To our presentation today. At Abacus, Abacus is continuing to grow and expand and take a look at a business model that started in one area related to life insurance policies and sourcing those and educating people around the value of their life insurance policies to asset management, to potentially private wealth management, and then capitalizing on all the lifespan data and technology that we have been able to do and institutionalizing that into other areas. You are going to hear today what I think is from a pretty terrific group. Bill McCauley, our CFO, will be up. Elena Plesco, our Chief Capital Officer. Samantha Butcher is going to talk about Life Solutions, so everything you want to know about our process. Just a note, I always tease Samantha. Samantha, is it 19 years? I always forget.
20.
20. Right out of school. By the way, there's nothing wrong with hiring people right out of school. They tend to be quite loyal. I always tease her. I'm like, you've been here 40 years? I don't know. She's been just a true expert in our industry, excited. You're going to see the breadth. Jose is going to come up and talk to you about the global perspective of what we're doing, our ETF strategies, and how we're turning these into lifespan-based target date funds, most importantly, the underlying strategies, our tech. As I mentioned, unfortunately, Dr. Joe Coughlin fell ill. At that time, we'll be adding in a very specific Q&A. One of the things that we did in this rebranding effort was to really expand and start to expose people.
Over the last, I don't know, I guess, is it two years? You've probably seen a commercial with me in a blue V-neck sweater. It's a popular sweater, by the way. I think it's slowly but surely coming back. I've been accused of being a cross between Ted Lasso and Mr. Rogers. I'll take it. I think that demographically, I've done quite well in the 75-year-old female demographic to my wife's pleasure. She thinks that's funny. We're going to launch a new commercial talking about the breadth of everything Abacus does. If you could queue that up, we're going to show it for the first time this morning.
What if the future of finance was not built around averages, but around you? At Abacus Global Management, we are reframing the very nature of financial planning around the most personal data point possible: your lifespan. Because Abacus is the originator, the market maker. We are not just participating in the space. We are reshaping it. As a technology-driven asset manager, we are empowering our investors with an integrated system to take command of what matters most: your time, your future, your financial destiny. While legacy firms cling to static models and outdated assumptions, we move forward with precision, agility, and a vision rooted in reality, your reality. This is not finance as usual. This is control in the hands of those who dare to lead. This is a new era of investing built on the truth of your life. Welcome to Abacus Global Management.
I think I suit. Yeah, I thought it'd be fun to wear the suit from the commercial. Sadly, I'll probably get a lot of requests now at webinars and seminars. Like, "Hey, where's the suit, man?" Honestly, I hope I do. That gives you a sense of where we're going. Utilizing lifespan and data technology that we've aggregated over the last 20 years is a very powerful, impacting tool. You're going to hear a lot about it today. You're also going to hear how we implement it in several different ways. Next slide, please. Some interesting facts that I'd just like to point out. When I think about our business, I'm reminded of where I grew up. I grew up in a single-bedroom cabin up in the mountains, slept on the floor with my sisters. This is what our view was. It was up by Yosemite.
These are the sequoias. I remember as a kid looking up at them and thinking, "My gosh, how tall are they? That's wild." I used to climb them. Not very high. Could not get very far. What is fascinating about these trees is that they are 365 ft tall on average, can climb even higher. How many floors or stories is 365 ft? Next time you go to a 35-story building, look out the window. That is how tall they are. How wide are they? On average, 30 ft. Their bark is 3 ft thick. What is fascinating to me—sorry, I think they are going to adjust the little sound. We got it. Their bark is 3 ft thick. How old do you think? What do you think their average lifespan is? It is wild, right? A tree that tall, you would imagine, takes some lightning strikes, wind.
On average, they can go anywhere between 750 and 1,000 years. You know how old the oldest is today? 3,000 years. Go back 3,000 years ago. Can anybody name the population of the planet? About 50 million. Funny thing, Abacus wasn't invented yet. They came 600 years later. What's fascinating about these trees is that you would think with that height, that width, that strength to last 3,000 years, how deep do the roots go? Only 12 ft. How do they survive? They're 200 ft out. Do you know how they really survive? They depend on each other because they're connected to the next sequoia and the next sequoia and the next sequoia and the next sequoia. They are pillars that are connected to each other. Abacus is a sequoia.
We are coming after the very nature and challenging the very nature of financial planning with something that everyone should be talking about. Because what is the number one fear in retirement? Running out of money. Does it not make sense? You should know how long that is. Who gives it to you? No one. There was a study put out by Morgan Stanley that this is going to be one of the most fundamental shifts and changes in financial planning and asset allocation and asset management is taking into consideration lifespan. When you start to think about where Abacus is going, we've had a sterling reputation and built a phenomenal business over the last 20 years. The next 10 is going to be 5X that. Next slide, please.
Because this is literally where we're taking longevity, asset management, and technology and converging it so that we can capture the entire life cycle of our clients. Next slide, please. The life cycle of our client many times starts with them calling in and just trying to get a better understanding of the life insurance policy. Historically, we would give them that, and then we would put that policy on our balance sheet and sell it to a third party. Wouldn't it make sense that eventually we start to have our own asset management funds to offer us financial solutions? We acquired a terrific company in Carlisle. We'll acquire more.
We have an ETF strategy, Abacus FCF Advisors, that we acquired at the exact same time that we're absolutely over the moon about, and you're going to hear directly from that portfolio manager, and I think you will too once you hear from him. This is about additional pillars. This is about adding sequoias so that Abacus can be even stronger and grow to 365 ft. Next slide, please. Our Life Solutions is our core business, and we will never steer away from that. We are focused, and we will keep growing that business. We are passionate to continue to grow that message and continue to speak to policyholders. Just because that new ad is running, you're going to get double the flavor now. By the way, I do not know if you noticed, there was an Easter egg in that ad.
Did anybody notice the blue sweater that was in the ad? Yeah, we just gave a little nod to the sweater. We are going to continue and drive that core business. Our Abacus Asset Group, we have already begun to expand. Acquisitions of the Carlisle Group give us a global exposure that I cannot wait for you to hear about, our ETF strategies. Elena Plesco is going to speak briefly on all of our capital markets, including our acquisition strategy and some of the valuation techniques that we used for some of these asset managers. I am sure you will have questions about it. Our Abacus Wealth Advisors is what is coming. We are very excited about this.
It makes perfect sense to us that if we're generating thousands of inquiries per month and we're doing payouts, that we should be offering financial solutions through both our RIA and a broker-dealer, which we have both of. We're very excited how the expansion of that is going to go. We're so excited. We actually hired a recent Chief Compliance Officer, Ralph, sitting there in the front row. Sorry, Ralph, I know you're shy. You don't want to be pointed out. Compliance Officers normally are not that shy. He joined us. He was Chief Compliance Officer at Pershing. When you think about how we're governing this and how we're looking at transparency and regulatory, we have one of the best joining our team. That is who we continually add to our team. Next slide, please.
Our Abacus Wealth Advisors, as a division, will feed off of all of the other divisions, right? It's just like the sequoia. What makes Abacus stronger is fed off of what's going to help build Abacus Wealth Advisors because it's able to capitalize on our asset sourcing, our lead gen. It's going to capitalize on our longevity data and technology for lifespan-based financial planning and our Asset Group with product distribution and product design. Customized solutions for clients that they are so desperately seeking. If not, we wouldn't be receiving thousands of inquiries every single month. Next slide, please. Jack Welch once said, "If you don't control your own destiny, someone else will." As you will start to see a theme in everything we do, Abacus is so successful because we control our own destiny.
Sitting at the heart of our origination and market making and our track record and expanding this into our other assets that we can now capture the entire life cycle and provide a service to all of our clients from our very first reach all the way to the technology data, which you're going to hear more about today. I am very excited to bring up Bill McCauley. Bill McCauley is our CFO. Bill joined us five years ago from such prestigious firms as Transamerica, John Hancock, MassMutual, and even McKinsey. He has an extensive background when it comes to auditing and understanding that, and particularly his work with McKinsey. He is going to share with you our financials, talk to you about our guidance. Bill, I do not think I took any of your slides. I thought about it, but I did not take any of your data. Welcome, Bill.
Thanks, man. Great. Good morning, everybody. Good to see everybody here. The control your own destiny theme is something that you're going to see throughout the presentation. At Abacus, controlling your own destiny is not just something we say. It's actually how we operate. It's that mindset that drives the decisions that we make on a daily basis, whether it's from how we've aligned our diverse business model to how we allocate capital. We're going to be positioning Abacus as a leader in the alternative asset management space by focusing on delivering consistent returns across our four different business lines: Abacus Asset Group, Abacus Life Solutions, ABL Tech, and our growing Abacus Wealth Advisors division. Q1 2025 was a great quarter for us. Let's take a look at some of the numbers.
Revenue for the quarter hit $44.1 million, which more than doubled where we were last year, 105% growth. That is driven primarily by a significant increase in the Life Solutions area, plus having a full quarter of our asset management fees for the acquisitions that closed in December of 2024. Adjusted net income of $17.3 million for the quarter, which is 158% higher than where we were last year. We had adjusted EBITDA that reached $24.5 million, which is 111% growth over last year. We also increased our EBITDA margin to 56%. That is the metric that I really like to see because not only does it show that we are growing at a fast pace, but it shows that we are doing it profitably and thoughtfully. We also had $4.6 million in GAAP net income compared to $1.3 million loss in Q1 of 2024.
