determined based on its credit rating. A s of December 31, 2024 , the Company had no outstanding borrowings under the revolver. As of September 30, 2025 , the Company had outstanding borrowings under the revolver of $ 100.0 million . Senior Notes In the third quarter of 2025, the Company’s $ 350.0 million 3.50 % senior notes matured an d were fully repaid. As of September 30, 2025 , the Company had senior notes outstanding. The carrying values of the senior notes are accreted to their principal amount at maturity over the remaining life of the underlying instrument. The principal terms of the senior notes outstanding as of September 30, 2025 are presented and described below: 2030 Senior Notes 2034 Senior Notes Issue date June 2020 August 2024 Maturity date June 2030 August 2034 Par value (in millions) $ 350.0 $ 400.0 Stated coupon 3.30 % 5.50 % Coupon frequency Semi-annually Semi-annually Call price As defined As defined The senior notes may be redeemed, in whole or in part, at a make-whole redemption price (plus accrued and unpaid interest), at any time prior to March 15, 2030, in the case of the 2030 senior notes, and at any time prior to May 20, 2034, in the case of the 2034 senior notes. The make-whole redemption price, in each case, is equal to the greater of 100 % of the principal amount of the notes to be redeemed and the remaining principal and interest payments on the notes being redeemed (excluding accrued but unpaid interest to, but not including, the redemption date) discounted to their present value as of the redemption date on a semi-annual basis at the applicable Treasury rate plus 0.40 % , in the case of the 2030 senior notes, and plus 0.25 % , in the case of the 2034 senior notes. In addition, the 2030 and 2034 senior notes may be redeemed, in whole or in part, at any time, on or after March 15, 2030 and May 20, 2034, respectively, at a redemption price equal to 100 % of the principal amount of the notes to be redeemed plus accrued and unpaid interest thereon to, but not including, the redemption date. Junior Subordinated Notes As of September 30, 2025 , the Company had junior subordinated notes outstanding, the respective principal terms of which are presented and described below: 2059 Junior Subordinated Notes 2060 Junior Subordinated Notes 2061 Junior Subordinated Notes 2064 Junior Subordinated Notes Issue date March 2019 September 2020 July 2021 March 2024 Maturity date March 2059 September 2060 September 2061 March 2064 Par value (in millions) $ 300.0 $ 275.0 $ 200.0 $ 450.0 Stated coupon 5.875 % 4.75 % 4.20 % 6.75 % Coupon frequency Quarterly Quarterly Quarterly Quarterly Call price As defined As defined As defined As defined NYSE Symbol MGR MGRB MGRD MGRE As of September 30, 2025 , each of the 2059 and the 2060 junior subordinated notes could be redeemed at any time, in whole or in part. The other junior subordinated notes may be redeemed at any time, in whole or in part, on or after September 30, 2026, in the case of the 2061 junior subordinated notes, and on or after March 30, 2029, in the case of the 2064 junior subordinated notes. In each case, the junior subordinated notes may be redeemed at 100 % of the principal amount of the notes being redeemed, plus any accrued and unpaid interest thereon. Prior to the applicable redemption date, at the Company’s option, the applicable junior subordinated notes may also be redeemed, in whole but not in part, at 100 % of the principal amount, plus any accrued and unpaid interest, if certain changes in tax laws, regulations, or interpretations occur; or at 102 % of the principal amount, plus any accrued and unpaid interest, if a rating agency makes certain changes relating to the equity credit criteria for securities with features similar to the applicable notes. 17 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) The Company may, at its option, and subject to certain conditions and restrictions, defer interest payments subject to the terms of the junior subordinated notes. Junior Convertible Securities As of September 30, 2025 , the Company had $ 341.7 million of principal outstanding in its 5.15 % junior convertible trust preferred securities (the “junior convertible securities”), maturing in 2037. The junior convertible securities bear interest at a rate of 5.15 % per annum, payable quarterly in cash. As of December 31, 2024 and September 30, 2025 , the unamortized issuance costs related to the junior convertible securities were $ 2.7 million and $ 2.5 million , respectively. The fol lowing table presents interest expense recorded in connection with the junior convertible securities: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Contractual interest expense $ 4.4 $ 4.4 $ 13.2 $ 13.2 Amortization of debt issuance costs 0.1 0.1 0.2 0.2 Total $ 4.5 $ 4.5 $ 13.4 $ 13.4 Effective interest rate 5.21 % 5.21 % 5.21 % 5.21 % Holders of the junior convertible securities have no rights to put these securities