Delivering investment performance is the objective of an unwavering “client-first” focus. Putting the client first also delivers results for our shareholders.
For example, our capital structure supports our growth strategy and enables us to make investments critical to our long-term success (e.g., technology, operations, client service) while returning capital to shareholders.
We have profitably grown revenue every year since our initial public offering. Since then, our revenue has improved at a compound annual growth rate of approximately 37%. In 2019, we initiated a quarterly cash dividend. In 2020, the quarterly dividend was increased twice.
Supporting our military
Our Military Financial Readiness Program delivers tailored content designed to educate service members. Topics include the importance of financial management and investing for the future. The program also includes a one-of-a-kind video case study series, “Road to Victory,” which showcases the powerful stories of different veterans’ financial journeys.
Victory Capital is committed to giving back to current and former service members and their families. We provide financial support to nonprofits that benefit military families, including a 2020 grant to the Military Child Education Coalition.
Additionally, the USAA® 529 Distinguished Valor Matching Grant Program helps military families in Nevada achieve their education savings goals. Victory Capital contributes up to $1,500 to the education savings funds of eligible beneficiaries of service members currently on active duty and those killed or injured in action.
Helping nonprofit organizations
Serving nonprofits in locations in which we have a business presence is an important aspect of our social capital. Our employees are located throughout the United States and around the world. So, by their serving locally we can have a global impact.
During the 2019 and 2020 school years, we partnered with Breakthrough Schools of Cleveland, a nationally recognized network of tuition-free, public charter schools in Ohio. The mission of Breakthrough Schools is to help students achieve success in school, in their careers and ultimately in life. Our support included a financial commitment and service opportunities for our employees.
We sponsor opportunities in many of the cities in which we live and work to encourage our employees to perform community service, and we provide paid time off for those who do. For example, in 2020, employees volunteered at the San Antonio Food Bank to provide support during the COVID-19 pandemic.
Another example of our community service is Victory Capital’s partnership with The Children’s Hospital of San Antonio, where we helped children with serious medical conditions (and their families). In 2019 and early 2020, this included:
- Providing emotional support for young patients by creating a fun and memorable experience at the San Antonio Spurs home games
- Delivering “care packages” to families with infants in the hospital’s Neonatal Intensive Care Unit (NICU)
We also match employees’ gifts to qualifying nonprofits. In some cases, our $250 annual match can double an employee’s charitable contributions.
And we make several contributions each year to sponsor charitable events in which our sales teams and Investment Franchises participate directly.
Engaging with suppliers
We aim to work with service providers whose commitment to sustainability is compatible with our own. To vet this, our due diligence questionnaires ask consequential vendors (i.e., significant across investment management, operational or business activities) about ESG compliance and how they address important diversity issues.
Where appropriate and beneficial to our clients, we strive to engage business partners and vendors owned by historically marginalized groups. For example, five Minority-, Woman-, and Service-Disabled Veteran-Owned Businesses have been approved as trading counterparties to execute client transactions. Each of these firms is allocated trades for execution, subject to our fiduciary obligation to obtain best execution.