10-K – 2026-02-17 – tpg-20251231.htm

Capital Interests. Capital interests income increased $123.2 million for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily attributable to gains from our investments in TPG IX and Asia VII, partially offset by losses from our investments in TPG VII and TPG VIII during the year ended December 31, 2025. During the year ended December 31, 2024, we recognized gains on our investments in TPG VII, TPG IX and TRTX, offset by losses from our investment in Asia VII.
Expenses
Cash-Based Compensation and Benefits. Cash-based compensation and benefits expense increased $59.1 million, or 7%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily driven by higher salaries and benefits resulting from an overall increase in headcount.
Equity-Based Compensation. Equity-based compensation expense decreased $192.6 million, or 19%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily attributable to the reversal of previously recognized equity-based compensation related to liability-classified performance awards that are no longer probable of vesting, partially offset by an increase in compensatory RSU grants to certain TPG Peppertree partners, as described in Note 18 to the Consolidated Financial Statements.
Performance Allocation Compensation. Performance allocation compensation increased $497.4 million, or 53%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily attributable to the increase in performance allocations that drives compensation attributable to our partners and professionals.
General, Administrative and Other. General and administrative expenses increased $118.4 million, or 20%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily driven by an increase in rent expense due to the commencement of a new office lease in 2025, along with increases in reimbursable expenses from TPG funds and professional fees.
Depreciation and Amortization. Depreciation and amortization increased $9.2 million for the year ended December 31, 2025 compared to the year ended December 31, 2024 primarily due to the amortization of intangible assets resulting from the acquisition of Peppertree in July 2025.
Interest Expense. Interest expense increased $24.6 million, or 28%, for the year ended December 31, 2025 compared to the year ended December 31, 2024 primarily attributable to higher average debt outstanding throughout the year.
Net Losses from Investment Activities. Net losses from investment activities totaled $2.8 million for the year ended December 31, 2025 compared to net losses of $29.3 million for the year ended December 31, 2024. This change was primarily attributable to a net loss from our investment in Nerdy Inc. during the year ended December 31, 2024.
Interest, Dividends and Other. Interest, dividends and other increased $10.9 million, or 13%, for the year ended December 31, 2025 compared to the year ended December 31, 2024, primarily driven by a change in the fair value of contingent liabilities related to acquisitions.
Income Tax Expense. Income tax expense increased by $14.9 million, or 29%, for the year ended December 31, 2025 compared to the year ended December 31, 2024 primarily due to an increase in income attributable to TPG Inc. partially offset by benefits recognized in connection with equity based compensation as well as a state tax income tax benefit in connection with the remeasurement of deferred tax assets due to a change in the Company’s state effective tax rate.
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Unaudited Consolidated Statements of Financial Condition (U.S. GAAP basis)

December 31, 2025 December 31, 2024

($ in thousands)
Assets
Cash and cash equivalents $ 826,105  $ 808,017 
Investments 9,211,816  7,503,281 
Due from affiliates 573,590  447,012 
Intangible assets and goodwill 1,158,027  969,786 
Right-of-use assets 552,254  208,501 
Deferred tax assets 860,676  352,951 
Other assets 310,467  245,561 
Total assets $ 13,492,935  $ 10,535,109 

Liabilities and Equity
Debt obligations $ 1,722,547  $ 1,281,984 
Due to affiliates 694,632  465,137 
Accrued performance allocation compensation 5,399,750  4,376,523 
Operating lease liabilities 604,593  223,131 

Other liabilities 935,038  596,345 
Total liabilities 9,356,560  6,943,120 

Equity
Class A common stock $0.001 par value, 2,340,000,000 shares authorized (153,113,961 and 109,211,355 shares issued and outstanding as of December 31, 2025 and December 31, 2024, respectively) 153  109 
Class B common stock $0.001 par value, 750,000,000 shares authorized (224,331,812 and 255,756,502 shares issued and outstanding as of December 31, 2025 and December 31, 2024, respectively) 224  256 
Preferred stock, $0.001 par value, 25,000,000 shares authorized (0 issued and outstanding as of December 31, 2025 and December 31, 2024) —  — 
Additional paid-in-capital 1,476,444  970,719 
Accumulated deficit (291,604) (186,983)

Non-controlling interests 2,951,158  2,807,888 
Total equity 4,136,375  3,591,989 
Total liabilities and equity $ 13,492,935  $ 10,535,109 

Investments increased $1,708.5 million during the year ended December 31, 2025 primarily due to net capital allocation-based income of $2,246.1 million, purchases of $1,122.8 million and $561.9 million related to the acquisition of Peppertree, which we completed in July 2025, which were partially offset by proceeds of $2,296.9 million.
Intangible assets and goodwill increased $188.2 million during the year ended December 31, 2025 primarily due to the acquisition of Peppertree in July 2025.
Right-of-use assets and operating lease liabilities increased $343.8 million and $381.5 million, respectively, for the year ended December 31, 2025 primarily due to the commencement of a new office lease in 2025.
Deferred tax assets, net of valuation allowance, increased $507.7 million during the year ended December 31, 2025 primarily due to additional deferred tax assets arising from exchanges of TPG Operating Group Common Units for Class A common stock during the year ended December 31, 2025.
Debt obligations increased $440.6 million during the year ended December 31, 2025 primarily due to the issuance of the 2036 Senior Notes.
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Due to affiliates increased $229.5 million during the year ended December 31, 2025 primarily due to additional payments expected to be made in future years of $189.9 million in connection with certain exchanges of Common Units for Class A common stock subject to our Tax Receivable Agreement.
Accrued performance allocation compensation increased $1,023.2 million for the year ended December 31, 2025, primarily attributable to performance fee compensation expense of $1,427.5 million, and a $403.1 million increase in liability related to the acquisition of Peppertree in July 2025, partially offset by settlements of performance allocation compensation of $803.6 million during the year ended December 31, 2025.
Other liabilities increased $338.7 million during the year ended December 31, 2025 primarily due to $286.1 million in expected payments to be made in future years to non-affiliates in connection with certain exchanges of Common Units for Class A common stock subject to our Tax Receivable Agreement.

Non-GAAP Financial Measures
Distributable Earnings. Distributable Earnings (“DE”) is used to assess performance and amounts potentially available for distributions to partners. DE is derived from and reconciled to, but not equivalent to, its most directly comparable U.S. GAAP measure of net income. DE differs from U.S. GAAP net income computed in accordance with U.S. GAAP in that it does not include (i) unrealized performance allocations and related compensation expense, (ii) unrealized investment income, (iii) equity-based compensation expense, (iv) amortization, (v) net income (loss) attributable to non-controlling interests in consolidated entities, or (vi) certain other items, such as contingent reserves.
While we believe that the inclusion or exclusion of the aforementioned U.S. GAAP income statement items provides investors with a meaningful indication of our core operating performance, the use of DE without consideration of the related U.S. GAAP measures is not adequate due to the adjustments described herein. This measure supplements U.S. GAAP net income and should be considered in addition to and not in lieu of the results of operations presented in accordance with U.S. GAAP discussed further under “—Key Components of our Results of Operations—Results of Operations” prepared in accordance with U.S. GAAP.
After-Tax Distributable Earnings . After-tax Distributable Earnings (“After-tax DE”) is a non-GAAP performance measure of our distributable earnings after reflecting the impact of income taxes. We use it to assess how income tax expense affects amounts available to be distributed to our Class A common stockholders and Common Unit holders. After-tax DE differs from U.S. GAAP net income computed in accordance with U.S. GAAP in that it does not include the items described in the definition of DE herein; however, unlike DE, it does reflect the impact of income taxes. Income taxes, for purposes of determining After-tax DE, represent the total U.S. GAAP income tax expense adjusted to include only the current tax expense (benefit) calculated on U.S. GAAP net income before income tax and includes the current payable under our Tax Receivable Agreement, which is recorded within due to affiliates and other liabilities in our Consolidated Statements of Financial Condition. Further, the current tax expense (benefit) utilized when determining After-tax DE reflects the benefit of deductions available to the Company on certain expense items that are excluded from the underlying calculation of DE, such as equity-based compensation charges. We believe that including the amount currently payable under the Tax Receivable Agreement and utilizing the current income tax expense (benefit), as described above, when determining After-tax DE is meaningful as it increases comparability between periods and more accurately reflects earnings that are available for distribution to shareholders.
We believe that while the inclusion or exclusion of the aforementioned U.S. GAAP income statement items provides investors with a meaningful indication of our core operating performance, the use of After-tax DE without consideration of the related U.S. GAAP measures is not adequate due to the adjustments described herein. This measure supplements U.S. GAAP net income and should be considered in addition to and not in lieu of the results of operations presented in accordance with U.S. GAAP discussed further under “—Key Components of our Results of Operations—Results of Operations.”
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Fee-Related Earnings . Fee-Related Earnings (“FRE”) is a supplemental performance measure and is used to evaluate our business and make resource deployment and other operational decisions. FRE differs from net income computed in accordance with U.S. GAAP in that it adjusts for the items included in the calculation of DE and also adjusts to exclude (i) realized performance allocations and related compensation expense, (ii) realized investment income from investments and financial instruments, (iii) net interest (interest expense less interest income), (iv) depreciation, and (v) certain non-core income and expenses. We use FRE to measure the ability of our business to cover compensation and operating expenses from fee revenues other than capital allocation-based income. The use of FRE without consideration of the related U.S. GAAP measures is not adequate due to the adjustments described herein.
Fee-Related Revenues . Fee-related revenues (“FRR”) is a component of FRE. Fee-related revenues is comprised of (i) management fees, (ii) fee-related performance revenues, (iii) transaction, monitoring and other fees, net, and (iv) other income. Fee-related performance revenues refers to incentive fees from perpetual capital vehicles that are: (i) measured and expected to be received on a recurring basis and (ii) not dependent on realization events from the underlying investments. Fee-related revenues differs from revenue computed in accordance with U.S. GAAP in that it excludes certain reimbursement expense arrangements. Refer to “—Reconciliation to U.S. GAAP Measures” to the comparable line items on the Consolidated Statements of Operations.
Fee-Related Expenses . Fee-related expenses is a component of FRE. Fee-related expenses differs from expenses computed in accordance with U.S. GAAP in that it is net of certain reimbursement arrangements and does not include performance allocation compensation. Fee-related expenses is used in management’s review of the business. Refer to “—Reconciliation to U.S. GAAP Measures” to the comparable line items on the Consolidated Statements of Operations.
Fee-related revenues and fee-related expenses are presented separately in our calculation of non-GAAP measures in order to better illustrate the profitability of our FRE. The use of fee-related revenues and FRE without consideration of the related U.S. GAAP measures is not adequate due to the adjustments described herein.
Our calculations of DE, FRE, fee-related revenues and fee-related expenses may differ from the calculations of other investment managers. As a result, these measures may not be comparable to similar measures presented by other investment managers.

The following table sets forth our total FRE and DE for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)

Management fees $ 1,800,061  $ 1,625,710 
Fee-related performance revenues 49,287  33,032 
Transaction, monitoring and other fees, net 249,348  147,644 
Other income 10,559  25,071 
Fee-Related Revenues 2,109,255  1,831,457 

Cash-based compensation and benefits, net 743,565  689,001 
Fee-related performance compensation 24,644  16,516 
Operating expenses, net 388,474  361,712 
Fee-Related Expenses 1,156,683  1,067,229 
Fee-Related Earnings 952,572  764,228 
Realized performance allocations, net 204,710  194,582 
Realized investment income and other, net (20,660) (7,703)
Depreciation expense (20,355) (20,387)
Interest expense, net (74,158) (36,109)
Distributable Earnings 1,042,109  894,611 
Income taxes (68,620) (57,336)
After-Tax Distributable Earnings $ 973,489  $ 837,275 

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Year Ended December 31, 2025 Compared to Year Ended December 31, 2024
Fee-Related Revenues
Fee-related revenues increased $277.8 million, or 15%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. The increase was primarily due to additional management fees of $174.4 million and an increase in transaction, monitoring and other fees, net of $101.7 million, partially offset by a decrease in other income of $14.5 million.

Management Fees
The following table presents management fees in our platforms for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Capital $ 500,676  $ 514,494 
Growth 232,891  167,387 
Impact 276,538  198,824 
Credit 341,772  311,033 
Real Estate 350,077  350,647 
Market Solutions 98,107  83,325 
Total Management Fees $ 1,800,061  $ 1,625,710 

The $174.4 million increase in management fees during the year ended December 31, 2025 compared to the year ended December 31, 2024 is attributable to:
• a decrease of $13.8 million from our Capital platform primarily due to catch-up fees from Asia VIII earned during the year ended December 31, 2024, a reduction in the fee basis of TPG VII and TPG VIII resulting from the realization of portfolio investments, a step-down in fee basis of TPG IX from committed capital to invested capital in the fourth quarter of 2025, and Asia VI which ceased paying management fees in 2024, partially offset by fees earned from TPG X, which was activated during the third quarter of 2025;
• an increase of $65.5 million from our Growth platform primarily due to new capital raised for Growth VI during the last twelve months, resulting in a larger fee-earning commitment base;
• an increase of $77.7 million from our Impact platform primarily due to fees earned from Rise Climate II, Rise Climate Global South and Rise Climate TI, which were activated during the third quarter of 2024, partially offset by a step-down in fee basis of Rise Climate I from committed capital to actively invested capital during the fourth quarter of 2024;
• an increase of $30.7 million from our Credit platform primarily due to a higher fee basis from deployment of capital in MMDL V and MMDL Evergreen as well as Credit Solutions III, which was activated during the third quarter of 2024. These were partially offset by a decrease in fees from MMDL III as a result of lower fee earning AUM;
• a decrease of $0.6 million from our Real Estate platform primarily due to Realty IX which ceased paying fees beginning in the second quarter of 2025, partially offset by catch-up fees earned from Europe Realty IV; and
• an increase of $14.8 million from our Market Solutions platform primarily due to additional management fees from Peppertree IX and Peppertree X which were acquired in July 2025, partially offset by catch-up fees earned from TGS I recognized during the year ended December 31, 2024.
Catch-up fees totaled $54.7 million during the year ended December 31, 2025 and primarily consisted of $34.8 million for Growth VI, $8.9 million for Europe Realty IV, and $7.5 million for Rise Climate II.
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Fee-Related Performance Revenues
The following table presents fee-related performance revenues for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Credit $ 28,939  $ 33,032 

Market Solutions 20,348  — 
Total Fee-Related Performance Revenues $ 49,287  $ 33,032 

Fee-related performance revenues increased $16.3 million for the year ended December 31, 2025 compared to the year ended December 31, 2024 primarily attributable to the Market Solutions platform driven by the crystallization of T-POP fee-related performance revenues.

Transaction, Monitoring and Other Fees, Net
The following table presents transaction, monitoring and other fees, net in our platforms for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Capital $ 5,958  $ 6,012 
Growth 1,412  1,053 
Impact 7,899  6,510 
Credit 8,763  4,133 
Real Estate 3,316  4,014 
Market Solutions 222,000  125,922 
Total Transaction, Monitoring and Other Fees, Net $ 249,348  $ 147,644 

Transaction, monitoring and other fees, net increased $101.7 million for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily driven by a $96.1 million increase in our Market Solutions platform as a result of capital markets activity among our portfolio companies involving our broker-dealer.

Other Income

Year Ended December 31,
2025 2024

($ in thousands)
Former affiliate funds $ —  $ 13,254 
Other income 10,559  11,817 

Total Other Income $ 10,559  $ 25,071 

Total other income decreased $14.5 million, or 58%, for the year ended December 31, 2025 compared to the year ended December 31, 2024 primarily due to the expiration of contracts to provide services to our former affiliate in April 2024.
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Fee-Related Expenses
Fee-related expenses increased $89.5 million, or 8%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. The increase was primarily comprised of higher cash-based compensation and benefits, net of $54.6 million and an increase in operating expenses, net of $26.8 million.

Cash-Based Compensation and Benefits, Net
The following table presents cash-based compensation and benefits, net for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Salaries $ 377,511  $ 351,739 
Bonuses 317,664  300,833 
Benefits and other 163,199  132,918 
Reimbursements (114,809) (96,489)
Total Cash-Based Compensation and Benefits, Net $ 743,565  $ 689,001 

Total cash-based compensation and benefits, net increased $54.6 million, or 8%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily due to higher salaries, benefits and bonuses resulting from an overall increase in headcount, partially offset by an increase in reimbursements.

Fee-Related Performance Compensation
The following table presents fee-related performance compensation for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Credit $ 14,469  $ 16,516 

Market Solutions 10,175  — 
Total Fee-related Performance Compensation $ 24,644  $ 16,516 

Total fee-related performance compensation increased $8.1 million for the year ended December 31, 2025 compared to the year ended December 31, 2024. This was primarily attributable to the increase in fee-related performance revenues from T-POP that drives compensation attributable to our partners and professionals.

Operating Expenses, Net
Operating expenses, net includes general and administrative expenses as well as reimbursements for professional services and travel expenses related to investment management and advisory services provided to TPG funds and monitoring services provided to our portfolio companies. Operating expenses, net increased $26.8 million, or 7%, for the year ended December 31, 2025 compared to the year ended December 31, 2024. This change was primarily due to an increase in professional fees.
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Realized Performance Allocations, Net
The following table presents realized performance allocations, net from our platforms for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Capital $ 76,188  $ 64,302 
Growth 45,468  32,398 
Impact 4,534  17,801 
Credit 64,448  66,916 
Real Estate 9,443  9,936 
Market Solutions 4,629  3,229 
Total Realized Performance Allocations, Net $ 204,710  $ 194,582 

Realized performance allocations, net of $204.7 million for the year ended December 31, 2025 were largely generated from realizations of $48.0 million from TPG VII, $9.8 million from TPG VIII, $9.5 million from Asia VIII, and $8.6 million from Asia VII in the Capital platform, $42.5 million from Growth IV in the Growth platform, $11.3 million from MVP Fund, $10.6 million from Credit Solutions II, and $5.8 million from MMDL V in the Credit platform, and $6.1 million from Net Lease Realty III in the Real Estate platform. The activity consisted of realizations sourced from portfolio companies including Viking Cruises, Crunch Fitness, DirecTV, Q-Centrix, and Samhwa Co.

