Brendan

Brendan, on behalf of Manav Patnaik, sought clarity on the 75% time reduction for insights and other internal changes driving better retention.

Answer

CEO Gene Hall explained that the 75% time reduction for insights (e.g., Magic Quadrants) is part of the timeliness dimension of BTI transformation, initiated in July 2025. This involves new content types like 'First Take' for immediate guidance, restructuring processes (e.g., downsizing editing, changing job roles), and adding automation, including AI, to accelerate production and improve client value.

Brendan, on behalf of Manav Patnaik from Barclays, asked about the drivers behind the private assets (PCS) segment achieving its best net new quarter, questioning if this signifies the early innings of a trend or a one-time event.

Answer

Andy Wiechmann, CFO of MSCI, attributed the strong PCS run rate pickup to traction in Total Plan offerings and transparency solutions, with significant success in EMEA. He emphasized a robust product development pipeline, including new capabilities like document management and Source View, enabled by AI for data sourcing and insights. He also noted positive signs in real assets, with improving retention and sales of new solutions like data center products.

Brendan, on behalf of Manav Patnaik, asked about the private assets segment achieving its best net new quarter, seeking clarification on the drivers behind this performance and whether it signifies an early trend or a one-time event.

Answer

Andy Wiechmann, CFO of MSCI, attributed the strong Private Capital Solutions (PCS) run rate pickup to robust sales of the Total Plan offering and transparency solutions, with significant momentum in both the Americas and EMEA. He emphasized a positive outlook, a robust product development pipeline, and AI as a key enabler, also noting encouraging trends in real assets.

Brendan, on behalf of Manav Patnaik, asked about the pros and cons of AI in Moody's Analytics business, specifically regarding seat-based exposure in contracts and feedback from key financial services customers.

Answer

Rob Fauber, President and Chief Executive Officer of Moody's Corporation, explained that seat-based exposure is not typical for their contracts and AI will not change this. He highlighted Moody's strategy of embedding AI into workflow solutions, launching agentic AI solutions like smart APIs and MCP servers built on their extensive data estate, and developing specialized workflow agents. Fauber emphasized that AI is an 'unlock opportunity' to monetize content across various platforms and customer workflows.

Brendan (on behalf of Manav Patnaik) inquired about the pros and cons of AI in Moody's Analytics business, specifically regarding seat-based exposure and feedback from key financial services customers on AI adoption.

Answer

Rob Fauber, President and Chief Executive Officer, explained that seat-based exposure is not typical for Moody's contracts and AI will be no different. He highlighted embedding AI into workflows, launching agentic AI solutions, smart APIs, and domain-specific agents leveraging Moody's proprietary data, positioning AI as an unlock opportunity to monetize content across various customer platforms and internal workflows.

Brendan, on for Manav Patnaik, sought to better understand the revenue delivery timing impact in North America Finance Solutions and asked for an update on the performance of the Credibility business.

Answer

CFO Bryan Hipsher clarified that some timing shifts in revenue recognition occurred but highlighted that strong performance in areas like supply chain risk management contributed to the results. Regarding the Credibility business, he and CEO Anthony Jabbour noted that it achieved slight growth in the quarter, a positive turn attributed to new initiatives like the 'moneyback guarantee' program.