to the Company. The holder may convert the securities to 0.2558 shares of common stock per $ 50.00 junior convertible security, equivalent to an adjusted conversion price of $ 195.47 per share. The conversion rate is subject to adjustments as described in the Amended and Restated Declaration of Trust of AMG Capital Trust II and the related indenture, both dated October 17, 2007 and filed as exhibits to the Company’s most recent Annual Report on Form 10-K. Upon conversion, holders will receive cash or shares of the Company’s common stock, or a combination thereof, at the Company’s election. The Company may redeem the junior convertible securities if the closing price of its common stock for 20 trading days in a period of 30 consecutive trading days exceeds 130 % of the then prevailing conversion price, and may also repurchase junior convertible securities in the open market or in privately negotiated transactions from time to time at management’s discretion. The Company did not repurchase any of its junior convertible securities during the nine months ended September 30, 2024 and 2025 . 7. Commitments and Contingencies From time to time, the Company and its Affiliates may be subject to claims, legal proceedings, and other contingencies in the ordinary course of their business activities. Any such matters are subject to various uncertainties, and it is possible that some of these matters may be resolved in a manner unfavorable to the Company or its Affiliates. The Company and its Affiliates establish accruals, as necessary, for matters for which the outcome is probable and the amount of the liability can be reasonably estimated. For matters for which the outcome is probable but not reasonably estimable or where the outcome is reasonably possible but not probable, the Company provides disclosure related to such matters, as necessary. The Company has committed to co-invest in certain Affiliate sponsored investment products. As of September 30, 2025 , these unfunded commitments were $ 270.3 million and may be called in future periods. As of September 30, 2025 , the Company was contingently liable to make payments in connection with a consolidated Affiliate , which are included in Other liabilities. The Company is contingently liable to make maximum contingent payments of up to $ 100.0 million ( $ 24.9 million attributable to a co-investor). The fair value of the contingent payment obligation was $ 0.0 million . The final measurement date of the contingent payment obligation is in July 2026. As of September 30, 2025 , the Company was obligated to make deferred payments of $ 27.1 million related to certain of its investments in Affiliates accounted for under the equity method, all of which is payable during the remainder of 2025. Deferred payment obligations are included in Other liabilities. As of September 30, 2025 , the Company was contingently liable to make payments of $ 289.1 million related to the achievement of specified financial targets by certain of its Affiliates accounted for under the equity method, of which $ 4.0 million may become payable during the remainder of 2025, $ 143.5 million may become payable in 2026, $ 83.8 million may 18 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) become payable in 2027, $ 35.8 million may become payable in 2028, and $ 11.0 million may become payable in each of 2029 and 2030. As of September 30, 2025 , the Company had agreed to provide one of its Affiliates accounted for under the equity method up to $ 33.3 million of contingent financing. In the event that certain financial targets are not met, the Company may receive payments from one of its Affiliates accounted for under the equity method of up to $ 12.5 million and also has the option to reduce its ownership interest and receive an incremental payment of $ 25.0 million . Affiliate equity interests provide holders at consolidated Affiliates with a conditional right to put their interests to the Company over time. See Note 14 . The Company and certain of its consolidated Affiliates operate under regulatory authorities that require the maintenance of minimum financial or capital requirements. The Company’s management is not aware of any significant violations of such requirements. 