Realized Investment Income and Other, Net
The following table presents realized investment income and other, net for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Investments in funds $ 72,006  $ 27,882 

Non-core income (expense) (92,666) (35,585)
Total Realized Investment Income and Other, Net $ (20,660) $ (7,703)

The decrease in realized investment income and other, net of $13.0 million during the year ended December 31, 2025 compared to the year ended December 31, 2024 resulted primarily from an increase in our non-core expense partially offset by realizations from certain investments in our funds. Our non-core activity includes expenses of $41.0 million related to our unoccupied lease space and $28.9 million for strategic transaction activity during the year ended December 31, 2025.

Depreciation
Depreciation expense remained flat for the year ended December 31, 2025 compared to the year ended December 31, 2024.
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Interest Expense, Net
The following table presents interest expense, net for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in thousands)
Interest expense $ 112,565  $ 87,715 
Interest (income) (38,407) (51,606)
Interest Expense, Net $ 74,158  $ 36,109 

Interest expense, net increased $38.0 million for the year ended December 31, 2025 compared to the year ended December 31, 2024, primarily driven by higher average debt outstanding throughout the year.

Distributable Earnings
The increase in DE for the year ended December 31, 2025 compared to the year ended December 31, 2024 was primarily due to an increase in FRE, partially offset by an increase in interest expense.

Income Taxes
Income taxes increased $11.3 million for the year ended December 31, 2025 compared to the year ended December 31, 2024 primarily due to an increase in expected payments under our Tax Receivable Agreement for the year ended December 31, 2025.

Reconciliation to U.S. GAAP Measures
The following tables reconcile the most directly comparable financial measures calculated and presented in accordance with U.S. GAAP to non-GAAP financial measures for the years ended December 31, 2025 and 2024:
Revenue

Year Ended December 31,
2025 2024

($ in thousands)
GAAP Revenue $ 4,670,212  $ 3,500,082 
Capital-allocation based income (2,246,074) (1,413,006)
Expense reimbursements (275,303) (217,049)
Investment income and other (39,580) (38,570)
Fee-Related Revenues $ 2,109,255  $ 1,831,457 

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Expenses

Year Ended December 31,
2025 2024

($ in thousands)
GAAP Expenses $ 4,094,407  $ 3,578,323 
Depreciation and amortization expense (144,542) (135,386)
Interest expense (112,111) (87,511)

Expense reimbursements (275,303) (217,049)
Performance allocation compensation (1,427,458) (930,053)
Equity-based compensation (813,741) (1,006,312)
Acquisition success fee (4,000) — 
Non-core expenses and other (160,569) (134,783)
Fee-Related Expenses $ 1,156,683  $ 1,067,229 

Net Income

Year Ended December 31,
2025 2024

($ in thousands)
Net income (loss) $ 599,585  $ (76,915)

Net income attributable to other non-controlling interests (364,226) (75,529)
Amortization expense 113,196  97,585 
Equity-based compensation 823,610  1,004,925 
Unrealized performance allocations, net (203,587) (79,935)
Unrealized investment income 6,018  (77,282)

Income taxes (1,579) (5,388)
Acquisition success fee 4,000  — 
Non-recurring and other (3,528) 49,814 
After-tax Distributable Earnings $ 973,489  $ 837,275 
Income taxes 68,620  57,336 
Distributable Earnings $ 1,042,109  $ 894,611 
Realized performance allocations, net (204,710) (194,582)
Realized investment income and other, net 20,660  7,703 
Depreciation expense 20,355  20,387 
Interest expense, net 74,158  36,109 
Fee-Related Earnings $ 952,572  $ 764,228 

Net Accrued Performance

Year Ended December 31,
2025 2024

($ in thousands)
GAAP Investments $ 9,211,816  $ 7,503,281 
Equity method and other investments (1,902,577) (1,545,202)
Accrued performance allocation compensation (5,399,750) (4,376,523)
Impact of other consolidated entities (629,734) (607,989)
Net Accrued Performance $ 1,279,755  $ 973,567 

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Operating Metrics
We monitor certain operating metrics that are common to the alternative asset management industry and that we believe provide important data regarding our business. The following operating metrics do not include other investments that are not included in the TPG Operating Group.

Assets Under Management
Assets Under Management (“AUM”) represents the sum of:
i. fair value of the investments and financial instruments held by our private equity, credit and real estate funds (including fund-level asset-related leverage), other than as described below, as well as related co-investment vehicles managed or advised by us, plus the capital that we are entitled to call from investors in those funds and vehicles, pursuant to the terms of their respective capital commitments, net of outstanding leverage associated with subscription-related credit facilities, and including capital commitments to funds that have yet to commence their investment periods;
ii. the gross amount of assets (including leverage where applicable) for our real estate investment trusts and BDCs;
iii. the net asset value of certain of our hedge funds; and
iv. the aggregate par amount of collateral assets, including principal cash, for our collateralized loan obligation vehicles.
Our definition of AUM is not based on any definition of AUM that may be set forth in the agreements governing the investment funds that we manage, or calculated pursuant to any regulatory definitions.
The following table summarizes our AUM by platform as of December 31, 2025 and 2024:

December 31,
2025 2024

($ in millions)
Capital $ 90,857  $ 74,408 
Growth 32,237  28,062 
Impact 31,258  26,569 
Credit 93,064  72,359 
Real Estate 38,168  36,296 
Market Solutions 17,445  8,179 
AUM as of end of period $ 303,029  $ 245,873 
    
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The table below presents rollforwards of our total AUM for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in millions)
Balance as of Beginning of Period $ 245,873  $ 221,623 
Acquisition 7,927  — 
Capital Raised 51,485  30,123 
Realizations (23,371) (22,913)
Outflows (1)
(2,842) (1,992)
Changes in Investment Value and Other (2)
23,957  19,032 
AUM as of end of period $ 303,029  $ 245,873 
_________________
(1) Outflows represent redemptions and withdrawals.
(2) Changes in Investment Value and Other consists of changes in fair value, capital invested, available capital and net fund-level asset related leverage activity plus other investment activities.
AUM increased approximately $57.2 billion during the year ended December 31, 2025. This increase was led by $51.5 billion of capital raised primarily attributable to fundraising activities of TPG X within the Capital platform, Growth VI within the Growth platform, Rise Climate II within the Impact platform, Credit Solutions III, MMDL VI, MMDL Continuation I and ABC Evergreen within the Credit platform, TRECO within the Real Estate platform and TGS II and T-POP within the Market Solutions platform. Investment appreciation of $24.0 billion and the $7.9 billion acquisition of Peppertree in July further contributed to AUM growth during the year ended December 31, 2025. These increases were partially offset by realization activities in TPG VII, TPG IX, Asia VI and Asia VII within the Capital platform, Growth IV and Growth V within the Growth platform, Rise II within the Impact platform, MMDL III, MMDL IV and MMDL II within the Credit platform and TREP III and Net Lease Realty III within the Real Estate platform during the year ended December 31, 2025.

Fee-Earning Assets Under Management
Fee-earning AUM (“FAUM”) represents only the AUM from which we are entitled to receive management fees. FAUM is the sum of all the individual fee bases that are used to calculate our management fees and differs from AUM in the following respects: (i) assets and commitments from which we are not entitled to receive a management fee are excluded (e.g., assets and commitments with respect to which we are entitled to receive only performance allocations or are otherwise not currently entitled to receive a management fee) and (ii) certain assets, primarily in our credit and real estate funds, have different methodologies for calculating management fees that are not based on the fair value of the respective funds’ underlying investments. We believe this measure is useful to investors as it provides additional insight into the capital base upon which we earn management fees. Our definition of FAUM is not based on any definition of AUM or FAUM that is set forth in the agreements governing the investment funds and products that we manage.
The following table summarizes our FAUM by platform as of December 31, 2025 and 2024:

December 31,
2025 2024

($ in millions)
Capital $ 44,474  $ 37,075 
Growth 15,294  12,334 
Impact 20,635  17,357 
Credit 52,772  43,005 
Real Estate 26,068  26,138 
Market Solutions 10,859  5,377 
FAUM as of end of period $ 170,102  $ 141,286 

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The table below presents rollforwards of our FAUM for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in millions)
Balance as of Beginning of Period $ 141,286  $ 136,794 
Acquisition 4,458  — 
Fee-Earning Capital Raised (1)
22,099  10,882 
Deployment (2)
20,517  14,012 
Realizations (3)
(13,008) (15,980)
Reduction in Fee Base (4)
(5,070) (3,663)
Outflows (5)
(2,472) (1,906)
Market Activity and Other (6)
2,292  1,147 
FAUM as of end of period $ 170,102  $ 141,286 
_________________
In the first quarter of 2025, we began reporting Fee-Earning Deployment and Realizations separately from Net Change in Investment Activity. We believe this additional disclosure is helpful to understand key drivers associated with our FAUM. Updating the presentation did not have any impact on total FAUM.
(1) Fee-Earning Capital Raised represents capital raised by our funds for which management fees calculated based on commitments or subscriptions were activated during the period.
(2) Deployment represents increases in investment cost and CLO collateral assets, as well as capital called for investments.
(3) Realizations represent decreases in investment cost and CLO collateral assets, as well as distributions of investment related proceeds.
(4) Reduction in Fee Base represents decreases in the fee basis for funds where the investment or commitment fee period has expired, and the fee base has reduced from commitment base to actively invested capital. It also includes reductions for funds that are no longer fee paying.
(5) Outflows represent redemptions and withdrawals.
(6) Market Activity and Other represents income activity for our funds for which management fees are calculated based on invested net capital or net asset value, as well as foreign exchange fluctuations.
FAUM increased $28.8 billion during the year ended December 31, 2025, primarily driven by $22.1 billion in fee-earning capital raised. This activity was led by the activation of TPG X during the third quarter within the Capital platform, the final closing of Growth VI during the second quarter within the Growth platform, subsequent closings for Rise Climate II during the third and fourth quarters within the Impact platform and the activation of TGS II during the third quarter within the Market Solutions platform. Deployment added $20.5 billion to FAUM primarily driven by TPG IX within the Capital platform, TTAD II within Growth platform, Rise Climate I within the Impact platform and MMDL V, MMDL Continuation I, Credit Solutions III, ABC Fund II and MMDL Evergreen within the Credit platform. Acquisition of Peppertree in July 2025 within the Market Solutions platform contributed an additional $4.5 billion of FAUM during the year ended December 31, 2025. These increases were partially offset by realizations of $13.0 billion primarily attributable to TPG VII within the Capital platform, Growth IV within the Growth platform, MMDL III, Essential Housing II, MMDL IV, MMDL II and Credit Solutions II within the Credit platform and Net Lease Realty III and TREP III within the Real Estate platform. For the year ended December 31, 2025, annualized weighted average management fees as a percentage of FAUM, which represent annualized management fees divided by the average of each applicable period’s FAUM were 1.16%.

Net Accrued Performance
Net accrued performance represents both unrealized and undistributed performance allocations and fee-related performance revenues resulting from our general partner interests in investment funds that we manage. We believe this measure is useful to investors as it provides additional insight into the accrued performance to which the TPG Operating Group Common Unit holders are expected to receive.
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The tables below summarize our net accrued performance by fund vintage year and platform as of December 31, 2025 and December 31, 2024:

December 31,
2025 2024

($ in millions)
Fund Vintage
2020 & Prior $ 809  $ 801 
2021 136  78 
2022 280  87 
2023 23  5 
2024 12  3 
2025 20  — 
Net Accrued Performance $ 1,280  $ 974 

December 31,
2025 2024

($ in millions)
Platform
Capital $ 581  $ 468 
Growth 211  226 
Impact 173  116 
Credit 83  73 
Real Estate 100  82 
Market Solutions 132  9 
Net Accrued Performance $ 1,280  $ 974 

Net accrued performance was primarily driven by TPG VIII, TPG IX, Asia VII, Growth V and Growth IV as of December 31, 2025 and TPG VII, TPG VIII, Asia VII, Growth IV, Growth V and Rise I as of December 31, 2024.
We also utilize Performance Generating AUM and Performance Eligible AUM as key metrics to understand AUM that could produce performance allocations or fee-related performance revenues. Performance Generating AUM refers to the AUM of funds we manage that are currently above their respective hurdle rate or preferred return, and profit of such funds are being allocated to, or earned by, us in accordance with the applicable limited partnership agreements or other governing agreements. Performance Eligible AUM refers to the AUM that is currently, or may eventually, produce performance allocations or fee-related performance revenues. All funds for which we are entitled to receive a performance allocation, incentive fee or fee-related performance revenue are included in Performance Eligible AUM.
Performance Generating AUM totaled $208.8 billion and $163.4 billion as of December 31, 2025 and December 31, 2024, respectively. Across the investment funds that we manage, Performance Eligible AUM totaled $254.3 billion and $209.3 billion as of December 31, 2025 and December 31, 2024, respectively.

AUM Subject to Fee-Earning Growth
AUM Subject to Fee-Earning Growth represents capital commitments that when deployed have the ability to grow our fees through earning new management fees (AUM Not Yet Earning Fees) or when management fees can be charged at a higher rate as capital is invested or for certain funds as management fee rates increase during the life of a fund (FAUM Subject to Step-Up).
AUM Not Yet Earning Fees represents the amount of capital commitments to TPG’s funds and co-investment vehicles that has not yet been invested or considered active, and as this capital is invested or activated, the fee-paying portion will be included in FAUM. FAUM Subject to Step-Up represents capital raised within certain funds where the management fee rate increases once capital is invested or as a fund reaches a certain point in its life where the fee rate for certain investors increases. FAUM Subject to Step-Up is included within FAUM.
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The table below reflects AUM Subject to Fee-Earning Growth by platform as of December 31, 2025 and December 31, 2024:

December 31, 2025 December 31, 2024

($ in millions)
AUM Not Yet Earning Fees:
Capital $ 5,481  $ 3,088 
Growth 4,029  2,796 
Impact 981  1,928 
Credit 13,463  7,613 
Real Estate 3,886  3,468 
Market Solutions 818  315 
Total AUM Not Yet Earning Fees $ 28,658  $ 19,208 

FAUM Subject to Step-Up:
Capital $ 4,058  $ 926 
Growth 29  — 
Credit 5,118  5,828 
Real Estate 1,713  2,183 
Market Solutions 903  — 
Total FAUM Subject to Step-Up 11,821  8,937 
Total AUM Subject to Fee-Earning Growth $ 40,479  $ 28,145 

As of December 31, 2025, AUM Not Yet Earning Fees was $28.7 billion, which primarily consisted of TPG IX, TPG VIII and THP III within the Capital platform, Growth V, TPG Sports and TDM within the Growth platform, Rise Climate I within the Impact platform, Credit Solutions III, MMDL VI and MMDL V within the Credit platform and TRECO within the Real Estate platform.
Associated with FAUM Subject to Step-Up, management fee rates for these respective underlying funds or certain investors range between 0.35% and 1.65% and step-up to rates in the range of 0.47% and 1.75% after capital is invested or as a fund reaches a certain point in its life where the fee rate for certain investors increases. FAUM Subject to Step-Up as of December 31, 2025 relates primarily to TPG X within the Capital platform, MMDL V and Credit Solutions III within the Credit platform and Asia Realty V within the Real Estate platform.

Capital Raised
Capital raised is the aggregate amount of subscriptions and capital raised by our investment funds and co-investment vehicles during a given period, as well as the senior and subordinated notes issued through our CLOs and equity raised through our perpetual vehicles. We believe this measure is useful to investors as it measures access to capital across TPG and our ability to grow our management fee base.
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The table below presents capital raised by platform for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in millions)
Capital $ 14,987  $ 5,513 
Growth 5,516  1,678 
Impact 4,522  6,891 
Credit 20,773  12,423 
Real Estate 2,651  2,246 
Market Solutions 3,036  1,372 
Total Capital Raised $ 51,485  $ 30,123 

Capital raised totaled approximately $51.5 billion for the year ended December 31, 2025. This was primarily attributable to the fundraising activities of TPG X within the Capital platform, Growth VI within the Growth platform, Rise Climate II within the Impact platform, Credit Solutions III, MMDL VI, MMDL Continuation I and ABC Evergreen within the Credit platform, TRECO within the Real Estate platform and TGS II and T-POP within the Market Solutions platform during the year ended December 31, 2025.

Available Capital
Available capital is the aggregate amount of unfunded capital commitments and recallable distributions that partners have committed to our funds and co-investment vehicles to fund future investments. Available capital is reduced for investments completed using fund-level subscription-related credit facilities. We believe this measure is useful to investors as it provides additional insight into the amount of capital that is available to our investment funds and co-investment vehicles to make future investments.
The table below presents available capital by platform as of December 31, 2025 and 2024:

December 31,
2025 2024

($ in millions)
Capital $ 21,776  $ 14,345 
Growth 7,050  5,297 
Impact 9,564  9,767 
Credit 18,268  12,325 
Real Estate 12,293  13,376 
Market Solutions 3,485  2,492 
Available Capital $ 72,436  $ 57,602 

Available capital totaled $72.4 billion as of December 31, 2025, primarily attributable to TPG X, Asia VIII, TPG IX, THP II and TPG VIII within the Capital platform, Growth VI and Growth V within the Growth platform, Rise Climate II within the Impact platform, Credit Solutions III, MMDL VI, MMDL V, MMDL III and TPG Advantage Direct Lending within the Credit platform, TREP IV, Europe Realty IV, TRECO and Asia Realty V within the Real Estate platform and TGS II and Peppertree X within the Market Solutions platform.

Capital Invested
Capital invested is the aggregate amount of capital invested during a given period by our investment funds, co-investment vehicles and CLOs, as well as increases in gross assets of certain perpetual funds. It excludes certain hedge fund activity, but includes investments made using investment financing arrangements like credit facilities, as applicable. We believe this measure is useful to investors as it measures capital deployment across the firm.
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The table below presents capital invested by platform for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in millions)
Capital $ 8,410  $ 5,934 
Growth 4,489  1,817 
Impact 4,159  2,171 
Credit 24,995  16,234 
Real Estate 6,115  6,330 
Market Solutions 3,740  458 
Capital Invested $ 51,908  $ 32,944 

Capital invested was $51.9 billion for the year ended December 31, 2025, which was primarily attributable to TPG IX within the Capital platform, Growth VI and TTAD II within the Growth platform, Rise Climate II and Rise Climate I within the Impact platform, ABC Fund II, MMDL V, MITT, ABC Evergreen and MMDL Continuation I within the Credit platform, TRTX and TREP IV within the Real Estate platform and T-POP and TGS I within the Market Solutions platform.

