Good day and thank you for standing by. Welcome to the Apache Investments Second Quarter Earnings Call. At this time, all participants are in a listen only mode. After the speaker presentation, there will be a question and answer Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Josh Wood, Head of Shareholder Relations.
Please go ahead.
Thank you. Good morning, everyone, and welcome to Patria's second quarter twenty twenty one earnings call. Joining on the call today are our Chief Executive Officer, Alex Saig and our Chief Financial Officer, Marco DiFolito. Earlier this morning, we issued a press release and earnings presentation detailing our second quarter twenty twenty one results, which you can find posted on our Investor Relations website at ir.patria.com or on Form six ks filed with the Securities and Exchange Commission. Any forward looking statements made on this call are uncertain, do not guarantee future performance, and undue reliance should not be placed on them.
Patria assumes no obligation and does not intend to update any such forward looking statements. Such statements are based on current management expectations and involve inherent risks, including those discussed in the Risk Factors section of our Form 20 F annual report filed earlier this year. As a foreign private issuer, Patria reports financial results using International Financial Reporting Standards or IFRS as opposed to U. S. GAAP.
Additionally, we will report and refer to certain non GAAP industry measures, which should not be considered in isolation from or as a substitute for measures prepared in accordance with IFRS. Reconciliations of these measures to the most comparable measures calculated in accordance with IFRS are included in our earnings presentation. As a quick overview of the results, Patria generated $73,400,000 in IFRS net income in Q2 twenty twenty one. On key non GAAP measures for the second quarter, we generated fee related earnings of $17,600,000 and performance related earnings of $56,400,000 driving distributable earnings of $74,200,000 or $0.05 $45 per share. In alignment with our policy, we declared a dividend of $0.04 $63 per share payable on September 16 to shareholders of record as of September 2.
With that, I'll now turn the call over to our Chief Executive Officer, Alex Seig.
Thank you, Josh. We appreciate all of you joining the call this morning to discuss our excellent second quarter results and outlook. We are very excited with our progress since the IPO and we have generated distributable earnings of $0.67 per share year to date. Now, with good visibility on fee related earnings for the second half of the year, we have a clear line of sight to near $1 per share of distributable earnings for the full year. Not only are we delivering strong results here in 2021, but our key growth drivers for the coming years are well intact and running ahead of our expectations from the beginning of the year.
We are deploying capital faster with nearly $1,800,000,000 invested or reserved in the first half of twenty twenty one, equating to an annualized historical average. This deployment acceleration means faster fee earning AUM growth, which is driving 31% fee revenue growth and 19% fee related earnings growth compared to the second quarter of last year. Faster deployment also means that we are accelerating our fundraising timelines and we expect to have a first closing for our next generation private equity fund in the second half of this year. Our funds are performing even better with more than $2,000,000,000 of valuation growth across the platform over the last year and our net accrued performance fees rising to $325,000,000 We are now delivering an attractive yield to our shareholders as evidenced by our realization of $56,000,000 in performance related earnings in the second quarter. I'll now cover some key highlights across our businesses.
The strong deployment environment is again evident in our second quarter activity as we invested or reserved more than $1,200,000,000 in our closed end funds. That is on top of $550,000,000 in the first quarter, bringing the year to date total already to almost 1,800,000,000 In terms of strategies, more than $1,200,000,000 was deployed in our flagship private equity fund and $450,000,000 in our flagship infrastructure fund year to date. In private equity, recent investment activity included new commitments in our thesis areas of cybersecurity, grocery retail and code logistics, where we have conviction in our ability to build market leading businesses in Latin America. Our current vintage private equity fund is almost fully committed as of June 30 and well above the threshold that allows us to go back to the market. As noted, we expect to begin raising the next generation private equity fund during the second half of this year and continue to be optimistic on the opportunity to scale this fund again by up to 50%.
