GOODWILL AND INTANGIBLE ASSETS.
Goodwill and intangible assets consist of the following at December 31:
| | | | | | | | | | | |
| |
| (in millions) | 2025 | | 2024 |
| Goodwill | $ | 2,642.8 | | | $ | 2,642.8 | |
| Indefinite-lived intangible assets - trade name | 86.0 | | | 86.0 | |
| Indefinite-lived intangible assets - investment advisory agreements | 62.3 | | | 65.6 | |
| Definite-lived intangible assets - investment advisory agreements | 125.9 | | | 216.5 | |
| Total | $ | 2,917.0 | | | $ | 3,010.9 | |
We evaluate the carrying amount of goodwill in our consolidated balance sheets for possible impairment on an annual basis in the fourth quarter using a fair value approach. We did not record any impairment charges for goodwill for the years ended December 31, 2025, 2024, or 2023.
We recognized impairments of indefinite-lived intangibles of $3.3 million in 2025, $31.1 million in 2024, and no impairments in 2023. The $3.3 million impairment in 2025 was attributable to investment advisory agreements while the $31.1 million impairment in 2024 was attributable to the trade name. The impairments in 2025 and 2024 were the result of reduced growth expectations for both management and incentive fees.
Definite-lived investment advisory agreement intangible assets consisted of the following at December 31 :
| | | | | | | | | | | | | | |
| (in millions) | | 2025 | | 2024 |
| Gross carrying amount | | $ | 613.9 | | | $ | 613.9 | |
| Accumulated amortization & impairments | | (488.0) | | | (397.4) | |
| Net carrying amount | | $ | 125.9 | | | $ | 216.5 | |
| | | | |
| Remaining weighted-average estimated useful life in years | | 2.8 | | 3.7 |
Amortization and impairment expense for the definite-lived investment advisory agreement intangible assets was $90.6 million in 2025, $108.1 million in 2024, and $122.5 million in 2023, respectively. We recognized insignificant impairments of definite-lived intangibles in 2025, 2024, and 2023. Estimated amortization expense for the definite-lived investment advisory agreements intangible assets for the remaining years is as follows:
| | | | | |
| (in millions) | 2025 |
| 2026 | $ | 54.6 | |
| 2027 | 39.1 | |
| 2028 | 11.8 | |
| 2029 | 8.8 | |
| 2030 and after | 11.6 | |
| $ | 125.9 | |
About Goodwill & Intangibles Disclosures
Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.
Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.