Abacus Global Management Q2 FY26 earnings call ABX

Abacus aims to revolutionize asset management by leveraging personalized longevity data to inform financial planning, addressing the $124 trillion generational wealth transfer. The company positions itself as the 'intelligence layer' for lifespan-linked finance, with its origination platform serving as the 'commerce engine' and LifeARC as its 'AWS,' enabling advisors to build portfolios around real lifespans rather than generic averages.

LifeARC, a proprietary platform that translates individual medical, genetic, and biometric data into personalized lifespan models, is gaining significant traction. It is being rolled out across Manning & Napier's adviser network and has generated substantial direct outreach from other large RIA firms. The envisioned revenue model for LifeARC is a recurring revenue share, with negotiations underway with potential partners.

The company achieved strong inflows into its longevity funds, raising $544.2 million in H1 2026, surpassing its $500 million target. A key milestone was the launch of the ABX Longevity Growth and Income Fund (ABXGX), the first SEC-effective registered interval fund dedicated to this asset class, which significantly expands access for individual investors and institutions seeking uncorrelated yielding products.

Abacus deployed $197.9 million of capital in Q2, marking a 62% year-over-year increase, driven by robust origination volume and strong investor appetite. The platform reviewed over 50,000 policies year-to-date, utilizing AI to enhance lead generation and review efficiency. The average realized gain on policy sales stood at 25%, comfortably above the long-term target of 20%.

The operational integration with Manning & Napier, initiated in May, has established a live referral channel, converting unqualified leads into wealth management clients and identifying qualified policies for settlement within their existing client base. The rollout of LifeARC across Manning & Napier's adviser network is demonstrating early proof points for a replicable playbook, with success seen in managing multimillion-dollar accounts.

Abacus is building an immutable on-chain record for life insurance policies, encompassing chain of title, liens, and cash flow rights. This initiative aims to enhance transparency, transferability, and investability in the secondary life insurance market, building on the strength of the company's origination platform and contributing to the growth of recurring fee-based revenue.

The balance sheet demonstrated efficiency with an annualized portfolio turnover of 2x, at the top end of the target range. Policies sold during the quarter were held for an average of 230 days, indicating efficient capital recycling. Management emphasized the uncorrelated nature of their assets, tied to mortality rather than economic cycles, which differentiates them from private credit markets and validates their fair value marks through realized transactions.