Realizations
Realizations represent proceeds from the disposition of investments and current income, and in the case of credit funds, distributions sourced from realization proceeds.
The table below presents realizations by platform for the years ended December 31, 2025 and 2024:

Year Ended December 31,
2025 2024

($ in millions)
Capital $ 6,248  $ 6,706 
Growth 3,547  2,785 
Impact 1,825  1,408 
Credit 7,243  7,506 
Real Estate 4,048  3,841 
Market Solutions 460  667 
Total Realizations $ 23,371  $ 22,913 

Realizations were $23.4 billion for the year ended December 31, 2025, primarily attributable to realization activities in TPG VII, TPG IX, Asia VI and Asia VII within the Capital platform, Growth IV and Growth V within the Growth platform, Rise II within the Impact platform, MMDL III, MMDL IV and MMDL II within the Credit platform and TREP III and Net Lease Realty III within the Real Estate platform during the year ended December 31, 2025.
Fund Performance Metrics
Fund performance information for our investment funds as of December 31, 2025 is included throughout this discussion and analysis to facilitate an understanding of our results of operations for the periods presented. These fund performance metrics do not include co-investment vehicles, SMAs or certain other legacy or discontinued funds. Additionally, these fund performance metrics exclude the firm’s CLOs and real estate investment trusts. The fund return information for individual funds reflected in this discussion and analysis is not necessarily indicative of our firmwide performance and is also not necessarily indicative of the future performance of any particular fund. An investment in us is not an investment in any of our funds. This track record presentation is unaudited and does not purport to represent the respective fund’s financial results in accordance with U.S. GAAP. There can be no assurance that any of our funds or our other existing and future funds will achieve similar returns. See “Item 1A. — Risk Factors—Risks Related to Our Business—Our funds’ historical returns should not be considered as indicative of our or our funds’ future results or of any returns expected on an investment in our Class A common stock.”
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The following tables reflect the performance of our selected funds as of December 31, 2025 ($ in millions):

Fund Vintage Year (1)
Capital Committed (2)
Capital Invested (3)
Realized Value (4)
Unrealized Value (5)
Total Value (6)
Gross IRR (7)
Gross MoM (7)
Net IRR (8)
Net MoM (9)

Platform: Capital
Capital Funds
Air Partners 1993 $ 64  $ 64  $ 697  $ —  $ 697  81 % 10.9x 73 % 8.9x
TPG I 1994 721  696  3,095  —  3,095  47 % 4.4x 36 % 3.5x
TPG II 1997 2,500  2,554  5,010  —  5,010  13 % 2.0x 10 % 1.7x
TPG III 1999 4,497  3,718  12,360  —  12,360  34 % 3.3x 26 % 2.6x
TPG IV 2003 5,800  6,157  13,734  —  13,734  20 % 2.2x 15 % 1.9x
TPG V 2006 15,372  15,564  22,074  —  22,074  6 % 1.4x 5 % 1.4x
TPG VI 2008 18,873  19,220  33,481  58  33,539  14 % 1.7x 10 % 1.5x
TPG VII 2015 10,495  10,275  22,999  1,826  24,825  26 % 2.4x 19 % 2.0x
TPG VIII 2019 11,505  10,738  5,663  14,589  20,252  22 % 1.9x 15 % 1.5x
TPG IX 2022 12,014  10,511  1,205  14,178  15,383  37 % 1.5x 24 % 1.3x
TPG X 2025 10,858  598  —  1,037  1,037  NM NM NM NM
Capital Funds 92,699  80,095  120,318  31,688  152,006  23 % 1.9x 15 % 1.6x
Asia Funds
Asia I 1994 96  78  71  —  71  (3 %) 0.9x (10 %) 0.7x
Asia II 1998 392  764  1,669  —  1,669  17 % 2.2x 14 % 1.9x
Asia III 2000 724  623  3,316  —  3,316  46 % 5.3x 31 % 3.8x
Asia IV 2005 1,561  1,603  4,089  —  4,089  23 % 2.6x 17 % 2.1x
Asia V 2007 3,841  3,257  5,440  114  5,554  10 % 1.7x 6 % 1.4x
Asia VI 2012 3,270  3,285  4,810  1,706  6,516  13 % 2.0x 9 % 1.6x
Asia VII 2017 4,630  4,636  4,094  4,750  8,844  18 % 1.9x 11 % 1.5x
Asia VIII 2022 5,259  3,095  473  4,105  4,578  33 % 1.6x 16 % 1.3x
Asia Funds 19,773  17,341  23,962  10,675  34,637  20 % 2.0x 14 % 1.6x
Healthcare Funds
THP I 2019 2,704  2,457  891  3,195  4,086  18 % 1.6x 11 % 1.4x
THP II 2022 3,576  2,013  141  3,217  3,358  45 % 1.6x 29 % 1.4x
THP III 1,125  —  —  —  —  NM NM NM NM
Healthcare Funds 7,405  4,470  1,032  6,412  7,444  24 % 1.6x 14 % 1.4x
Continuation Vehicles
TPG AAF 2021 1,317  1,314  2,720  —  2,720  43 % 2.1x 37 % 1.9x
TPG AION 2021 207  207  —  129  129  (10 %) 0.6x (11 %) 0.6x
Continuation Vehicles 1,524  1,521  2,720  129  2,849  35 % 1.9x 29 % 1.7x

Platform: Growth
Growth Funds
STAR 2007 1,264  1,259  1,895  —  1,895  12 % 1.5x 6 % 1.3x
Growth II 2011 2,041  2,185  4,847  495  5,342  21 % 2.5x 15 % 2.0x
Growth III 2015 3,128  3,382  5,117  1,787  6,904  23 % 2.0x 15 % 1.6x
Growth IV 2017 3,739  3,624  4,649  3,208  7,857  20 % 2.1x 14 % 1.7x
Gator 2019 726  686  771  508  1,279  24 % 1.9x 20 % 1.7x
Growth V 2020 3,558  3,307  1,469  4,158  5,627  18 % 1.7x 12 % 1.4x
Growth VI 2023 4,285  2,118  8  2,645  2,653  49 % 1.3x 18 % 1.1x
Growth Funds 18,741  16,561  18,756  12,801  31,557  19 % 1.9x 13 % 1.6x
Tech Adjacencies Funds
TTAD I 2018 1,574  1,497  1,179  1,333  2,512  16 % 1.6x 12 % 1.4x
TTAD II 2021 3,198  3,072  656  3,827  4,483  22 % 1.5x 17 % 1.4x
TTAD III
2025 566  153  —  244  244  NM NM NM NM
Tech Adjacencies Funds 5,338  4,722  1,835  5,404  7,239  19 % 1.6x 14 % 1.4x

TDM 2017 1,326  601  —  1,063  1,063  11 % 1.8x 8 % 1.5x
LSI 2023 410  217  21  201  222  (5 %) 1.0x (25 %) 0.8x
TECA 2025 742  265  —  310  310  NM NM NM NM
TPG Atlas 2025 752  427  —  481  481  NM NM NM NM
TPG Sports 751  —  —  —  —  NM NM NM NM

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Fund Vintage Year (1)
Capital Committed (2)
Capital Invested (3)
Realized Value (4)
Unrealized Value (5)
Total Value (6)
Gross IRR (7)
Gross MoM (7)
Net IRR (8)
Net MoM (9)

Platform: Impact
The Rise Funds
Rise I 2017 $ 2,106  $ 2,045  $ 1,658  $ 2,188  $ 3,846  15 % 1.8x 10 % 1.5x
Rise II 2020 2,176  2,077  847  2,538  3,385  15 % 1.6x 10 % 1.4x
Rise III 2022 2,700  2,268  285  3,262  3,547  39 % 1.6x 23 % 1.3x

The Rise Funds 6,982  6,390  2,790  7,988  10,778  18 % 1.7x 11 % 1.4x
Rise Climate Funds
Rise Climate I 2021 7,268  6,340  1,498  7,918  9,416  25 % 1.5x 15 % 1.3x
Rise Climate II (11)
2025 6,625  1,444  —  1,482  1,482  NM NM NM NM
Rise Climate Global South (11)
2025 808  31  —  31  31  NM NM NM NM
Rise Climate TI
2025 1,313  410  —  410  410  NM NM NM NM
Rise Climate Funds 16,014  8,225  1,498  9,841  11,339  25 % 1.5x 15 % 1.3x

TSI 2018 333  133  368  —  368  35 % 2.8x 25 % 2.1x
Evercare 2019 621  454  116  429  545  3 % 1.2x 0 % 1.0x
TPG NEXT (12)
2023 565  49  3  49  52  NM NM NM NM

Platform: Credit
TPG Credit Solutions
Credit Solutions I 2019 1,805  1,801  2,125  636  2,761  16 % 1.6x 12 % 1.4x
Credit Solutions I Dislocation A 2020 909  602  795  —  795  34 % 1.3x 27 % 1.3x
Credit Solutions I Dislocation B 2020 308  176  211  —  211  28 % 1.2x 21 % 1.2x
Credit Solutions II 2021 3,134  3,040  1,142  3,020  4,162  16 % 1.4x 12 % 1.3x
Credit Solutions II Dislocation A 2022 1,310  868  916  120  1,036  19 % 1.2x 14 % 1.2x
Credit Solutions III 2024 6,214  1,237  14  1,474  1,488  NM NM NM NM
TPG Credit Solutions 13,680  7,724  5,203  5,250  10,453  17 % 1.4x 13 % 1.3x
Essential Housing
Essential Housing I 2020 642  456  577  —  577  15 % 1.3x 12 % 1.2x
Essential Housing II 2021 2,534  1,071  1,108  305  1,413  16 % 1.4x 12 % 1.3x
Essential Housing III 2024 1,619  746  4  830  834  14 %  1.1x 11 %  1.1x
Essential Housing 4,795  2,273  1,689  1,135  2,824  16 % 1.3x 12 % 1.2x

Hybrid Solutions 2025 389  62  —  95  95  NM NM NM NM

TPG Asset Based Finance
ABC Fund I
2021 1,005  904  178  1,105  1,283  17 % 1.4x 13 % 1.3x
ABC Fund II
2024 1,258  932  3  985  988  NM NM NM NM
TPG Asset Based Finance
2,263  1,836  181  2,090  2,271  17 % 1.4x 13 % 1.3x
TPG Direct Lending ( 13)

MMDL I 2015 594  572  846  —  846  14 %  1.6x 10 %  1.4x
MMDL II 2016 1,580  1,563  2,326  —  2,326  14 %  1.7x 10 %  1.5x
MMDL III 2018 2,751  2,547  3,669  —  3,669  13 %  1.6x 10 %  1.5x
MMDL IV 2020 2,671  2,586  1,726  1,846  3,572  14 %  1.5x 10 %  1.4x
MMDL IV Annex 2021 797  767  437  566  1,003  14 %  1.4x 11 %  1.3x
MMDL V 2022 3,924  2,853  401  2,892  3,293  17 %  1.2x 13 %  1.2x
MMDL VI 2025 2,214  87  —  83  83  NM  NM NM  NM
TPG Direct Lending 14,531  10,975  9,405  5,387  14,792  14 %  1.5x 10 %  1.4x

Continuation Vehicles
MMDL Continuation I 2025 1,207  1,123  9  1,070  1,079  NM NM NM NM
Continuation Vehicles 1,207  1,123  9  1,070  1,079  NM NM NM NM

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Fund Vintage Year (1)
Capital Committed (2)
Capital Invested (3)
Realized Value (4)
Unrealized Value (5)
Total Value (6)
Gross IRR (7)
Gross MoM (7)
Net IRR (8)
Net MoM (9)

Platform: Real Estate
TPG Real Estate Partners
TREP II 2014 $ 2,065  $ 2,213  $ 3,574  $ 2  $ 3,576  28 % 1.7x 18 % 1.5x
TREP III 2018 3,722  4,324  4,032  2,357  6,389  16 % 1.6x 11 % 1.4x
TREP IV 2022 6,820  4,581  806  4,803  5,609  18 % 1.2x 8 % 1.1x
TPG Real Estate Partners 12,607  11,118  8,412  7,162  15,574  21 % 1.5x 13 % 1.3x
TPG AG U.S. Real Estate
TPG AG Realty
Realty I 1994 30  30  65  —  65  27 %  2.2x 20 %  1.9x
Realty II 1995 33  33  81  —  81  31 %  2.4x 22 %  2.2x
Realty III 1997 61  94  120  —  120  5 %  1.3x 3 %  1.3x
Realty IV 1999 255  332  492  —  492  11 %  1.5x 8 %  1.5x
Realty V 2001 333  344  582  —  582  32 %  1.7x 26 %  1.6x
Realty VI 2005 514  558  657  —  657  5 %  1.2x 3 %  1.1x
Realty VII 2007 1,257  1,675  2,544  —  2,544  17 %  1.7x 12 %  1.5x
Realty VIII 2011 1,265  2,142  2,785  105  2,890  15 %  1.6x 11 %  1.4x
Realty IX 2015 1,329  1,986  2,283  226  2,509  8 %  1.4x 5 %  1.3x
Realty Value X 2018 2,775  4,588  4,208  1,497  5,705  12 %  1.4x 8 %  1.2x
Realty Value XI 2022 2,589  2,865  1,121  2,178  3,299  15 %  1.2x 7 %  1.1x
TPG AG Realty 10,441  14,647  14,938  4,006  18,944  14 %  1.4x 9 %  1.3x
TPG AG Core Plus Realty
Core Plus Realty I 2003 534  532  876  —  876  20 %  1.6x 18 %  1.5x
Core Plus Realty II 2006 794  1,112  1,456  —  1,456  11 %  1.4x 8 %  1.3x
Core Plus Realty III 2011 1,014  1,420  2,231  —  2,231  23 %  1.8x 19 %  1.6x
Core Plus Realty IV 2015 1,308  2,020  2,086  221  2,307  5 %  1.2x 2 %  1.1x
TPG AG Core Plus Realty 3,650  5,084  6,649  221  6,870  15 %  1.5x 11 %  1.4x
TPG Asia Real Estate
Asia Realty
Asia Realty I 2006 526  506  645  —  645  6 %  1.3x 3 %  1.2x
Asia Realty II 2010 616  602  1,071  —  1,071  24 %  1.8x 16 %  1.6x
Asia Realty III 2015 847  869  1,024  126  1,150  11 %  1.3x 6 %  1.2x
Asia Realty IV 2018 1,315  1,313  1,356  493  1,849  14 %  1.4x 9 %  1.3x
Asia Realty V 2022 2,007  1,106  145  1,281  1,426  26 %  1.3x 12 %  1.2x
Asia Realty 5,311  4,396  4,241  1,900  6,141  13 %  1.4x 8 %  1.3x
Japan Value
Japan Value (14)
2023 417  253  23  270  293  75 %  1.4x 39 %  1.2x
Japan Value 417  253  23  270  293  75 % 1.4x 39 % 1.2x
TPG AG Europe Real Estate
Europe Realty I 2014 570  1,187  1,719  8  1,727  24 %  2.0x 17 %  1.7x
Europe Realty II 2017 843  1,763  1,831  453  2,284  7 %  1.4x 5 %  1.3x
Europe Realty III (15)
2019 1,515  2,204  930  1,361  2,291  7 %  1.3x 3 %  1.1x
Europe Realty IV (15)
2023 2,270  796  171  782  953  141 %  1.3x 7 %  1.0x
TPG AG Europe Real Estate 5,198  5,950  4,651  2,604  7,255  13 %  1.5x 8 %  1.3x
TPG Net Lease
Net Lease Realty I 2006 159  209  457  —  457  18 %  2.4x 14 %  2.2x
Net Lease Realty II 2010 559  1,060  1,854  —  1,854  16 %  2.4x 11 %  2.0x
Net Lease Realty III 2013 1,026  2,426  3,038  409  3,447  12 %  2.0x 8 %  1.6x
Net Lease Realty IV 2019 997  1,974  1,458  905  2,363  11 %  1.4x 7 %  1.3x
Net Lease Realty V 2024 259  317  184  149  333  NM  NM  NM  NM
TPG Net Lease 3,000  5,986  6,991  1,463  8,454  14 %  1.9x 10 %  1.6x

TAC+ 2021 1,797  1,275  156  1,136  1,292  0 % 1.0x (1 %) 1.0x
TRECO 2024 1,786  717  454  326  780  31 % 1.3x 8 % 1.1x

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Fund Vintage Year (1)
Capital Committed (2)
Capital Invested (3)
Realized Value (4)
Unrealized Value (5)
Total Value (6)
Gross IRR (7)
Gross MoM (7)
Net IRR (8)
Net MoM (9)

Platform: Market Solutions
TPG Peppertree Funds
Peppertree I 2004 $ 63  $ 44  $ 95  $ —  $ 95  16 % 2.1x 11 % 1.7x
Peppertree II 2008 24  21  57  —  57  30 % 2.8x 20 % 2.1x
Peppertree III 2011 55  49  105  4  109  16 % 2.2x 11 % 1.8x
Peppertree IV 2014 132  119  215  40  255  16 % 2.1x 11 % 1.7x
Peppertree V 2014 79  63  12  90  102  5 % 1.6x 3 % 1.3x
Peppertree VI 2016 230  204  146  453  599  18 % 2.9x 13 % 2.2x
Peppertree VII 2018 505  460  31  1,236  1,267  17 % 2.8x 13 % 2.2x
Peppertree VIII 2020 1,000  890  31  1,774  1,805  16 % 2.0x 11 % 1.7x
Peppertree IX 2022 1,500  1,299  81  1,813  1,894  14 % 1.5x 10 % 1.3x
Peppertree X 2023 2,040  1,007  —  1,307  1,307  30 % 1.3x 18 % 1.2x
TPG Peppertree Funds 5,628  4,156  773  6,717  7,490  16 % 1.8x 12 % 1.5x
TPG GP Solutions
TGS I (12)
2022 1,864  988  15  1,266  1,281  56 % 1.3x 33 % 1.2x
TGS II (12)
1,484  —  —  —  —  NM NM NM NM
TPG GP Solutions 3,348  988  15  1,266  1,281  56 % 1.3x 33 % 1.2x
NewQuest Funds
NewQuest I (12)
2011 390  291  767  —  767  48 % 3.2x 37 % 2.3x
NewQuest II (12)
2013 310  342  686  78  764  24 % 2.3x 19 % 1.8x
NewQuest III (12)
2016 541  543  562  215  777  8 % 1.4x 4 % 1.2x
NewQuest IV (12)
2020 1,000  964  273  1,371  1,644  18 % 1.7x 10 % 1.4x
NewQuest V (12)
2022 689  467  143  541  684  40 % 1.6x 27 % 1.3x
NewQuest Funds 2,930  2,607  2,431  2,205  4,636  33 % 1.9x 19 % 1.5x