That's further proof that our strategy is working through disciplined execution and making smart strategic decisions. On top of that, we had a number of key achievements in the quarter that set us up for success the rest of the way of 2025. We had $125.9 million of capital deployed for policy purchases through Abacus Life Solutions, which is big for us. We've identified new ways of originating policies through new partnerships and also expanding existing relationships. We have $3.1 billion of assets under management, which is going to provide a really stable revenue foundation split between longevity funds as well as ETF assets under management. We're also very pleased with the performance of our newly launched longevity funds, where we raised $122.8 million in just March alone.
On the capital side, we actually cleaned up some of the public warrants that most of you are aware of, 4.9 million public warrants, and we exchanged those for 1.1 million common shares. Let's talk about profitability and growth. Our adjusted annualized return on equity was 16% for the quarter, and our adjusted annualized return on invested capital was 17%, which reflects our profitable business model and shows that we're earning strong returns for the money that we're investing. I know this isn't on here, but from a growth perspective, our ABL Tech division is now tracking 1.6 million lives. 826,000 of those are active, and the rest of them are currently in trial. Those will move over to being active in the coming quarters.
What I really like about that division is that we've built that technology in-house, so that'll become a very high-margin business going forward. We also had $151 million of net inflows into our investment products, which is showing that we're continuing to diversify our revenue streams, which is a way for us to control our own path going forward. Again, from an adjusted EBITDA margin of 56%, that shows that we're growing efficiently. We grew revenue by more than 100%. We controlled costs, and we increased our EBITDA margin to 56%. When you're able to grow like that and control your expenses, that's something that you can leverage in order to control your path forward. What's coming for 2025? We had great Q1 performance. In the press release that Jay mentioned, we had significant progress on trading our book.
We're actually going to have positive realized revenue impact related to the sales that we've done through June 2nd. In our May call, we confirmed our guidance of $70 million-$78 million of adjusted net income. We feel good about those numbers for a few different reasons. One is our business model. We've created a business model that thrives in any market condition. We have a number of ways to win regardless of what the market is doing. Second is our origination platform. That's a platform that's been in existence for 20 years that will continue to drive our growth. Third is the way that we've intentionally diversified our revenue streams in order to stay in the driver's seat of our growth.
I think from an overall consensus standpoint, our analysts are at $72.9 million for the full year, which shows that people are really starting to understand Abacus, our story, but then more importantly, our ability to promise on what we deliver. Deliver on what we promise, sorry. These graphs here are just more graphical representations of the metrics that I shared. Typically, when you see things that are increasing as you go to the right, that's a positive thing. That's what's happening here. I'm happy to answer more questions about that in the Q&A session. That'll be a little bit later. Just to wrap up a little bit, Q1 was a great quarter for us. We delivered strong performance on all business key metrics. We've expanded our product lines, and we've really positioned ourselves for success in the coming year.
We really think that this business model is something that we're going to take pride in. It's diversified. We're going to be able to drive business the way that we want to. It's really been a reflection of the hard work that's been done by all the people here at Abacus, but also with the support of everybody in this room. For that, I thank you. I thank you for your time. I'm excited about where we're headed. Hopefully, you are as well. I'm now going to hand it off to Elena Plesco, who's our Chief Capital Officer. Hopefully, you remember her from last year. She joined Abacus about a year and a half ago. Prior to Abacus, she was at KKR. She spent 10 years there as the co-head of the Specialty Finance Group.
She's been involved in numerous transformational projects here at Abacus, which is helping us set our strategy for the future. Thank you.
Does anyone know what this is? Or more importantly, why am I holding this? If you've played with me or if you've heard me talk about this in the office, you cannot reply. I guess the rest of those people cannot. This is a paddle racket. Some may call it padel. I've been told it's incorrect. It's a sport that originated in Mexico in the late 1960s, but has really gained traction over the last decade and is now the fastest growing sport globally. You may ask yourself, do we really need another racket sport? There's tennis, there's squash, there's badminton, there's ping pong, there's racquetball, there's even pickleball. Why do we need paddle? It's super fun, super fast. It's a team sport. Apparently, 30 million people a year, newcomers, think we do need it.
Similarly, if you ask yourself, do we really need another asset manager? I think you do. If this asset manager controls a scarce and uncorrelated asset and has posted 100% year-over-year growth. Also, I really wanted a public forum to point out to one of our competitors that maybe pickleball is the fastest growing sport in the U.S. John, you know who you are. Padel is the fastest growing sport globally. If anyone ever wants a game, let me know. I'll give this to Logan for now. Thanks. Hi, everyone. I'm Elena Plesco. As you can see, Chief Capital Officer at Abacus Global Management. Today, I'd like to share with you the why behind what we do and how our four distinct yet complementary divisions come together to form something special in the financial services landscape. Let me start with the fundamental truth about our business.
At Abacus, we control our destiny. You will hear this a lot today because this isn't just a tagline. It's how we run our integrated business model. How do we control our destiny, you may ask? It begins with origination. Building and owning asset origination is the key driver of our business. Since 2004, Abacus Life Solutions has purchased over $10 billion in face value of life insurance policies. Beyond being an impressive number, it represents thousands of clients that we've helped maximize the value of their insurance assets. More importantly, the real power comes from what we've built around this origination engine. With every transaction that we do, we gather data that helps strengthen our proprietary analytics platform. This creates a virtual cycle that's nearly impossible to replicate.
Further, as we move into asset management, something that we've been focusing on building out over the last year, we really aim to control the entire value chain of the asset. This allows us to generate multiple revenue streams across the asset life cycle, spreads at origination, management fees, servicing fees, and performance incentives. This integrated business model allows us to deliver superior risk-adjusted returns to our fund investors by delivering them assets straight from our origination engine and also deliver strong and stable margins to our shareholders who are exposed to our balance sheet. Most importantly, as you've seen in Jay's introduction, the asset management piece is our growth engine. We do intend to continue building out those operations, and as you've seen, we've done significant strides over the last year, both organically, but we have also done some significant M&A.
One of the large transactions that contributed to the increase in our AUM was our acquisition of Carlisle Management Company based in Luxembourg. It's an asset manager with nearly $2 billion in AUM, all in longevity assets, with a 16-year track record that we're happy to talk about later today. Those assets are under long-term contracts. Most of them are under 10-year locked-up contracts, paying 1.5% fee. What does that mean for us as a business? We are capturing at least $30 million in recurring management fees annually from that acquisition. That does not take into account any performance incentives that might be more back-ended. When we have done the transaction, what we thought was really appealing here is that the founders and the management team of Carlisle have accepted Abacus stock. The third-party selling shareholders took a seller note.
At the time when the transaction was being struck, the total transaction value was a little bit shy of $150 million as there was a fixed number of shares and bonds allocated towards the transaction. For a business that generates over $2 billion of assets, around $10 million of run rate EBITDA, our transaction multiple is around 15 times. We certainly think that's very attractive just straight out from a valuation perspective. What we're also very excited about is the synergies that this transaction will bring. Jose will speak more about that as part of his section. Up next, ABL Tech. I will touch a little bit about it, but we do have two speakers that will provide detail above and beyond what you've heard about this business.
The reason we think ABL Tech is super important to us, we think this is our competitive moat. We've been transacting on policies for the last 20 years, and we're not merely collecting the data. We have built sophisticated pricing algorithms and risk models. Today, ABL Tech has transitioned not just being a support line for our asset management business. It's a business line of its own with third-party clients and real revenue. With every transaction that we do in ABL Tech, that allows us to strengthen our data advantage. It also allows us to improve the allocation decisions of our clients. Why do I say that? The clients in that division are pension funds and insurance companies. They utilize products such as MVerify, which is real-time mortality tracking, and LifeVerify, which is for locating missing plan participants.
The more we help pension funds optimize their own balance sheets and liabilities, the more likely they are to further work with us in our other endeavors, such as asset management, for example. We are currently successfully harnessing some of those relationships. The last piece of our integrated business model is Abacus Wealth Advisors. Here we aim to revolutionize how wealth planning is done. First of all, and Jay touched on that because Jay was stealing my slides. We really think Abacus Wealth Advisors will sit at the nexus of all of our capabilities. First off, it will allow us to source assets for Abacus Life Solutions from the consumers that may have policies that they might be interested in monetizing. We are also able to feed into that ecosystem any of our unqualified leads that we receive today from the sweater commercials.
The other important part, it will act as a distribution channel for Abacus Asset Group, but also will have impact on product design because today most of our products are institutional in grade, and we do aim on taking forward the retail channel. Of course, it does benefit from all the data that ABL Tech has collected. In Abacus Wealth Advisors, we're creating the first-ever lifespan-based investment solutions. Vince will talk to you more about what we're planning to do as part of that endeavor. We really believe that for a client to be working with Abacus Wealth Advisors, they will be benefiting from our entire ecosystem. They're benefiting from our longevity data. They're benefiting from our asset management advice. All of that will come in concert to create customized financial plans that are not only based on their financial goals, but overall financial well-being and longevity.
Lastly, on the growth strategy, as Bill has mentioned, we're reiterating our full year 2025 guidance on adjusted net income to be between $70 million and $78 million. We also believe that based on our current growth trajectory, we will be at $10 billion in assets in the upcoming few years. We are really focused on building a more integrated, a more sustainable, and a more efficient business model. How do we look at that? With every dollar of revenue that we generate, we increase our data advantage that allows us to improve our pricing, which allows us to enhance our returns. Hopefully, we can see more capital flowing. This creates a pretty powerful flywheel effect that delivers sustainable value to our shareholders.
