Partners Group: lower profits, higher dividend

The group active in private markets saw its profit decline in 2022. Revenue eroded by 28.8% to CHF 1.87 billion, mainly due to the collapse of performance fees. These have decreased by -78%. However, a sign that investor demand for private equity is still strong, management fees rose by +12%. The sharp drop in performance fees is mainly explained by two factors. On the one hand, the early realization of certain projects initially planned for 2022. On the other hand, the postponement of mature activities and assets in 2022 due to changes in the market environment. Basically, management remains optimistic and reiterated its target of USD 17 to 22 billion in investor demand for 2023. To confirm this optimism, management will propose a 12% increase in the dividend at the general meetings.