Moelis & Company 1Q17 Earnings Call Notes

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Ken Moelis – Chairman & CEO

Activity up in middle markets

“Last year, I said we might experience an increase in middle market activity particularly with the sale of private businesses. In fact the number of global market completions was up 13% year-over-year for transactions size between $500 million and $2 billion and the number of announcements was up 25%. And we are benefiting from this activity.”

I feel optimistic about Europe

“Europe, I feel pretty optimistic about Europe. I think it’s coming back and I do think that that election was a bigger a bigger problem in a lot of people’s mind than they were talking about.”

Sellers are finding excellent prices

‘So there’s capital going in prices are excellent prices create sellers. People can sell their assets. Private owners are finding this to be a wonderful time to capitalize on an asset they have gone for a long period of time. And the buyers are still finding low interest rates, very low volatility. And they are really buying cash flow in a world where it’s hard to find yield, what used to be considered high multiples are really not that high considering your alternative investment.”