Company: APO
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001858681-25-000117
Chunk: 340

Company: Apollo Global Management, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Item 8
Chunk 340
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 Index increasing by 12.3%, following an increase of 6.4% in the first quarter of 2025.

Conditions in the credit markets also have a significant impact on our business. Credit markets were positive in the second quarter of 2025, with the BofAML HY Master II Index increasing by 3.6%, while the Morningstar/LSTA Leveraged Loan Index increased by 2.8%.

In terms of economic conditions in the U.S., the Bureau of Economic Analysis reported real GDP increased at an annual rate of 3.0% in the second quarter of 2025, following a decrease of 0.5% in the first quarter of 2025. As of July 2025, the International Monetary Fund estimated the U.S. economy will expand by 1.9% in 2025 and 2.0% in 2026. The U.S. Bureau of Labor Statistics reported the U.S. unemployment rate decreased to 4.1% as of June 30, 2025.

Foreign exchange rates can materially impact the valuations of our investments and those of the funds we manage that are denominated in currencies other than the U.S. dollar. The U.S. dollar weakened in the second quarter of 2025 compared to the euro and the British pound. Relative to the U.S. dollar, the euro appreciated 9.0% during the second quarter of 2025, after appreciating 4.5% in the first quarter of 2025, while the British pound appreciated 6.3% during the second quarter of 2025, after appreciating 3.2% in the first quarter of 2025. Oil finished the second quarter of 2025 down 8.9% from the first quarter of 2025.

We are actively monitoring the developments in Ukraine resulting from the Russia/Ukraine conflict and the economic sanctions and restrictions imposed against Russia, Belarus, and certain Russian and Belarussian entities and individuals. The Company continues to (i) identify and assess any exposure to designated persons or entities across the Company’s business; (ii) ensure existing surveillance and controls are calibrated to the evolving sanctions; and (iii) ensure appropriate levels of communication across the Company, and with other relevant market participants, as appropriate.

As of June 30, 2025, the funds we manage have no investments that would cause Apollo or any Apollo managed fund to be in violation of current international sanctions, and we believe the direct exposure