8. Goodwill and Acquired Client Relationshi p s The following table presents the changes in the Company’s consolidated Affiliates’ Goodwill: Goodwill Balance, as of December 31, 2024 $ 2,504.9 Foreign currency translation 23.3 Balance, as of September 30, 2025 $ 2,528.2 As of September 30, 2025 , the Company completed its annual impairment assessment on goodwill and no impairment was indicated . The following table presents the changes in the Company’s components of Acquired client relationships (net): Acquired Client Relationships (Net) Definite-lived Indefinite-lived Total Gross Book Value Accumulated Amortization Net Book Value Net Book Value Net Book Value Balance, as of December 31, 2024 $ 1,255.5 $ ( 1,075.2 ) $ 180.3 $ 1,597.5 $ 1,777.8 Intangible amortization and impairments — ( 19.0 ) ( 19.0 ) ( 77.0 ) ( 96.0 ) Foreign currency translation 10.6 ( 10.6 ) — 21.5 21.5 Balance, as of September 30, 2025 $ 1,266.1 $ ( 1,104.8 ) $ 161.3 $ 1,542.0 $ 1,703.3 Definite-lived acquired client relationships at the Company’s consolidated Affiliates are amortized over their expected period of economic benefit. The Company recorded amortization expense in Intangible amortization and impairments in the Consolidated Statements of Income for these relationships of $ 7.3 million and $ 21.8 million for the three and nine months ended September 30, 2024 , respectively, and $ 6.3 million and $ 19.0 million for three and nine months ended September 30, 2025 , respectively . Based on relationships existing as of September 30, 2025 , the Company estimates that its consolidated amortization expense will be approximately $ 6 million for the remainder of 2025, approximately $ 25 million in each of 2026, 2027, and 2028, approximately $ 15 million in 2029, and approximately $ 10 million in 2030. In the first quarter of 2025, the Company completed an impairment assessment of the indefinite-lived acquired client relationships for certain mutual fund assets and determined that the fair value of the assets had declined below their carrying values. Accordingly, the Company recorded an expense in Intangible amortization and impairments of $ 59.2 million attributable to the controlling interest ( $ 70.0 million in aggregate) to reduce the carrying value of the assets to fair value. The decline in the fair value was a result of current and projected declines in assets under management that decreased the forecasted revenue associated with the assets. The most relevant assumptions used in these analyses were revenue growth rates over the next five years ranging from ( 21 )% to 0 % , long-term revenue growth rates of 0 % , and discount rates of 11 % . 19 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) In the first quarter of 2025, the Company also recorded an expense in Intangible amortization and impairments of $ 4.0 million attributable to the controlling interest ( $ 7.0 million in aggregate) to reduce the carrying value of an indefinite-lived acquired client relationship to zero due to the closure of one of its Affiliate’s mutual fund products. 9. Equity Method Investments in Affiliates In the first quarter of 2025, the Company completed its minority investment in NorthBridge Partners, LLC (“NorthBridge”), a private markets manager specializing in industrial logistics real estate assets, and in the second quarter of 2025, the Company completed its minority investment in Verition Fund Management LLC (“Verition”), a global multi-strategy investment firm. A portion of the consideration paid for NorthBridge and the majority of the consideration paid for Verition will be deductible for U.S. tax purposes over a 15-year life. The Company’s purchase price allocations for each investment were measured using discounted cash flow analyses that included assumptions of expected market performance, net client cash flows, and discount rates. The financial results of certain Affiliates accounted for under the equity method are recognized in the Consolidated Financial Statements one quarter in arrears. The following table presents the changes in Equity method investments in Affiliates (net): Equity Method Investments in Affiliates (Net) Balance, as of December 31, 2024 (1) $ 2,246.6 Investments in Affiliates 538.0 Affiliate transactions (2) ( 125.6 ) Earnings, net of tax 299.7 Intangible amortization and impairments ( 70.2 ) Distributions of earnings ( 379.1 ) Return of capital ( 3.8 ) Foreign currency translation 23.5 Balance, as of September 30, 2025 (1) $ 2,529.1 _______________________ (1) Includes undistributed earnings of $ 206.1 million and $ 123.1 million as of December 31, 2024 and September 30, 2025 , respectively. (2) Represents the Company’s equity method investment in Peppertree as of the closing date. Definite-lived acquired client relationships at the Company’s Affiliates accounted for under the equity method are amortized over their expected period of economic benefit. The Company recorded amortization expense for these relationships of $ 22.7 million and $ 64.4 million for the three and nine months ended September 30, 2024 , respectively, and $ 24.6 million and $ 70.2 million for the three and nine months ended, September 30, 2025 , respectively. Based on relationships existing as of September 30, 2025 , the Company estimates the amortization expense attributable to its Affiliates will be approximately $ 23 million for the remainder of 2025, approximately $ 85 million in each of 2026 and 2027, approximately $ 75 million in 2028, and approximately $ 60 million in each of 2029 and 2030. In the second quarter of 2024, the Company recorded a $ 39.9 million expense to reduce the carrying value