TOKYO and NEW YORK, 06 July. 12, 2022 (GLOBE NEWSWIRE) — Sumitomo Mitsui Trust Holdings, Inc. (“SuMi TRUST Holdings”) and its consolidated subsidiary Sumitomo Mitsui Trust Bank, Limited (“SuMi TRUST Bank”, collectively “SuMi TRUST”) announced a strategic partnership with Apollo (NYSE: APO) in which it has committed to invest US$1.5 billion alongside Apollo and Athene in a proprietary portfolio of diversified alternative assets. With the commitment of SuMi TRUST, Apollo and Athene have invested $15 billion and committed to private market equity alternatives, focused on high quality diversified assets.
Apollo CEO Marc Rowan said, “SuMi TRUST has been a long-time trusted partner and advisor to Apollo, and together we have seen firsthand how alternatives can provide strong diversification and returns. stable as a replacement for public stocks and bonds. This is the next step in working with SuMi TRUST to leverage their full capabilities. SuMi TRUST shares our investment philosophy and appreciates the unparalleled alignment we have brought together in this investment opportunity.
SuMi TRUST Holdings Chairman Toru Takakura said, “Apollo has been a market leader and innovator in the alternatives space, with a stable and proven track record of investing. The decision to make this investment is based on our belief that investing in this alternative asset strategy can produce less correlated, equity-like returns and low volatility.
SuMi TRUST Bank Chairman Kazuya Oyama said, “This is a revolutionary approach to investing in alternatives, with exceptional alignment and diversification. SuMi TRUST Bank has pledged to play a greater role in developing the alternative asset market in Japan through this investment. As general life longevity increases and Japan prepares for the era of “100-year life”, it becomes increasingly important for investors to find asset classes capable of generating excess returns. long term stable. SuMi TRUST Bank seeks to provide investment opportunities that meet the growing needs of our clients, including private market assets.
This investment by SuMi TRUST follows other Asia-based institutional commitments, which together represent more than $5 billion in third-party capital. These commitments will invest side-by-side with a $10 billion proprietary portfolio of Apollo and Athene. This announcement underscores Apollo’s commitment to Asia-Pacific, including Japan where the company is increasing its presence to capitalize on significant market opportunities.
Rowan concluded, “SuMi TRUST’s balance sheet commitment to alternative assets is pioneering in Japan, and we believe that Japanese institutions will view SuMi TRUST’s investment as an innovative step in the broader introduction of alternatives to the Japanese market. We believe that alternatives can replace significant portions of investors’ public fixed income and equity allocations in the future. This notion is increasingly embraced by sophisticated investors, including institutions, individuals and their advisors. »
GreensLedge acted as financial advisor, Skadden, Arps, Slate, Meagher & Flom LLP and Mori Hamada & Matsumoto acted as legal advisor to SuMi TRUST. Paul, Weiss, Rifkind, Wharton & Garrison LLP served as Apollo’s legal counsel.
Apollo is a high growth global alternative asset manager. In our asset management business, we seek to provide our clients with excess return at every stage of the risk-reward spectrum, from investment grade to private equity, with a focus on three investment strategies : yield, hybrid and equities. For more than three decades, our investment expertise on our fully integrated platform has met our clients’ financial return needs and provided companies with innovative capital solutions for growth. Through Athene, our retirement services business, we specialize in helping clients achieve financial security by offering a range of retirement savings products and acting as a solution provider to institutions. Our patient, creative and knowledgeable approach to investing aligns our clients, the companies we invest in, our employees and the communities we impact, to expand opportunities and achieve positive results. As of March 31, 2022, Apollo had approximately $513 billion in assets under management. To learn more, please visit www.apollo.com.
About SuMi TRUST
SuMi TRUST Holdings is the only dedicated trust banking group in Japan, uniquely positioned with its business model duality in trust and banking. SuMi TRUST’s fiduciary business includes asset management and asset administration business, and the banking business caters to customers’ traditional banking needs, such as lending. SuMi TRUST is ranked #1 in many trust-related business areas and also focuses on the wealth management field. In the field of asset management, it owns the largest asset management company in Asia and is also ranked #1 in the field of asset administration. SuMi TRUST Holdings’ customer base is broad, ranging from pension funds to financial institutions, and offers various investment products to this customer base, including alternative assets.
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include, but are not limited to, discussions related to Apollo’s expectations regarding the performance of its business, liquidity and capital resources and other non-historical statements. These forward-looking statements are based on the beliefs of management, as well as assumptions made by management and information currently available to it. When used in this press release, the words “believe”, “anticipate”, “estimate”, “expect”, “intend”, “target”, “objective”, “outlook or future or conditional verbs, such as “will”, “should”, “could” or “may” and variations of such words or similar expressions are intended to identify forward-looking statements. Although management believes that the expectations reflected in these forward-looking statements are reasonable, it cannot guarantee that these expectations will prove to be correct. These statements are subject to certain risks, uncertainties and assumptions, including, but not limited to, those described in the section titled “Risk Factors” in Apollo’s Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission (“SEC”) of the United States. on May 10, 2022, as such factors may be updated from time to time in Apollo’s periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements included in Apollo’s filings with the SEC. Apollo undertakes no obligation to publicly update or review any forward-looking statements, whether as a result of new information, future developments or otherwise, except as required by applicable law. This press release does not constitute an offer by any Apollo fund.
Global Head of Investor Relations
Global Head of Corporate Communications
IR Department, Sumitomo Mitsui Trust Holdings, Inc.