Ares Management (ARES) Bank of America Financial Services Conference 2026 summary

Macro and industry outlook

• Deal environment for 2026 is expected to be strong, with record-high transaction pipelines and capital deployment in Q4 and January, signaling healthy transaction volumes barring unforeseen macro events.

• Constructive rate backdrop, pro-business administration, deregulatory stance, and banks de-risking are catalyzing deal flow, with real estate volumes picking up and private equity portfolios aging.

• AI disruption is seen as both a risk and an opportunity, with digital infrastructure and renewable energy investment opportunities emerging.

Strategic priorities and business development

• Top priorities include expanding digital infrastructure, especially in Japan, diversifying global industrial real estate, and developing vertically integrated real estate capabilities.

• Private equity is not a top-five priority but remains an area of potential future growth, with benefits for institutional client inflows and value creation across the platform.

• Focus on margin improvement through technology investment and organizational redesign, aiming to accelerate FRE margin growth.

Financial targets and performance

• FRE growth target reaffirmed at 16%-20%+ per year, RI at 20%+ per year, and wealth AUM target raised to $125 billion, with high conviction in achieving these goals.

• Dividend increased by 20%, reflecting confidence in capital management and alignment with FRE growth.