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The alternative asset manager posted adjusted net income of $1.36 billion, or $2.17 per share. Analysts on average had expected $1.22 billion, or $1.91 per share, according to estimates compiled by LSEG. Sign up here. Apollo primarily focused on private equity when it was founded in 1990, but later branched out to become a major corporate credit investor and took full control of retirement services company Athene in 2021. Inflows worth $82 billion in the quarter boosted total assets under management to $908 billion, edging closer to CEO Marc Rowan's target to manage $1 trillion by 2026 and $1.5 trillion by 2029. Around $34 billion of that fresh capital came from the purchase of real estate firm Bridge Investment Group. Sales to retail customers accounted for just over $10 billion in inflows to Athene in the third quarter. This was closely followed by a $9.7 billion chunk from funding agreements which are used to raise capital from U.S. Federal Home Loan Banks, government-chartered cooperatives that provide mortgage funding. Athene sells annuities to retail customers or pension funds in exchange for a fixed stream of payments over time. It is generally harder to withdraw money from annuities than from bank accounts, meaning insurers can use those stable, long-term funds to invest in other assets to generate returns. Spread-related earnings, a key indicator of Athene's performance, rose to $871 million, while quarterly fee-related earnings hit a record $652 million. Apollo and many of its peers in private equity have met challenges to the traditional model of buying companies and selling them for a profit as interest rates rose. Reporting by Isla Binnie in New York and Arasu Kannagi Basil in Bengaluru; Editing by Arun Koyyur Our Standards: The Thomson Reuters Trust Principles., opens new tab Isla Binnie reports on how company directors and executives manage stakeholder and shareholder interests, with a focus on compensation, corporate crises, dealmaking and succession. She also covers how politics, regulation, environmental issues and the broader economy affect boardroom discussions. Isla previously covered business, politics and general news in Spain and Italy. She trained with Reuters in London and covered emerging markets debt for the International Financing Review (IFR).