of an Affiliate to fair value. The decline in the fair value was a result of an anticipated decline in assets under management, which decreased the forecasted income associated with the investment. The fair value of the investment was determined using a discounted cash flow analysis, a Level 3 fair value measurement that included a projected compounded growth in assets under management over the next ten years of ( 2.5 )% , long-term growth rate of 3 % , discount rates of 12 % and 20 % for asset- and performance-based fees, respectively, and a market participant tax rate of 21 % . Based on the discounted cash flow analysis, the Company concluded that the fair value of its investment had declined below its carrying value and that the decline was other-than- temporary. The Company had 22 and 23 Affiliates accounted for under the equity method as of December 31, 2024 and September 30, 2025 , respectively. The majority of these Affiliates are partnerships with structured interests that define how the Company will participate in Affiliate earnings, typically based upon a fixed percentage of revenue reduced by, in some cases, certain agreed- 20 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) upon expenses. The partnership agreements do not define a fixed percentage for the Company’s ownership of the equity of the Affiliate. These percentages would be subject to a separate future negotiation if an Affiliate were to be sold or liquidated . In the second quarter of 2025, the Company entered into an agreement to acquire a minority equity interest in Qualitas Energy, a renewables-focused global infrastructure manager specializing in energy transition. Following the close of the transaction, Qualitas Energy partners will continue to hold a majority of the equity of the business and direct its day-to-day operations. The transaction is expected to close in the fourth quarter of 202 5, subject to customary closing conditions. The financial results will be recognized in the Consolidated Financial Statements one quarter in arrears. In July 2025, the Company completed the previously announced sale of its minority equity interest in Peppertree Capital Management, Inc. (“Peppertree”), as part of the announced acquisition of Peppertree by TPG Inc. (“TPG”) , a public company listed on the Nasdaq Global Select Market (the “Peppertree Transaction”). P ursuant to the terms of the transaction agreement with TPG, under which the Company and each of the other owners agreed to sell their respective equity interests in Peppertree, the Company received total consideration of $ 253.2 million , net of transaction costs, which included $ 99.8 million in cash and 2.9 million TPG Class A common shares, all of which the Company has since sold. Peppertree is included in the Company’s results through the closing date and the Company’s gain on the transaction wa s $ 127.6 million , wh ich is recorded in Affiliate transaction gains in the Consolidated Statements of Income. The after-tax net proceeds from the transaction were $ 218.1 million . In October 2025, the Company announced an agreement with Brown Brothers Harriman (“BBH”), a privately held global financial services firm, to acquire a minority equity interest in BBH Credit Partners, a newly formed subsidiary of BBH focused on structured and alternative credit investment strategies. Following the close of the transaction, BBH partners will continue to direct day-to-day operations and the Company’s ownership will be limited to a minority interest in the BBH Credit Partners subsidiary. The transaction is expected to close in the first quarter of 2026, subject to customary closing conditions. I n October 2025, the Company completed the previously announced agreement to acquire a minority equity interest in Montefiore Investment (“Montefiore”), a European private equity firm focused on the services sector. Following the close of the transaction, Montefiore partners continue to hold a majority of the equity of the business and direct its day-to-day operations. On November 3, 2025, the Company completed the previously announced agreement to sell a portion of its minority equity interest in Comvest Partners (“Comvest”), as part of the announced acquisition of Comvest’s private credit business by Manulife Financial Corporation. Pursuant to the terms of the agreement, the Company received total cash consideration of approximately $ 285 million . The Company acquired its interest in Comvest for $ 125.0 million in 2020 and, as of September 30, 2025, its carrying value was $ 121.8 million . The Company’s gain on the transaction was taxable at closing. Comvest will be included in the Company’s results until closing date and the portion retained will continue to be included going forward. 