The one important part that we'd like to highlight in terms of what we're aiming to do in our integrated business model is we're aiming to diversify our revenue streams. Today, a good portion of our revenue comes from Life Solutions. That will change. Our goal is to have Life Solutions, Asset Group, and Wealth Advisors each represent 30% of the revenue, with ABL Tech making up the balance. We do believe that this will create more recurring revenue streams, which will provide better visibility and forecasting ability for all of our shareholders. Some of the other parts of the value of our integrated approach that I want to leave you with as I'm wrapping up. Uncorrelated assets and assets with downside protection will continue being part of our core DNA.
We've been getting a lot of questions like, "Oh, why are you doing things you don't know how to do?" And I'm like, "No, no, we don't know how to do those things." And we'll continue doing those things. Our unparalleled data advantage will continue growing. Right now, we're at the precipice of a major demographic shift, and Abacus has the data in order to revolutionize some of the legacy retirement and insurance models. Lastly, we believe we control our destiny via our best origination engine. When traditional asset managers rely on third parties for investment opportunities, we rely on our own origination engine that is able to deliver quality assets to our investors in any market.
Lastly, just like Padel has carved its own way in the ecosystem of racquet sports by combining elements from tennis and squash and putting together a more accessible and fun game, we're not building just another asset manager. We're creating a new category of a financial services firm that will be able to deliver sustainable returns, but also exciting growth. Thank you for coming. Up next, we will have all of our division leaders speak about the various business lines. The first one will be Samantha Butcher. Another line that I was going to say that Samantha has been here for 20 years, but now you know that. More importantly, Samantha has worked across more or less every single aspect of the core business within Life Solutions: origination, servicing, pricing, kind of like you name it.
There is no one better than her to provide us insights into the core business. Thank you.
Good morning. Abacus Life Solutions is one of the four verticals of Abacus Global Management. Within this vertical, we have two of our complementary platforms that I'm going to be discussing today. First, we have our policy origination and sourcing. This has been the bedrock of our industry for the past 20 years, just as long as I've been here. We've strategically identified and acquired life insurance policies through several different markets and partnership networks. We have a team of over 100 who support this complete process from underwriting and evaluation through the contracts and closing process. Second, we have our policy servicing department. They provide complete administration and management of each policy that we acquire.
They're responsible for ensuring that all these policies are managed efficiently, accurately, and in full compliance, focused on protecting the investor's value throughout the entire policy lifecycle. Abacus Life is an origination engine for investable life insurance assets. We specialize in sourcing and acquiring life insurance policies through a dedicated origination platform. These policies are transitioned into institutional-grade investment opportunities, serving as valuable assets for a wide range of our institutional partners. Our origination efforts are uniquely supported by the Abacus Longevity Funds. They provide the capital flexibility required to move quickly and efficiently in this market. By placing acquired policies directly on our balance sheet, we ensure a seamless acquisition process. Policies aren't left idle once they are acquired. We employ an active management approach, strategically trading assets through our robust network of institutional market partners.
With strong relationships spanning more than 20 asset managers, insurance carriers, and institutional investors, we offer a dynamic and well-connected marketplace. As of the end of Q1, we had $123 million of available capital allocated for policy acquisitions, underscoring our ability to act quickly in a high-value opportunity. Abacus Life . We are a leader in the secondary life insurance market. We are empowering our clients with the value of their life insurance policies so they can make the best financial decisions for them in their future. Whether they're planning for retirement, managing their estates, or facing health challenges, Abacus brings over two decades of experience to help our clients navigate this complex process. Today, we have transacted over $10 billion in death benefit, which has put millions of dollars into the pockets of our clients seeking to unlock the value of their life insurance assets.
According to current reports, there's $223 billion in life insurance policies waiting in the secondary market for opportunities. We are the market maker and originator for these policies. We use a multi-channel approach for our origination. Sorry. First, we have our broker and agent division. They've partnered with over 30,000 independent brokers and licensed agents. These agents are focused on understanding their clients' financial needs, goals, and life planning. Second is our consumer direct division. It's our fastest-growing channel, fueled by strategic digital marketing and TV ad campaigns, which we've all heard about today with the sweater. They deliver high-volume lead generation. We provide a transparent process with free immediate evaluations for our clients to ensure they're making the best informed decisions for themselves. In 2024, we reviewed over nearly 6,000 secondary policies. This represents a 22% increase from 2023.
It enables our funds to be selective in their acquisitions, but also staying aligned with their capital deployment needs. Looking ahead, we're well-positioned for this growing market. With an aging population and a rising need for retirement and healthcare, these demographic trends support our long-term expansion. While secondary origination remains our core strength, we're actively expanding through strategic participation in the tertiary market, a key driver of growth beyond just our traditional channels. According to the 2023 Conning report, there's approximately $29.4 billion of enforced life insurance policies existing in this tertiary market. Abacus leverages this opportunity to support strategic balance sheet growth by accessing and transacting within these established portfolios. By tapping into them, we can deploy our capital more rapidly, enhance our diversification, and scale operations more efficiently. A key component of our success lies in the strength of our partnerships with carriers and reinsurers.
To date, Abacus has completed over $3 billion in repurchase-supported transactions, enabling our partners to effectively manage their legacy liabilities and reduce their mortality exposure, particularly on their high face value policies. Our growth is further reinforced by a network of exclusive direct partnerships with asset managers. These relationships provide strategic advantages, allowing us to proactively meet our liquidity needs, accelerate our capital deployment, and gain early access to high-quality investment opportunities. We are driving market expansion through our capital deployment and our policy origination. Abacus continues to scale with consistent, sustainable year-over-year growth in both capital deployed and policies acquired. Our participation in both the secondary and tertiary markets has been a key driver to this expansion. In 2024, we deployed $380 million of capital. This was a 75% growth from our $219 million in 2023.
Alongside this capital deployment growth, we saw a 68% increase in policies transacted in 2024 from 2023. This increased outcome is driven by our market efficiency, our enhanced sourcing strategies, and our strengthened capital deployment capabilities. Our record-setting performance reflects the power of our scalable infrastructure, the depth of our market relationships, and our ongoing ability to deliver sustained strategic growth. Our policy servicing department, this is a rapidly growing division of Abacus Life Solutions. Currently, we have $5.7 billion of face amount under management. This is roughly 2,500 policy services with a comprehensive tracking of roughly 2,700 lives. We currently service for 14 distinct funds, offering customizable service for each of their unique needs.
We have end-to-end policy administration, with our key areas of focus being maintaining policy data accuracy and updating our funds with any changes, coordinating directly with our insurance carriers, tracking health and actuarial data for our funds to make informed real-time decisions, and providing complete support from acquisition through maturity. We have also integrated the valuation and analytics through a dedicated valuation team. They collaborate closely with our servicing professionals, utilizing our proprietary platform to automate premium optimization, manage cost of insurance, and generate tailored performance reports. Our custom fund dashboards that we provide for each of our funds we service for allow them to have real-time asset tracking and enhanced transparency in decision-making. We have a technology-driven claims department powered by ABL Tech, one of our other four verticals that you'll hear more about later.
They provide us daily live updates and real-time mortality verification, which speeds up and strengthens the claims process in ensuring timely and accurate death benefit distribution. Our goal is to provide best-in-class capabilities for ourselves and for our investors with full trade-ready asset control. As we continue to scale and deepen our presence across both the secondary and tertiary markets, Abacus Life remains committed to innovation, operational excellence, and delivering institutional quality outcomes. Our integrated platform, robust servicing capabilities, and strong capital base position us to lead the next chapter in the evolution of life insurance asset management. Thank you.
I'm going to be doing speaker introductions, so I'm not back. I'm not talking again. Next is going to be Jose Garcia. He runs Carlisle Management Company in Luxembourg.
He will tell you more about kind of the global approach that Carlisle Management has taken to grow their business, how that has augmented some of the asset management that we're doing today, and where that's going to take us. Just to kind of as a reminder, Carlisle has had a tremendous record in the industry. They have been operating since 2009 across seven funds. That has added to the family of the four funds that we have been running to date. Welcome, Jose. Just tell us more about it.
Thank you. Thank you. It's a real pleasure for me to be here. I have a great deal of respect for the founders of Abacus. I've known them for 20 years. I've known Sam for 20 years, too. Guys, thank you for the opportunity.
Obviously, thank you to Bill, Elena, and Jay for your leadership and the opportunity to be here and join the team. I only have 10 minutes. I'm going to try to just get to the point. There was a reference made to three guys in a room. Abacus was started over 20 years ago by three guys, three visionaries in one room. Guys, let me show you what you've created. Earlier this year, we rebranded the company to Abacus Global Management. Why? Because we are a global company. I think we've earned that title. Today, Abacus Global Management has basically two headquarters. We have an international headquarters in Luxembourg, as well as our main headquarters in Orlando. In addition, we have four representation offices. In addition to that, we have 26 distribution relationships in 26 different countries.
We work with clients in over 30 countries around the world. The theme of the presentation today was controlling our destiny. Abacus Global Management controls our destiny by controlling our asset placement and by controlling our global distribution. We have become truly a global company. The Asset Group has several different factors. I focus on the longevity side. I know Vince is going to talk a little bit later about the ETF side. I think it's important to know that on top of the already very robust team at Abacus Life that Samantha just spoke about, we've added a tremendous amount of resources. First of all, we're not just a public company. We are now a public company regulated by the SEC here in the U.S., but also by the CSSF in Luxembourg and the Central European Bank.
Now, basically, the idea behind it is that we are now able to offer our clients more transparency, products with a higher degree of regulation, and higher quality. Also, one of the things that we've done in recent times is we've become a socially responsible investment product. We've got an ESG certification. I think in today's world, a lot of people are thinking about social responsibility. More often than not, people focus when they think of a longevity asset, they focus on the fact that there is a death component to it. We're buying life insurance policies. We're also helping seniors. We talked about that briefly earlier, that we're providing a very important liquidity option for the senior market, the senior consumers in this country. I think that's worth recognizing, not just on the consumer side, but also on the investment side.
