Good morning and welcome to Apollo Global Management's First Quarter 2021 Earnings Conference Call. During today's discussion, all callers will be placed in a listen-only mode and following management's prepared remarks, the conference call will be open for your questions. This conference call is being recorded. This call may include forward-looking statements and projections which do not guarantee future events or performance. Please refer to Apollo's most recent SEC filings for risk factors related to these statements. Apollo will be discussing certain non-GAAP measures on this call which management believes are relevant in assessing the financial performance of the business. These non-GAAP measures are reconciled to GAAP figures in Apollo's earnings presentation which is available on the company's website. Also note that nothing on this call constitute an offer to sell or solicitation of an offer to purchase any interest in any Apollo Fund. I would now like to turn the call over to Peter Mintzberg, Head of Investor Relations.

Thanks operator and welcome to our first quarter 2021 earnings call. Joining me this morning are Marc Rowan, CEO and Co-Founder; Scott Kleiman, Co-President; and Martin Kelly, CFO and Co-COO. I would like to turn it over to Marc to kick off our comments for today.

Good morning. Thank you Peter and welcome all. Q1 2021 was a strong quarter for Apollo. Record FRE of 287 million or $0.65 a share up 26% year-over-year, up 4% sequentially. Total inflows of 13 billion, excuse me, fund driven by 5 billion of fund raising and 4 billion of Athene organic growth. AUM of 461 billion up 145 billion year-over-year, 46% year-over-year and 6 billion quarter-over-quarter reflecting 13 billion of inflows, 9 billion of positive marks on the PE portfolio, partially offset by reductions in the yield portfolios at Athene and Athora due to rising rates and changing position of the Euro. Our opportunistic businesses had a particularly strong quarter as they are positioned for a strong U.S. and European recovery. The PE portfolio in particular was up 22% versus an S&P of 5.8%. Scott, I know will take you through more details including deployment and realizations, and Martin will take you through the financials. As I discussed on our last earnings call, I had some simple observations on our business and by extension our strategy. We are in our growth business. This quarter and the year-over-year results make this abundantly clear. We provide a product that is in high demand. We provide excess returns to investors on a risk adjusted basis. We serve a growing market driven primarily by the need for retirement income. We serve this market directly through our Athena and Athora affiliates and indirectly through our institutional clients, our pension funds, retirement system, sovereign wealth funds, and others. The demographics and market trends of our market, aging indexation, low rates, need for retirement income mean that in general the business gets better every day. We recognize how fortunate we are to be in a growth business. If you dig down to the next level, if…

Thanks Mark and thank you all for joining us this morning. As Mark mentioned, Apollo differentiates itself by the ability to generate excess returns across the entire risk reward spectrum. In this quarter, we again demonstrated the strength of this proposition across our platform. When I think about the overall performance of the business, I break it down into five key factors; finding good investments to deploy capital, having the portfolio accrete and value, monetizing our investments, raising more capital, and investing in and growing both our existing platforms as well as our new ones. So far in 2021, Apollo has made very good progress across all of these areas. So let me get through them one by one. Regarding deployment, our ability to find attractive returns at all points along the risk spectrum shines in an environment like the one we're in now where valuations are seemingly high for private equity and yields are painfully thin for most credit products. Total deployment for Q1 was 24.9 billion. Our private equity funds deployed 2.4 billion in capital in the quarter. Additionally, we committed to deploy a further 3.3 billion in the quarter driven by two large Fund IX investments Michaels and the Venetian. And since quarter end, we've continued to commit to significant additional transactions. We continue to see a strong recovery in the economy, particularly in those sectors hardest hit by COVID such as leisure, travel, gaming, and specialty retail and we continue to invest in those spaces. Our hybrid value business continues to be active with over $0.5 billion deployed in the quarter. Strong deployment of 19.1 billion in our credit business in the first quarter was in line with fourth quarter levels and includes strong insurance balance sheet growth on insurance inflows and pension risk transfer transactions.…

