Apollo Unveils Growth Plan & 5-Year Financial Target, Stock Rises 5.7%

Core Insights - Apollo Global Management Inc. outlined its business strategy and financial goals for the next five years during the Investor Day Conference held on October 1, 2024, emphasizing its focus on origination and growth in various sectors [1][7] - The company's shares rose by 5.7% following the announcement of its strategic plans [1] Group 1: Financial Goals - Fee-related earnings (FRE) are projected to grow at an average annual rate of 20% by 2029, while spread-related earnings (SRE) are expected to grow at 10% annually [2] - Apollo aims for approximately $15.00 in after-tax net income (ANI) per share by 2029 [2] - The company plans to increase its total assets under management (AUM) to nearly$1.5 trillion by scaling its private equity business [2] Group 2: Asset Management Growth - Equity AUM is expected to double in the next five years, reaching $270 billion [2] - Apollo has set a goal to double its$562 billion private lending business within five years [3] - The Global Wealth Management business is projected to expand to over $150 billion by 2029 [4] Group 3: Origination and Capital Generation - The management has set a five-year target for total origination, including both debt and equity, of more than$275 billion [5] - Apollo expects to generate $21 billion in capital over the next five years [6] Group 4: Market Performance - As of June 30, 2024, Apollo managed approximately$696 billion in assets and operates across a fully integrated platform [7] - Over the past six months, shares of Apollo have increased by 18.2%, outperforming the industry growth of 13.8% [8]