The following table reflects the performance of our significant perpetual funds as of December 31, 2025 ($ in millions):

Fund Vintage Year (1)
AUM Total Return (10)

Platform: Credit
TPG Credit Solutions
Corporate Credit Opportunities (16)
1988 $ 371  10  %
Essential Housing Evergreen 400  NM
TPG Asset Based Finance
MVP Fund (17)
2009 6,766  11  %
ABC Evergreen (17)
2024 3,309  25  %
TPG Direct Lending
TCAP (18)
2022 4,513  10  %
MMDL Evergreen 2022 2,693  11  %
MMDL Offshore Evergreen 2024 1,268  9  %
TPG Advantage Direct Lending 2025 933  NM

TPG Multi-Asset Credit
Dynamic Credit Income Fund (17)
1993 1,109  9  %

Platform: Market Solutions
T-POP (19)
2025 1,365  23  %

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_________________
Note:
Past performance is not indicative of future results.
“NM” signifies that the relevant data would not be meaningful. Performance metrics are generally deemed “NM” when, among other reasons, there has been limited time since initial investment.
Performance metrics generally exclude amounts attributable to the fund’s general partner, its affiliated entities and “friends-of-the-firm” entities that generally pay no or reduced management fees and performance allocations. These metrics also represent an average of returns for all included investors and do not necessarily reflect the actual return of any particular investor.
Amounts shown are in U.S. dollars.
Unless otherwise noted, when an investment is made in another currency, (i) Capital Invested is calculated using the exchange rate at the time of the investment, (ii) Unrealized Value is calculated using the exchange rate at the period end and (iii) Realized Value reflects actual U.S. dollar proceeds to the fund.
(1) Vintage Year represents the year in which the fund consummated its first investment (or, if earlier, received its first capital contributions from investors). For platforms other than Credit, for consistency with prior reporting, however, the Vintage Year classification of any fund that held its initial closing before 2018 represents the year of such fund’s initial closing.
(2) Capital Committed represents the amount of inception-to-date commitments a particular fund has received. Certain of our newer vintage funds are actively fundraising and capital committed is subject to change.
(3) Capital Invested represents cash outlays by the fund for its investments, whether funded through investor capital contributions or borrowing under the fund’s credit facility. For Credit funds, Capital Invested represents inception-to-date investor contributed capital net of returned contributions, excluding borrowings under the fund’s credit facility.
(4) Realized Value represents total cash received or earned by the fund in respect of such investment or investments through the period end, including all interest, dividends and other proceeds. For Credit funds, Realized Value represents inception-to-date capital distributed by the fund, including any performance distributions net of recalled distributions, if any.
(5) Unrealized Value, with respect to an investment in a publicly traded security, is based on the closing market price of the security as of the period end on the principal exchange on which the security trades, as adjusted by the general partner for any restrictions on disposition. Unrealized Value, with respect to an investment that is not a publicly traded security, represents the general partner’s estimate of the unrealized fair value of the fund’s investment. Unrealized Value, with respect to Credit funds, represents the ending NAV for such fund, which is the period end ending capital balances of the investors and general partner. Valuations entail a degree of subjectivity, and therefore actual value may differ from such estimated value and these differences may be material and adverse. Except as otherwise noted, valuations are as of the period end.
(6) Total Value is the sum of Realized Value and Unrealized Value of investments.
(7) Gross internal rate of return (“Gross IRR”) and Gross multiple of money (“Gross MoM”) represent investment level performance by the fund and incorporates the impact of fund level credit facilities, to the extent utilized by the fund. Gross IRR and Gross MoM exclude management fees, fund expenses (other than interest expense and other fees arising from amounts borrowed under the fund’s credit facility to fund investments) and performance allocations. Gross IRR is the discount rate at which (i) the present value of all Capital Invested in an investment or investments is equal to (ii) the present value of all realized and unrealized returns from such investment or investments.
(8) Net IRR represents the compound annualized return rate (i.e., the implied discount rate) of a fund, which is calculated using investor cash flows in the fund, including cash received from capital called from investors, cash distributed to investors and the investors’ ending capital balances as of the period end. Net IRR is the discount rate at which (i) the present value of all capital contributed by investors to the fund (which excludes, for the avoidance of doubt, any amounts borrowed by the fund in lieu of calling capital) is equal to (ii) the present value of all cash distributed to investors and the investors’ ending capital balances.
(9) Net MoM represents the multiple-of-money on contributions to the fund by investors. Net MoM is calculated as the sum of cash distributed to investors and the investors’ ending capital balances as of the period end, divided by the amount of capital contributed to the fund by investors (which amount excludes, for the avoidance of doubt, any amounts borrowed by the fund in lieu of calling capital).
(10) Total Return represents net performance data for investors (excluding certain classes/series with special fee arrangements), net of all expenses including actual quarterly management fees payable by the fund and the accrual of carried interest to the general partner.
(11) The Rise Climate Global South Fund excludes a $500 million commitment ($444 million of which was closed as of December 31, 2025) from ALTÉRRA Transformation LP made to a separate vehicle for purposes of deploying catalytic capital in connection with investments located in the Global South made by the Rise Climate II Fund and the Rise Climate Global South Fund.
(12) Unless otherwise specified, the fund performance information presented above for certain funds is, due to the nature of their strategy, as of September 30, 2025.
(13) Each TPG Direct Lending fund is comprised of four vehicles: onshore levered, onshore unlevered, offshore levered and offshore unlevered. Capital Committed, Capital Invested, Realized Value, Unrealized Value and Total Value for each fund are presented on a consolidated basis across the four vehicles. Performance metrics are presented only for the onshore levered vehicle of each fund. The Net IRRs and Net MoMs for TPG Direct Lending funds on a consolidated basis were: (i) for the onshore unlevered vehicles, 7% and 1.3x, (ii) for the offshore levered vehicles, 9% and 1.3x and (iii) for the offshore unlevered vehicles, 7% and 1.2x.
(14) Japanese-Yen denominated fund. Commitments, Capital Invested and Realized Value are calculated using the exchange rate at the end of the quarter in which the relevant commitment was made or transaction occurred, as applicable.
(15) Includes Euro denominated fund entity with Commitments, Capital Invested and Realized Value calculated using the exchange rate at the end of the quarter in which the relevant commitment was made or transaction occurred, as applicable. Performance metrics only reflects capital committed in U.S. dollars, which represents the majority of capital committed to each fund. Net IRR and Net MoM were: (i) for the euro-denominated vehicle of Europe Realty III, 1% and 1.0x and (ii) for the euro-denominated vehicle of Europe Realty IV, 9% and 1.0x
(16) Total Return includes onshore investors participating directly through the master fund and investors through the offshore vehicle. Total Return for the offshore vehicle was 5%.
(17) Total Returns for onshore funds only. Total Returns for the offshore vehicles were: (i) for the MVP Fund, 11%, (ii) for ABC Evergreen, 24% and (iii) for Dynamic Credit Income Fund (formerly Super Fund), 8%.
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(18) Total Return is calculated as the change in NAV per share during the period, plus distributions per share (assuming dividends and distributions are reinvested) divided by the beginning NAV per share. Inception-to-date figures for Class I, Class D and Class S shares use the initial offering price per share as the beginning NAV. Total Return presented is for Class I and is prior to the impact of any potential upfront placement fees. An investment in TCAP is subject to a maximum upfront placement fee of 1.5% for Class D and 3.5% for Class S, which would reduce the amount of capital available for investment, if applicable. There are no upfront placement fees for Class I shares. Total Return has been annualized for periods less than or greater than one year.
(19) T-POP Total Return reflects a per unit return based on Class R-I, including reinvestment of any dividends received during the period (if applicable), and no upfront selling commission, net of all fees and expenses incurred by T-POP. Total Return for Class R-S is 23%.

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Liquidity and Capital Resources
We have historically derived revenues primarily from third-party assets under management and have required limited capital resources to support the working capital or operating needs of our business. We believe that our current sources of liquidity described below are sufficient to meet our projected capital needs and other obligations as they arise for at least the next twelve months. To the extent that our current liquidity is insufficient to fund future activities, we may need to raise additional funds. In the future, we may attempt to raise additional capital through the sale of equity securities or through debt financing arrangements. If we raise additional funds by issuing equity securities, the ownership of our existing investors will be diluted. The incurrence of additional debt financing would result in incremental debt service obligations, and any future instruments governing such debt could include operating and financial covenants that could restrict our operations.
As of December 31, 2025, our total liquidity was $2,906.1 million, comprised of $826.1 million of cash and cash equivalents, excluding $13.2 million of restricted cash, as well as $1,750.0 million, $30.0 million and $300.0 million of incremental borrowing capacity under the Senior Unsecured Revolving Credit Facility, Subordinated Credit Facility and 364-Day Credit Facility, respectively. Total cash of $839.3 million as of December 31, 2025 includes $136.4 million of cash that is attributable to the TPG Operating Group and on balance sheet securitization vehicles.
Sources of Liquidity
We have multiple sources of liquidity to meet our capital needs, including:
• cash generated by our operating activities, such as management fees, monitoring, transaction and other fees, realized capital allocation-based income and investment sales from our consolidated funds;
• cash received from investing activities, including amounts received from notes receivable from affiliates; and
• cash received from our financing activities, including cash and funds available under our credit facilities.
Cash, Cash Equivalents and Restricted Cash
Our consolidated cash, cash equivalents and restricted cash totaled approximately $839.3 million at December 31, 2025.
Credit Facilities
Senior Unsecured Revolving Credit Facility
In March 2011, TPG Holdings, L.P. entered into a $400.0 million credit facility (as amended, the “Senior Unsecured Revolving Credit Facility”). As of March 31, 2025, the Senior Unsecured Revolving Credit Facility, as amended May 2018, November 2020, November 2021, July 2022, August 2022 and September 2023, had aggregate revolving commitments of $1.2 billion and with a maturity date of September 26, 2028.
In May 2025, we amended the Senior Unsecured Revolving Credit Facility to extend the maturity date to May 1, 2030 and increased the size of the Senior Unsecured Revolving Credit Facility to $1.65 billion. In June 2025, we further amended the Senior Unsecured Revolving Credit Facility to increase the size of the Senior Unsecured Revolving Credit Facility to $1.75 billion. During the year ended December 31, 2025, borrowings and repayments under the Senior Unsecured Revolving Credit Facility totaled $630.0 million. In February 2026, we borrowed $400.0 million, resulting in $1.35 billion available to be borrowed under the terms of the Senior Unsecured Revolving Credit Facility.
Dollar-denominated principal amounts outstanding under the Senior Unsecured Revolving Credit Facility accrue interest, at the option of the applicable borrower, either (i) at a base rate plus applicable margin not to exceed 0.20% per annum or (ii) at a term SOFR rate plus a 0.10% per annum adjustment and an applicable margin not to exceed 1.20%. We are also required to pay a quarterly commitment fee on the unused commitments under the Senior Unsecured Revolving Credit Facility not to exceed 0.15% per annum, as well as certain customary fees for any issued letters of credit.
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Senior Notes
On August 14, 2025, the Notes Issuer issued in an SEC-registered offering $500.0 million aggregate principal amount of Senior Notes due 2036 (the “2036 Senior Notes”). The 2036 Senior Notes will mature on January 15, 2036, unless earlier accelerated, redeemed or repurchased. The 2036 Senior Notes are fully and unconditionally guaranteed, jointly and severally, by each of the Guarantors, and are unsecured and unsubordinated obligations of the Notes Issuer and the Guarantors. The 2036 Senior Notes bear interest at a rate of 5.375% per annum. Interest on the 2036 Senior Notes is payable semi-annually in arrears on January 15 and July 15 of each year, beginning on January 15, 2026. The 2036 Senior Notes contain certain covenants, which, subject to certain limitations, restrict the ability of the Notes Issuer and, as applicable, the Guarantors to merge, consolidate or sell, assign, transfer, lease or convey all or substantially all of their combined assets, or create liens on the voting stock of their subsidiaries.
On March 5, 2024, the Notes Issuer issued in an SEC-registered offering $600.0 million aggregate principal amount of Senior Notes due 2034 (the “2034 Senior Notes” and, collectively with the 2036 Senior Notes, the “Senior Notes”). The 2034 Senior Notes will mature on March 5, 2034, unless earlier accelerated, redeemed or repurchased. The 2034 Senior Notes are fully and unconditionally guaranteed, jointly and severally, by each of the Guarantors, and are unsecured and unsubordinated obligations of the Notes Issuer and the Guarantors. The 2034 Senior Notes bear interest at a rate of 5.875% per annum. Interest on the 2034 Senior Notes is payable semi-annually in arrears on March 5 and September 5 of each year, beginning on September 5, 2024. The 2034 Senior Notes contain certain covenants as set forth in the 2034 Senior Notes’ Indenture and First Supplement Indenture, which, subject to certain limitations, restrict the ability of the Notes Issuer and, as applicable, the Guarantors to merge, consolidate or sell, assign, transfer, lease or convey all or substantially all of their combined assets, or create liens on the voting stock of their subsidiaries.
The payment of the principal of, premium, if any, and interest on the Senior Notes and the payment of any Senior Notes guarantee will:
• rank equally in right of payment with all existing and future unsecured and unsubordinated indebtedness, liabilities and other obligations of the Notes Issuer or the relevant Guarantor, including indebtedness under the Amended Senior Unsecured Revolving Credit Facility;
• rank senior in right of payment to all existing and future subordinated indebtedness, liabilities and other obligations of the Notes Issuer or the relevant Guarantor;
• be effectively subordinated to all existing and future secured indebtedness of the Notes Issuer or the relevant Guarantor, to the extent of the value of the assets securing such indebtedness; and
• be effectively subordinated in right of payment to all existing and future indebtedness, liabilities and other obligations of each subsidiary of the Issuer or the relevant Guarantor that is not itself the Notes Issuer or a Guarantor.
Subordinated Notes
On March 4, 2024, the Notes Issuer issued in an SEC-registered offering $400.0 million aggregate principal amount of Fixed-Rate Junior Subordinated Notes due 2064 (the “Subordinated Notes”). The Subordinated Notes bear interest at a rate of 6.950% per annum. Interest on the Subordinated Notes is payable quarterly in arrears on March 15, June 15, September 15 and December 15 of each year, beginning on June 15, 2024, subject to the Notes Issuer’s right, on one or more occasions, to defer the payment of interest on the notes for up to five consecutive years. The Subordinated Notes are fully and unconditionally guaranteed, jointly and severally, by each of the Guarantors, and are unsecured and subordinated obligations of the Notes Issuer and the Guarantors. The Subordinated Notes will mature on March 15, 2064, unless earlier accelerated, redeemed or repurchased. The Subordinated Notes may be redeemed at the Notes Issuer’s option (i) in whole at any time or in part from time to time on or after March 15, 2029 at a redemption price equal to their principal amount plus any accrued and unpaid interest, (ii) upon occurrence of a Tax Redemption Event, as defined in the Subordinated Notes’ First Supplemental Indenture, at a price equal to 100% of their principal amount plus any accrued and unpaid interest or (iii) in whole, but not in part, at any time prior to March 15, 2029, upon the occurrence of a Rating Agency Event, as defined in the Subordinated Notes’ First Supplemental Indenture, at a price equal to 102% of their principal amount plus any accrued and unpaid interest. The Subordinated Notes contain certain covenants as set forth in the Subordinated Notes’ Indenture and First Supplemental Indenture, which, subject to certain limitations, restrict the ability of
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the Notes Issuer and, as applicable, the Guarantors to merge, consolidate or sell, assign, transfer, lease or convey all or substantially all of their combined assets, or create liens on the voting stock of their subsidiaries.
The payment of the principal of, premium, if any, and interest on the Subordinated Notes and the payment of any Subordinated Notes guarantee will:
• be subordinate and rank junior in right of payment to all existing and future senior indebtedness, including indebtedness under the Senior Unsecured Revolving Credit Facility;
• rank equally in right of payment with all existing and future parity indebtedness;
• be effectively subordinated to all existing and future secured indebtedness of the Notes Issuer or the relevant Guarantor, to the extent of the value of the assets securing such indebtedness; and
• be effectively subordinated in right of payment to all existing and future indebtedness, liabilities and other obligations (including policyholder liabilities and other payables) of each subsidiary of the Notes Issuer or the relevant Guarantor that is not itself the Notes Issuer or a Guarantor.
Secured Notes
Our Secured Notes are issued using on-balance sheet securitization vehicles. The Secured Notes are required to be repaid only from collections on the underlying securitized equity method investments and restricted cash of the securitization vehicles. The Secured Notes are separated into two tranches. Tranche A Secured Notes (the “Series A Secured Notes”) were issued in May 2018 at a fixed rate of 5.33% with an aggregate principal balance of $200.0 million due June 20, 2038, with interest payable semiannually. Tranche B Secured Notes (the “Series B Secured Notes” or, collectively with the Series A Secured Notes, the “Secured Notes”) were issued in October 2019 at a fixed rate of 4.75% with an aggregate principal balance of $50.0 million due June 20, 2038, with interest payable semiannually. The Secured Notes contain an optional redemption feature giving us the right to call the notes in full or in part, subject to a prepayment penalty if called before May 2023. If the Secured Notes are not redeemed on or prior to June 20, 2028, we will pay additional interest equal to 4.00% per annum.
The Secured Notes contain covenants and conditions customary in transactions of this nature, including negative pledge provisions, default provisions and financial covenants and limitations on certain consolidations, mergers and sales of assets. As of December 31, 2025, we were in compliance with these covenants and conditions.
Subordinated Credit Facility
In August 2014, one of our consolidated subsidiaries entered into two $15.0 million subordinated revolving credit facilities (collectively, the “Subordinated Credit Facility”), for a total commitment of $30.0 million. The Subordinated Credit Facility is available for direct borrowings and is guaranteed by certain members of TPG Operating Group. In August 2025, the subsidiary extended the maturity date of the Subordinated Credit Facility from August 2026 to August 2027. The interest rate for borrowings under the Subordinated Credit Facility is calculated at a term Secured Overnight Financing Rate (“SOFR”) rate plus a 0.10% per annum adjustment and 2.25%.
During the year ended December 31, 2025, the subsidiary borrowed and made repayments of $55.0 million on the Subordinated Credit Facility, resulting in a zero balance outstanding at December 31, 2025.
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364-Day Credit Facility
On April 14, 2023, a consolidated subsidiary of the Company entered into a 364-day revolving credit facility (the “364-Day Credit Facility”) with Mizuho Bank, Ltd., acting as administrative agent, to provide the subsidiary with revolving borrowings of up to $150.0 million. Borrowings under the 364-Day Credit Facility are subject to one of three interest rates depending on the type of drawdown requested. Alternate Base Rate (“ABR”) loans are denominated in U.S. Dollars and subject to a variable interest rate computed daily as the higher of the Federal Funds Rate plus 0.50% or the one-month Term SOFR plus 1.00%, plus an applicable margin of between 1.00% and 2.00%, depending on the term of the loan. Term Benchmark Loans may be denominated in U.S. Dollars or Euros, and are subject to a fixed interest rate computed as the SOFR rate for a period comparable to the term of the loan in effect two business days prior to the date of borrowing, plus an applicable margin of between 2.00% and 3.00%, depending on the term of the loan. Risk-Free Rate (“RFR”) loans are denominated in Sterling and subject to a fixed interest rate computed daily as the Sterling Overnight Index Average (“SONIA”) in effect five business days prior to the date of borrowing, plus an applicable margin of between 2.00% and 3.00%, depending on the term of the loan. The subsidiary is also required to a pay a quarterly facility fee equal to 0.30% per annum of the total facility capacity of $150.0 million, as well as certain customary fees for any issued loans.
The Company entered into an equity commitment letter in connection with the 364-Day Credit Facility, committing to provide capital contributions, if and when required, to the consolidated subsidiary throughout the life of the facility. In April 2025, the consolidated subsidiary amended the 364-Day Credit Facility to increase the aggregate principal amount of the existing commitments to $300.0 million and extend the commitment termination date to April 11, 2026.
During the year ended December 31, 2025, the subsidiary borrowed $154.0 million and made repayments of $206.0 million on the 364-Day Credit Facility, resulting in a zero balance outstanding at December 31, 2025.
Our Liquidity Needs
We expect that our primary liquidity needs include cash required to:
• support our working capital needs;
• fund cash operating expenses, including compensation and contingencies, including for clawback obligations or litigation matters;
• service debt obligations, including the payment of obligations at maturity, on interest payment dates or upon redemption, as well as any contingent liabilities that may give rise to future cash payments;
• continue growing our businesses, including seeding new strategies, pursuing strategic investments or acquisitions, funding our capital commitments made to existing and future funds and co-investments, meeting any net capital requirements of our broker-dealer or funding obligations of our capital markets business and otherwise supporting investment vehicles that we sponsor;
• pay amounts that may become due under the Tax Receivable Agreement;
• pay earnouts and contingent cash consideration associated with our acquisitions;
• pay cash dividends in accordance with our dividend policy for our Class A common stock;
• warehouse investments or seed portfolios for the benefit of one or more of our funds or other investment vehicles pending the expected contribution of committed capital by the investors in such vehicles and advance capital to them for other operational needs;
• manage risk retention for CLOs;
• address capital needs of regulated and other subsidiaries, including our broker-dealer;
• settle tax withholding obligations in connection with net share settlements of equity-based awards; and
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• exchange Common Units pursuant to the Exchange Agreement or repurchase or redeem other securities issued by us.
Contractual Obligations
In the ordinary course of business, we enter into contractual arrangements that require future cash payments. The following table sets forth information regarding our anticipated future cash payments under our contractual obligations as of December 31, 2025 (in thousands):