Great. Thanks, Scott. For the first quarter, Apollo recorded exceptional results across all relevant financial and operating metrics. Our GAAP net income to common shareholders was $670 million or $2.81 per share in the first quarter, as compared with $0.44 per share for the full year 2020 and $3.71 per share for the full year 2019. We generated record FRE of $0.65 per share on a pretax basis, up 26% year-over-year and 4% quarter-over-quarter, driven by growth in management fees and an uptick in FRE performance fees related to our CLO manager. Management fees grew 3% over the prior quarter and 17% over the first quarter of 2020, driven by growth in fees for investing the assets of our insurance clients and deployment across our platform broadly. Transaction and advisory fees were $56 million in the quarter, driven by capital solutions transactions and private equity activity. Though this represents a more normalized level than in recent quarters, it is nearly double the pre-2020 quarterly average, up 51% year-over-year and is more representative of the run rate we expect as our origination business further scales. Compensation expense was flat over the prior quarter. However, we expect this to grow over the next few quarters as we continue to invest in the growth initiatives that Scott outlined. Non-compensation costs fell 21% over the prior quarter as a result of both the seasonality and the absence of any one time items. As a reminder, in the fourth quarter, non-comp was elevated due to costs related to the independent review. For the first quarter, we announced a dividend of $0.50 per share and after tax distributable earnings of $0.66 per share, supported by both our strong pre-tax FRE and net incentive earnings of $0.10 per share. After tax distributable earnings of $294 million were…

That concludes our remarks for today. Operator, please open the line for questions.

[Operator Instructions]. Our first question comes from Bill Katz with Citigroup.

Okay, alright, thank you very much for taking the questions this morning. I was wondering if you could maybe start with maybe flushing out a little bit of the incremental spend into the retail channel, what that might look like, and then how quickly you think you could maybe leverage some of that investments?

Sure. So as you probably understand, the retail channel is somewhat different than the traditional institutional channel, and requiring additional sales force, additional product development, and that's really the crux of it, investing in that space to support both existing products as well as new products to flow through those channels. So that's really the crux of the investment.

Okay. Maybe Marc, just a follow up for you, I was wondering -- I was intrigued by the opportunity to investment grade. So wondering if you could maybe flesh that out a little bit, it sounds like a pretty big opportunity this year, but maybe help us understand maybe the broader opportunity set and then sort of how the economics compared to the back book?

Well, a lot there Bill, I'll do my best. First, if you step back and think about what we're trying to do, the yield business that we have built, you should think of as a fixed income replacement business, rather than an opportunistic credit business. We liked that notion because what we're doing is we're trying to provide to our clients Athena, Athora, as well as our third party clients and credit funds 150 to 200 basis points of excess return around the high-end, particularly the investment grade end of that fixed income marketplace. The way we do that is not by taking incremental credit risk, not by taking equity risk. We derive that return from two factors; one is structure, and the other is the willingness to accept illiquidity. For a regular way plain vanilla transaction, issuers will go to the investment grade market, the corporate market in a very methodical, easy to access way and there is not excess return. But if you look at the end of last year, and you look at the Hertz transaction, you look at the ADNOC transaction and you look at the Anheuser-Busch bottling transaction what you see are three different issuers, all approaching different problems, all in the investment grade end of the spectrum that required a solution. We are one of the few participants who have the size, scale, and capacity to take down sizeable investment grade transactions. And so that is what we are seeking to do. I mean, the most fundamental we want 150 to 200 basis points of excess return over the comparably traded public IG, and we're willing to provide flexibility and structure and willing to accept the liquidity. This is a role that Q4 might have been provided by some of the largest banks or investment banks and I think increasingly we will get our share of this marketplace and it represents a very attractive marketplace and fits very synergistically with all that we do in fixed income replacement given that we cover a very large swath of the investment grade market anyway. It's a very different business than the peer set as a result of our unique client base.

Our next question comes from Craig Siegenthaler with Credit Suisse.

