William Blair Growth Fund on Carlyle Group

Carlyle is an alternative asset manager spanning corporate private equity, real assets and credit. Shares fell on redemption concerns and a mixed earnings report, with fee-related earnings and performance-related revenues below expectations while capital raising remained strong. The fund maintained the position and expects capital raising to remain relatively stable over an intermediate horizon, with faster growth in credit, secondaries, co-investments and other non-corporate-private-equity areas. It considers investor concerns about private equity and performance-related earnings cyclical rather than structural, leaving the long-term risk/reward compelling.