Asset Managers: April'26 AUM Flash: VRTS, TROW, WT

Research evidence excerpt

Asset Managers: April'26 AUM Flash: VRTS, TROW, WT

UpdateMValuation Methodology and Risks

T. Rowe Price Group Inc. (TROW.O)

Derived from 11.0x P/E multiple on 2027e EPS, a discount to 5-year historical of 13.4x given

soft fund performance and a challenging flow trajectory. Backed by a 2027 target 6.1x EV/

EBITDA multiple.

Risks to Upside

n Passive penetration slows, enabling active funds to grow

n Investments in distribution & new products (incl. active ETFs) support growth

n Successful integration of Oak Hill which expands higher-fee channels and distribution

opportunities

Risks to Downside

n Increased competition and pricing pressure

n Costs/challenge to build out new capabilities

n Challenging investment performance & macro weigh on organic growth

Virtus Investment Partners Inc (VRTS.N)

Based on 4.7x target P/E multiple on 2027e Adjusted EPS estimates (implies 4.3x EV/EBITDA

multiple on 2027e EBITDA) given weak flow trends and fund performance. While stock is at

a discount vs. peers, we think flows and perf trends are likely to keep the stock from re-rating.

n Fund performance improves

n Flows improve

n Positive fee rate mix shift

n Strategic activity in consolidating industry

n Outflows in key funds accelerate driven by poor performance, client de-risking and

industry flow shift to passive

n Fee rate compression worse than expected with negative mix shift

n Opt. margin contraction

n Uncertain macro backdrop weighs on client risk appetite/demand & strategic activity

WisdomTree Investments, Inc. (WT.N)

Based on 15.1x 2027e EPS, a premium to the AM peer group for structural tailwinds and scar-

city of value as only publicly traded ETF manager. Expansion of multiple is predicated on

strong and differentiated flow momentum.