In addition, through the acquisition of Carlisle, we added over 80 years of industry experience. Myself, as well as the management team in Luxembourg, we've been doing this a long time. We've seen the market in many different ways and many different cycles. I believe that the Asset Group team adds a lot of experience to the company. Again, as it was mentioned, we've added over $2 billion in assets to the group. We focus solely on the secondary market for life insurance. We're very specialized. We've been doing this for a long time. Now, together with Abacus, we now have a fully vertically integrated company. A little bit about the main statistics. We have 20 years of combined track records. That's between both companies. Basically, I'd like to separate it. Samantha talked about the Abacus Life Solutions sort of part. They originated $10 billion.
Through the Asset G, we've originated an additional $10 billion over the last 16 years. We've done combined over $20 billion in transactions, representing thousands and thousands of cases. We've also, through the Asset Group, been able to monetize about $6 billion in face value of that $10 billion. In other words, real realized returns for our investors. I think that's very, very, very key. All of our assets are publicly reported. It's not a mystery. I think also important, this is a term that I'm not familiar with, but I've learned today. I would just say IRR, but it's our composite gross asset IRR since inception has been in the high teens. We've had some years where we generated returns in excess of 30% for our investors. As I mentioned before, we have $2 billion across 13 different funds.
We offer both onshore solutions for U.S. investors looking for an onshore SEC-related product. We also have institutional-grade offshore funds out of Luxembourg, which offer basically a 10-year investment for investors looking for an uncorrelated return. Most of these funds are not even marked to market. We just carry everything at cost and recognize income only when it is realized, which I think is the most passive and conservative way to achieve this return, uncorrelated return. I think sort of just to close off, I mean, what sets us apart? Why does this make sense? Why is Abacus Global Management and now all of its verticals really provide to investors? First of all, it gives us a lot of servicing synergies.
That means that we control the entire asset process from the moment that we originate, sourcing those policies through the direct-to-consumer channels or the vast amount of national accounts that Abacus manages. We are very familiar with where the asset comes from. We also have in-house analytics. Through ABL Tech, we do a lot of risk analysis on every policy before we make a buy decision. From the moment then, closing activities, actually closing, getting all the legal work done, it's very, very important. In addition, we also service that policy. Basically, we administer the premiums. We administer the life expectancy. We track the insureds.
We basically have a hand on every single part of the process, which allows us an incredible amount of control, but also the ability to control our own destiny, to know exactly what's happening, to know when to make decisions and when not. Portfolio management, I think it's key. The Luxembourg team was predominantly made up of portfolio management. That's all we did for 16 years. We've been able to combine that with the existing Orlando portfolio management team. We're finding a lot of benefits on IT integration, utilizing combined IT processes. Also, don't forget, between both of us, we have 37 years of experience or track record. We have a lot of data that we've been able to put into our decision-making process, our portfolio management process. Last but not least, what I discussed at the beginning is a global distribution.
We are now set up in a way where we can, I just want to go back to this slide here. We now have global distribution. Not only do we have presence, whether it's through a headquarter office, a rep office, a distribution relationship, or existing clientele, we're also regulated in many of these places. We cannot have an office in Singapore without being registered with a local regulator, same as Dubai, same as most places in Europe. We have now not just a global distribution network, but a global compliance network. What that will do is it will be the spring for in the future for us to be able to not just work with longevity products. We now have a platform to launch any kind of product that Abacus sees fit to launch in the future, from the management perspective, also the distribution perspective.
That is indeed taking control of our destiny. Thank you very much.
Up next will be Vince Chen. Vince has joined us from our acquisition of FCF Advisors that is now rebranded as Abacus FCF Advisors. Vince is a portfolio manager and quantitative researcher within the Strategy, and he has nearly a decade of experience in the space. A fun fact that I've digged out about Vince, and he does not know that I'm about to say that, is that he's a prize winner of the China Undergraduate Mathematical Contest in Modeling. I thought that that was impressive given with how many people there are in China. Please welcome Vince.
Yeah, thank you, Elena. I was pretty surprised to know that fact. Good morning. Good morning again, everyone. I'm Vince Chen.
Today, I'm excited to share with you what I believe is one of the most compelling systematic investment opportunities right now, a.k.a. I invested a lot, and I'm happy. At Abacus FCF Advisors, we have built something truly special. We have taken decades of research on refining quality investing and transformed them into differentiated, scalable investment strategies. In the next couple of minutes, I will show you how our research and infrastructure, our free cash flow leaders' ETFs, and the performance chart records and the future expansion plans position us perfectly for the massive growth opportunity ahead. Let me get started with our core investment philosophy. Companies that efficiently convert invested capital into free cash flow tend to compound greater wealth over the long term. The economic logic is straightforward. Sustainable cash generation drives long-term shareholder value creation. We have proof for that.
Over the past 30 years, investing in the top 10% FCF IC companies generated three times the cumulative returns over the market. We did not stop there. We conduct comprehensive analysis on the full cycle of capital to cash flow conversions to identify four key alpha drivers. We analyze over 11,000 global equities and ETF constituents to build the Abacus FCF leaders' models. We have 50+ in-house investment models and indices in-house that we actively monitor to continue to improve our stock selection ability. Here is a fascinating connection. In 2019, AQR conducted a study called Buffett's Alpha. They are trying to systemize Warren Buffett's excellent return. The surprising finding is in the multifactor regression analysis that quality was the most important characteristic of Buffett's Alpha rather than value that most people would think of.
While other quality managers focus on different accounting matrices or balance sheet ratios, at FCF, we focus on the core business driver of long-term success, free cash flow return on invested capital to identify long-term profitable winners. What Warren Buffett does through individual stock selection, we do systematically across tens of thousands of securities simultaneously. We believe we have quantified the best of quality investing and make it transparent, consistent, and scalable. I know there's only one Warren Buffett, but the good news is we have more than one strategy. What makes our ETFs different is our ability to scale high-conviction applications to meet a diverse range of clients' demand. As of last year, we managed nearly $800 million in assets serving 70+ institutional clients. We have nine unique investment strategies covering 30+ categories and themes.
Our feature ETFs include ABFL, which provides high-conviction quality exposure to enhance your passive core allocation. We have ABLT, investing in the most profitable innovation stock to provide disruptive returns without disruptive volatility. We have ABLD to serve as a strategic inflation hedge using real asset equities, which we believe is extremely important given persistent inflation concerns. Finally, we have ABLS, which invests exclusively in the most profitable small-cap companies, a segment where 43% of Russell 2000 companies are unprofitable nowadays. We have strong research and infrastructure to build comprehensive ETF solutions, but ultimately, performance is what counts. Over the past five years, 95% of our assets outperformed their index benchmark to deliver a 3%+ average annualized excess return. Here is what is more compelling to me.
99% of our assets deliver lower downside volatility compared to the index benchmark, saving over 3% average max drawdown protection for our investors. As a result, 87% of our AUM receive Morningstar five or four-star rating and recognition of exceptional risk-adjusted return. While many other quality managers focus on balance sheet ratio and accounting matrices, tend to buy the safer company that sounded high quality, that they failed to outperform throughout the business cycle and only outperformed during market downturn, our focus on free cash flow leaders delivers both alpha and downside protection. With all these strong competitive advantages, we should stand out, right? I think the most important thing is you need to compete in the right industry at the right time. We are still in the early stages of a structural shift to our active ETFs.
According to Deloitte, active ETF is projected to grow 13 times in the next decade to an $11 trillion market. The 26% growth rate will outpace not only mutual funds but also passive ETFs, which are currently dominated by a handful of big players, and the fee is going to zero. We have strong momentum. FCF AUM has grown 39% annually over the past five years and 50% year- over- year. We stay very confident about the future challenge we will be facing in the active ETF market. Even the small market share gains mean significant opportunity, and we are well-positioned to capture both the generational wealth transfer and the raise of active ETF. Building on the momentum of our equity solution, we are expanding our R&D footprint into fixed income replacement and multi-assets as a company-wide effort to serve our clients better throughout their lifespan.
From an investment perspective, we have identified a few investment challenges. Traditional 60/40 portfolios that are nearly in every retirement account are becoming volatile because bonds are failing diversifications in this high-interest rate environment with political uncertainty. Target date funds only target people's retirement date, ignoring the balance between wealth accumulation and longevity needs. There is also a massive gap in predictable income solution and saving for life events. Current products are often having low liquidity, excessive fee, and lack of transparency. At Abacus, we are trying to solve this problem. We have ABXB, the Abacus Flexible Bond Leaders ETF, which employs a chain-following system to invest in a diverse range of fixed income vehicles, providing aggregate bond-like returns with drawdown protection.
We are developing collaboratively on the longevity-driven target date fund, which uses Abacus' proprietary lifespan data to look at people's personalized mortality table to target a maximize of people's lifetime utility rather than a fixed income, I'm sorry, a fixed withdrawal rate after their retirement. We are also developing income horizon and target maturity ETF ideas, which balance the cash flow distribution needs with real-time retirement needs and their life events saving needs. To summarize, here's the quick takeaway. We have strong research and infrastructure. We have a proven performance chart record. We have the ability to build practical applications to serve our clients. We are at the intersection of multiple major market chains. Investors are increasingly adopting specialized research-based products. The active ETF market is growing rapidly, and the demand is strong and rising for better investment solutions throughout people's lifespans.
We are not just participating in these chains. We are leading them because at Abacus, we control our destiny. Because investing in Abacus, we invest with Abacus, we are here to support you throughout your lifespan. Thank you.