Thanks. Good morning, everyone. I had several follow-ups with -- on the merger with Athene. So my first one was, do you know how GAAP will treat the Athene management fees after the merger is closed?

Yes. GAAP, like in everything else will eliminate all intercompany transactions.

Got it, got it. And then are you going to continue to report distributor earnings after the merger closes and will it include total earnings from Athene as life insurance, free cash flow, and GAAP earnings, don't always match up?

We'll give you a detailed -- we've taken our best guess at providing our view as to how we're going to report through our lens deck that is on our website and that we've previously disclosed. We anticipate that from a management view financials, we will report the way everyone else in the industry and the broader financial services industry reports intercompany segments, which is the fair value of management fees will be reported on the asset management side and the yield less the cost of these management fees will be reported on the insurance side. We do anticipate at this point continuing to report DE and as you see through our lens deck, we're envisioning the addition of an additional operating line of retirement services.

Great. Thank you.

Our next question comes from Patrick Davitt with Autonomous Research.

Hey, good morning everyone. My question is on kind of how to think about capital return post-transaction. With Fund VIII kind of through the netting hole now it's clear, obviously the cash realization out like look for the kind of legacy Apollo businesses looking increasingly strong. So with Athene’s cash flow theoretically enough to kind of fund their growth, do you have any thoughts around the use of the excess cash likely to be generated from this very strong realization outlook on the legacy Apollo business?

So I'm going to give you a broader answer, its Marc and if it doesn't suffice, you'll have to follow-up. So Apollo itself, just the asset manager is a highly cash generative business. As you know, we have announced the reset of our dividend to initially $1.60 per share, which we've said will grow along with the growth in the business. Just on that basis the distributable earnings of Apollo more than covers the dividend and makes it very clear that the Apollo business is very cash generative. Your starting point on Athene I believe to be too conservative. If you look back in history, Athene has actually distributed an immense amount of capital. They've just not distributed it as dividends, they've done it in terms of buybacks. They've distributed I don't have my notes in front of me, but call it 1.250 million [ph] plus or minus over a period of time. So now you have to step back and think about how Athene produces cash on a go-forward basis. Athene as you've said yes, it finances its own growth, but it also starts in a different place. It does not start at zero. Athene starts with 5.2 billion of excess equity capital, which is approximately 3.8 billion of excess equity on Athene’s balance sheet plus 1.7 in a just in time LP driven side-by-side funding vehicle called ADF [ph]. In addition, Athene has less than 15% debt to cap whereas it's AA peers would have about 25% debt to cap again, approximately another 2.5 billion. So Athene starts with about 7.5 billion to 8 billion of excess deployable capital and what you're also watching is a maturation of the structure. The business rolling off Athene is generally business that is rolling off that was financed 100% with Athene’s…

Got it. Makes sense. Thank you.

Our next question comes from Glenn Schorr with Evercore.

Hi, thanks very much. I would love to learn a little bit more about your thoughts on the Credit Secondaries market overall. I'm curious if you're seeing the same reasons for the development that you saw on the private equity side, another meaning LP seeking liquidity for the same reason, is it the same kind of bid ask spread, do you see similar trends of that addressable market, any color there would be great, like just trying to see how big this can get in your mind over the next 25 years?

Yeah, sure. So I think you are basically exactly right. The growth in credit funds over the last five, six, seven years has really been meteoric as you all know. And the reality is CIO's funds, pension funds are ultimately needing liquidity as they balance their portfolios is just the way this occurred for the private equity business 10 to 15 years ago. The real secret sauce if you will in a Secondaries business is having the knowledge of the underlying investments to be able to move rapidly and thoughtfully around making investment decisions. And because Apollo is the largest alternative credit lender, we have views and visibility on essentially every credit product, every underlying security in the market. And so our ability, our library of knowledge to be able to smartly access this market is really unparalleled. There's really no one of scale in this space right now, but we can already start to see the demand from pension funds, others who hold these credit funds to be able to seek liquidity. So we think this is a massively scalable market where we have real first mover advantage and real expertise to allow us to be the category killer in this space.

