Acadian Asset Management

Recurring management fees provide stability, yet headline pricing power is constrained by competition and the growing share of lower-fee Enhanced strategies. The average fee rate fell to 35.9 bps in 2025 from 38.4 bps in 2024 due to mix shift, illustrating structural headwinds.

Performance fees add upside but are variable and not a substitute for durable price increases. We see limited ability to raise headline fee rates absent exceptional differentiated outcomes, although sustained outperformance can defend realized fees and support net inflows.