Up next will be JC. JC has over 15 years of experience in various sales and marketing organizations. He is a pension sector expert with kind of like nearly a decade of experience specifically in mortality verifications. He has been a top salesperson at one of our competitors. We are very excited that he chose to work here and help us take this business to the next level.
Good morning, everybody. I wanted to start off a little bit with, for all the techies in the audience, I apologize. They forced me to wear the suit and tie.
If you do go to the office, you might find me in a T-shirt and jeans. Just FYI. Once again, if you have not met me yet, my name is Jean Carlo Oviedo. I go by JC. I serve as the Director of Sales and Operations for ABL Tech. Before I go into the numbers, I did want to talk about a little thought that I have, the concept of FEAR, right? For me, FEAR stands for False Events Appearing Real. In business, FEAR often shows up when we are building something bold, entering a new territory, disrupting the status quo. When you have the right people around you, that fear dissipates very fast. I need to talk about my team here at ABL Tech. I can say without hesitation that ABL Tech is the best team I have ever worked with.
I work for Nasdaq, I work for Thomson Reuters, and other startups. By far, this is the most talented, driven, and diverse group I've ever worked with. I am truly honored to be part of ABL Tech and represent our team here today. Another thing that I wanted to talk about is something that I have very dear to my heart, and it's the concept of the only way to do great work is to love what you do. The people on this team genuinely love everything they're doing. You can feel it in every product we release, every client we win, and every late night we spend working to solve problems. I want to make sure that everybody here in the ABL Tech team is recognized because, once again, I have some of my colleagues here.
For those who are watching, we truly love everything you guys are doing. Without you guys, we could not do and be here right now. Now we are here to talk about mortality tracking. Not always the most glamorous topic, but it gets to the core of something we all share. I love this quote. It says, "If you live each day as if it were your last, someday you will most likely suddenly be right." Right? There are pretty good odds right there, right? Remembering that we are all going to face mortality someday, it is actually the best way to avoid the trap of thinking we have something to lose. We know we are not getting out of this world alive, right? There is no reason not to follow your heart. Be bold and push the limits.
I love this Steve Jobs quote that says, "Stay hungry, stay foolish," right? And speaking of Jobs, I do want to give some shout-outs here to Vinnie, our Vice President, and Armando, who's our Director of Engineering, who's been my partners in crime throughout this journey. And if Vinnie and I are the Jobs of the story, Armando's our Wozniak. That's how I like to look at him. He's the technical genius behind everything we built. And together, we push each other. We challenge each other. And most importantly, we trust each other. I am incredibly proud of what this team has built and even more excited about what's ahead of us. Without further ado, I'll start a little bit of the presentation here. At ABL Tech, we're redefining what mortality tracking means for longevity-based investors. This isn't just back-office processes. This is literally data-driven advantage.
With MVerify, which is a product that we have built for the past, say, close to 18 months already, it is the most comprehensive mortality verification system out in the marketplace. The reason why that is, it's tied to these statistics right here. We have 97% coverage and less than 1% false positive rate. What makes the difference between everybody else and us is that this is a challenge. The 1% false positive is the challenge because this usually requires a lot of manual work. What Armando and his team have been able to accomplish is that we have about close to 70% less manual work than our best competitor out there. That is our B1 AI model.
When we go to B2 and we move to B3, we're most likely going to reach high in the low 90s, which is significant because this allows us to optimize the resources that we have internally, reduce costs, and make sure we're not relying heavily on those manual work that have significantly been part of this process when you're doing mortality tracking. What does this mean for our clients? What this means for our clients is that we're going to be able to provide more verified mortalities. We're going to have faster payout processings, overpayment reductions, lower fraud exposure, and less capital trap in unresolved policies. Once again, going back to the numbers, 97% coverage, we have 15% average reduction in overpayment across new clients. In reporting time, we have a 30-day median debt match time based from the date of passing.
Those mortality stats from the slide are very impressive. Now, we use things like the SSA, state records of HOAs, property information that we use, and add it to our AI model, our MVerify, which utilizes our Sherlock GPT model to make the matches and then provides the outputs that are very simple. You literally are just getting results. We're not giving you data that you have to review and verify. We've done that work for you. You get the matches, and you get the results immediately. What started as a solution purpose built for insurance has become inexpensively to public, union, and corporate pension systems. These statistics are very, very interesting because every time that I'm going to conferences, I'm talking to competitors, I'm talking to other AI startups, they ask me one question.
Hey, JC, how'd you do it?" We've been here. I have one example. We had one startup in the AI sector too with the public sector. They said, "We've been here for two years since we started. We have one client in the government sector. How did you get to 100 in less than 12 months?" That has been very impactful for not just the company itself, but everybody who's looking outside because they keep asking me, "How did you do it?" We've had 30 years and 40 years, and you got to [Carlisle's]. $360 billion plan, we couldn't do that in 30 years. You did it in less than 12 months. It boils back to the team.
It boils back to the leadership, to Jay, Sean, Vinnie, Armando, and everybody who we have here who've been working really, really hard, worked our relationships, literally are Nay and I traveling, making the connections, and proving the value of our product, right? Because the product, obviously, it stands at the front end of everything. If we're not providing good results, we're not going to get the clients, or we're going to lose them in the long term, right? Since we began tracking these things of lives since Q1 2024, you can see we've had a 32x year-to-year increase on lives tracked. We have about 1.6 million people right now, lives that are being monitored in our system. Obviously, you can see the breakdown here, what's in trial and what's actually already on contracts. The growth projection here is amazing.
I mean, we're now working with a lot of leads, especially in the TPA side, where we can potentially, at the end of the year, over 9 million lives. We're looking with other public pension plans. We have about 1.4 million lives in the pipeline. Insurance side, $500,000. Mortgage lenders, $330,000. Union pension funds, $280,000. You can see the growth capability here for the next year is very, very promising. Now, here's where we get very excited, especially for investors. One of the things that our clients have been requesting is, like, "I don't just need mortality tracking. I also need to understand where my participants are. I need to know when they're missing. I need you to find them for me. I need you to keep me compliant." Because especially on the corporate and union side, they are regulated by the DOL.
They're regulated by the IRS. If they get in trouble, they're going to get audited. Those audits are very, very tedious, two to three years. What we are developing here at ABL Tech is our Total Verify solution. This is the next upgrade to the MVerify. This is going to create a platform that is not just going to be tracking mortalities, but it's going to be tracking all the processes of mailings, phone calls. It's going to update our clients when somebody moves from city to city, right? We're going to be able to let people know closer to real time when those people need to be contacted, verified, and updated. The beautiful thing about this product is right here. Sorry. There's 10x higher revenue yield.
If we're charging a dollar per life on the MVerify, we're going to be charging close to $10 on this product. That's because this is way more complex. It is compliance-driven, right? Once you're in audit, clients are willing to pay what they have to pay to get out of jail, right? We're going to help them do that. Total Verify is modular, scalable. It's going to be automated. It's going to allow clients to integrate with our services through secure APIs and obviously our web-based platform. It turns what used to be manual and fragmented processing to centralized. Typically right now we have the service, we allowed LifeVerify, MVerify, BeneVerify, all these services that are kind of segmented. This is going to bring it all together in one single platform and single reports. This is not just a service line.
It's a platform, right? It will be the foundation of our long-term recurring revenue strategy across the union and corporate sector. Because that's the other thing that says, this is a recurring product, right? You sign multi-year agreements with these services. Same with MVerify. Most of our clients that we currently have right now are three- to five-year agreements. And their government unions, we typically say long-term past that. Next slide. This slide reflects, obviously, once again, the concept here at ABL Tech and Abacus Global Management as a whole. We control our destiny. From the data sources to algorithms we build in-house to the client portals and delivery channels we manage, we own and operate every layer of the solution. What this provides us to do is basically we are very flexible. We can go and innovate.
We can change based on regulations that are being updated on government. If somebody decides to, say we're using a third party and somebody decides to cut us off, it doesn't matter. We have our own aggregator of data, right? This gives us control. It allows us to innovate even higher. Obviously, it means more ROI for our investors because we don't have to be paying out to third parties. This also means this level of control means we can commit to SLAs that others cannot. We can offer price locks for three years while competitors keep raising rates. Once again, the new regulations, that happens, we're in control of that. Finally, we've built the infrastructure. We've proven the model, and now we're stepping into the scale phase. The roadmap for the next 12-18 months includes aggressive statewide contract expansion.
As you guys saw in the numbers, we have a lot of things in the pipeline right now from state side, from the union side, from the TPA world. We are going to also be expanding, once again, our AI models too. Sherlock GPT, which we are in B1 right now, we are about to launch B2 hopefully by Q3 of this year. What that is going to help us, once again, goes back to the concept of reducing manual work. We reduce manual work, we increase efficiencies, we are able to control pricing, and compete more aggressively in the marketplace. Finally, I want to end that basically by saying we are not just solving today's problems. We are building the tools to power a new generation of data-first outcome-focused asset and pension management. Every system we onboard, every agency we serve, adds depth to our platform and value to our business.
We're compounding data intelligence into competitive advantage. For investors, what this means is one thing: predictable, recurring, high-margin revenue growth driven by a company that's not reacting to the future, but we're shaping it. Thank you, guys.
Our last presenter will be Armando. As you've just heard, he is the genius behind MVerify. He's also responsible for building and leading a team of developers behind all the data science, actuarial, and risk models. Armando joined us in 2021 after he graduated Summa Cum Laude from the University of Pennsylvania. I'm going to need to read off all of his degrees because there are too many. He majored in mechanical engineering and minored in computer science, statistics, data science, and mathematics. He's clearly an overachiever. Please welcome Armando.