10. Related Party Transactions The Company may invest from time to time in funds or products advised by its Affiliates. The Company’s executive officers and directors may invest from time to time in funds advised or products offered by its Affiliates, or receive other investment services provided by its Affiliates, on substantially the same terms as other participating investors. In addition, the Company and its Affiliates earn asset- and performance-based fees and incur distribution and other expenses for services provided to Affiliate sponsored investment products. Affiliate management owners and the Company’s officers may serve as trustees or directors of certain investment vehicles from which the Company or an Affiliate earns fees. Also, from time to time, the Company may enter into ordinary course engagements for capital markets, banking, brokerage, and other services with beneficial owners of 5 % or more of the Company’s voting securities. A p rior owner of one of the Company’s consolidated Affiliates retains interests in certain of the Affiliate’s private equity partnerships and, as a result, is a related party of the Company. The prior owner’s interests are included in Other liabilities and were $ 14.5 million and $ 12.3 million as of December 31, 2024 and September 30, 2025 , respectively. From time to time, certain funds of the Company’s consolidated Affiliates may make tax distributions to partners subject to clawback. The total receivable was $ 59.2 million and $ 66.2 million as of December 31, 2024 and September 30, 2025 , respectively, and was included in Other assets on the Consolidated Balance Sheets. The total payable was $ 87.8 million and $ 88.7 million as of December 31, 2024 and September 30, 2025 , respectively, and was included in Other liabilities. These amounts were primarily attributable to the non-controlling interests. 21 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) The Company has related party transactions in association with its deferred and contingent payment obligations, and Affiliate equity transactions, as more fully described in Notes 7, 13, and 14 . 11. Equity Distribution Program In the first quarter of 2025, the Company entered into an equity distribution agreement and forward sale agreements with several major securities firms under which it may, from time to time, issue and sell shares of its common stock (immediately or on a forward basis) having an aggregate sales price of up to $ 500.0 million (the “equity distribution program”). This equity distribution program superseded and replaced the Company’s prior equity distribution program. As of September 30, 2025 , no sales had occurred under the equity distribution program. 12. Share-Based Compensation The following table presents share-based compensation expense: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Share-based compensation expense $ 10.2 $ 12.5 $ 42.1 $ 34.3 Tax benefit 1.2 1.3 5.2 3.3 As of December 31, 2024 , the Company had unrecognized share-based compensation expense of $ 38.1 million . As of September 30, 2025 , the Company had unrecognized share-based compensation expense of $ 58.3 million , which will be recognized over a weighted average period of approximately three years (assuming no forfeitures). Restricted Stock The following table summarizes transactions in the Company’s restricted stock units: Restricted Stock Units Weighted Average Grant Date Value Per Unit Unvested units—December 31, 2024 0.8 $ 147.46 Units granted 0.3 167.90 Units vested ( 0.4 ) 137.69 Units forfeited ( 0.0 ) 157.35 Performance condition changes 0.0 160.76 Unvested units—September 30, 2025 0.7 $ 160.68 For the nine months ended September 30, 2024 and 2025 , the Company granted restricted stock units with fair values of $ 31.3 million and $ 54.7 million , respectively. These restricted stock units were valued based on the closing price of the Company’s common stock on the grant date and the number of shares expected to vest. Restricted stock units containing vesting conditions generally require service over a period of three years to four years and may also require the satisfaction of certain performance conditions. For awards with performance conditions, the number of restricted stock units expected to vest may change over time depending upon the performance level expected to be achieved. 22 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) Stock Options The following table summarizes transactions in the Company’s stock options: Stock Options Weighted Average Exercise Price Per Option Weighted Average Remaining Contractual Life (Years) Unexercised options outstanding—December 31, 2024 1.7 $ 78.45 Options granted — — Options exercised ( 1.4 ) 75.67 Options forfeited — — Options expired ( 0.0 ) 203.22 Performance condition changes — — Unexercised options outstanding—September 30, 2025 0.3 $ 90.65 1.5 Exercisable at September 30, 2025 0.2 $ 76.64 0.9 The Company did not grant any stock options during the nine months ended September 30, 2024 and 2025 . Stock options generally vest over a period of three years to five years and expire seven years after the grant date. All stock options have been granted with exercise prices equal to the closing price of the Company’s common stock on the grant date. Substantially all of the Company’s outstanding stock options contain both service and performance conditions. For awards with performance conditions, the number of stock options expected to vest may change over time depending upon the performance level expected to be achieved. 