Maybe just one follow up. Traditionally in some other verticals, you might have a Fund I raise money, put it to work, show some performance then wait, and then start to raise Fund II. Theoretically, given what you have just laid out, this money could get put to work relatively quickly and we could see another fund relatively quickly, does that scare you off or is that okay?

No, I think directionally that's right. Remember, when we think about this, this type of business is very applicable for some of our existing insurance clients and otherwise. So it gives us the ability to scale rapidly and opportunistically. But you are right, the third party demand should be pretty enormous and would expect to see this business scale faster than like say a PE type fund.

Okay. Thanks so much. Appreciate it.

Our next question comes from Alex Blostein with Goldman Sachs.

Thank you, great. Good morning, everybody. I was hoping we could spend a minute on your guys's, sort of bigger picture growth and management fee outlook over the next couple of years. So it sounds like there's a number of new initiatives in the business, some of them are kind of being accelerated potentially by the Athene deal. You talked about wealth management in a couple of other platforms. Can you give us a sense of kind of excluding or not sort of relying on insurance related partnerships and just really thinking about third party investor base, what sort of the sustainable management fee growth you expect to see over the next call it three years as you go through this investment cycle?

So Alex this is Marc, I'll give you the broader overview and then I'll turn it to Martin. So, I think we've said broadly first. We will update our targets at our next Investor Day, but the way, at least some of us think about the business, the yield business, we think we can double over the next five years, that's circa 350 billion today. I think that'll be a $700 billion plus business, and I'll come back to why and how. The opportunistic business and the hybrid business is about 110 billion and 115 billion. And at least at first blush, I personally think they will be 50% larger over the next five years. So now to dig down and then I will turn it over to Martin for a bit, if you look at the strategy we've chosen in yield, it's in many ways a different strategy than our comparable peer set. We've chosen as I alluded to on an earlier question, fixed income replacement. This was driven by the need to serve our insurance affiliates. It also, if you look at roughly the 350 billion of AUM, about 60% of that is driven by the insurance affiliates, and 40% is driven by a third party clients and credit funds. I have no reason to expect that to change all that much as the business doubles, but let me get into what I mean by doubling the business. If you dig down in the 350 billion, my best guess is it's 125 billion to 150 billion of alpha with the remainder beta. For us to double that business, we need to double 125 billion of alpha. That is a large number but it does not appear daunting to me, because a lot of it is focused on platforms…

No Marc, -- so translating that into the components of FRE management fee growth should be changed in line with what we've produced, we see no reason that that won't continue in the future. We are very focused on growing our origination businesses and growing our transaction fees as you have seen and we expect that to continue. And then we make decisions about investing in the platform. And so that translates into low double-digits or high-teens for growth year-to-year and Marc has sort of indicated what we expect this year but looking forward where we're confident that we'll be able to produce every FRE dollar growth consistent with what we've produced in the past, regardless of the channel that it comes from.

Our next question comes from Devin Ryan with JMP Securities.

Okay, great, good morning everyone. Want to come back to the conversation on the retail channel and the opportunity as you guys lean in there more it sounds like and maybe just to talk a little bit about where you are on some of the product development that you referenced, what we should be expecting over the next few quarters and it seemed like this is a good landscape for innovation and to leverage maybe get some updated thoughts around how you're thinking about the addressable market for Apollo in this channel relative to the institutional channel longer-term?

Sure, so I would say obviously when we look at Apollo's product platform, certainly yield products are going to be the place we lead into the global wealth channel. And that we're already making inroads there. I think it's still early days to see sort of substantial move the line item type results, but really we look at this over a two, three, four-year investment period, where by that timeframe you'll see meaningful progress there. But in the meantime, it's about taking products we have, getting it through the retail channel, and continuing to develop and tailor products that we learn are more specifically targeting those components.