Thank you, Elena.
Today I'm going to be giving an update on the engineering of the ABL Tech side, not only all the software products we develop, the data we have, but also how it helps to help our external clients in addition to all of our internal business verticals. Before we talk about anything, let's talk about the data that we have because any software that's developing, any models that we create is heavily dependent on the data that we have. As you can see, it's going to be a common trend here throughout all the presentations is we control the entire process. If you can see here, the data that we've collected, there are four key categories I want to highlight today. We control the entire lifecycle of this individual from a data perspective as well as from an asset management perspective.
We look here, let's talk about the historical medical records. We've been in business over 20 years, since 2004. We've collected tens of thousands of insured's medical records that include thousands and thousands of pages of unstructured data, whether it's handwritten notes from doctors' offices, whether it's graphs, plots, charts, prescriptions, you name it. We've collected that over the past 20 years, and we now house that data, and it allows us to really understand the uniqueness of an individual throughout their entire life and their life history. With that data, we've also had outcomes and estimates given to us from underwritten life expectancies that we've aggregated over the past 20 years as well. We take that historical medical record data and we find life expectancy estimates on these individuals.
Now we have a guess at what we think an individual's lifespan could be over several providers as well, as Jay mentioned earlier. From there, we now have the medical record data on this individual. We have what we think the lifespan of this individual is. We want to see what are the actual to expected results as this occurs. As JC was mentioning, we have the real-time mortality data to know how accurate were these underwritten life expectancies, what about the unique individual and their medical records led to an early or late mortality event. We not only have this data on the insured population that Life Solutions focuses on, but also the entire American population as well. Furthermore, if we talk, that was more the longevity and mortality-driven side of our data.
If we look at our market data that we have to look at the risk of Life Solutions and longevity assets, we have market data over the past two decades where we can see how investors look at risk, what risk matters to them, and how market conditions could affect different varieties of these assets. All of this data helps inform all the models and software products that we build for all of our business verticals. I'm going to go into that now. First, you can see another big theme, right, is lifespan. What does this data give us? It allows us to decide on precision lifespans. It allows us to not only look and think we can estimate, hey, on this individual, Mr. and Mrs. Jones, as Jay mentioned, we think they're going to live 10 years, or that's their lifespan. It's not that simple to us.
We like to take it to the next level because as an investor and an asset management solution, we take your medical history, we tailor it to you, and we look at a mortality table and trends. We're not only looking at a point estimate, but we're looking at a distribution across the entire life of this individual. It's not as simple as let's look at your lifespan as a given point in time, but rather a distribution of probabilities across your life and how you could adjust that risk tolerance as you grow in your lifecycle. We can capture that in the Wealth Advisor division. The Wealth Advisor division, your life is going to change on a daily basis, on a yearly basis. We can take our tailored Life Solutions, our distribution of your lifespan, and apply that to your wealth management solution.
In addition to that, as we tighten the confidence around that distribution, we can get more accurate risk metrics for the Life Solutions division, as well as when we combine this on a portfolio level, we can look at how individuals with a variety of medical history and unique tailored probability distributions interact with one another and how that can affect the asset management division from a risk point of view. Moving forward from that, I'm hinting at the asset management and the portfolio-level asset valuation of these individuals. That precise lifespan helps significantly in that process, but also the historical mortality or the historical longevity market data that I was referring to earlier. We can combine that lifespan along with our historical market data to give us better outputs and better risk metrics to look at how we analyze this asset.
If you can see here, we look at several factors of a policy on an individual level as well as a portfolio level. We have dynamic risk scoring that we use on our balance sheet today to look at how different policies and investors look at risk, how that affects the value in real time as well as in the future. There's an example here on the bottom left as well, which shows just a little picture of sensitivity analysis that we look at. Not only are we looking at the sensitivity of a policy on a single basis, but also on a portfolio basis. This sensitivity analysis gives us an idea of the risk of this policy and how sensitive we could be to a shift in mortality or a shift in purchase price or market conditions.
This is just one of our tools that we use to help everyone in our business understand the risk of a policy and make better business decisions like Jose was alluding to earlier. From that as well, when we look at a portfolio and we look at how we can look at the risk of that portfolio, we run several Monte Carlo simulations, which simulates thousands, tens of thousands, millions of scenarios to understand how your cash flows could change over a variety of different assumptions, as well as different scenarios like best-case scenarios, worst-case scenarios, 10th percentile, and what do your cash flows look like in those scenarios? What does your premium reserve need to look like in order to maintain this portfolio over a long period of time, which is very important when dealing with target date funds as well.
Moving from that, let's talk a little bit more about what JC was talking about, where we talk about the real-time mortality tracking that we do. This real-time mortality tracking is extremely useful to our current clients today, which are the pension funds and government agencies that JC was talking about earlier. Let's think about the future. How can this help us grow, and how can we apply this data that we're collecting for the future? We get this data from state governments, federal government, obituary sites, funeral homes, newspaper sites. We collect this data in real time. Not only with this data are we collecting how old this individual was, but we're collecting gender, other demographic information like religion, occupation, location. All this data can help us notice in real time how individual trends among different cohorts of the population are changing.
What does that mean? If we look, it helps us in our asset management division and our wealth advising division because in the wealth advising division, if we want to be the quickest to market when trends are changing, we need this real-time data. We control the entire process. We have the data at its origination, and we can proactively update all of our models in terms of our wealth and management in real time. This allows us to have a continuous feedback loop, be the first to market on any products that we're going to offer with the most up-to-date and active lifespan assumptions and mortality assumptions.
Even further than that, if we can think about this in the public research phase, we can also help if a new pandemic comes around, if a new disease comes around, we can help identify in real time what cohorts of the population are going to be most affected in what areas and what demographics and anything of that nature. This real-time data puts us at that competitive advantage where we're not waiting for actuarial tables to update. We're not waiting for news to come out. We are the ones creating and aggregating the data and noticing it in real time. With that, I'm going to continue now into how can we apply this data that we have using AI and machine learning to then help us expand and scale as we want to as a company.
We want to take our data and our algorithmic processes and use AI to give us valuable outcomes. When I was talking about the unstructured data earlier, where I was talking about the PDFs of medical records that can contain handwritten notes, charts, graphs, pictures of things, we use AI to not only ingest those medical records, but make it structured data, which is going to be the foundation for all of our models and everything that we build in the future. Once you have the data in a structured sense, you can now create accurate and knowledgeable models that build for all of our business verticals. This can help us in the wealth planning, as I've already mentioned.
This can help us with AI-driven underwriting assistance, which can help us scale in the Life Solutions division to help generate valuable insights that a human may not have been able to recognize, but also scale without having to increase manual labor, as JC also mentions. Combined with all of this, we are leading the way. We control the whole process. We have the data from the medical records to the life expectancies to the mortality distribution throughout the entire market, and we control our future, and we control all the data and everything that we're building on top of it. We're very excited here at Abacus and ABL Tech. Thank you.
Hey, Martin. Thank you. Can anybody repeat that? Just start reciting it back. Thank you, Armando. Super helpful and super useful. I think just in summary, when you think about that, data is a powerful tool.
We all talk about how we're going to use it. I know that where AI and large language models are developing, you can start to see that out of a billion probabilities, how do you start to compress that into single assumptions and kind of have this spread of distribution. How we best capitalize and use that data, I think, is going to not just dictate the future of Abacus, but I think really dictate the future of financial planning. As we continue to move forward, there's going to be a number of opportunities that actually come up. One of the things I wanted to do is we have our financial markets panel that will be coming up shortly. We had originally planned for this time slot. We're running a hair behind Dr. Joe Coughlin from the MIT Age Lab.
As I had mentioned earlier, unfortunately, he has suffered a medical illness. He is okay. We did speak to him. We speak to him frequently. In lieu of that, what we wanted to do is also just give a little bit of an extended Q&A, and then we'll get right to our financial markets panel shortly thereafter, actually right after we do that Q&A. One of the things I thought I would mention to you just in the meantime, why are we engaged with Dr. Joe Coughlin, our Dr. Joe Coughlin and the MIT Age Lab? Why was he here to present? Abacus does a great deal of work with Dr. Joe Coughlin, and there's more to come. We have a passion and a belief led first and foremost by education.
We think that as more people become educated around what their lifespan is and gain more comfort around what that lifespan is, it can be applied in a lot of different ways. We are dealing with sometimes almost a crisis within our senior population led by depression, led by loneliness, but most importantly, led by fear. Sometimes that fear is preyed upon. What we want to do is how do you help alleviate that fear is information, starting with education. We are a firm believer, as well as the MIT Age Lab, in educating people and gaining comfort around the data that supports your lifespan. Because what's the number one fear in retirement? Running out of money. Imagine if you could just for a moment have a better understanding of how that applies to your financial plan.
You're going to really start to reduce stress and fear while someone's in retirement where they have a focused, customized solution that's built for them. By the way, this doesn't just apply to financial planning. It will apply to annuities. It will apply to new issued life insurance policies. Better structure, better thought, utilizing and capitalizing on the data. When you think about where Abacus is going, hopefully you've taken away what I'm living every single day. We have an amazing core business, and we're growing and expanding that core business into asset management, data, and capitalizing on that data, and we'll be applying it to financial services. There's so much more to come. We truly are just beginning this journey. What I would love to do now is bring Elena, Bill, and Jose back to the stage.
