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|                                       |
|---------------------------------------|
|                                       |
| Investor Contact:                     |
| Tom Line-Chief Financial Officer      |
| 614-255-5989 (tline@diamond-hill.com) |

|                                                         |
|---------------------------------------------------------|
|                                                         |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                    | Three Months Ended  December 31, |   |   |   | Year EndedDecember 31, |   |   |
|                                                    | 2016 |   | 2015 |   | % Change |   | 2016 |   | 2015 |   | % Change |
| Revenues:                                               |   |   |   |   |   |   |  |   |   |   |   |
|     Investment advisory(a)          | $ | 36,893 |  |   | $ | 28,021 |  |   | 32% |   | $ | 121,645 |  |   | $ | 107,916 |  |   | 13% |
|     Mutual fund administration, net | 3,146 |  |   | 4,281 |  |   | (27)% |   | 14,458 |  |   | 16,510 |  |   | (12)% |
|     Total revenue                   | 40,039 |  |   | 32,302 |  |   | 24% |   | 136,103 |  |   | 124,426 |  |   | 9% |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |
| Operating expenses                                      | 20,512 |  |   | 15,039 |  |   | 36% |   | 73,034 |  |   | 65,706 |  |   | 11% |
| Net operating income                                    | 19,527 |  |   | 17,263 |  |   | 13% |   | 63,069 |  |   | 58,720 |  |   | 7% |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |
| Investment income (loss)                                | 2,522 |  |   | 973 |  |   |   |   | 7,517 |  |   | (737 | ) |   |   |
| Gain on sale of subsidiary                              | — |  |   | — |  |   |   |   | 2,676 |  |   | — |  |   |   |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |
| Income before taxes                                     | 22,049 |  |   | 18,236 |  |   | 21% |   | 73,262 |  |   | 57,983 |  |   | 26% |
| Net income attributable to common shareholders          | $ | 13,645 |  |   | $ | 11,655 |  |   | 17% |   | $ | 46,052 |  |   | $ | 37,074 |  |   | 24% |
|                                                    |   |   |   |   |   |   |   |   |   |   |   |
| Earnings per share - diluted                            | $ | 3.99 |  |   | $ | 3.43 |  |   | 16% |   | $ | 13.49 |  |   | $ | 11.03 |  |   | 22% |
| Operating profit margin                                 | 49 | % |   | 53 | % |   |   |   | 46 | % |   | 47 | % |   |   |

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|                                                                   |
|-------------------------------------------------------------------|
|                                                                   |  |  |  |  |  |  |  |
|                                                              | December 31, |
|                                                              | 2016 |   | 2015 |
| Assets                                                            |   |   |   |
|     Cash equivalents and investment portfolio | $ | 165,206 |  |   | $ | 109,966 |  |
|     Accounts receivable                       | 18,605 |  |   | 18,579 |  |
|     Deferred taxes                            | 8,737 |  |   | 9,206 |  |
|     Other assets                              | 7,170 |  |   | 7,436 |  |
|     Total assets                              | $ | 199,718 |  |   | $ | 145,187 |  |
|                                                              |   |   |   |
| Liabilities                                                       | 46,653 |  |   | 39,873 |  |
|                                                              |   |   |   |
| Redeemable noncontrolling interest                                | 13,841 |  |   | — |  |
|                                                              |   |   |   |
| Total shareholders' equity                                        | 139,224 |  |   | 105,314 |  |
|                                                              |   |   |   |
| Total liabilities and shareholders' equity                        | $ | 199,718 |  |   | $ | 145,187 |  |
|                                                              |   |   |   |
| Book value per share                                              | $ | 40.81 |  |   | $ | 30.84 |  |
| Outstanding shares                                                | 3,412 |  |   | 3,414 |  |

|                                                   |
|---------------------------------------------------|
|                                                   |  |  |  |  |  |  |  |
|                                              | Change in Assets Under Management |
|                                              | For the Year Ended December 31, |
| (in millions)                                     | 2016 |   | 2015 |
| AUM at beginning of the year                      | $ | 16,841 |  |   | $ | 15,656 |  |
| Net cash inflows (outflows)                       |   |   |   |
|     proprietary funds         | 548 |  |   | 1,916 |  |
|     sub-advised funds         | 639 |  |   | (6 | ) |
|     institutional accounts    | (1,023 | ) |   | (443 | ) |
|                                              | 164 |  |   | 1,467 |  |
| Net market appreciation (depreciation) and income | 2,376 |  |   | (282 | ) |
| Increase during the year                          | 2,540 |  |   | 1,185 |  |
| AUM at end of the year                            | $ | 19,381 |  |   | $ | 16,841 |  |

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|                                                                                  |
|----------------------------------------------------------------------------------|
|                                                                                  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                             |  Year Ended December 31, |
|  (in thousands, except per share data)                                      | 2016 |   | 2015 |   | 2014 |
| Total revenue                                                                    | $ | 136,103 |  |   | $ | 124,426 |  |   | $ | 104,559 |  |
|                                                                             |   |   |   |   |   |
| Net operating income, GAAP basis                                                 | $ | 63,069 |  |   | $ | 58,720 |  |   | $ | 47,460 |  |
| Non-GAAP adjustments:                                                            |   |   |   |   |   |
| Gains (losses) on deferred compensation plan investments, net(1)                 | 1,837 |  |   | (234 | ) |   | 533 |  |
| Net operating income, as adjusted, non-GAAP basis(2)                             | 64,906 |  |   | 58,486 |  |   | 47,993 |  |
| Non-GAAP Adjustment:                                                             |   |   |   |   |   |
| Tax provision on net operating income, as adjusted, non-GAAP basis(3)            | (23,626 | ) |   | (21,090 | ) |   | (17,900 | ) |
| Net operating income, as adjusted, after tax, non-GAAP basis(4)                  | $ | 41,280 |  |   | $ | 37,396 |  |   | $ | 30,093 |  |
|                                                                             |   |   |   |   |   |
| Net operating income, as adjusted after tax per diluted share, non-GAAP basis(5) | $ | 12.09 |  |   | $ | 11.13 |  |   | $ | 9.21 |  |
| Diluted weighted average shares outstanding, GAAP basis                          | 3,413 |  |   | 3,360 |  |   | 3,266 |  |
|                                                                             |   |   |   |   |   |
| Operating profit margin, GAAP basis                                              | 46 | % |   | 47 | % |   | 45 | % |
| Operating profit margin, as adjusted, non-GAAP basis(6)                          | 48 | % |   | 47 | % |   | 46 | % |

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