The timing acceleration is positive for our fee related earnings growth in 2022 and beyond, and this new revenue stream pulls forward. Investment performance here continues to be outstanding with Private Active Fund V, a 2015 vintage fund, generating a net IRR of 36% in U. S. Dollars, which is stopped the sale by vintage not just on a Latin America or emerging market basis, but on a global basis. Private Active Fund VI, a twenty nineteen vintage fund, which is still in its investment period, is already generating an impressive 28% net IRR in U.
S. Dollars. We are excited about the value creation our world class investment team is delivering, which will also accrue to shareholders over time as these funds mature. Our latest flagship infrastructure fund continued to actively commit capital to new projects. You may have seen our press release highlighting our growing toll road portfolio and specifically our success expanding into Colombia in this space, making Patria now the third largest toll road operator in Latin America.
We take pride in not only generating returns for our limited partners with these investments, but also in delivering projects that will fill critical needs for our communities and society. We believe there is an incredibly large and diverse infrastructure opportunity to address in the region. And Patra's scale and expertise allows us to be selective with an ability to tackle complex development projects where few other firms have the necessary resources. While we expect to bring the next generation flagship infrastructure fund back to market sometime next year, also ahead of schedule, we are excited to announce plans to launch a new dedicated renewable energy fund in the second half of this year. This will also be a closed end fund targeted to our global institutional LPs, which we believe fills an important sleeve of demand from investors who want more targeted mandates focused on renewables and the accelerating global energy transition.
Fundraising in our country specific strategies should also pick up in the second half of this year with opportunities to raise money in credit as well as our real estate investment trusts and infrastructure core vehicles. These vehicles are denominated in local currency and we see a path to raise about BRL4 billion this year, BRL800 million raised for our infrastructure fund in the first quarter. About 80% of that will be in permanent capital type vehicles, which further contributes to the duration and stickiness of our fee earnings AUM. On the realization front, our major news for the quarter is the crystallization of $56,000,000 in realized performance fees from Private Equity Fund III. We are nearing a great outcome for a 02/2007 vintage fund that has generated nearly a 2x, two times return and top quartile Latin America and emerging markets performance, while investing through a very challenging time period.
Marco will provide more detail on this realization in a moment. But I want to congratulate the team who has worked diligently to deliver value both to the limited partners and now shareholders with this fund. Since the quarter end, we also completed the initial public offering of portfolio company SmartFit, a great example of Patriot's approach to value creation and building market leading businesses through consolidation and geographical expansion. SmartFit is now the largest fitness club operated investments in our outstanding private equity fund V portfolio. This initial public offering is another step towards creating liquidity in this fund and being able to realize gains for our limited partners and performance fees for our shareholders.
To put it simply, Patra is executing on all fronts and these examples are only the highlights. Just scratching the surface of an excellent work our investment teams and portfolio companies are doing. Let me turn the call over to Marco to take you through the detailed results and then I will come back for some final words. Marco, the floor is yours.
Thank you, Alex, and good morning to everyone on the call. Our results for the second quarter reflect continued progress on our FRE growth drivers and an attractive yield for our shareholders. We generated fee related earnings of $17,600,000 in Q2 twenty twenty one, up 19% from $14,900,000 in Q2 twenty twenty, driven by fee revenue growth of 31% over the same period. We have now generated $34,900,000 of fee related earnings on a year to date basis and continue to be very confident in our FRE growth trajectory for the full year 2021. Fee earnings AUM was $8,300,000,000 during Q2 twenty twenty one, up 17% from Q2 twenty twenty.
Remember that for our flagship funds management fees are charged twice per year and our reported fee earnings AUM reflects the basis that is generating management fee in the current reporting quarter. For funds where management fees are charged as capital is deployed or reserved, the Q2 fee earnings AUM will not yet include the impact of deployment in the first half of the year, which will begin to generate management fees in the second half of the year. Therefore, you can expect less movement in fee earnings AUM and management fees from Q1 to Q2, but a more substantial change from Q2 to Q3 as the second half management fees are charged and recognized. Based on the significant flagship fund deployment in the first half of the year, we expect our effective fee earnings AUM for the third quarter to rise substantially to $9,400,000,000 to $9,600,000,000 depending on where some of our country specific strategies land. That should give you a good indication for the uplift in our second half fee revenues.