We were going to do chairs, but we can probably just stand if you're comfortable. It's not going to be too long, but we're going to take questions from you over the next 15 minutes or so, and then we're going to move on to our next panel. If you don't have questions, trust me, I'm not short on words. I'll just come up with things. Rather than just having the crew come up, we will eventually move bushes and have chairs put up for our panel. I thought it was a good time just to give you an opportunity first to maybe ask a question. It's a pretty tight room, so if you want to just start, just raise your hand and we can start taking those. Yes.
Hey, Jose, I was very curious now that you've been acquired by Abacus for a little while now.
About six months.
Six months. You had a number of providers of life policies to you. What was the mix? How much was Abacus, and how did that change after Abacus acquired you?
You would not mind repeating the question so that they can hear it on them.
Yeah. So yeah, basically, Carlisle Management was founded in 2008, and we had the benefit of being just a holistic fund manager. Therefore, people saw us as a natural client. We had a tremendous amount of intermediaries that we work with. Several providers. We had relationships with four or five different providers. We did business with multiple. We also did business with other non-provider type entities. I would say that Abacus is probably about 20% of our business pre-acquisition. Obviously, they are a much bigger percentage now.
I think part of the synergies that we're doing is we're shifting our focus to the direct origination platform as well. So far, Abacus has been a much bigger percentage of our sourcing. I would say 80% now, but we're focusing on that. That's not to say that tomorrow we can't go out to other people as well with the blessing of Abacus Management, of course. We still have those opportunities, and we still maintain a very good relationship with, off the top of my head, three other providers that would actively love to work with our fund management as well. I think that given the amount of investment and resources that we put to work on this direct-to-consumer platform, we're really focusing on that right now. Okay?
So far, that represents a much bigger percentage of the Abacus business, the amount of policies that we buy from Abacus at the moment.
So the follow-up would be, just given that structural change, how much do you think you can grow over time? How much opportunity is out there? I mean, is this a high double-digit CAGR in terms of asset growth?
Yeah. I mean, as far as raising capital, I'm assuming you're, because we're talking about policies, now you're talking about raising AUM, right?
Yeah.
Yes. I mean, we see huge prospects. We've invested very heavily in the Middle East and the Far East because we see those two regions as very fast-growing regions. The Middle East, countries like Saudi Arabia are finally looking outward. We've engaged in a number of different events there.
We've had a lot of great meetings with both sovereign funds as well as large institutional investors. They're looking, used to be that 10 years ago, a Saudi portfolio was 80% domestic, 20% international. That's changing very quickly now. We took the time in 2023. We set up an office and have dedicated employees in the IFC specifically to cover the region because we believe that the growth there is much higher. We did the same thing last year in Singapore. We set up an office there. We set up a local rep dedicated to Carlisle and basically expanding that region as well. We already manage a substantial amount of money from the regions, but we see those two as very high-growth areas. We're also looking at the same thing in Japan as well.
I just came back from Japan a couple of months ago. We've located some local partners as well, and we're exploring about prospectively moving into that market. The U.S. has kind of gone through an uncertain time. I think Europe is kind of beginning to go through what the U.S. has gone over the last couple of years. By focusing on these high-growth areas, we think that this can add significant AUM to the group.
If I can add just a comment or two to what Jose has highlighted, particularly around increased interest globally, right? You saw in his presentation that the offices that they have and the exposure that they have, I mean, we're also considering what additional platforms or what additional products we can have on this kind of platform, right? Predominantly, his investors are all offshore, some large family offices, institutions.
That provides opportunity. You heard a phenomenal presentation from Vince, right? As we start to think about how we can now really spread this message globally, it's important to take that into consideration in everything that we're doing. Keep in mind too, we're not just regulated. Abacus as an entity isn't just regulated by the states. We're not just regulated by the SEC. As part of this acquisition, we are also regulated by the CSSF. The CSSF is, I would say, is it fair to say equivalent to the SEC, but even more engaging out of Luxembourg. When you start to think about how all of these things are, we're not just pointing to auditors. We're actually pointing to actually an incredibly high level of integrity, an incredibly high level of transparency, and an incredibly high level of regulatory.
That is what I think when we consider what is coming from this, being able to capitalize on those relationships with all of our current products and even adding products to that is something that is very appealing to us. Last but not least, they have a book of business that they have acquired over the last, arguably, 15 years. You saw in his track record, pretty incredible balance sheet. That balance sheet also has a lot of power in its size. From our perspective, this relationship was more than just, "Oh, hey, this is where a relationship we could potentially sell policies to." Although there is a lot of synergy there, we have already onboarded nearly 3,000 contracts in servicing. You saw that come through in the revenue model.
In addition to that, I think it's just to note, there are a lot of institutions who are entering this space who are looking for product and inventory. And Jose, for the last 15 years, has led his business, and he's also transacted trades, significant ones. He's done a great job at it. We expect that to continue. Demand is really high from institutional investors. I think that as we're continuing to solve for what are some of the best solutions and potential structures that they're looking for, all the way down to collateralized notes to potential securitizations, having a robust inventory and adding to that inventory, I think, is really, really valuable. Thank you, Andrew. Yes.
A question. On the asset management side, I could talk loud, but.
Yeah. That was great.
All right.
On the asset management side, you guys had mentioned that you have some new products for onshore investors that came out recently, I think, in Q1 or Q2. How do those differ from the traditional offshore products that you have? Sure. Also, kind of on the flip side of the demand question, how big and how much capacity do you think there is on the supply side to supply that demand and still maintain the returns you guys have?
Sure. Thank you for asking that. The demand continues to increase. There are two ways that demand can increase, right? You can have an institution set up their own fund and potentially try to invest in the asset, or they could potentially seek a structure, whether those are through separately managed accounts or other opportunities. We have seen that demand increase in both, right?
From a capital point of view, we saw a significant increase in demand in institutions and really all institutional capital that was looking for an opportunity to maybe build a customized solution for themselves where they might have $50 million or more to allocate, and they want to build a customized solution. In addition to that, they were looking for a type of more of an income-driven product and structured over a period of time and were not as interested in the growth beyond that, right? They were just looking for effectively uncorrelated yield. You have a lot of institutions out there that are looking for less correlated yield where they are looking for a dividend.
Jose's products are predominantly driven around growth where they're not necessarily yielding products as designed to say, "Hey, we're going to return the highest level of growth that we can based upon two ways." One, either realizing that growth through the sale or execution of policies or waiting for a mortality to occur. In the income products, you're working through the same kind of process. You're maybe looking at more mature policies, and then you're sending and driving back. They're looking for more yield, but the yield is going to be significantly lower than they might receive in a growth product. That is the predominant difference between those demands or what investors are looking for. Our premise was, why wouldn't we provide both solutions to them, whether they're customized solutions or income-driven solutions or certainly growth solutions?
For right now, as I highlighted, we've seen a pretty significant increase. The last part of your question was, does that increase in demand from capital match origination? The answer is no. It's not. There's far more demand that we have for the policies than we can possibly source at this moment. What does that do to prices? Shouldn't be a shock to any of you that that's right, drives prices up. You start to see things where things are trading above their mark, and then ultimately, you see discount rates compress, which is what you see, right? That's happening in real time, and that's okay. That's a great model as the originator. Ultimately, we are matching demand with policies, and there's places to source that. That lag is okay, honestly. That's okay too. You kind of feed into that.
Abacus's model can continue to be expanded with the execution that we have. I think from hearing from Armando and Jose and certainly Elena and Bill is that we have the resources to be able to expand and continue to expand our origination, and we're doing that. We're definitely on the front end of this by not just continuing our advertising, but adding to our advertising. Education is the key here. How do you get to, as Sam highlighted, the $200 billion that lapsed? It's 100% education-driven. You know who some of our biggest buyers of contracts are? Insurance companies. They want their contracts back. Why? Because it optimizes their backbook.
Let's not forget that we can talk about the Apollos of the world, or we can talk about the large private credit funds and all those who have had a lot of success in this space. Some of our largest partners are, in fact, the insurance companies. Some of our conversations are directly with the reinsurers who are looking to optimize those backbooks by finding more paper. When you get that validation, it increases demand because now consumers ultimately are thinking, "Oh, okay, this is an equity transaction." Just one more comment on this, and I address it head-on. If you're an 80-year-old and you have a $1 million life insurance policy and you go through this process, and we use this example of like Mr.
Jones, but he's 80, and yes, he's been fully underwritten, maybe gets an understanding of what his lifespan is and kind of how that applies. Let's just assume the net present value of his contract is $250,000. Sounds like a huge win because he has very little cash value remaining in the policy. He was simply going to let it lapse because his kids are in their 50s. Served its purpose. Logically, we all say, "That's a win." There's still a hesitancy for Mr. Jones. Like, "Gosh, I don't know how I feel about this. Somebody maybe profits on my mortality. Is this weird? How does this become a little more normalized for him?" Part of that process is that when he sees that insurance companies are engaging in this process, right?
This is becoming a more standard form of liquidity that maybe 10 years ago, that question was certainly providing some more uncertainty. As we continue to be out telling our story, we lead the industry as a public company. Expose ourselves to every regulatory out there and anybody who else wants to criticize us. That's fine. That's what it takes to get to the $200 billion, and we're well on our way. Yes.
With a focus on sort of policy valuation, I was curious, what % of your policies do you even realize a realized loss?
Gosh, it's a fair question. It's very, very few. It feels loaded, right, because it's saying, "Oh, we never realize a loss." Ultimately, what happens is on a percentage basis, it's very low because you saw the modeling that we do, right?
The biggest way to think about it is we're turning the book so quickly, right? We're actively managing in real time. If you have a turn that's sub a year, right? I think this goes towards when you look at a lot of private credit funds or larger types of businesses that buy a form of credit, hold it for five or six years, and then they look at the end of that and say, "Oh, I missed that one." They realize it then. We're able in real time to capture that much sooner. We can make those adjustments very, very quickly. Therefore, what happens is that you don't really see that loss because we're not exposing our investors to that longer-term kind of loss carry. It's actually a really small percentage.
