On January 1, 2024, the Company acquired Putnam Investments, a global asset management firm, from Great-West Lifeco Inc. This acquisition will expand the company's AUM and product offerings.

The company remains focused on expense management while also investing strategically in systems and technology. This balanced approach aims to improve profitability while supporting future growth.

The acquisition of Putnam includes a strategic partnership with Great-West and its affiliates, which is expected to drive revenue growth. This partnership provides access to new distribution channels and client relationships.

The company's global workforce decreased to approximately 9,100 employees from approximately 9,400 at December 31, 2022. This reduction in workforce reflects management's efforts to improve operational efficiency and reduce costs.

The company took possession of new office space in New York City, consolidating existing office space. This initiative is expected to improve operational efficiency and reduce occupancy costs.

Management concluded that the company's disclosure controls and procedures were designed and are functioning effectively. This indicates strong internal controls and reliable financial reporting.

There were no material changes from the Risk Factors previously disclosed in our last Annual Report on Form 10-K for fiscal year 2023. This suggests a stable risk environment for the company.

Uncertainties regarding the global economy remain for the foreseeable future. This highlights the potential impact of macroeconomic factors on the company's performance.

The business and regulatory environments in which we operate globally remain complex, uncertain and subject to change. We are subject to various laws, rules and regulations globally that impose restrictions, limitations, registration, reporting and disclosure requirements on our business, and add complexity to our global compliance operations.

A key driver of our overall success is the long-term investment performance of our investment products. A measure of the performance of these products is the percentage of AUM exceeding peer group medians and benchmarks.

Investment management fees increased $20.4 million for the three months ended December 31, 2023 primarily due to a 3% increase in average AUM and higher catch-up fees recognized at the closing of fundraising rounds in a secondary private fund, partially offset by lower performance fees.

Our effective investment management fee rate excluding performance fees (annualized investment management fees excluding performance fees divided by average AUM) increased to 42.4 basis points for the three months ended December 31, 2023, from 41.7 basis points for the same period in the prior fiscal year, primarily due to higher catch-up fees recognized at the closing of fundraising rounds in a secondary private equity fund.

During the three months ended December 31, 2023, we repurchased 2.4 million shares of our common stock at a cost of $58.8 million and we repurchased 0.5 million shares of our common stock at a cost of $14.2 million in the prior year period.

In December 2023, our Board of Directors authorized the repurchase of up to an additional 27.2 million shares of our common stock in either open market or private transactions, for a total of up to 40.0 million shares available for repurchase under the stock repurchase program.

Information systems and technology expenses increased $9.6 million for the three months ended December 31, 2023, primarily due to higher outsourced data services and software costs. Occupancy expenses increased $12.2 million for the three months ended December 31, 2023, primarily due to new leased office space located at One Madison Avenue, associated with an initiative to consolidate our office space in New York City, and lower sublease income.