Can AMG’s (AMG) Strategic Bet on BBH Credit Partners Reveal a New Direction for Alternatives?

• On October 1, 2025, Brown Brothers Harriman (BBH) announced a strategic collaboration with Affiliated Managers Group (AMG) to introduce BBH's structured and alternative credit strategies to the U.S. wealth market via a new BBH Credit Partners subsidiary, supported by AMG seed capital and a minority investment.
• This partnership pairs BBH’s US$55 billion taxable fixed income expertise and differentiated structured credit platform with AMG’s established distribution channels and product launch capabilities, potentially expanding both firms' reach in alternatives.
• We'll examine how AMG’s minority investment and product development role in BBH Credit Partners could shape its future investment narrative.

Find companies with promising cash flow potential yet trading below their fair value.

Affiliated Managers Group Investment Narrative Recap

To be a shareholder in Affiliated Managers Group (AMG), you need to believe in the firm’s ability to capture long-term growth from expanding demand for alternative investments, while managing the risks of flow volatility and industry trends toward lower-fee products. The recent BBH partnership reinforces AMG's push into alternatives and high-fee, innovative credit strategies, aligning with its short-term growth focus, though it does not materially diminish the biggest risk: continued outflows and fee pressure in traditional active equity products.

Among recent company developments, AMG’s robust buyback activity, over 1.7 million shares repurchased since July 2024, stands out for its direct link to enhancing shareholder value and supporting per-share earnings. These buybacks complement the growth narrative driven by new partnerships like BBH Credit Partners and serve as a near-term catalyst amid a slower revenue growth outlook.

However, despite these growth initiatives, investors should keep in mind that prolonged challenges in active equities could...

Read the full narrative on Affiliated Managers Group (it's free!)

Affiliated Managers Group's narrative projects $2.2 billion revenue and $594.9 million earnings by 2028. This requires 2.7% yearly revenue growth and a $152.5 million earnings increase from $442.4 million.

Uncover how Affiliated Managers Group's forecasts yield a $274.86 fair value, a 19% upside to its current price.

Exploring Other Perspectives

Fair value estimates for AMG from two Simply Wall St Community members range from US$261.55 to US$274.86, showing limited consensus among private investors. While this diversity in perspectives highlights differing growth expectations, persistent industry-wide pressures on active equity flows could still weigh on the company's future performance.

Explore 2 other fair value estimates on Affiliated Managers Group - why the stock might be worth just $261.55!

Build Your Own Affiliated Managers Group Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Affiliated Managers Group research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision.
• Our free Affiliated Managers Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Affiliated Managers Group's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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