13. Redeemable Non-Controlling Interests Affiliate equity interests provide holders with an equity interest in one of the Company’s consolidated Affiliates, consistent with the structured partnership interests in place at the respective Affiliate. Affiliate equity holders generally have a conditional right to put their interests to the Company at certain intervals (between five years and 15 years from the date the equity interest is received by the Affiliate equity holder or on an annual basis following an Affiliate equity holder’s departure). Prior to becoming redeemable, the Company’s Affiliate equity is included in Non-controlling interests. Upon becoming redeemable, these interests are reclassified to Redeemable non-controlling interests at their current redemption values. Changes in the current redemption value are recorded to Additional paid-in capital. When the Company has an unconditional obligation to purchase Affiliate equity interests, the interests are reclassified from Redeemable non-controlling interests to Other liabilities at current fair value. Changes in fair value are recorded to Other expenses (net). The following table presents the changes in Redeemable non-controlling interests: Redeemable Non-controlling Interests Balance, as of December 31, 2024 (1) $ 350.5 Increase attributable to consolidated Affiliate sponsored investment products 17.4 Transfers to Other liabilities ( 122.2 ) Transfers to Non-controlling interests ( 53.0 ) Changes in redemption value 80.8 Balance, as of September 30, 2025 (1) $ 273.5 ___________________________ (1) As of December 31, 2024 and September 30, 2025 , Redeemable non-controlling interests include consolidated Affiliate sponsored investment products primarily attributable to third-party investors of $ 12.9 million and $ 30.3 million , respectively. 23 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) 14. Affiliate Equity Affiliate equity interests are allocated income in a manner that is consistent with the structured partnership interests in place at the respective Affiliate. The Company’s consolidated Affiliates generally pay quarterly distributions to Affiliate equity holders. Distributions paid to non-controlling interest Affiliate equity holders were $ 206.5 million and $ 205.5 million for the nine months ended September 30, 2024 and 2025 , respectively. The Company periodically purchases Affiliate equity from and issues Affiliate equity to the Company’s consolidated Affiliate partners and other parties under agreements that provide the Company a conditional right to call and Affiliate equity holders the conditional right to put their Affiliate equity interests to the Company at certain intervals. The Company has the right to settle a portion of these purchases in shares of its common stock. For Affiliates accounted for under the equity method, the Company does not typically have such put and call arrangements. For the nine months ended September 30, 2024 and 2025 , the amount of cash paid for purchases was $ 60.4 million and $ 51.8 million , respectively. For the nine months ended September 30, 2024 and 2025 , the total amount of cash received for issuances was $ 6.3 million and $ 1.8 million , respectively. Sales and purchases of Affiliate equity generally occur at fair value; however, the Company also grants Affiliate equity to its consolidated Affiliate partners and other parties as a form of compensation. If the equity is issued for consideration below the fair value of the equity, or purchased for consideration above the fair value of the equity, the difference is recorded as compensation expense in Compensation and related expenses over the requisite service period. The following table presents Affiliate equity compensation expense: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Controlling interest $ 2.4 $ 39.1 $ 15.6 $ 91.2 Non-controlling interests 9.7 4.6 30.9 23.1 Total $ 12.1 $ 43.7 $ 46.5 $ 114.3 In the second quarter of 2025, the terms of certain equity awards at an Affiliate were modified. The modification included a mandatory repurchase provision upon termination of employment that changed the awards classification from equity to liability and as a result, the Company recorded incremental Affiliate equity compensation expense of $ 30.5 million attributable to the controlling interest. The following table presents unrecognized Affiliate equity compensation expense: Controlling Interest Remaining Life Non-controlling Interests Remaining Life December 31, 2024 $ 36.7 3 years $ 206.0 6 years September 30, 2025 71.1 3 years 168.2 5 years The Company records amounts receivable from, and payable to, Affiliate equity holders in connection with the transfer of Affiliate equity interests that have not settled at the end of the period. The total receivable was $ 7.9 million and $ 7.1 million as of December 31, 2024 and September 30, 2025 , respectively, and was included in Other assets. The total payable was $ 54.8 million and $ 235.2 million as of December 31, 2024 and September 30, 2025 , respectively, and was included in Other liabilities. Effects of Changes in the Company’s Ownership in Affiliates The Company periodically acquires interests from, and transfers interests to, Affiliate equity holders. Because these transactions do not result in a change of control, any gain or loss related to these transactions is recorded to Additional paid-in capital, which increases or decreases the controlling interest’s equity. No gain or loss related to these transactions is recorded in the Consolidated Statements of Income or the Consolidated Statements of Comprehensive Income. While the Company presents the current redemption value of Affiliate equity within Redeemable non-controlling interests, with changes in the current redemption value increasing or decreasing the controlling interest’s equity over time, the following 24 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) table presents the cumulative effect that ownership changes had on the controlling interest’s equity related only to Affiliate equity transactions that occurred during the applicable periods: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Net income (controlling interest) $ 123.6 $ 212.4 $ 349.5 $ 369.0 Decrease in controlling interest paid-in capital from Affiliate equity issuances — ( 4.4 ) ( 2.6 ) ( 4.1 ) Decrease in controlling interest paid-in capital from Affiliate equity purchases ( 0.5 ) ( 45.1 ) ( 22.9 ) ( 36.5 ) Net income (controlling interest) including the net impact of Affiliate equity transactions $ 123.1 $ 162.9 $ 324.0 $ 328.4 15. Income Taxes The Company’s consolidated income tax provision includes taxes attributable to the controlling interest and, to a lesser extent, taxes attributable to the non-controlling interests. The following table presents the consolidated provision for income taxes: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Controlling interest (1) $ 29.5 $ 68.6 $ 123.7 $ 126.9 Non-controlling interests 1.8 3.0 6.3 7.8 Income tax expense $ 31.3 $ 71.6 $ 130.0 $ 134.7 Income before income taxes (controlling interest) $ 153.1 $ 281.0 $ 473.2 $ 495.9 Effective tax rate (controlling interest) (2) 19.3 % 24.4 % 26.1 % 25.6 % ___________________________ (1) For the three months ended September 30, 2024 and 2025 , income tax expense (controlling interest) included intangible- related deferred tax expense of $ 16.4 million and $ 14.2 million , respectively. For the nine months ended September 30, 2024 and 2025 , income tax expense (controlling interest) included intangible-related deferred tax expense of $ 50.6 million and $ 29.7 million , respectively . (2) Taxes attributable to the controlling interest divided by income before income taxes (controlling interest ) . The Company’s effective tax rate (controlling interest) for the three months ended September 30, 2024 was lower than the marginal tax rate of 24.5%, primarily due to tax windfalls attributable to share-based compensation. The Company’s effective tax rate (controlling interest) for the nine months ended September 30, 2024 was higher than the marginal tax rate of 24.5%, primarily due to an expense to reduce the carrying value of an Affiliate to fair value for which no tax benefit was recorded. The Company’s effective tax rate (controlling interest) for the three months ended September 30, 2025 was lower than the marginal tax rate of 24.5%, primarily due to tax windfalls attributable to share-based compensation, partially offset by an expense attributable to certain equity awards at an Affiliate for which no tax benefit was recorded. The Company’s effective tax rate (controlling interest) for the nine months ended September 30, 2025 was higher than the marginal tax rate of 24.5%, primarily due to an expense attributable to certain equity awards at an Affiliate for which no tax benefit was recorded. The Company’s effective tax rate reflects the relative contributions of earnings in the jurisdictions in which the Company and its Affiliates operate and is impacted by changes in the jurisdictional mix of income before taxes. The Company continues to monitor and evaluate legislative developments related to the Organization for Economic Co- operation and Development’s Pillar Two directive (“Pillar Two”), which establishes a framework for a global minimum corporate tax rate of 15%. Several countries in which the Company or its Affiliates operate are adopting legislation to implement Pillar Two. The Company currently does not expect Pillar Two to have a material impact on its Consolidated Financial Statements. 