Typically, what you see is what's happened consistently anyways is what you saw in the first part of Q2. Sure. And just to add, many times the sales side of the transactions are not on a policy-by-policy basis or on a block basis. We originate policies one at a time, but then we sell them in blocks, right? Most of the time, it's better to look at the profitability of a block than each one of the individual line items. I would just add one more comment to that, Mike, is that the asset itself, right, has a positive theta, right? What I mean by that is that as the person ages, right, it's like a mortality-driven zero. It increases in value, right? That's where you look on a probabilistic basis. It's very unlikely that that kind of event occurs in any significant way.
You can have macroeconomic things that happen that might take away supply or change rates or rise demand like we've seen happen over the last few months. Beyond that, the premise of the asset, which makes it so appealing, is that it's an uncorrelated yield that has an increasing value over time because the underlying policyholder is aging.
Thank you. And then just a quick question on ABL Wealth Advisors. What are some milestones we should look for, I don't know, over the next year or two there?
Yeah, great question. We're excited about the growth there. I think you're left with a build-it-or-buy-it scenario, right? We are looking at kind of a blend, right? Looking at this both organically, we think that there are several opportunities to take into consideration.
The first thing that matters to us when we look at any company to potentially invest in is that we need it to have a similar model and culture than we do, driven by positive EBITDA margins, right? We have a 50+% EBITDA margin depending on the quarter. We want to make sure that that aligns, make sure this is a very profitable business, and that most importantly, it's accretive as a transaction to ultimately to our shareholders because this would be an equity transaction. It has to be accretive. When you start to look in the RIA model, finding that level of margin is a little bit more of a challenge. What it does do is keep us super disciplined, right? It's got to be the right transaction for us to move forward.
As we look forward over the next few years, we see significant growth through both organic growth as well as through potential acquisitions. Elena put it on the board, 30%. She did not name a year, what year we thought that that might happen. We believe that in the future, near future, I do not want to be held to a two-year or three-year or whatever we think that number is, but the target is to look at our revenue today, and 30% of that would come from this division. That is on top of what we already do in Life Solutions. We are talking about a significant growth in that industry. Crispin had a question.
Thank you. Just following up on having more demand than you can source. You had $123 million of dry powder at the end of the first quarter.
You've deployed $125 million the last couple of quarters and turn over the book about two times a year. Can you just dig a little bit deeper into what you can do on a capital deployment side, what the capacity is absent any equity raises? Would there be a cap on growth going forward just on deployment because of that?
Right. I think the answer is no. I do think that when we look at 2025 and 2026, even if you look at the 2026 numbers that we have out from our analysts, it's not at 50% and 75% again, right? You do start to hit some reality. I think where we sit today is in a great spot. Deploying at $125 million and hitting potentially $500 million annually on a capital deploy basis this year is what we were targeting.
That's why we feel very comfortable in our guidance for 2025. We think that's a solid number. We do see some of that pick up in times like we've seen today, and that's going to help that. I think the real turning point in this business is going to continue to come back to this. As people become more educated about the transaction, as we continue to normalize this transaction, you're going to continue to see growth rates where that ultimately origination will meet capital desire. In that, when that occurs, and whether that's three years out or five years out, you'll start to see some normalization in yields, right? It makes sense, right? That's what any business that matures over time will get to, but our volume will surpass any yield compression. I don't see this as a cap business.
I see this as a business that says, "Hey, we've got an opportunity to go and approach $200 billion on an annual basis. Even if I pick up 1% of that, I mean, what am I growing at? 25% a year." From our perspective, we're in a great spot. We're continuing to expand this message. We've kind of hit what I think is a very good balance on our balance sheet meeting capital demand. We're going to continue to increase that to meet some of the excess capital demand that we will continue to ultimately, I think, receive from both customized solutions as well as third parties. Matching that with policy origination, which you heard today we're doing, right? Policy origination is expensive. It is not easy to do. You can kind of see the amount of people and origination that you have to have.
Now, that builds a great moat around ultimately our business, but we're the business that's in position to take advantage of that. We have all of the pieces in place, and now we just bolt on more to meet that demand. Over time, what you'll see is, yeah, I think in five years, you'll start to see some normalization there. I think we've got a long runway in front of us before that occurs. Sure.
Hi, good morning.
Good morning.
I think you did a great job in explaining the mark process for your own portfolio over your response this week. There were also questions on Carlisle's marks and valuation. With that in mind, can you give us a better idea of the Carlisle valuation process and to what extent they use Lapidus or other providers?
Sure. I'll let Jose start.
Yeah.
I mean, Carlisle, I guess we have these now. Carlisle has been using the same valuation system since inception, since 2009. We also work with an independent valuation agent. We utilize a market rate, which is extrapolated from live settlement transactions. In other words, our service providers give us their transaction history. We then have KPMG calculate a weighted average internal rate of return, and that's what's used to mark the classes. We do use Lapidus, but in probably less than 20% of the time, we use predominantly five other different life settlement providers, sorry, life expectancy providers. Again, our valuation system is independent, extrapolated from independent data, both on the medical side as well as on the market rate side, and then it's audited on a quarterly basis by KPMG. It is very transparent.
It's actually always filed with our annual accounts, and all the information out there is out there for investors to touch, to feel, and to do the due diligence on.
And Pearl, the important part to point out, I think the point in time that sort of was presented that you're referring to, that's 2019 going into 2020, Lapidus was not operating back then. So there couldn't have been any Lapidus cities. Also, that particular value point that, again, is being discussed is with regards to remarking an open-ended fund during COVID. Carlisle manages a total of seven funds, most of them being co-sended.
It was very selectively chosen.
No, that's very evident. I guess my other question is more around how your investors are kind of responding to whatever has happened over the past week. Are you seeing any slowdown in the pace of demand, any pullback?
Right.
I would say it's been the opposite from not just our buyers, but honestly, the policyholders. In a report, it talks about how Abacus pays 30+% more than everyone else. Take a step back. That's great advertising for us. It's a fact. On that note, that's to the benefit of our most vulnerable population, right, which is seniors. The fact that we're paying more than our competitors is driven by execution, driven by optimization, right, not driven by a life expectancy provider. You know what it's really driven by? It's driven by demand of capital, right? In the end, that means our buyers are ultimately paying more for that contract as well.
I think that that puts us in a very, I would say, very strong position, right, in that we stand on a foundation that supports both the policyholders and our investors where they've both been quite successful. In fact, demand has increased from both. We put out a press release just post-after the kind of liberation day volatility. What we had highlighted was that this is the type of volatility that honestly increases interest from people seeking liquidity as well as investors seeking uncorrelated yield.
Great. Thank you.
Thank you. We'll do one more, and we can also do more post our panel, but I'm also excited. I think you'll enjoy the panel as well. Another for Bill? No, I'm kidding. Oh, Andrew, please. Yeah.
Just curious about the mix of buyers of the Abacus policies. Who are you sourcing into and what's the mix?
How much are insurance companies, etc.?
Sure. The question was related to what is the mix of interested institutions? Gosh, it is a broad range. I have recently highlighted this. They range from insurance companies, reinsurers to some of the largest private credit funds out there. A lot of these private credit funds operate under confidentiality agreements, right? By the way, if you looked at who they are, it is a fund that is named something else. It is not called XYZ, named after a certain entity. That is not how they do it. It is literally five letters, CO, credit, something. That is ultimately what they are. We have currently over 19 institutional-level buyers that we work with and across all walks. I think on a concentration risk, we actually point this out on a quarterly basis.
What you see is that in any given quarter, sometimes there is more concentration with one buyer because they may have raised a significant amount of capital and they are trying to deploy. As Jose highlighted, a larger block of business and they want to buy more policies. I would highlight that we felt it was a fairly diversified group of buyers that happened in Q2 and that demand is continuing. We have met with some buyers here in New York that literally we met with one just within these last few days that asked us, "How do I put $500 million to work?" Right? That is the demand that we are facing right now. I think that is the excitement around this asset. Now when you look at our entire business model and the things that we have forthcoming, you can really see how this grows. Thank you, Andrew.
That wraps up our Q&A for today. Most importantly, thank you, Elena, Bill, Jose. We are coming towards the end of our day today. First and foremost, I would just like to highlight a couple of quick things to our audience that is virtual. I spoke at the beginning about a couple of things, but specifically using the example of a redwood, a sequoia. What makes a sequoia strong is not the depth of its roots, but the width. What makes Abacus strong is the width of the businesses and the width of the people that we have. You met some of them today. They are all sequoias in their own right. They are. You met some of the finest people, not just in our industry, but I would say in any company.
These are the same people that when we launched our buyback, we sent to their bank accounts and bought stock to. They believe in this business certainly as much as I do, as much as Sean, Matt, and Scott do. We are proud to have them not just as friends, but our colleagues. I hope you feel the same way. I hope that you walk away from today's presentation and feel as inspired as we do every single day. Because one of the positives in anything in life, and this is no different, I have met with many of you over the years, and one of your feedback has been, "Man, if there was just more volume, I could take a larger position." There is plenty of volume now. I think we are averaging about 3 million shares a day over the last week.
Positive experience, positive entry point, and most importantly, investing in a company that shares the same values and culture that we believe each and every one of you does. At this point, we'll sign off on our virtual audience, tell them thank you. We look forward to seeing them next year. While that happens, I would love to bring up our next panel. This is a special treat for everyone in.