Our pending fee earnings AUM is expected to move from $2,800,000,000 to about $1,500,000,000 next quarter, given the heavy deployment from private equity fund six. But this amount will be replenished to even higher levels than before as we begin to raise our next generation private equity fund. Total assets under management rose to $15,800,000,000 up approximately $3,000,000,000 or 24% from $12,800,000,000 1 year ago. About $2,200,000,000 of that increase or 17% of the 24% was driven by the appreciation in our underlying investments before accounting for the improvements in the Latin American currencies. Just further highlighting the significant value creation happening in our portfolio.
On that note, net accrued performance fees increased to $325,000,000 up 29% from $253,000,000 last quarter. And that is after accounting for the realization from private equity fund three. The accrual for private equity fund five rose to $244,000,000 and that does not yet account for the successful IPO of Smart Fee, which was completed in July. Also of note, the accrual for infrastructure Fund III rose to $48,000,000 as the fund moved through the 100% catch up phase of the accrual waterfall. The continued strength of the accrual should be a positive sign to shareholders, as it underscores the accumulated value that can contribute to distributable earnings in future periods.
We recognize $56,000,000 of net realized performance fees in Q2 from Private Equity Fund III. As we return full capital and the fund transitions to a liquidation status as we near the fund's termination date. This particular scenario is somewhat unusual, so let me quickly explain what this means and how this impacts the P and L. As we have noted, the remaining assets in this fund consists of shares from one remaining portfolio company, the Brazilian medical diagnostics company, Aliyar, as well as escrows and receivables from prior exits. With the full return of capital and hurdle, we effectively fulfilled our obligations to LPs leaving the remaining fair value of the fund equivalent to our performance fees earned as of June 30.
While the monetization of the underlying assets and escrows will occur in future periods, the performance fee crystallizes as a liability to the fund and as a revenue and an asset to Patria. Given the end of the life cycle status of the fund, we are recognizing as realized performance fees and distributable earnings in Q2. Future amounts received upon monetization may vary from the amount being recognized this quarter and any difference would be recognized throughout distributable earnings at this point in time. Underscoring the active nature of the divestment process for LER, just earlier this week, there was an unsolicited public tender offer by a third party to acquire LER's shares at the price consistent with the June 30 valuation. Putting that all together for the quarter, distributable earnings were $74,000,000 or $0.05 $45 per share.
And as noted, we will pay a dividend of $0.04 $63 per share. Combined with the first quarter dividend, this amounts to a yield of more than 3% just year to date based on our IPO price. Now, let me give some perspective looking forward on how our current momentum is shaping the road ahead. As noted, we expect to begin raising our next generation private equity fund in the second half of the year, along with launching the new renewable energy fund and raising more capital in certain country specific strategies, all of which will have little impact on the 2021, but are positive drivers for the 2022 earnings and beyond. Our net accrued performance fees continue to build and Private Equity Fund V is poised to be the next major driver of realizations.
While the timing is always difficult to predict, we're making key steps toward liquidity. And our expectation for these funds future contribution continue to grow. On the M and A front, while there is nothing to be announced at this time, we continue to be very active in our efforts and pleased with our progress toward putting our IPO capital to work. For fee related earnings, we expect an uplift in the second half of the year as first half deployment drives the effective fee earnings AUM to near the $9,500,000,000 level. With this greater visibility on the second half, we feel confident that fee related earnings will exceed $75,000,000 for the full year 2021 with a margin in the mid 50% range.
Combined with performance earnings generated in Q2, that outcome would already lend us close to the $1 per share of distributable earnings for 2021, which Alex highlighted at the beginning of his remarks. With that, I will turn back over to him for some closing thoughts.