Payments Due by Period
Total 2026 2027 2028 2029 2030 2031 and Thereafter
Debt obligations (1)
$ 1,750,000  $ —  $ —  $ —  $ —  $ —  $ 1,750,000 
Interest on debt obligations (2)
2,055,663  100,795  102,960  107,960  112,960  262,688  1,368,300 
Capital commitments (3)
595,895  595,895  —  —  —  —  — 
Operating lease obligations (4)
898,175  6,020  85,898  88,345  85,749  80,286  551,877 
Repurchase agreements 88,195  29,442  26,520  32,233  —  —  — 
Total contractual obligations $ 5,387,928  $ 732,152  $ 215,378  $ 228,538  $ 198,709  $ 342,974  $ 3,670,177 

_________________
(1) Debt obligations presented in the table reflect scheduled principal payments related to the Secured Notes, 2034 Senior Notes, 2036 Senior Notes and Subordinated Notes.
(2) Estimated interest payments on our debt obligations include estimated future interest payments based on the terms of the debt agreements. See Note 11 to the Consolidated Financial Statements for further discussion of these debt obligations.
(3) Capital commitments represent our obligations to provide general partner capital funding to the TPG funds. These amounts are generally due on demand, and accordingly, have been presented as obligations payable in the “2026” column. We generally utilize proceeds from return of capital distributions and proceeds from our Secured Notes to help fund these commitments.
(4) Net of tenant improvement allowances.
Additional Contingent Obligations
As of December 31, 2025 and December 31, 2024, if all investments held by the TPG funds were liquidated at their current unrealized fair value, there would be clawback of $7.9 million and $5.5 million, respectively, primarily related to Asia V, for which a performance allocation reserve was recorded within other liabilities in the Consolidated Statements of Financial Condition. During the year ended December 31, 2025, the general partners made no payments on the clawback liability. Additionally, if all remaining investments were deemed worthless, a possibility management views as remote, the amount of performance allocations subject to potential clawback as of December 31, 2025 and December 31, 2024 would be $2,456.5 million and $2,140.4 million, respectively.
As of December 31, 2025 and December 31, 2024, we had guarantees outstanding totaling $168.4 million and $137.5 million, respectively, related to a third-party lending program that enables certain of our eligible employees to obtain financing for capital contributions into TPG funds with a maximum potential exposure of $348.7 million and $192.9 million, respectively.
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Dividends
The table below presents information regarding the quarterly dividends on the Class A common stock, which were made at the sole discretion of our Executive Committee and Board of Directors.

Date Declared Record Date Payment Date Dividend per Class A Common Share
May 8, 2024 May 20, 2024 June 3, 2024 $ 0.41
August 6, 2024 August 16, 2024 August 30, 2024 0.42
November 4, 2024 November 14, 2024 December 2, 2024 0.38
February 11, 2025 February 21, 2025 March 7, 2025 0.53
Total 2024 Dividend Year (through Q4 2024)
$ 1.74

May 7, 2025 May 19, 2025 June 2, 2025 $ 0.41
August 6, 2025 August 18, 2025 September 2, 2025 0.59
November 4, 2025 November 14, 2025 December 1, 2025 0.45
February 5, 2026 February 19, 2026 March 5, 2026 0.61
Total 2025 Dividend Year (through Q4 2025) $ 2.06

Tax Receivable Agreement
The future exchanges by owners of Common Units for cash from a substantially concurrent public offering, reorganization or private sale (based on the price per share of the Class A common stock on the day before the pricing of such public offering or private sale) or, at our election, for shares of our Class A common stock on a one-for-one basis (or, in certain cases, for shares of nonvoting Class A common stock) are expected to produce or otherwise deliver to us favorable tax attributes that can reduce our taxable income. We (and our wholly-owned subsidiaries) are a party to a tax receivable agreement, under which generally we (or our wholly-owned subsidiaries) are required to pay the beneficiaries of the Tax Receivable Agreement 85% of the applicable cash savings, if any, in U.S. federal, state and local income tax that we actually realize or, in certain circumstances, are deemed to realize as a result of the Covered Tax Items. We generally retain the benefit of the remaining 15% of the applicable tax savings. The payment obligations under the Tax Receivable Agreement are obligations of TPG Inc. (or our wholly-owned subsidiaries), and we expect that the payments we will be required to make under the Tax Receivable Agreement will be substantial.
Pursuant to the Exchange Agreement, certain holders of Common Units, including certain partners and employees, are authorized to exchange Common Units for an equal number of shares of Class A common stock. During the years ended December 31, 2025 and 2024, certain holders of Common Units exchanged Common Units for an equal number of shares of Class A common stock resulting in the issuance of shares of Class A common stock and the cancellation of an equal number of shares of Class B common stock for no additional consideration as follows:

Exchange Date Class A Common Stock Issued

2024 Exchanges (a)

February 27, 2024 17,704,987
May 21, 2024 1,998,593
August 19, 2024 1,042,119
November 15, 2024 5,155,425

2025 Exchanges (a)

February 24, 2025 9,786,354
May 21, 2025 21,000,000
August 19, 2025 5,153,040

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_________________
(a)     The issuance of the shares of Class A common stock to such holders of Common Units was registered pursuant to the Company’s registration statements on Form S-3 filed on November 2, 2023 and September 13, 2024.
These exchanges resulted in an increase in the tax basis of our investment in the TPG Operating Group and are subject to the Tax Receivable Agreement. During the year ended December 31, 2025, we recognized an additional liability associated with the Tax Receivable Agreement in the amount of $476.1 million in connection with the Exchange Agreement. As of December 31, 2025 and December 31, 2024, Tax Receivable Agreement liability, which is included in due to affiliates in the Consolidated Statements of Financial Condition, was $495.1 million and $308.9 million, respectively.
Net Cash Flows
The following table presents a summary of our cash flows for the periods presented:

Year Ended December 31,
2025 2024

($ in thousands)
Net cash provided by operating activities $ 1,032,395  $ 532,146 
Net cash used in investing activities (263,956) (44,465)
Net cash used in financing activities (750,360) (344,860)
Net change in cash, cash equivalents and restricted cash 18,079  142,821 
Cash, cash equivalents and restricted cash, beginning of period 821,192  678,371 
Cash, cash equivalents and restricted cash, end of period $ 839,271  $ 821,192 

Operating Activities
Operating activities provided $1,032.4 million and $532.1 million of cash for the years ended December 31, 2025 and 2024, respectively. Key drivers consisted of performance allocation and co-investment proceeds totaling $2,291.8 million and $1,460.5 million for the years ended December 31, 2025 and 2024, respectively. This was partially offset by other changes in operating assets and liabilities for the years ended December 31, 2025 and 2024.
Investing Activities
Investing activities used $264.0 million and $44.5 million of cash during the years ended December 31, 2025 and 2024, respectively. During the year ended December 31, 2025, cash used in investing activities was primarily related to the acquisition of Peppertree, which was completed in July 2025, and purchases of fixed assets. Cash used in investing activities during the year ended December 31, 2024 was primarily related to the payment of cash consideration to the sellers of Angelo Gordon as a result of post close net working capital adjustments and purchases of fixed assets.
Financing Activities
Financing activities used $750.4 million and $344.9 million of cash during the years ended December 31, 2025 and 2024, respectively. During the year ended December 31, 2025, cash used by financing activities was primarily related to the payments of dividends and distributions to our Class A common stockholders and to holders of non-controlling interests in subsidiaries and withholding taxes paid on net settlement of equity-based awards, partially offset by net proceeds from the issuance of the 2036 Senior Notes in August 2025 and proceeds, net of repayment from the Senior Unsecured Revolving Credit Facility. During the year ended December 31, 2024, cash used by financing activities is primarily related to the 2034 Senior Notes and Subordinated Notes offerings, partially offset by repayment of our outstanding borrowings under our Senior Unsecured Revolving Credit Facility and senior unsecured term loan and by the payments of dividends and distributions to our Class A common stockholders and to holders of non-controlling interests in subsidiaries.
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Supplemental Guarantor Financial Information
The Subordinated Notes issued by the Notes Issuer are guaranteed on a junior, unsecured basis by the Guarantors, and the Senior Notes issued by the Notes Issuer are guaranteed on a senior, unsecured basis by the Guarantors. As used herein, “Obligor Group” means the Notes Issuer and the Guarantors on a combined basis. The Guarantors fully and unconditionally guarantee payments of principal, premium, if any, and interest (i) on the Subordinated Notes on a subordinated, unsecured basis and (ii) on the Senior Notes on a senior, unsecured basis. See Note 11 of the Consolidated Financial Statements for further discussion on these debt obligations.
The Obligor Group entities are holding companies in which the primary assets are the ownership interests in certain consolidated subsidiaries. Accordingly, the Obligor Group has no independent means of generating revenue or cash flow, and its ability to service its debt and guarantee obligations depends upon the results of operations and cash flows of its consolidated subsidiaries. As of December 31, 2025 and December 31, 2024, the Obligor Group held investments in its non-guarantor subsidiaries of $3.4 billion and $3.1 billion, respectively, and recognized income from investments in its non-guarantor subsidiaries of $1.4 billion for the year ended December 31, 2025. In addition, in connection with any distribution by the consolidated subsidiaries, the Obligor Group would only receive its proportionate share of such distribution.
The following summarized financial information is provided in accordance with the reporting requirements of Rule 13-01 under SEC Regulation S-X for the Obligor Group and is not intended to present the financial position or results of operations of the Obligor Group in accordance with U.S. GAAP. The tables present summarized financial information of the Obligor Group on a combined basis after elimination of intercompany transactions and balances within the Obligor Group as of December 31, 2025 and December 31, 2024 and for the year ended December 31, 2025.

December 31,
2025 2024

($ in thousands)
Summarized Obligor Group Assets and Liabilities
Assets, less receivables from non-guarantor subsidiaries $ 1,250,242  $ 448,271 
Due from related parties, excluding non-guarantor subsidiaries 459  3,006 
Due from non-guarantor subsidiaries 157,758  173,709 
Liabilities, less payables to non-guarantor subsidiaries 1,964,844  1,265,061 
Due to related parties, excluding non-guarantor subsidiaries 511,968  318,952 
Due to non-guarantor subsidiaries 27,508  27,119 

Non-controlling interests in Obligor Group Assets and Liabilities (633,381) (669,389)

Year Ended December 31, 2025
($ in thousands)
Summarized Obligor Group Revenues, Net Income (Loss) and Non-Controlling Interests
Revenues from Obligor Group $ (30,264)
Net loss from Obligor Group's revenues and expenses (200,544)
Net loss attributable to non-controlling interests associated with Obligor Group's revenues and expenses (72,756)

