Acadian Asset Management Inc's Business Segments

The registrant is a holding company conducting systematic investment management through its majority-owned subsidiary, Acadian Asset Management LLC (Acadian LLC). As of December 31, 2025, Acadian LLC managed approximately $178 billion in assets, providing institutional investors worldwide with access to a range of systematic investment strategies designed for various risk and return objectives. Founded in 1986, Acadian LLC employs a fundamentally grounded, data-driven, and structured investment approach, managing over 65,000 securities across more than 150 global markets, including both developed and developing markets. Its product offerings include Emerging Equity, Non-U.S. Equity, Global Equity, Small Cap Equity, Enhanced Equity, Equity Extensions, Systematic Credit, and Alternatives. The firm serves institutional clients such as public and private funds, endowments, and foundations in over 40 countries, supported by a team of more than 100 investment and research professionals. Distribution primarily targets institutional clients, representing over 80% of assets under management, with additional involvement in sub-advisory and wealth channels. Investment products are provided through separate accounts and commingled funds. The company utilizes research-driven, objective, and technology-supported investment processes to deliver risk-adjusted returns and maintain a diversified client base without significant concentration.

The Company operates one reportable segment, Quant & Solutions, which utilizes advanced technology to collect and analyze data for identifying mispriced assets and generating risk-adjusted returns. Portfolios within this segment include Emerging Equity, Non-U.S. Equity, Global Equity, Small Cap Equity, Enhanced Equity, Equity Extensions, and Systematic Credit. This segment comprises the Company's ownership interest in Acadian LLC. The corporate holding company (Hold Co) is classified under Unallocated Corporate expenses, and its costs are not allocated to the segment. The Chief Operating Decision Maker (CODM), who is the Company's Chief Executive Officer, considers the corporate head office cost structure when assessing segment performance. The primary performance metric used by the CODM is economic net income (ENI), calculated as ENI revenue minus ENI operating expenses. ENI adjusts U.S. GAAP results by excluding non-cash, non-economic expenses. ENI revenue includes management fees, performance fees, and other revenue, adjusted to incorporate management fees paid by consolidated Funds. Key ENI expenses consist of fixed and variable compensation, key employee distributions, depreciation and amortization adjusted to exclude non-cash expenses related to Acadian LLC equity and profit interests, capital transaction costs, and restructuring costs. ENI results exclude consolidated Fund revenues, expenses, and investment returns recorded under U.S. GAAP. The Company does not disclose total asset information for the segment, as it is not reviewed by the CODM.