Thank you, Marco. Just to put that outlook in perspective, a distributable earnings outcome near $1 per share would generate a dividend yield of approximately 5% to an investor in our IPO. And that is nearly four times the current dividend yield on the S and P five hundred. When you consider Patria's overall growth opportunity and the growth rates for revenue and fee related earnings that we are already demonstrating, we believe our stock sits at an attractive valuation today. Looking across our industry at the second quarter results, you just have to be impressed with the momentum across the board.
The secular trends driving capital to alternative investments and private markets in particular are strong and we believe Patria is harnessing these trends just the same. While we are nearer to the list of publicly traded names and still introducing ourselves to the market in many ways, we are certainly not new to the business. We have grown our AUM at 18% per annum since 02/2009 and since our inception have raised six fund vintages in private equity and four in infrastructure, with the next generation soon on the way. Even with our established track record, I want to stress that our growth story is still in its early chapter. We believe private capital and alternatives are underpenetrated in Latin America compared to developed markets around the world.
ONPATTRO is better positioned than anyone to meet the rising demand and deliver world class investment expertise in our market. We see a compelling growth and expansion opportunity for our platform in the coming years and we are confident that we have the resources and leadership in place to capitalize. As significant shareholders ourselves, rest assured that we are highly aligned and we look forward to sharing this journey with you. We are now happy to take your questions. Thank you.
Our first question will come from the line of Robert Lee from KBW. You may begin.
Good morning. This is Margo filling in for Rob. Thank you for taking my question. My first question is on performance fees. And where might we expect that performance fees come from next year as well as the outlook for the second half of this year?
I know that PE Fund V is just entering harvest in. Should we expect some of those fees, in 2022 or not until 2023? Any color you might be able to provide on that in pace would be great.
Okay. Margo, thank you very much. This is Alex here, and thanks for also participating in this call. We are very excited with the performance of our private Fund V, as you can see from the presentation here given today. We are able to exit from some companies and going to be able to we were able to IPO a major asset of Fund V, which is the health club chains market.
And I think we believe that we believe that we are building exits in Fund V to start delivering performance fees in 2022, not 2023. So our projections here are for performance fees for private equity fund fund in 2022. Of course, some of that performance fee will be realized in 2022, some in 2023, but they're going to start in our projections to affect positively our distributable earnings in 2022. I hope I answered your question.
Great. Thank you, Alex. If I could ask one on fundraising as well. I know that Infrastructure Fund IV is largely deployed right now. How close are you to fundraising,
Infra five? Well, thank you, Margo, again for the question. I think we are very, very positive in starting our fundraising for
Infrastructure Fund V sometime next year. We did commit to several projects, as you just mentioned. But the way that our infrastructure fund works, we do commit to a project like when we win a concession of a privatization. We then deploy the capital over time.
So we would like to deploy more capital before actually officially start our fundraising. Right now, we are close to 75%, eighty % committed, but approximately 20% deployed because of the mechanics that I just explained. You win a concession and then you're going to build up CapEx, so you deploy capital over the next quarters after you win the concession. So again, we would like to push that number higher than the current 20%, which is exactly what will happen until year end because we won the concessions. Now we're going to have to deploy the CapEx, as I mentioned.
So that puts us in a better position to start fundraising next year as limited partners do look at the also deployment percentage, not only the committed percentage in our funds. However, what we did in the meantime, if you heard Marcos and my comments here during the presentation, we decided then to raise a renewable energy fund this year, which we are having a big a reasonable big success in that fundraising process as investors are looking to more targeted mandates in this space, in the renewable energy space, in the energy transition space. So we're going to focus in raising that fund this year, while we then deploy more capital in our flagship Infrastructure Fund IV and then start raising Infrastructure Fund V next year. I hope I answered your question.
Great. That makes a lot of sense. Thank you. If I could just squeeze one more in on margin. I know that our forecast was light on G and A and it was also up from last quarter.
Were there any onetime items in the quarter? Or is this the right run rate to use going forward?