Off-Balance Sheet Arrangements
We have not entered into any off-balance sheet arrangements, as defined in Regulation S-K.
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Critical Accounting Estimates
The preparation of the Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets, and liabilities and disclosure of contingent assets and liabilities in our Consolidated Financial Statements. We regularly assess these estimates; however, actual amounts could differ from those estimates. The impact of changes in estimates is recorded in the period in which they become known.
An accounting policy is considered to be critical if the nature of the estimates or assumptions is material due to the levels of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change, and the effect of the estimates and assumptions on financial condition or operating performance. The accounting policies we believe to reflect our more significant estimates, judgments and assumptions that are most critical to understanding and evaluating our reported financial results are: revenue recognition, fair value measurements, business combinations and intangible assets.
Revenues
We recognize revenue in accordance with ASC 606. Revenue is recognized in a manner that depicts the transfer of promised goods or services to customers and for an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services. We are required to 1) identify our contracts with customers, 2) identify the performance obligations in a contract, 3) determine the transaction price, 4) allocate the transaction price to the performance obligations in the contract and 5) recognize revenue when (or as) we satisfy a performance obligation. In determining the transaction price, variable consideration is included only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized would not occur when the uncertainty associated with the variable consideration is resolved. When another party is involved in providing goods or services to the customer, the guidance requires us to assess whether we are the principal versus the agent in the arrangement based on the notion of control, which affects recognition of revenue on a gross or net basis. Essentially all of our revenue and operations are directly or indirectly supporting affiliated investment funds and are derived from or related to their underlying investments.
Management fees related to our funds are generally based on a fixed percentage of the committed capital, net funded capital commitments, cost of investments or Net Asset Value (“NAV”), or actively invested capital. The corresponding fee calculations are primarily objective in nature and therefore do not require the use of significant estimates or assumptions. Management fee calculations based on NAV depend on the fair value of the underlying investments within the respective investment vehicle. Estimates and assumptions are made when determining the fair value of the underlying investments and could vary depending on the valuation methodology that is used. See “Fair Value Measurements” below for further discussion on the judgment required for determining the fair value of underlying investments.
Incentive fees within the scope of the revenue guidance are generally calculated as a percentage of the profits earned in respect of certain accounts for which we are the investment adviser, subject to the achievement of minimum return levels or performance benchmarks. Incentive fees are typically subject to reversal until the end of a defined performance period, as these fees are affected by changes in the fair value of the AUM over such performance period. Moreover, incentive fees that are received prior to the end of the defined performance period are typically subject to clawback, net of tax. We recognize incentive fee revenue only when these amounts are no longer subject to significant reversal, which is typically at the end of a defined performance period and/or upon expiration of the associated clawback period.
Incentive fees structured as performance allocations are accounted for under the equity method of accounting.
For open-ended funds, we calculate revenue based on a percentage of annual fund profits, reduced by minimum return hurdles, and subject to prior year loss carry-forwards. Performance allocations for open-end funds are either paid in the first quarter following the performance year or during the calendar year if there are investor redemptions, and are generally not subject to repayment by the Company. Performance allocations attributed to certain non-liquid investments (“side pocket investments”) owned by open-ended funds are paid when the associated side pocket investments are realized.
For closed-ended funds, Capital Allocation-Based Income is a disproportionate allocation (typically 20%) of performance allocations. Certain funds will allocate performance allocations to us, based on cumulative fund performance to date, irrespective of whether such amounts have been realized. These performance allocations are subject to limited partner preferred returns or high watermarks, where applicable, in accordance with the terms set forth in each respective fund’s governing documents. We recognize income attributable to performance allocations from a fund based on the
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amount that would be due to us pursuant to the fund’s governing documents, assuming the fund was liquidated based on the current fair value of its underlying investments as of that date. Accordingly, the amount recognized as performance allocation income reflects our share of the gains and losses of the associated fund’s underlying investments measured at their then-fair values, relative to the fair values as of the end of the prior period. Performance allocations are generally realized when an underlying investment is profitably disposed of and the fund’s cumulative returns are in excess of the specific hurdle rates, as defined in the applicable governing documents. For any given period, performance allocations on our consolidated statements of operations may include reversals of previously recognized amounts due to a decrease in the value of a particular fund that results in a decrease of cumulative performance allocations earned to date. Since fund minimum level of returns are cumulative, previously recognized performance allocations also may be reversed in a period of appreciation that is lower than the particular fund’s minimum return levels. Each fund is considered separately in this regard and, for a given fund, performance allocations can never be negative over the life of a fund. If upon a hypothetical liquidation of a fund’s investments, at their then current fair values, previously recognized and distributed performance allocation would be required to be returned, a liability is established for the potential clawback obligation. Our actual obligation, however, would not become payable or realized until the end of a fund’s life.
Fair Value Measurements
GAAP establishes a hierarchical disclosure framework, which prioritizes and ranks the level of market price observability used in measuring financial instruments at fair value. Market price observability is affected by a number of factors, including the type of financial instrument, the characteristics specific to the financial instrument and the state of the marketplace—including the existence and transparency of transactions between market participants. Financial instruments with readily available quoted prices in active markets generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value.
Financial instruments measured and reported at fair value are classified and disclosed based on the observability of inputs used in the determination of their fair values, as follows:
• Level I—Pricing inputs are unadjusted, quoted prices in active markets for identical assets or liabilities as of the measurement date.
• Level II—Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the measurement date, and fair value is determined through the use of models or other valuation methodologies. The types of financial instruments generally classified in this category include securities with less liquidity traded in active markets, securities traded in other than active markets, corporate bonds and loans, and government and agency securities.
• Level III—Pricing inputs are unobservable for the financial instruments and include situations where there is little, if any, market activity for the financial instrument. The inputs into the determination of fair value require significant management judgment or estimation.
In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and consideration of factors specific to the financial instrument.
The fair value of the investments held by TPG funds is the primary input to the calculation of certain of our management fees, incentive fees, capital allocation based income, and performance allocation compensation. The TPG funds are accounted for as investment companies in accordance with ASC 946 and reflect their investments, including majority-owned and controlled investments, at fair value. In the absence of observable market prices, we utilize valuation methodologies applied on a consistent basis and assumptions that we believe market participants would use to determine the fair value of the investments. For investments where little market activity exists, management’s determination of fair value is based on the best information available in the circumstances, which may incorporate management’s own assumptions and involves a significant degree of judgment, and the consideration of a combination of internal and external factors, including the appropriate risk adjustments for non-performance and liquidity risks.
TPG has also elected the fair value option for certain other proprietary investments. TPG is required to measure certain financial instruments at fair value, including equity securities and derivatives.
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Fair Value of Investments or Instruments that are Exchange Traded
Securities that are exchange traded and for which a quoted market exists will be valued at the closing price of such securities in the principal market in which the security trades, or in the absence of a principal market, in the most advantageous market on the valuation date. When a quoted price in an active market exists, no block discounts or control premiums are permitted regardless of the size of the public security held. In some cases, securities will include legal restrictions limiting their purchase and sale for a period of time, such as may be required under SEC Rule 144. A discount to publicly traded price may be appropriate in those cases; the amount of the discount, if taken, shall be determined based on the time period that must pass before the restricted security becomes unrestricted or otherwise available for sale.
Fair Value of Investments or Instruments that are not Exchange Traded
In the absence of observable market prices, we rely on valuation methodologies that primarily employ management’s determination as to fair value based off of available information and management’s own assumptions about the business. These assumptions involve a significant degree of judgement, taking into consideration a combination of internal and external factors.
Equity Investments . We determine the fair value of our equity investments using the market approach, income approach or some combination of both. We primarily use the market approach for determining the fair values of our investments. The market approach relies upon valuations for comparable public companies, transactions or assets, and thus requires that we use our discretion to identify comparable companies, transactions and assets. We may also choose to incorporate a secondary methodology, generally used to corroborate the results of the market approach. This would typically be the income approach, which provides an indication of fair value based on the present value of cash flows that a business, security or property is expected to generate in the future. The most widely used methodology under the income approach is the discounted cash flow method, which includes significant assumptions about the underlying investment’s projected net earnings or cash flows, discount rate, capitalization rate or exit multiple. Depending on the facts and circumstances associated with the investment, different primary and secondary methodologies may be used including direct capitalization method, option value, contingent claims or scenario analysis, yield analysis, projected cash flow through maturity or expiration, probability weighted methods or recent round of financing.
Credit Investments . The fair values of credit-oriented investments are generally determined on the basis of prices between market participants provided by reputable dealers or pricing services. In determining the value of a particular investment, pricing services may use certain information with respect to transactions in such investments, quotations from dealers, pricing matrices, market transactions in comparable investments and various relationships between investments. Investments in distressed debt and corporate loans and bonds, we generally determine fair value by comparing against similar investments. We review and analyze the prices obtained from external pricing sources to evaluate their reliability and accuracy, and at times exclude vendor prices and broker quotations that we believe do not reflect fair value. Certain credit financial instruments may not trade or prices are not readily available, or trade infrequently and, when they are traded, the price may be unobservable and, as a result, multiple external pricing sources may not be available. In such instances, we may use an internal pricing model as either a corroborating or sole data point in determining the price. We generally engage specialized third-party valuation service providers to assess and corroborate the valuation of a selection of the investments on a periodic basis.
Management Process on Fair Value
Due to the importance of fair value throughout the Consolidated Financial Statements and the significant judgment required to be applied in arriving at those fair values, we have developed a process around valuation that incorporates several levels of approval and review from both internal and external sources. Investments held by TPG funds and investment vehicles are valued on at least a quarterly basis by our internal valuation or asset management teams, which are independent from our investment teams.
For investments valued utilizing a forward-looking market approach and/or income method, and where TPG has information rights, we generally have a direct line of communication with each of the portfolio company finance teams and collect financial data used to support projections used in the analysis. The respective product’s valuation team or deal team then analyzes the data received and updates the valuation models, reflecting any changes in the underlying forecast, cash flow projections, weighted-average cost of capital, exit multiple and any other valuation input relevant economic conditions.
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The results of all valuations of investments held by TPG funds and investment vehicles are initially reviewed and approved by the relevant subcommittee. Each subcommittee is comprised of at least one member who does not participate in the process of making or disposing of investments. The valuations are aggregated and significant matters are presented for final approval by TPG’s Global Valuation Committee, which is comprised of senior employees and includes its Chief Financial Officer, General Counsel, Chief Compliance Officer, Chief Operating Officer and Chief Accounting Officer. Approval by any member of the Valuation Committee is related to such member’s role in the Committee, such that control function members’ (i.e., those members who do not participate in the process of making or disposing of investments) approval, for example, represents their confirmation that the process was run appropriately and that the deliberations were on the merits.
Additionally, we will generally engage independent valuation firms to assist with valuations of certain Level III valuations. The respective valuation firm will either perform certain procedures in order to assess the reasonableness of our valuation or provide a valuation range from which we will select a point in the range to determine the final valuation.
Business Combinations
We account for business combinations using the acquisition method under ASC Topic 805, Business Combinations (“ASC 805”) under which the purchase price of the acquisition is allocated to the assets acquired and liabilities assumed generally using the fair values determined by management as of the acquisition date. The excess of the consideration transferred, the fair value in any noncontrolling interest in the acquiree, and the fair value of our previously held interest in the acquiree over the net of the acquisition-date values of the identifiable assets and liabilities assumed is recognized as goodwill. Management’s determination of fair value of assets acquired and liabilities assumed at the acquisition date is based on the best information available in the circumstances and may incorporate management’s own assumptions and involve a significant degree of judgment. Management uses its best estimates and assumptions to accurately assign fair value to the tangible and identifiable intangible assets acquired and liabilities assumed at the acquisition date as well as the useful lives of those acquired intangible assets.
Intangible Assets
Our intangible assets consist of our interests in future promote of certain funds, our interests in the future management fees of certain funds, acquired investor relationships, acquired technology, and trade names. Examples of critical estimates in valuing certain of the intangible assets we have acquired include, but are not limited to, future expected cash inflows and outflows, future fundraising assumptions, expected useful lives, discount rates and income tax rates. Our estimates for future cash flows are based on historical data, various internal estimates and certain external sources, and are based on assumptions that are consistent with the plans and estimates we are using to manage the underlying assets acquired. Unanticipated events and circumstances may occur that could affect the accuracy or validity of such assumptions, estimates or actual results. Finite-lived intangible assets are amortized over their estimated useful lives, which range from 2 years to 20 years, and are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the intangible asset may not be recoverable. Amortization expense is included in depreciation and amortization expense in the Consolidated Financial Statements.
Recent Accounting Developments
Information regarding recent accounting developments and their effects to us can be found in Note 2 , “Summary of Significant Accounting Policies,” to our audited Consolidated Financial Statements included elsewhere in this report.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk
Our exposure to market risks primarily relates to our role as investment advisor or general partner to our TPG funds and the impact of movements in the underlying fair value of their investments. Our management fees, performance allocation and net gains from investments are the primary sources of income that could be impacted. The fair value of investments may fluctuate in response to changes in the values of investments, general equity and other market conditions, and foreign currency exchange rates. Additionally, interest rate movements can adversely impact the amount of interest that we pay on debt obligations bearing variable rates. Although our investment funds share many common themes, each of our platforms runs its own investment and risk management processes, subject to our overall risk tolerance and philosophy. The investment process of our TPG funds involves a comprehensive due diligence approach, including review of reputation of investors and management, company size and sensitivity of cash flow generation, business sector and competitive risks, portfolio fit, exit risks and other key factors highlighted by the deal team. Key investment decisions are subject to approval
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by the investment committee, which generally includes one or more of the key members of management, one product leader, and one or more advisors and senior investment professionals associated with that particular fund. Once an investment in a portfolio company has been made, our fund teams closely monitor the performance of the portfolio company, generally through frequent contact with management and the receipt of financial and management reports. For the valuation process that is used in the determination of fair value, we assume a reasonable period of time for liquidation of the investment and take into consideration the following: financial condition, the nature of the investment, restrictions on marketability, market conditions, foreign currency exposures and other factors. Throughout this process, we exercise significant judgment and use the best information available as of the measurement date.
Effect on Management Fees
TPG provides investment management services to the funds and other vehicles in exchange for a management fee. Management fees will only be directly affected by short-term changes in market conditions to the extent they are based on net asset value (“NAV”) or represent permanent impairments of value. Such management fees will be increased (or reduced) in direct proportion to the effect of changes in the market value of our investments in the related funds. In addition, the terms of the governing agreements with respect to certain of our TPG funds provide that the management fee base will be reduced when the aggregate fair market value of a fund’s investments is below its cost. The proportion of our management fees that are based on NAV is dependent on the number and types of investment funds in existence and the current stage of each fund’s life cycle.
Effect on Performance Allocations
Performance allocations reflect revenue primarily from performance allocations on our TPG funds. In our discussion of “Key Financial Measures” and “Critical Accounting Estimates,” we disclose that performance allocations are recognized upon appreciation of the valuation of our TPG funds’ investments above certain return hurdles and are based upon the amount that would be due to TPG at each reporting date as if the funds were liquidated at their then-current fair values. Changes in the fair value of the funds’ investments may materially impact performance allocations depending upon the respective funds’ performance to date as compared to its hurdle rate and the related performance allocation waterfall. An immediate, hypothetical 10% decline in the fair value of investments would result in a decrease of performance allocations totaling $2,409.4 million, or $448.8 million net of accrued performance allocation compensation and other allocations.
Effect on Investment Income
Investment income is earned from our investments in TPG funds and other investments. We record these investments under the equity method of accounting and recognize our pro rata share of income. Net changes in the fair value of the underlying investments of our TPG funds and other investment’s underlying portfolio investments may materially impact the net gains (losses) from investment activities in our consolidated statement of operations depending upon the respective funds’ performance to date as compared to its hurdle rate. An immediate, hypothetical 10% decline in the fair value of investments would result in a decrease of investment income totaling $117.8 million.
Exchange Rate Risk
Our investment funds hold investments that are denominated in non-USD currencies that may be affected by movements in the rate of exchange between the USD and non-USD currencies. Non-USD denominated assets and liabilities are translated at year-end rates of exchange, and the consolidated statements of operations accounts are translated at rates of exchange in effect throughout the year. In our capacity as investment manager, certain of the funds we manage may seek to mitigate risks from this exposure by employing hedging techniques, including using foreign currency options and foreign exchange forward contracts to help insulate us from future changes in exchange rates. This may include hedging amounts in excess of our capital invested, to reduce exposure on projected unrealized on projected unrealized investment profits. We estimate that as of December 31, 2025, if the USD strengthened 10% against all foreign currencies, the impact on our consolidated results of operations for the year then ended would be as follows: (a) performance allocations would decrease by $300.74 million, or $55.5 million net of accrued performance allocation compensation and other allocations and (b) net gains from investments would decrease by $22.3 million. The majority of our TPG funds are USD denominated and have functional currency in the USD. As such, our management fees are not significantly impacted by fluctuations in exchange rates.

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Interest Rate Risk
Interest rate risk represents exposure we have to instruments whose values vary with the change in interest rates. These instruments include, but are not limited to, loans, borrowings and derivative instruments. We may seek to mitigate risks associated with the exposures by taking offsetting positions in derivative contracts. We have obligations under our loans that accrue interest at variable rates. Interest rate changes may therefore affect the amount of interest payments, future earnings and cash flows. The loans generally incur interest at SOFR plus an applicable rate. We do not have any interest rate swaps in place for these borrowings. Based on our debt obligations payable as of December 31, 2025, we estimate that interest expense relating to variable-rate debt would increase by approximately $2.5 million on an annual basis in the event interest rates were to increase by one percentage point.

Credit Risk
We are party to agreements providing for various financial services and transactions that contain an element of risk in the event that the counterparties are unable to meet the terms of such agreements. In such agreements, we depend on the respective counterparty to make payment or otherwise perform. We generally endeavor to minimize our risk of exposure by limiting the counterparties with which we enter into financial transactions to reputable financial institutions. In other circumstances, availability of financing from financial institutions may be uncertain due to market events, and we may not be able to access these financing markets.
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Item 8. Financial Statements and Supplementary Data

Page
Report of Independent Registered Public Accounting Firm (PCAOB ID No. 34 )
137

Consolidated Statements of Financial Condition as of December 31, 202 5 and 202 4
140

Consolidated Statements of Operations for the Years Ended December 31, 202 5 , 202 4 and 202 3
141

Consolidated Statements of Changes in Equity for the Years Ended December 31, 202 5 , 202 4 and 202 3
142

Consolidated Statements of Cash Flows for the Years Ended December 31, 202 5 , 202 4 and 202 3
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Notes to Consolidated Financial Statements
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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the shareholders and the Board of Directors of TPG Inc.
Opinions on the Financial Statements and Internal Control over Financial Reporting
We have audited the accompanying consolidated statements of financial condition of TPG Inc. and subsidiaries (the "Company") as of December 31, 2025 and 2024, the related consolidated statements of operations, changes in equity, and cash flows, for each of the three years in the period ended December 31, 2025, and the related notes (collectively referred to as the "financial statements"). We also have audited the Company’s internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Company as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2025, in conformity with accounting principles generally accepted in the United States of America. Also, in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control — Integrated Framework (2013) issued by COSO.
As described in Management's Annual Report on Internal Control over Financial Reporting, management excluded from its assessment the internal control over financial reporting at Peppertree Capital Management Inc. (“Peppertree”), which was acquired on July 1, 2025, and whose financial statements constitute 4.5% of the Company’s total assets and 1.4% of total revenues of the consolidated financial statement amounts as of and for the year ended December 31, 2025. Accordingly, our audit did not include the internal control over financial reporting at Peppertree.
Basis for Opinions
The Company’s management is responsible for these financial statements, for maintaining effective internal control over financial reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying Management's Annual Report on Internal Control over Financial Reporting. Our responsibility is to express an opinion on these financial statements and an opinion on the Company’s internal control over financial reporting based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud, and whether effective internal control over financial reporting was maintained in all material respects.
Our audits of the financial statements included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures to respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.
Definition and Limitations of Internal Control over Financial Reporting
A company’s internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly
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reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Critical Audit Matter
The critical audit matter communicated below is a matter arising from the current-period audit of the financial statements that was communicated or required to be communicated to the audit committee and that (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.
Fair Value - Underlying Investments Without Readily Determinable Fair Values Used in the Calculation of Performance Allocations — Refer to Notes 2 and 4 of the financial statements
Critical Audit Matter Description
The Company, as a general partner, is entitled to an allocation of income from certain TPG Funds (“TPG Funds”), assuming certain investment returns are achieved, referred to as “Performance Allocations”. Performance Allocations are allocated based on cumulative fund performance as of each reporting date, and after specified investment returns to the TPG Funds’ limited partners are achieved. The fair value of the underlying investments held by the TPG Funds is a significant input into this calculation.
As the fair value of underlying investments varies between reporting periods, it is necessary to make adjustments to amounts recorded as Performance Allocations to reflect either (a) positive performance resulting in an increase in the Performance Allocations or (b) negative performance that would cause the amount due to the general partner to be less than the amount previously recognized, resulting in a negative adjustment to Performance Allocations. In each case, Performance Allocations are calculated on a cumulative basis and cumulative results are compared to amounts previously recorded with a current period adjustment, positive or negative, recorded. Accrued but unpaid Performance Allocations as of the reporting date are reflected in Investments in the consolidated statements of financial condition.
We identified the valuation of certain investments without readily determinable fair values used in the calculation of Performance Allocations as a critical audit matter because of the valuation techniques, assumptions, and subjectivity of the unobservable inputs used in the valuation, and changes in the fair value of these investments directly impacts the amount of Performance Allocations the Company accrues for the period. Auditing these inputs required a high degree of auditor judgment and an increased extent of effort, including the need to involve our fair value specialists who possess significant investment valuation expertise.
How the Critical Audit Matter Was Addressed in the Audit
Our audit procedures related to valuation techniques, assumptions, and unobservable inputs used by management to estimate the fair values of certain investments with unobservable inputs (“Level III”) included the following, among others:
• We tested the effectiveness of internal controls over the determination of the fair value of certain Level III Investments.
• We evaluated the appropriateness of management’s assumptions through independent analysis and comparison to external sources.
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• We involved more senior, more experienced audit team members and, as needed, our internal fair value specialists, to assist in the evaluation of management’s valuation methodologies and valuation assumptions including the unobservable inputs used to estimate fair value.
• We assessed the consistency by which management applied its valuation process.
• We evaluated management’s ability to accurately estimate the fair value of Level III investments by comparing the previous estimates of fair value to subsequent market transactions.