Maybe, it's Marc, I'll add and I'll step back. Look, there is a trend towards what we say is democratization of finance. That trend was more pronounced under Republican administration, it likely will be less pronounced under a democratic administration. But nonetheless, it is a trend and it's a trend we expect to continue. We see increased sophistication in the retail and the high net worth channels. And so if you step back, and you look at from our point of view, we have for a very long time been a distributor of opportunistic product to the high net worth channel, through private equity and a number of the other funds. What you will see us do in that channel is continue to do what we've been doing, to build it out to redouble our efforts we have made significant hires in these areas. And we intend to follow through and I would think on balance, you will see greater fundraising coming out of this channel this year, next year and in the future. And I do think that this is a trend, when we look back over the next five or 10 years, we will see retail high net worth as a larger percentage of total opportunistic fundraise than it has been over the past decade. Then I go to completely to the other end of the spectrum and let's talk about Athene. So Athene is now the number one underwriter of retail annuities in the U.S. It is a substantial footprint. The footprint includes independent broker dealer, it includes bank, it includes other forms of distribution that I would say are more retail and less high net worth. They have made the investments in systems and infrastructure necessary to support a complex product set and insurance is a…

Our next question comes from Ken Worthington with J.P. Morgan.

Hi, good morning. The total AUM in Athora stepped down from 4Q to 1Q in the non-sub advised area. And you mentioned in the prepared remarks that rates had a negative impact on Athene and Athora this quarter. This [indiscernible] Athora assets was more than 10%, is it possible to get a bit more color here on if it was just rates or if there were other factors as well?

No Ken it was, that's a long duration portfolio. So it's more sensitive to a rate backup. And so it was a combination of rates and the Euro given that most of the portfolio's in Euro. But as I said, like the impact was pretty muted. It's all in the numbers for the quarter. And then when you get away from that net, net higher rates are better for the platform, both in terms of investing assets and originating through the insurance platforms.

The other thing I'd say is, assets and liabilities are match. So, equity in both of those businesses continue to grow through the quarter. When you report assets, you're just looking at one half of the equation.

Yup, yup, understood. Okay, thank you very much.

Our next question comes from Chris Harris with Wells Fargo.

Great, thanks. Can you guys give us an update on your views on consolidation opportunities and insurance and I'm wondering how you think higher rates might impact that outlook?

So I'll do my best, its Marc. So in general, as Martin said, higher rates are better for our business. First, we have an investment portfolio that has a decent amount of floaters in it on the Athene balance sheet. And second, higher rates can also help in pricing of new business including, excuse me, company to company new business. But I don't actually think that rates themselves have material impact on the ability or willingness of people to transact. What we are watching is, in my opinion, a realignment of the guaranteed or as we say in the U.S. annuity led insurance business. You're seeing companies particularly companies who may not have the ability to create asset alpha, which is ultimately what drives the business. Sell large blocks of business, they sell this through reinsurance, they sell this through company sales. And for the most part, it is being sold to people who have the capacity to generate alpha amongst assets that are appropriate for insurance company balance sheets, which tend to be investment grade or quasi investment grade assets. I see no lead up in that trend. And I think this rotation, out of guaranteed yield and into mortality, PNC and fee for service in both the U.S. and Western Europe is healthy. Our business in my opinion will not be limited in growth by our ability to source liabilities, only by prudence with respect to returns. And here I will give you a little more color. Athene last year when they announced their fourth quarter, they gave some indication as to the profitability of the retail business they were generating. Typically, they have done between 15% and 20% cash on cash unlevered for new retail annuity business. Last year was at the higher end of that range.…

Our next question comes from Mike Carrier with Bank of America.

Hi, good morning, thanks for taking the questions. Apollo had a lot of change in the past six months and with that roles and responsibilities can shift around. Since Josh was on the call, and Leon no longer in the mix, just can you provide an update on leadership responsibilities like across segments and with LPs, and then any additional expected changes ahead?