Yes. I can take that one, Margo, thank you. This is Marco. So FRE margins, you should expect us having around 55% FRE margins for the entire year. There has not been any one off for the quarter.
If you're comparing to the previous year, I just want you to remind you that versus the previous year, is actually a change in compensation structure relative to 2020 that accounts for the dividends that now transition to be part of our personal expenses. But all in all, overall expenses have been very aligned with what we have last year and there's nothing that's really worth an attention here.
Great. Thank you so much for taking my questions. Our
next question comes from the
line of Tito Laboda from Goldman Sachs. You may begin.
Hi, good morning guys. Thank you for the call. Congratulations on the strong results. A couple of questions also. I guess first on the fee related earnings.
I understand as you deployed more capital there, we should get a nice uplift in the second half of the year. Just to think about, I guess, the management fees as a percentage of that fee earning AUM, should we expect sort of a similar ratio as we saw in the first half of the year? Any changes to sort of the fees that you earn on the fee earning AUM that you've deployed just to get a sense on how that should look? And then second question also on the performance fees. Just to clarify, so realized performance fees this quarter, it sounded like mostly from OLER, but with the tender offer from Redditors, I mean, is there more that you can potentially realize this year?
Just want to clarify in terms of second half of the year, any performance fees that we might be able to expect? Thank you.
Hi, Tito. This is Marco again. So on the management fee, what I would encourage you to pay attention to is on the expected fee earnings AUM for the second half of the year. If you look at the presentation that we shared with you earlier today on Page 13, what we show is that we have a 9.4% to 9.6% fee earnings AUM and that should be the driver for the management fee for the second half of the year, which is a substantial increase versus the first half of the year or actually the second Q for 2021, which was 8.3%. So those dynamics will be driving most of the fee of the management fee for the second half of the year.
And relative to the performance fee, as Alex indicated before, the next fund to be generating performance fee for us would be mostly Private Equity Fund V, which I note that there has been a substantial increase in net accrual from last quarter when we had $182,000,000 and now posing $244,000,000 so 34% increase and that's the result of the massive appreciation of the portfolio. But besides that, it's interesting to note that there has been also substantial increase coming from Infrastructure Fund III. When we last quarter, we had R9 billion dollars and this quarter, we are presenting EUR 48,000,000 and this quarter EUR 48,000,000. And also on private equity fund six that came all the way from EUR 15,000,000 to 31,000,000. So private equity fund five has, Alex indicated, completed an IPO of SmartFeed.
We have divested from another company. So there's been a very good traction in terms of activities and with different possibilities within the fund. This is a fund that has nine companies now. And when I look through the assets of this fund, I see multiple possibilities. We don't think that we're going to realize performance fees from Fund V this year.
So it's mostly concentrated next year. So that means that there's a greater amount, but slightly delayed to the next year.
Thanks, Marco. That's helpful. That's clear. Just one follow-up on the fee earning AUM. Yes, I understand the pickup in the second half of the year.
I guess the question was more related to like the management fee, say 1.6% annualized this quarter. Should we expect that percentage to remain similar in the second half of the year? So right as you have the 9.4% to 9.6%, a management fee around 1.6% is a reasonable number to expect as well?
Hey, Rob, this is Josh. Just one thing to add there to think about is, on the infrastructure fund, the fee rate is actually a blend, where a portion of the fee is charged on commitments and a portion of the fee is charged on deployment. So you will get some increase in the effective rate for that fund as it deploys capital. But generally, it's going to be close to the rate you've seen over the past few quarters. But that's one additional thing to consider that could cause it to bump up just a bit.
Okay. That's great.
Thanks. But all in all, you shouldn't expect any relevant change in the pattern of the management fees.
Got you. Okay, great. Thanks, Josh. Thanks, Marco.
Our next question will come from the line of Riccardo Buczcua from BPG Pactual. You may begin.
Good morning, everyone, and congrats on the results. First, I wanted to understand a little bit better. You explained a little bit in our presentation on the realization of the Fund III in terms of PPR performance figure that know is right. So I understand, correct me if I'm wrong. You still have the IR and some receivables in this firm.