/s/ Deloitte & Touche LLP
Fort Worth, Texas
February 17, 2026
We have served as the Company’s auditor since 2015.
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TPG Inc.
Consolidated Statements of Financial Condition
(dollars in thousands, except share data)

December 31, 2025 December 31, 2024
Assets
Cash and cash equivalents $ 826,105   $ 808,017  
Restricted cash (1)
13,166   13,175  
Due from affiliates 573,590   447,012  
Investments (includes assets pledged of $ 603,322 and $ 720,933 as of December 31, 2025 and December 31, 2024, respectively (1) )
9,211,816   7,503,281  
Intangible assets, net 659,839   533,707  
Goodwill 498,188   436,079  
Right-of-use assets 552,254   208,501  
Deferred tax assets 860,676   352,951  
Other assets 297,301   232,386  
Total assets $ 13,492,935   $ 10,535,109  

Liabilities and Equity

Liabilities
Accounts payable and accrued expenses $ 230,523   $ 211,914  
Due to affiliates 694,632   465,137  
Debt obligations (1)
1,722,547   1,281,984  
Accrued performance allocation compensation 5,399,750   4,376,523  
Operating lease liabilities 604,593   223,131  

Other liabilities 704,515   384,431  
Total liabilities 9,356,560   6,943,120  

Commitments and contingencies (Note 16)

Equity
Class A common stock $ 0.001 par value, 2,340,000,000 shares authorized ( 153,113,961 and 109,211,355 shares issued and outstanding as of December 31, 2025 and December 31, 2024, respectively)
153   109  
Class B common stock $ 0.001 par value, 750,000,000 shares authorized ( 224,331,812 and 255,756,502 shares issued and outstanding as of December 31, 2025 and December 31, 2024, respectively)
224   256  
Preferred stock, $ 0.001 par value, 25,000,000 shares authorized ( 0 issued and outstanding as of December 31, 2025 and December 31, 2024)
—   —  
Additional paid-in-capital 1,476,444   970,719  
Accumulated deficit ( 291,604 ) ( 186,983 )
Non-controlling interests 2,951,158   2,807,888  
Total equity 4,136,375   3,591,989  
Total liabilities and equity $ 13,492,935   $ 10,535,109  
_________________
(1) The Company’s consolidated total assets and liabilities as of December 31, 2025 and December 31, 2024 include assets and liabilities of variable interest entities (“VIEs”). These assets can be used only to satisfy obligations of the VIEs, and the creditors of the VIEs have recourse only to these assets, and not to TPG Inc. See Notes 2, 10 and 11 to the Consolidated Financial Statements.
See accompanying notes to Consolidated Financial Statements.
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TPG Inc.
Consolidated Statements of Operations
(dollars in thousands, except share and per share data)

Year Ended December 31,
2025 2024 2023
Revenues
Fees and other $ 2,424,138   $ 2,087,076   $ 1,534,626  
Capital allocation-based income 2,246,074   1,413,006   855,285  
Total revenues 4,670,212   3,500,082   2,389,911  
Expenses
Compensation and benefits:
Cash-based compensation and benefits 894,382   835,328   547,377  
Equity-based compensation 813,741   1,006,312   654,922  
Performance allocation compensation 1,427,458   930,053   591,676  
Total compensation and benefits 3,135,581   2,771,693   1,793,975  
General, administrative and other 702,173   583,733   483,627  
Depreciation and amortization 144,542   135,386   47,673  
Interest expense 112,111   87,511   38,528  

Total expenses 4,094,407   3,578,323   2,363,803  
Investment income (loss)
Net (losses) gains from investment activities ( 2,847 ) ( 29,326 ) 6,564  
Interest, dividends and other 93,620   82,743   42,622  
Investment and other income of consolidated Public SPACs —   —   8,359  
Total investment income 90,773   53,417   57,545  
Income (loss) before income taxes 666,578   ( 24,824 ) 83,653  
Income tax expense 66,993   52,091   60,268  
Net income (loss) 599,585   ( 76,915 ) 23,385  
Net income attributable to redeemable equity in Public SPACs —   —   12,044  
Net income (loss) attributable to non-controlling interests in TPG Operating Group 50,771   ( 175,927 ) ( 92,411 )
Net income attributable to other non-controlling interests 364,226   75,529   23,662  
Net income attributable to TPG Inc. $ 184,588   $ 23,483   $ 80,090  

Net income (loss) per share data:
Net income (loss) available to Class A common stock per share
Basic $ 0.89   $ 0.00   $ 0.89  
Diluted $ 0.45   $ ( 0.42 ) $ ( 0.04 )
Weighted-average shares of Class A common stock outstanding
Basic 138,879,433 100,219,905 80,334,871
Diluted 374,125,608 364,725,579 317,944,496

See accompanying notes to Consolidated Financial Statements.
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TPG Inc.
Consolidated Statements of Changes in Equity
(dollars in thousands, except share data)

Shares of TPG Inc. TPG Inc.
Class A Common Stock Class B Common Stock Class A Common Stock, at par value Class B Common Stock, at par value Additional Paid-In Capital Accumulated Deficit Total TPG Inc. Equity Non-Controlling Interests Total Equity
Balance at January 1, 2023 79,240,058   229,652,641   $ 79   $ 230   $ 506,639   $ 2,724   $ 509,672   $ 2,576,199   $ 3,085,871  
Net income (loss) —  —  —  —  —  80,090   80,090   ( 68,749 ) 11,341  
Equity-based compensation —  —  —  —  49,579   —  49,579   590,443   640,022  
Capital contributions —  —  —  —  —  —  —  21,769   21,769  
Dividends/distributions —  —  —  —  —  ( 117,495 ) ( 117,495 ) ( 539,309 ) ( 656,804 )
Change in redemption value of redeemable non-controlling interest —  —  —  —  1,457   —  1,457   25,971   27,428  
Shares issued for net settlement of equity-based awards 356,443   —  0   —  0   —  —  —  —  
Withholding taxes paid on net settlement of equity-based awards —  —  —  —  ( 1,752 ) —  ( 1,752 ) ( 5,126 ) ( 6,878 )
Deferred tax effects resulting from changes in equity —  —  —  —  ( 767 ) —  ( 767 ) —  ( 767 )
Deferred tax effects for Exchange of Common Units to TPG Inc. Class A common stock and other equity reallocations 1,000,000   ( 1,000,000 ) 1   ( 1 ) 1,085   —  1,085   —  1,085  
Acquisition (see Note 3) —  53,004,985   —  53   ( 53 ) —  —  238,067   238,067  
Equity reallocation between controlling and non-controlling interest —  —  —  —  57,288   —  57,288   ( 57,288 ) —  
Balance at December 31, 2023 80,596,501   281,657,626   $ 80   $ 282   $ 613,476   $ ( 34,681 ) $ 579,157   $ 2,781,977   $ 3,361,134  

See accompanying notes to Consolidated Financial Statements.
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TPG Inc.
Consolidated Statements of Changes in Equity
(dollars in thousands, except share data)

Shares of TPG Inc. TPG Inc.
Class A Common Stock Class B Common Stock Class A Common Stock, at par value Class B Common Stock, at par value Additional Paid-In Capital Accumulated Deficit Total TPG Inc. Equity Non-Controlling Interests Total Equity
Balance at January 1, 2024 80,596,501   281,657,626   $ 80   $ 282   $ 613,476   $ ( 34,681 ) $ 579,157   $ 2,781,977   $ 3,361,134  
Net income (loss) —  —  —  —  —  23,483   23,483   ( 100,398 ) ( 76,915 )
Equity-based compensation —  —  —  —  192,852   —  192,852   756,591   949,443  
Capital contributions —  —  —  —  —  —  —  220,934   220,934  
Dividends/distributions —  —  —  —  —  ( 175,785 ) ( 175,785 ) ( 657,595 ) ( 833,380 )

Shares issued for net settlement of equity-based awards 2,713,730   —  3   —  ( 3 ) —  —  —  —  
Withholding taxes paid on net settlement of equity-based awards —  —  —  —  ( 21,361 ) —  ( 21,361 ) ( 46,310 ) ( 67,671 )

Deferred tax effects for Exchange of Common Units to TPG Inc. Class A common stock and other equity reallocations 25,901,124   ( 25,901,124 ) 26   ( 26 ) 38,444   —  38,444   —  38,444  
Equity reallocation between controlling and non-controlling interest —  —  —  —  147,311   —  147,311   ( 147,311 ) —  

Balance at December 31, 2024 109,211,355   255,756,502   $ 109   $ 256   $ 970,719   $ ( 186,983 ) $ 784,101   $ 2,807,888   $ 3,591,989  

See accompanying notes to Consolidated Financial Statements.
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TPG Inc.
Consolidated Statements of Changes in Equity
(dollars in thousands, except share data)

Shares of TPG Inc. TPG Inc.
Class A Common Stock Class B Common Stock Class A Common Stock, at par value Class B Common Stock, at par value Additional Paid-In Capital Accumulated Deficit Total TPG Inc. Equity Non-Controlling Interests Total Equity
Balance at January 1, 2025 109,211,355   255,756,502   $ 109   $ 256   $ 970,719   $ ( 186,983 ) $ 784,101   $ 2,807,888   $ 3,591,989  
Net income —  —  —  —  —  184,588   184,588   414,997   599,585  
Equity-based compensation —  —  —  —  245,804   —  245,804   621,225   867,029  
Capital contributions —  —  —  —  —  —  —  539,097   539,097  
Dividends/distributions —  —  —  —  —  ( 289,209 ) ( 289,209 ) ( 999,053 ) ( 1,288,262 )

Shares issued for net settlement of equity-based awards 5,049,790   —  5   —  ( 5 ) —  —  —  —  
Shares retired ( 517 ) ( 857,626 ) ( 0 ) ( 1 ) 1   —  —  —  —  
Withholding taxes paid on net settlement of equity-based awards —  —  —  —  ( 71,139 ) —  ( 71,139 ) ( 119,424 ) ( 190,563 )

Deferred tax effects for Exchange of Common Units to TPG Inc. Class A common stock and other equity reallocations 35,939,394   ( 35,939,394 ) 36   ( 36 ) 64,135   —  64,135   —  64,135  
Equity reallocation between controlling and non-controlling interest —  —  —  —  112,964   —  112,964   ( 112,964 ) —  
Deconsolidation of previously consolidated entities —  —  —  —  —  —  —  ( 258,359 ) ( 258,359 )
Acquisition of Peppertree 2,913,939   5,372,330   3   5   153,965   —  153,973   57,751   211,724  

Balance at December 31, 2025 153,113,961   224,331,812   $ 153   $ 224   $ 1,476,444   $ ( 291,604 ) $ 1,185,217   $ 2,951,158   $ 4,136,375  

See accompanying notes to Consolidated Financial Statements.
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TPG Inc.
Consolidated Statements of Cash Flows
(dollars in thousands)

Year Ended December 31,
2025 2024 2023
Operating activities:
Net income (loss) $ 599,585   $ ( 76,915 ) $ 23,385  
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Equity-based compensation 813,741   1,006,312   654,922  
Performance allocation compensation 1,427,458   930,053   591,676  
Net losses (gains) from investment activities 2,847   29,326   ( 6,564 )
Capital allocation-based income ( 2,246,074 ) ( 1,413,006 ) ( 855,285 )
Depreciation and amortization 144,542   135,386   47,673  
Non-cash lease expense 56,471   36,573   23,207  
Other non-cash activities 1,351   7,283   29,081  

Changes in operating assets and liabilities:
Purchases of investments ( 1,122,810 ) ( 862,821 ) ( 303,118 )
Proceeds from investments 2,291,806   1,460,532   798,478  
Due from affiliates ( 118,555 ) ( 18,862 ) 41,268  
Other assets ( 66,632 ) ( 25,063 ) ( 44,475 )
Accounts payable and accrued expenses ( 4,906 ) 52,610   ( 231,542 )
Due to affiliates 62,271   26,635   ( 161,833 )
Accrued performance allocation compensation ( 803,609 ) ( 647,128 ) ( 505,024 )
Other liabilities ( 5,091 ) ( 108,769 ) ( 40,283 )

Assets and liabilities, net related to consolidated Public SPACs —   —   658,952  

Net cash provided by operating activities 1,032,395   532,146   720,518  

Investing activities:
Acquisition of Peppertree ( 235,154 ) —   —  
Acquisition of Angelo Gordon —   ( 16,334 ) ( 356,835 )

Purchases of fixed assets ( 28,802 ) ( 28,131 ) ( 16,728 )
Net cash used in investing activities ( 263,956 ) ( 44,465 ) ( 373,563 )

Financing activities:
Proceeds from debt obligations 1,339,000   1,388,500   651,000  
Repayment of debt obligations ( 891,000 ) ( 1,037,500 ) ( 150,000 )
Issuance costs on debt obligations ( 8,972 ) ( 16,632 ) ( 900 )
Withholding taxes paid on net settlement of equity-based awards ( 190,563 ) ( 67,671 ) ( 6,878 )
Contributions from holders of other non-controlling interests 258,461   220,934   21,769  

Dividends/Distributions ( 1,229,045 ) ( 832,491 ) ( 643,224 )
Settlement of contingent liabilities ( 18,646 ) —   —  
Tax receivable agreement payments ( 9,595 ) —   —  

Redemption of redeemable equity —   —   ( 661,001 )
Net cash used in financing activities $ ( 750,360 ) $ ( 344,860 ) $ ( 789,234 )
Net change in cash, cash equivalents and restricted cash $ 18,079   $ 142,821   $ ( 442,279 )
Cash, cash equivalents and restricted cash, beginning of period 821,192   678,371   1,120,650  
Cash, cash equivalents and restricted cash, end of period $ 839,271   $ 821,192   $ 678,371  

Supplemental disclosures of other cash flow information:
Cash paid for income taxes $ 30,286   $ 42,293   $ 51,130  
Cash paid for interest 92,117   65,371   33,549  
Reconciliation of cash, cash equivalents and restricted cash, end of period:
Cash and cash equivalents $ 826,105   $ 808,017   $ 665,188  
Restricted cash 13,166   13,175   13,183  
Cash, cash equivalents and restricted cash, end of period $ 839,271   $ 821,192   $ 678,371  

See accompanying notes to Consolidated Financial Statements.
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TPG Inc.
Notes to Consolidated Financial Statements

1. Organization
TPG Inc., along with its consolidated subsidiaries (collectively “TPG,” or the “Company”) is a leading global alternative asset manager on behalf of third-party investors under the “TPG” brand name. TPG Inc. includes the consolidated accounts of management companies, general partners of pooled investment entities and variable interest entities, in which the Company is the primary beneficiary, held by TPG Operating Group II, L.P., a holding company (“TPG Operating Group”).
As of December 31, 2025, TPG Inc. held approximately 41 % of the outstanding Common Units of the TPG Operating Group.

2. Summary of Significant Accounting Policies
Basis of Presentation
The accompanying consolidated financial statements (the “Consolidated Financial Statements”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). All dollar amounts are stated in thousands unless otherwise indicated. All intercompany transactions and balances have been eliminated. Certain comparative amounts for the prior fiscal year have been reclassified to conform to the financial statement presentation as of and for the year ended December 31, 2025.
The Consolidated Financial Statements include the accounts of TPG Inc., TPG Operating Group and their consolidated subsidiaries, management companies, the general partners of funds and entities that meet the definition of a variable interest entity (“VIE”) for which the Company is considered the primary beneficiary.
Public SPACs are consolidated pursuant to U.S. GAAP in the relevant years presented, and the accompanying Consolidated Financial Statements include the revenues, expenses and cash flows of the consolidated Public SPACs. All of the management fees and other amounts earned from the consolidated Public SPACs are eliminated in consolidation. In addition, the equivalent expense amounts recorded by the consolidated Public SPACs are also eliminated, with such reduction of expenses allocated to controlling interest holders. Accordingly, the consolidation of these entities has no net effect on net income attributable to TPG Inc. or net income attributable to other non-controlling interests. As of December 31, 2025 and December 31, 2024, the Company did not have any investments in consolidated Public SPACs.