25 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) On July 4, 2025, An Act to Provide for Reconciliation Pursuant to Title II of the H. Con. Res. 14 (the “Act”) was enacted into U.S. law, which included certain modifications to federal tax law. The Company continues to evaluate the provisions of the Act but currently does not expect the Act to have a material impact on its Consolidated Financial Statements. 16. Earnings Per Share The calculation of Earnings per share (basic) is based on the weighted average number of shares of the Company’s common stock outstanding during the period. Earnings per share (diluted) is similar to Earnings per share (basic), but adjusts for the dilutive effect of the potential issuance of incremental shares of the Company’s common stock. The following is a reconciliation of the numerator and denominator used in the calculation of basic and diluted earnings per share available to common stockholders: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Numerator Net income (controlling interest) $ 123.6 $ 212.4 $ 349.5 $ 369.0 Income from hypothetical settlement of Redeemable non-controlling interests, net of taxes 5.2 10.1 1.0 11.5 Interest expense on junior convertible securities, net of taxes 3.4 3.4 10.1 10.1 Net income (controlling interest), as adjusted $ 132.2 $ 225.9 $ 360.6 $ 390.6 Denominator Average shares outstanding (basic) 30.1 28.4 31.4 28.7 Effect of dilutive instruments: Stock options and restricted stock units 1.7 0.8 1.9 1.0 Hypothetical issuance of shares to settle Redeemable non-controlling interests 1.5 2.0 0.2 1.6 Assumed issuance of junior convertible securities shares 1.7 1.7 1.7 1.7 Average shares outstanding (diluted) 35.0 32.9 35.2 33.0 Average shares outstanding (diluted) in the table above excludes stock options and restricted stock units that have not met certain performance conditions and instruments that have an anti-dilutive effect on Earnings per share (diluted). The following is a summary of items excluded from the denominator in the table above: For the Three Months Ended September 30, For the Nine Months Ended September 30, 2024 2025 2024 2025 Stock options and restricted stock units 0.2 0.1 0.2 0.1 Shares issuable to settle Redeemable non-controlling interests 2.3 0.1 3.6 0.9 For the three and nine months ended September 30, 2025 , under its authorized share repurchase program, the Company repurchased 0.3 million and 1.9 million shares of its common stock at an average price per share of $ 230.04 and $ 180.49 , respectively. 26 Table of Contents AFFILIATED MANAGERS GROUP, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) 17. Comprehensive Income The following tables present the tax effects allocated to each component of Other comprehensive income: For the Three Months Ended September 30, 2024 2025 Pre-Tax Tax Benefit Net of Tax Pre-Tax Tax Expense Net of Tax Foreign currency translation gain $ 38.6 $ 0.6 $ 39.2 $ 16.2 $ ( 5.2 ) $ 11.0 Change in net realized and unrealized gain (loss) on derivative financial instruments 1.0 — 1.0 ( 0.5 ) — ( 0.5 ) Change in net unrealized gain (loss) on available-for-sale debt securities 0.0 — 0.0 — — — Other comprehensive income $ 39.6 $ 0.6 $ 40.2 $ 15.7 $ ( 5.2 ) $ 10.5 For the Nine Months Ended September 30, 2024 2025 Pre-Tax Tax Expense Net of Tax Pre-Tax Tax Expense Net of Tax Foreign currency translation gain $ 44.8 $ ( 2.2 ) $ 42.6 $ 69.8 $ ( 1.1 ) $ 68.7 Change in net realized and unrealized gain (loss) on derivative financial instruments 1.4 — 1.4 0.3 — 0.3 Change in net unrealized gain (loss) on available-for-sale debt securities 0.5 ( 0.1 ) 0.4 0.4 — 0.4 Other comprehensive income $ 46.7 $ ( 2.3 ) $ 44.4 $ 70.5 $ ( 1.1 ) $ 69.4 The components of accumulated other comprehensive loss, net of taxes, were as follows: Foreign Currency Translation Adjustment Realized and Unrealized Gains on Derivative Financial Instruments Unrealized Gains (Losses) on Available- for-Sale Debt Securities Total Balance, as of December 31, 2024 $ ( 253.8 ) $ 0.4 $ ( 0.4 ) $ ( 253.8 ) Other comprehensive income before reclassifications 68.7 0.1 0.4 69.2 Amounts reclassified — 0.2 — 0.2 Net other comprehensive income 68.7 0.3 0.4 69.4 Balance, as of September 30, 2025 $ ( 185.1 ) $ 0.7 $ — $ ( 184.4 ) 18. Segment Information The Company operates in one segment. Accordingly, the Company’s Consolidated revenue, Net income, and Total assets reflect the revenue, profit, and assets of the Company’s single segment, respectively. The Company’s chief operating decision maker (“CODM”) uses Net income in assessing the performance and in determining the allocation of resources of the Company’s reportable segment. The CODM is regularly provided expense information consistent with the expense categories presented in the Company’s Consolidated Statements of Income. 27 Table of Contents