Its Marc, I'll lead off. Always uncomfortable to talk about myself, but we'll do our best. So, I am the CEO of the business. The lanes I have picked out for myself are strategy, culture which includes compensation, communication, urgent strategic initiatives, and dealing with problems. I am fortunate to be able to rely on an incredibly talented group led by Jim Zelter and Scott Kleinman, who run the day to day of the Apollo business. They in turn have their own next generation that makes their job easier. At retirement services, at pro forma for consolidation, you have a business that is led by Jim Belardi, Bill Wheeler, Marty Klein, Grant Kvalheim, all of whom have been there a long period of time and I've worked with on a day to day basis. If you step back and really think about the business, there's been a lot of external change. But I try not to lose sight that we actually grew the business by 145 billion in a year. Most of the change that's taken place has actually taken place within the business. And what is external, is mostly noise for us. This is now my 31st year at Apollo, my 36th year in business. I grew up in the opportunistic side of the business for 20 of those years and I've grown up on the retirement services on the yield side of the business for the last decade plus. This is not a new job. It's very clear what we need to do. We are very focused on what it is that we define the firm. We define the firm as providing excess return at every point along the risk rewards spectrum that we choose to participate in. We have really good tailwinds, whether it's demographics, market structure,…

Our next question comes from Robert Lee with KBW.

Great, good morning. Thanks for taking my question. I guess it may seem a bit odd question, you have to have so many new initiatives going on with standing origination platforms and Credit Secondaries business but can you talk a little bit more broadly maybe on a regional basis in a lot of your peers have been pretty vocal and aggressive about their expansion in Asia, Asia-Pac in particular, some through acquisition, mostly organic, that's not an area where you have a presence but you haven’t talked about as much, can you maybe do something as in how you're thinking of down the road, kind of reach your global regional footprint and the opportunities there?

Okay, I'll take a shot at it, its Marc and then I'll hand it to Scott. So when you step back and you look at our business, there's no denying that our business is primarily focused on the U.S. and Western Europe, with a little bit in Australia and a little bit in Japan. That is the outline of our business and within the context of our strategy and what I've outlined of doubling our yield business and a 50% increase in our opportunistic business, I believe we can accomplish that within our geographies. Having said that, we have been active in the broader Asian market for a long period of time but we have not elected to move large opportunistic funds into those marketplaces. The unique calling card that I believe that we have leverage is the strength of the firm to provide capital where there is excess return. For me, I believe that excess return to be primarily in yield and in structure products. And you should expect us to use the things that we do best to differentiate ourselves in markets that are not short of capital and function quite differently than the U.S. and Western European marketplaces.

Look, I would agree with Marc. While historically, Asia has not been a huge target area for Apollo because we've been able to pursue all the growth we want and find the market opportunities we're looking for in North America and Western Europe, we're not blind to the opportunity set. We are starting to make small inroads, as Marc said, in places like Japan and Australia, but I would expect to see more overtime, but on a measured basis. It's not something that we feel like we have to jump in tomorrow. But it is obviously a big dynamic market and one which over time we will continue to incrementally grow into.

Our next question comes from Michael Cyprys with Morgan Stanley.

Hey, good morning. Thanks for fitting me in here. I just a question on as insurance becomes more meaningful business for you guys, investors may want to better appreciate maybe potential balance sheet risks, can you talk about how you think about an assessed balance sheet risk on the insurance side as that comes over with Athene, what metrics will you be tracking, and if there is a problem or issue with one area of the portfolio how might we see that from the outside as I don't think it's mark-to-market or at least through the P&L at least? And what sort of sensitivities or scenario analysis do you look at that you might be able to share with us on the outside?