But basically, you expect this monetization to expect in the future and it was already committed from the LPs, right? I just wanted to understand what is the difference from that to the accretive performance fee in the balance sheet? And also for my second question, I wanted to understand a little bit better. Then one of the as far as I understand, one of the goals that you had in your IPO was to search for some M and A opportunities to add to the franchise and particularly outside Brazil. So I want to know if you have any update on that and if there is any ongoing negotiations and what kind of assets would make sense for us to expect for this year or perhaps the following years?
Thank you.
Thank you. Maybe I can help you on the first question here. And thanks for your question and nice to talk to you. This is Alex again here. Our funds we went was is going into a liquidation mode, as we call it here, in our industry, which means that as of June thirty of this year, we did give back, distribute to investors all of the principal invested, the hurdle and the costs of the fund.
From that moment on, that was June of this year, from that moment on, as this fund has a full catch up, so all of the money that comes into the fund and is distributed now up to $86,000,000 in this case for Private Equity Fund III goes to the general partner, goes to Patria. So it's 100% of full catch up terms in the sum. After that, we distribute the money on an eightytwenty basis, okay? In addition to this full distribution mode, which is different than the other funds, the other funds are still being invested, so we are accruing the performances. We were working very actively to sell the main asset of the fund, which is the shares of Aliyar, the medical diagnostics company traded in our Brazilian Stock Exchange.
As you can see that this has been a very active divestment process from the tender offer that was made public early this week to buy from a third party to buy IER shares at a price per share, very much aligned with the price per share that we accounted for the performance fees in '30 this year. So we expect to see realizations coming from ADR shares. And then the remaining of the assets of this fund is already given because it's basically receivables, earn outs from prior exits from sales of companies that were in Private Equity Fund III. So that has already been signed, fully committed. It's just a question of receiving that money, which will probably come in the first quarter of twenty twenty two.
So with that very concrete moment of this fund of liquidation mode, as we explained during the call, we then accounted for these fees in our second quarter results. The other unrealized performance fees that you mentioned, they are not in that same stage on a fund by fund basis. We were talking about, for example, Private Fund V during the call here today in our Q and A session. We're building that unrealized performances. But for example, in Private Equity Fund four or Fund five, we have not returned the capital yet.
So we have to sell companies, then we have to return the capital, then we have to return the hurdle and costs and then we start then charging performances. Because of that very different nature and moments that one fund stands versus the other, that's why we then accounted for these realized performances in addition to the clear view that we have in actually realizing resources from the sale of the IR shares. Then your second question on the M and A front, and Marco also can help me here as he heads this effort. We're very, very active, and we are looking to expand our product offering and our geographic footprint. We don't have anything to announce at this moment, but we're extremely active in those two fronts.
Product offering, meaning not only products in the Brazil centric strategy for the Brazil centric strategies, but also products that will also have a Latin American exposure. And of course, on the geographic footprint expansion, it's not only Brazil, but ex Brazil, of course, outside of Brazil. Anything to comment there, Marco?
Yes. I would just add that what you should expect is consistency with what we have announced during the IPO and what we're looking for bringing into Patria with our acquisition program, which would be geographical competencies, distribution channels and new products. So as Alex indicated, we've been actively working on this. We've been active in signing MOUs and working through negotiations, but there is nothing to be announced at this stage.
Thank you. Very clear.
And our next question will come from the line
of Domingos Flavarina from
JPMorgan. You may begin.
Thank you. Good morning, guys. And thank you, Alicia, for the very thorough question. Actually, I was going ask the $86,000,000 sort of the cap on the performance and if delivered above that. So let me add to the answer, another question or two.
The performance you booked now on the liquidation of the fund, I'm super clear. It came, I mean, very close to a tender offer being done for the assets. So my question here is, is there any discussions on any potential premium for the control? Have you guys coordinated a little bit this divestments? So is contemplated in this performance recognition as well.