Use of Estimates
The preparation of the Consolidated Financial Statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the Consolidated Financial Statements, and the reported amounts of revenues, expenses, and investment income during the reporting periods. Actual results could differ from those estimates and such differences could be material to the Consolidated Financial Statements.
Principles of Consolidation
The types of entities TPG assesses for consolidation include subsidiaries, management companies, broker-dealers, general partners of investment funds, investment funds, special purpose acquisition companies (“SPACs”) and other entities. Each of these entities is assessed for consolidation on a case by case basis depending on the specific facts and circumstances surrounding that entity.
TPG first considers whether an entity is considered a VIE and therefore whether to apply the consolidation guidance under the VIE model. Entities that do not qualify as VIEs are assessed for consolidation as voting interest entities (“VOE”) under the voting interest model.
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TPG Inc.
Notes to Consolidated Financial Statements

An entity is considered to be a VIE if any of the following conditions exist: (i) the equity investment at risk is not sufficient to finance the activities of the entity without additional subordinated financial support, (ii) as a group, the holders of the equity investment at risk lack the power to direct the activities that most significantly impact the entity’s economic performance or the obligation to absorb the expected losses or right to receive the expected residual returns, and (iii) the voting rights of some holders of the equity investment at risk are disproportionate to their obligation to absorb losses or right to receive returns, and substantially all of the activities are conducted on behalf of the holder of equity investment at risk with disproportionately few voting rights. For limited partnerships, limited partners lack power if neither (i) a simple majority or lower threshold (including a single limited partner) with equity at risk is able to exercise substantive kick-out rights through voting interests over the general partner, nor (ii) limited partners with equity at risk are able to exercise substantive participating rights over the general partners.
TPG consolidates all VIEs in which it is the primary beneficiary. An entity is determined to be the primary beneficiary if it holds a controlling financial interest in a VIE. A controlling financial interest is defined as (i) the power to direct the activities of a VIE that most significantly impact the VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. The consolidation guidance requires an analysis to determine (i) whether an entity in which TPG holds a variable interest is a VIE and (ii) whether TPG’s involvement, through holding an interest directly or indirectly in the entity or contractually through other variable interests, would give it a controlling financial interest. Performance of that analysis requires judgment. The analysis can generally be performed qualitatively; however, if it is not readily apparent that TPG is not the primary beneficiary, a quantitative analysis may also be performed. TPG factors in all economic interests including interests held through related parties, to determine if it holds a variable interest. Fees earned by TPG that are customary and commensurate with the level of effort required for the services provided, and where TPG does not hold other economic interests in the entity that would absorb more than an insignificant amount of the expected losses or returns of the entity, would not be considered variable interests. TPG determines whether it is the primary beneficiary of a VIE at the time it becomes involved with a VIE and continuously reconsiders that conclusion when facts and circumstances change.
Entities that are determined not to be VIEs are generally considered to be VOEs and are evaluated under the voting interest model. TPG consolidates VOEs that it controls through a majority voting interest or through other means.
Investments
Investments consist of investments in private equity funds, real estate funds, hedge funds and credit funds, including our share of any performance allocations and equity method and other proprietary investments. Investments denominated in currencies other than the U.S. dollar are valued based on the spot rate of the respective currency at the end of the reporting period with changes related to exchange rate movements reflected in the Consolidated Financial Statements.
Equity Method – Performance Allocations and Capital Interests
Investments in which the Company is deemed to have significant influence, but not control, are accounted for using the equity method of accounting except in cases where the fair value option has been elected. The Company as general partner has significant influence over the TPG funds in which it invests but does not consolidate. The Company uses the equity method of accounting for these interests whereby it records both its proportionate and disproportionate allocation of the underlying profits or losses of these entities in revenues in the accompanying Consolidated Financial Statements. The carrying amounts of equity method investments are included in investments in the Consolidated Financial Statements. The Company evaluates its equity method investments for impairment whenever events or changes in circumstances indicate that the carrying amounts of such investments may not be recoverable. The difference between the carrying value and its estimated fair value is recognized as an impairment when the loss is deemed other than temporary.
The TPG funds are considered investment companies under Accounting Standards Codification (“ASC” or the “Codification”) Topic 946, Financial Services – Investment Companies (“ASC 946”). The Company, along with the TPG funds, applies the specialized accounting promulgated in ASC 946 and, as such, neither the Company nor the TPG funds consolidate wholly-owned, majority-owned and/or controlled portfolio companies. The TPG funds record all investments in the portfolio companies at fair value. Investments in publicly traded securities are generally valued at quoted market prices based upon the last sales price on the measurement date. Discounts are applied, where appropriate, to reflect restrictions on the marketability of the investment.
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TPG Inc.
Notes to Consolidated Financial Statements

When observable prices are not available for investments, the general partners use the market and income approaches to determine fair value. The market approach consists of utilizing observable market data, such as current trading or acquisition multiples of comparable companies, and applying it to key financial metrics, such as earnings before interest, depreciation and taxes, of the portfolio company. The comparability of the identified set of comparable companies to the portfolio company, among other factors, is considered in the application of the market approach.
The general partners, depending on the type of investment or stage of the portfolio company’s lifecycle, may also utilize a discounted cash flow analysis, an income approach, in combination with the market approach in determining fair value of investments. The income approach involves discounting projected cash flows of the portfolio company at a rate commensurate with the level of risk associated with those cash flows. In accordance with ASC Topic 820, Fair Value Measurement (“ASC 820”) market participant assumptions are used in the determination of the discount rate.
In applying valuation techniques used in the determination of fair value, the general partners assume a reasonable period of time for liquidation of the investment and take into consideration the financial condition and operating results of the underlying portfolio company, the nature of the investment, restrictions on marketability, market conditions, foreign currency exposures and other factors. In determining the fair value of investments, the general partners exercise significant judgment and use the best information available as of the measurement date. Due to the inherent uncertainty of valuations, the fair values reflected in the accompanying Consolidated Financial Statements may differ materially from values that would have been used had a readily available market existed for such investments and may differ materially from the values that may ultimately be realized.
Investments Held to Maturity
The Company holds investments in the notes issued by CLO funds that are held to maturity. The Company has the intent and ability to hold these investments until maturity. Held to maturity securities are stated at amortized cost, adjusted for amortization of premiums and accretion of discounts to maturity computed under the effective interest method. The effective interest method uses projected cash flows and includes uncertainties and contingencies that are difficult to predict and are subject to future events that may impact estimated interest income prospectively. Certain tranches of the notes were purchased at a discount and are being amortized back to par value until they mature at various dates between 2033 to 2035. If the Company failed to keep these investments as held to maturity it would be required to reclassify them as trading securities and would measure at fair value. Where applicable, impairment is recognized related to investments in the CLO funds in accordance with U.S. GAAP. The CLO funds evaluate securities for impairment on a security-by-security basis based on adverse changes in expected cash flows.
Equity Method Investments – Other
The Company holds non-controlling, limited partnership interests in certain other partnerships in which it has significant influence over their operations. The Company uses the equity method of accounting for these interests whereby it records its proportionate share of the underlying income or losses of these entities in net gains (losses) from investment activities in the accompanying Consolidated Financial Statements. The carrying amounts of equity method investments are included in investments in the Consolidated Financial Statements. The Company evaluates its equity method investments for impairment whenever events or changes in circumstances indicate that the carrying amounts of such investments may not be recoverable. The difference between the carrying value and its estimated fair value is recognized as an impairment when the loss is deemed other than temporary and recorded in net gains (losses) from investment activities within the Consolidated Financial Statements.
Equity Method – Fair Value Option
The Company elects the fair value option for certain investments that would otherwise be accounted for using the equity method of accounting. Such election is irrevocable and is applied on an investment-by-investment basis at initial recognition. The fair value of such investments is based on quoted prices in an active market. Changes in the fair value of these equity method investments are recognized in net gains (losses) from investment activities in the Consolidated Financial Statements.
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Notes to Consolidated Financial Statements

Equity Investments
The Company holds non-controlling ownership interests in which it does not have significant influence over their operations. The Company records such investments at fair value.
Investments Held for Sale and Other
Investments held for sale and other are held primarily for the purpose of selling in the near term. The Company elects the fair value option, in accordance with ASC Topic 825, Financial Instruments , for certain investments held for sale with changes in fair value recognized in net gains (losses) from investment activities in the Consolidated Financial Statements. Such election is irrevocable and is applied on an investment-by-investment basis at initial recognition. Management believes that the election of the fair value option for investments held for sale improves financial reporting by presenting the most relevant market indication of investments held for sale. The Company records investments held for sale and other at fair value using discounted cash flow and market comparable approaches. Interest income on investments held for sale and other is calculated based upon the contractual rate of the investment, where applicable, and recorded in interest, dividends and other in the Consolidated Financial Statements. For investments held for sale, up-front costs and certain other fees are expensed as incurred, or at the time of funding for the respective investment.

Loan Held for Sale
From time to time, the Company may enter into transactions in which it arranges short-term funding for affiliates, such as portfolio companies or investees, as part of the Company’s capital markets activities. The Company invests in loans issued by portfolio companies that are held for sale. Loans held for sale are recorded at the lower of amortized cost basis or fair value, in which the fair value approximates the carrying amounts represented in the Consolidated Financial Statements.
Non-Controlling Interests
Non-controlling interests consists of ownership interests held by third-party investors in certain entities that are consolidated, but not 100% owned. The aggregate of the income or loss and corresponding equity that is not owned by the Company is included in non-controlling interests in the Consolidated Financial Statements. Allocation of income to non-controlling interest holders is based on the respective entities’ governing documents.
Revenues
Revenues consisted of the following (in thousands):

Year Ended December 31,
2025 2024 2023
Management fees $ 1,826,411   $ 1,637,990   $ 1,187,947  

Monitoring fees 29,012   29,625   10,866  
Transaction fees 231,394   140,599   99,427  
Incentive fees 49,287   33,032   2,815  
Expense reimbursements and other 288,034   245,830   233,571  
Total fees and other 2,424,138   2,087,076   1,534,626  

Performance allocations 2,011,649   1,301,766   808,248  
Capital interests 234,425   111,240   47,037  
Total capital allocation-based income 2,246,074   1,413,006   855,285  

Total revenues $ 4,670,212   $ 3,500,082   $ 2,389,911  

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Notes to Consolidated Financial Statements

Fees and Other
Fees and other are accounted for as contracts with customers under ASC Topic 606, Revenue from Contracts with Customers (“ASC 606”). The guidance for contracts with customers provides a five-step framework that requires the Company to (i) identify the contract with a customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract and (v) recognize revenue when the Company satisfies its performance obligations. In determining the transaction price, the Company includes variable consideration only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized would not occur when the uncertainty associated with the variable consideration is resolved.

Revenue Streams
Customer
Performance Obligations satisfied over time or
point in time (a)
Variable or Fixed Consideration
Revenue Recognition
Classification of Uncollected Amounts (b)

Management Fees
TPG funds, limited partners and other vehicles
Asset management services are satisfied over time (daily) because the customer receives and consumes the benefits of the advisory services daily
Consideration is variable since over time the management fee varies based on fluctuations in the basis of the calculation of the fee
Management fees are recognized each reporting period based on the value provided to the customer for that reporting period
Due from affiliates – unconsolidated VIEs

Monitoring Fees
Portfolio companies In connection with the investment advisory services provided, the Company earns monitoring fees for providing oversight and advisory services to certain portfolio companies over time
Consideration is variable when based on fluctuations in the basis of the calculation of the fee
Consideration is fixed when based on a fixed agreed-upon amount
Monitoring fees are recognized each reporting period based on the value provided to the customer for that reporting period
Due from affiliates – portfolio companies

Transaction Fees
Portfolio companies, third-parties and other vehicles
The company provides advisory services, debt and equity arrangements, and underwriting and placement services for a fee at a point in time
Consideration is fixed and is based on a point in time
Transaction fees are recognized on or shortly after the transaction is completed
Due from affiliates – portfolio companies
Other assets – other

Incentive Fees
TPG funds, limited partners and other vehicles
Investment management services performed over a period of time that result in achievement of minimum investment return levels
Consideration is variable since incentive fees are contingent upon the TPG Fund or vehicles achieving more than the stipulated investment threshold return
Incentive fees are recognized at the end of the performance measurement period if the investment performance is achieved
Due from affiliates – unconsolidated VIEs

Expense
Reimbursements and other
TPG funds, portfolio companies and third-parties
Expense reimbursements incurred at a point in time relate to providing investment, management and monitoring services. Other revenue is performed over time
Expense reimbursements and other are fixed consideration
Expense reimbursements and other are recognized as the expenses are incurred or services are rendered
Due from affiliates – portfolio companies and unconsolidated VIEs
Other assets – other

_________________
(a) There were no significant judgments made in evaluating when a customer obtains control of the promised service for performance obligations satisfied at a point in time.
(b) See Note 13 to the Consolidated Financial Statements for amounts classified in due from affiliates.
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Notes to Consolidated Financial Statements

Management Fees
The Company provides investment management services to the TPG funds, limited partners, separately managed accounts (“SMAs”) and clients, and other vehicles in exchange for a management fee. Management fees also include catch-up fees, also known as out-of-period management fees, which are fees paid in any given period that relate to a prior period, usually as the result of a new limited partner coming into a fund in a subsequent close. Management fees are determined quarterly based on an annual rate and are generally based upon a percentage of capital committed, net funded capital commitments, cost of investments, Net Asset Value (“NAV”) or actively invested capital or as otherwise defined in the respective management agreements. Since some of the factors that cause management fees to fluctuate are outside of the Company’s control, management fees are considered constrained and are not included in the transaction price until the uncertainty relating to the constraint is subsequently resolved. However, as these fees are payable on a regular basis, the uncertainty relating to the constraint becomes resolved and revenue is accordingly recognized at the end of the period. After the contract is established, management does not make any significant judgments in determining the transaction price.
Management fee rates generally range between the following:

Management fee base Low High
Committed capital 0.50   % 2.00   %
Actively invested capital 0.25   % 2.00   %
Net funded capital commitments 0.50   % 1.75   %
Cost of investments 0.33   % 1.00   %
NAV 0.35   % 2.00   %

Under the terms of the management agreements with certain TPG funds, the Company is required to reduce management fees payable by funds by an agreed upon percentage of certain fees, including monitoring and transaction fees earned from portfolio companies. These amounts are generally applied as a reduction of the management fee that is otherwise billed to the investment fund and are recorded as a reduction of revenues in the Consolidated Statements of Operations. For the years ended December 31, 2025, 2024 and 2023 these amounts totaled $ 28.2  million, $ 48.9  million and $ 6.4  million, respectively. Amounts payable to investment funds are recorded in due to affiliates in the Consolidated Financial Statements. See Note 13 to the Consolidated Financial Statements.
Monitoring Fees
Monitoring fees are earned for providing oversight and advisory services to certain portfolio companies. Monitoring fees are based upon the contractual terms of the related agreements with the underlying portfolio company and are recognized as such services are provided. After the monitoring contract is established, there are no significant judgments made in determining the transaction price.
Transaction Fees
The Company provides capital structuring and other advice to portfolio companies, third parties and other vehicles generally in connection with debt and equity arrangements, as well as underwriting and placement services for a fee at a point in time when the underlying advisory services rendered are complete. Transaction fees are separately negotiated for each transaction and are generally based on the underlying transaction value. After the contract is established, management makes no significant judgments when determining the transaction price.
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Notes to Consolidated Financial Statements

Incentive Fees
The Company provides investment management services to certain TPG funds and other vehicles in exchange for a management fee as discussed above and, in some cases, an incentive fee when the Company is not entitled to performance allocations, as further discussed below. Incentive fees are considered variable consideration in the scope of the revenue guidance as these fees are affected by changes in the fair value of investments over the performance period. The Company recognizes incentive fees only when these amounts are no longer subject to significant reversal, which is typically at the end of a defined performance period and/or upon expiration of the associated clawback period. After the contract is established, there are no significant judgments made when determining the transaction price.
Expense Reimbursements and Other
In providing investment management and advisory services to TPG funds and monitoring services to the portfolio companies, TPG routinely contracts for services from third parties. In situations where the Company is viewed, for accounting purposes only, as having incurred these third-party costs on behalf of the TPG funds or portfolio companies, the cost of such services is presented net as a reduction of the Company’s revenues. In all other situations, the expenses and related reimbursements associated with these services are presented on a gross basis, which are classified as part of the Company’s expenses, and reimbursements of such costs are classified as expense reimbursements within revenues in the Consolidated Financial Statements. After the contract is established, there are no significant judgments made when determining the transaction price.
Capital Allocation-Based Income (Loss)
Capital allocation-based income (loss) is earned from the TPG funds when the Company has a general partner’s capital interest and is entitled to a disproportionate allocation of investment income (referred to hereafter as “performance allocations”). The Company records capital allocation-based income (loss) under the equity method of accounting assuming the fund was liquidated as of each reporting date pursuant to each TPG fund’s governing agreements. Accordingly, these general partner interests are accounted for outside of the scope of ASC 606.
Other arrangements surrounding contractual incentive fees through an advisory contract are separate and distinct and accounted for in accordance with ASC 606. In these incentive fee arrangements, the Company’s economics in the entity do not involve an allocation of capital. See discussion above regarding “Incentive Fees.”
Open-end funds can issue and redeem interests to investors on an on-going basis at the then-current net asset values subject to the fund’s policies as specified in governing documents. The Company generally receives performance allocations from its open-end funds based on a percentage of annual fund profits, reduced by minimum return hurdles, and subject to prior year loss carry-forwards. Performance allocations are either paid in the first quarter following the performance year or during the calendar year if there are investor redemptions and are generally not subject to repayment by the Company. Performance allocations attributed to certain non-liquid investments (“side pocket investments”) owned by open-end funds are paid when the associated side pocket investments are realized.
Performance allocations for closed-end funds are allocated to the general partners based on cumulative fund performance as of each reporting date, and after specified investment returns to the funds’ limited partners are achieved. At the end of each reporting period, the TPG funds calculate and allocate the performance allocations that would then be due to the general partner for each TPG fund, pursuant to the TPG fund governing agreements, as if the fair value of the underlying investments were realized as of such date, irrespective of whether such amounts have been realized. As the fair value of underlying investments (and the investment returns to the funds’ limited partners) varies between reporting periods, it is necessary to make adjustments to amounts recorded as performance allocations to reflect either (i) positive performance resulting in an increase in the performance allocations allocated to the general partner or (ii) negative performance that would cause the amount due to the general partner to be less than the amount previously recognized, resulting in a negative adjustment to performance allocations allocated to the general partner. In each case, performance allocations are calculated on a cumulative basis and cumulative results are compared to amounts previously recorded with a current period adjustment, positive or negative, recorded.
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Notes to Consolidated Financial Statements

The Company ceases to record negative performance allocations once previously recognized performance allocations for a TPG fund have been fully reversed, including realized performance allocations. The general partner is not obligated to make payments for guaranteed returns or hurdles of a fund and, therefore, cannot have negative performance allocations over the life of a fund. Accrued but unpaid performance allocations as of the reporting date are reflected in investments in the Company’s Consolidated Financial Statements. Performance allocations received by the general partners of the respective TPG funds are subject to clawback to the extent the performance allocations received by the general partner exceed the amount the general partner is ultimately entitled to receive based on cumulative fund results. Generally, the actual clawback liability does not become due until eighteen months after the realized loss is incurred; however, individual fund terms vary. For disclosures at December 31, 2025 related to clawback, see Note 16 to the Consolidated Financial Statements. Revenue related to performance allocations for consolidated TPG funds is eliminated in consolidation.
The Company earns management fees, incentive fees and capital allocation-based income (loss) from investment funds and other vehicles whose primary focus is making investments in varying geographical locations and earns transaction and monitoring fees from portfolio companies located in varying geographies, including North America, Europe and Asia-Pacific. The primary geographic region in which the Company invests is North America and the majority of its revenues from contracts with customers is also generated in North America.