Business Context and Reporting Period
This Form 8-K is a current report filed by Oaktree Capital Group, LLC on April 25, 2014. The filing serves as a Regulation FD disclosure to update investors on Assets Under Management (AUM) as of March 31, 2014, contemporaneous with updates to fund presentation materials and the company website.
Key Financial Metrics
The filing provides specific metrics regarding assets managed but does not report revenue, profit, cash flow, margins, debt, or liquidity figures for the period.
- Total Assets Under Management (AUM): $86.2 billion as of March 31, 2014.
- Management Fee-Generating AUM: $74.0 billion as of March 31, 2014.
Note: The filing text does not provide clear values for revenue, net income, operating cash flow, debt levels, or liquidity ratios.
Material Changes and Definitions
The filing defines "AUM" to include net asset value, fund-level leverage on which fees are charged, undrawn capital commitments, and collateralized loan obligation assets. "Management fee-generating AUM" is a forward-looking metric reflecting assets on which fees will be earned in the following quarter. It excludes undrawn capital for certain funds, general partner investments, and funds beyond their fee-paying terms.
The document does not explicitly state the percentage change in AUM compared to the prior comparable period (December 31, 2013), though it notes the data is an update to periodic materials.
Guidance, Outlook, and Risks
Upcoming Results: The company announced it will report its first quarter 2014 financial results prior to the opening of the New York Stock Exchange on Thursday, May 1, 2014.
Forward-Looking Statements: The report contains forward-looking statements regarding future results, revenue volatility, investment values, fundraising pace, and carried interest. These are subject to risks including general economic conditions, competition, and changes in operating expenses.
Risk Factors: Investors are directed to the "Risk Factors" section of the Annual Report on Form 10-K for the year ended December 31, 2013, for a detailed list of uncertainties that could cause actual results to differ materially from expectations.
Investor Verification Checklist
- Verify the full Q1 2014 financial results (revenue, profit, cash flow) when released on May 1, 2014.
- Review the Form 10-K filed on February 28, 2014, for detailed risk factors and historical financial context.
- Confirm the composition of the $12.2 billion difference between Total AUM ($86.2B) and Fee-Generating AUM ($74.0B) in the upcoming earnings release.
- Monitor the pace of new fund raising and the impact of market conditions on asset valuations as highlighted in the forward-looking statements.