Now you're seeing this standard. And the second one is we're obviously seeing a rise in interest rates in Brazil, right? And I asset prices come down, which is better for acquisition, but it might I'm guessing it might change a little bit your perception on sectors, which might become more or less compelling as you unwind your next role of investment strategy. So my question is on that, basically this changing environment in Brazil, what makes your the sectors more compelling and the sectors less compelling?
Thank you very much, Benito. Nice to talk to you again. We are we continue to be very excited with the sectors that are the core focus of Patria. And even as we move along into the year and we see what's going on with our country and other countries in Latin America, economically and politically, health care continues to be a very, very area a very important area of focus for us. And I think with the pandemic, that even more so stressed, of the countries have to invest more in health care.
And this very exciting strategy that we are looking in Brazil and outside of Brazil in this sector, in this industry. Also, I think on infrastructure side, we have been very active on the logistics front, as you probably know. Several governments around the region are diversifying from public assets, mainly an area of focus for us, which is logistics is a main area of focus for us. And we are now the third largest toll operator in Latin America. We just won two concessions actually, one concession, and we did acquire another asset in Colombia.
So logistics is a it's a major area of focus for us. And I think going forward, as you mentioned, with the rising interest rates, you know that these logistics assets are the toll roads fees and some also logistics some assets in the energy sectors, the revenues are linked to inflation. So that also gives us a very interesting natural hedge in our investments in these two sectors. So going back to private equity, I think we're also extremely and continue to be very excited with logistics on the private equity side. We have been investing in coal logistics, for example, around the region, which is a major issue of cost increases because we see energy prices going up.
Core logistics is very dependent on the price of energy. So we can again, I think we haven't changed our focus. And I think as we see these countries progressing, coming back very strongly from the pandemia, Now all of the most of the countries in Latin America are now reviewing their GDP growth up for 2021, including Brazil from what we expected in the beginning of this year. So again, it's an exciting moment to be investing in Latin America, to be honest, with a lot of gaps and not a lot of capital chasing the deals, which puts us in a very privileged position, to be honest. I would say even more so on the infrastructure side, in which there's no less competition from for us, Patri.
So I hope I answered your question,
You did very clear the NIM factors. Thank you. And congrats on finishing the cycle on P3.
Yes. Thank you very much. And it was it's a 02/2007 vintage fund, and I really would like to praise the team for an amazing effort. Two thousand and seven vintage funds, they faced a tough moment, which was the February, as you know. And we managed to deliver a top quartile fund in not only in Latin America, but in the emerging markets ranking.
So extremely proud and 2x net in U. S. Dollars for our investors, which is something that makes us very, very proud given the vintage of the sun. Thank you.
Thank you. I see no further questions in the queue. I'd like to turn the call back over to Alex for any closing remarks.
Well, thank you very much for your patience and participating in our call. As we mentioned here, we're extremely excited with our results. We are now at $0.67 of earnings per share here for the year to date, which puts us in a very, very good position here to deliver what we mentioned here in several different occasions during this call, dollars 1 per share for 2021, which represents approximately 5% of dividend yields to our investors in our IPO. So extremely proud of the results. And as we move forward into the year, actually, we're more and more looking into 2022, given our business, which is very predictable, very reliable revenue sources, as you guys know, the dynamics of the industry.
So our second half of the year, as far as fee earnings fee related earnings is basically there, not because we charge fees in the beginning of the semester, which now was a couple of weeks ago. We look into I and I look into 2022. I'm very excited. We're anticipating the fundraising for private equity fund fund seven, raising a renewable energy fund, anticipating for next year our fundraising for Infrastructure Fund five. Our Brazilian centric strategy is doing extremely well and raising capital above our expectations.
So that puts us in a good position to finish the year at $1 per share of distributable earnings and look into 2022 with an optimistic view. So thanks again, and I hope all of you and your families are well and safe, and have a good day. Thank you.
This concludes today's conference call. Thank you for participating. You may now disconnect.