Okay, so first, for the retirement services business, the issue and the risk has always been on the asset side. That is where I believe investors should focus, that is where we have focused. There's very little volatility around I'll call traditional measures of insurance type risk, like mortality and longevity or unexpected optionality on the part of policyholders. It is primarily an asset risk game. We have grown up and the entire firm has grown up with Athene by a relatively simple philosophy. Retirement services, insurance companies are a terrible place to take credit risk. They're a terrible place to take equity risk. But they are ideally situated to take some amount of liquidity risk since most of their liabilities are illiquid, and structure risk. And that is what you find on the Athene balance sheet. So we've now been through 12 years, there's 12 years of metrics. There's not whatever cycles have taken place in those 12 years we have written out. And you can look at our portfolio and I would encourage you to benchmark it not against other annuity companies, take the highest quality, best thought of peer group and I gave some of this through our lens deck, take proof, take met, take principle. And you will see whether it's a measure of losses, of capital buffer, of use of leverage, or anything else we have outperformed the double A benchmarks. We have always been, Apollo has always been the residual equity holder of the risks that we take. Initially we were a 35% equity holder, some 2.5 billion of value. And now we are going to be 100% equity holder. The risk mentality mindset has not changed. So now I focus down into the specifics of your question, we do put out extensive credit…

The only thing I'd add Mike is just as a reminder, Apollo today manages 100% of the left side of Athene’s balance sheet, right. So there's an Apollo professional who knows every single thing is tied to every line item on the Athene asset balance sheet. So the same care and feeding we provide across our entire credit business is already being done with respect to Athene. And so the actual closing of the merger, nothing changes in that respect.

I believe we are coming to our last question in the pipeline.

Our last question comes from Gerry O'Hara with Jeffries. Gerald O’Hara: Alright. Thanks for taking the question. And perhaps just to mix it up a little bit, maybe you can give us an update on just the real estate segment. I think historically, there's been some frustration around the growth trajectory of that business. And Marc, maybe you can kind of give us a sense of how you see this segment growing forward, whether there's still an appetite for inorganic growth, or just what your kind of general thoughts are on real estate? Thank you.

Okay. So I'll start and then I will pass it to Scott and Martin, if they have anything to add. But I'm going to start with something that will be surprising. We have an immense real estate business. Martin, will give you a better exact number but we're 50 billion of real assets. They're just not located in one place. A lot of it is located in lending and a lot of it is located in our European principle finance business, and then in our net lease business, and then in our U.S. opportunistic business, and in our Asian and Indian opportunistic and structure products business. It's harder to find as one line item. But it also goes back to philosophy about how we think about the business. We think about the business in three buckets; opportunistic, hybrid, and yield. Real assets cuts across all three of those buckets. You will find real estate across all three buckets. I will say reflexively we are sizeable but not immense in opportunistic real estate. That is primarily a function of our own risk reward and view of the marketplace and skill set. You will find us really large in hybrid and in yield across real estate, which is a function of our risk reward and our skill set. I would expect real assets broadly defined to continue to be an incredibly important part of what we do. I think you will see real assets mixed into platforms, which we call yield and yield you will see it in our hybrid business, you will see it in our structure products business, and you will see it to a lesser extent in our opportunistic business and we have absolutely no qualms about being acquisitive in this area. And I would expect that we will be acquisitive in this area. I think one of the things that we will do on Investor Day is drop down below the broad line items of yield and hybrid and opportunistic and provide the requisite pie charts, which allow people to see just how big this real assets business is, and how big the origination businesses are. And otherwise, because I think it will surprise people that we've just come at this in a different way than others. But the fact that we're coming at it differently shouldn't surprise anyone.

Yeah, the only thing I would add, I mean, Marc summed it up well. I mean, we see the opportunity set as actually really great in this space. And, when we do sort of break out the detail for you, you'll see that this business will more than double in the timeframe that we're talking about the five-year timeframe. And so there's just -- we're seeing it in the opportunity set that each of these businesses that Marc talked about the investment opportunities that that they're approaching right now. And so the ability for scaling is enormous and it's a place that we're focused on. So I would expect to see that as we continue to report over the coming quarters and years.

I want to thank you all for attending. I'm glad we were able to take everyone's questions. I know we were 14 minutes over deadline and we try and be hyper punctual. So we will take feedback as to whether the extension is something you want to see us continue to do in the future and enjoy your day.

This concludes our call. Thank you for joining us today.