Equitable Holdings, Inc. (EQH): History, Ownership, Mission, How It Works & Makes Money

How has Equitable Holdings, Inc. (EQH), a company with deep historical roots, managed to oversee nearly $1 trillion in assets under management as of late 2024? With operating earnings consistently exceeding $600 million per quarter during 2024, this financial services giant continues to demonstrate resilience and strategic growth in core areas like retirement planning, wealth management, and insurance solutions. Its evolution from a mutual insurer to a major publicly traded entity offers crucial lessons in adaptation and market navigation, but what really drives its success and profitability in today's complex financial landscape? Are you ready to delve into the history, structure, and operational mechanics that define this influential player?

Equitable Holdings, Inc. (EQH) History

Understanding where a company comes from provides essential context. Equitable's journey spans over a century and a half, marked by significant transformations that shaped its current structure and strategy.

Equitable Holdings, Inc. (EQH) Founding Timeline

Year established

The roots trace back to 1859 with the founding of The Equitable Life Assurance Society of the United States.

Original location

New York City served as the initial base of operations.

Founding team members

Henry Baldwin Hyde was the driving force behind its establishment, alongside William C. Alexander as the first president.

Initial capital/funding

The company was launched with a stated capital of $100,000.

Equitable Holdings, Inc. (EQH) Evolution Milestones

Equitable Holdings, Inc. (EQH) Transformative Moments

Demutualization and AXA Ownership (1992)

Shifting from a mutual to a stock structure under AXA's umbrella fundamentally altered governance and access to capital, setting the stage for future global integration and later, independence.

The 2018 IPO

This wasn't just a funding event; it was the pivotal step towards becoming the independent entity known as Equitable Holdings, Inc. It allowed the US business to chart its own course, tailored to the domestic market. Understanding who participated in this transition is key. Exploring Equitable Holdings, Inc. (EQH) Investor Profile: Who’s Buying and Why? provides deeper insights into the ownership structure post-IPO.

Post-IPO Independence and Strategic Realignment

Operating independently since formally separating from AXA allowed management to refocus strategy entirely on the US market, optimizing its product portfolio across retirement, investment management (notably through its majority stake in AllianceBernstein), and protection solutions, driving performance metrics reported through 2024.

Equitable Holdings, Inc. (EQH) Ownership Structure

Equitable Holdings, Inc. operates as a publicly traded entity, meaning its shares are owned by a diverse group of institutional and individual investors. Understanding this structure is key to grasping governance and strategic direction.

Equitable Holdings, Inc.'s Current Status

As of late 2024, Equitable Holdings, Inc. is a publicly listed company, trading on the New York Stock Exchange under the ticker symbol EQH. This public status subjects it to regulatory oversight and reporting requirements.

Equitable Holdings, Inc.'s Ownership Breakdown

The ownership is predominantly held by large institutional investors, reflecting confidence from major financial entities. Here's a snapshot based on late 2024 data:

Equitable Holdings, Inc.'s Leadership

Guiding the company's strategy and operations at the close of 2024 is a dedicated leadership team. Key figures steering the organization include:

• Mark Pearson: President and Chief Executive Officer
• Joan Lamm-Tennant: Independent Chair of the Board of Directors

Their decisions significantly impact the company's trajectory and financial performance, aspects further explored in Breaking Down Equitable Holdings, Inc. (EQH) Financial Health: Key Insights for Investors. Effective leadership and a clear governance structure are crucial for navigating the complexities of the financial services industry.

Equitable Holdings, Inc. (EQH) Mission and Values

Equitable Holdings articulates a clear purpose focused on client financial security, underpinned by a set of core values that guide its operations and culture. These elements define the company's identity beyond its balance sheet.

Equitable Holdings, Inc.'s Core Purpose

Official mission statement

The stated mission is direct: To help our clients secure their financial well-being so they can pursue long and fulfilling lives. This client-centric approach forms the foundation of their strategy and service delivery, a critical aspect explored further in Breaking Down Equitable Holdings, Inc. (EQH) Financial Health: Key Insights for Investors.

Vision statement

While not always distinctly separate from the mission, the company's forward-looking aspiration centers on being a leading financial services organization recognized for empowering clients towards financial confidence and life goals.

Company slogan

Equitable Holdings often emphasizes its purpose directly rather than relying on a short, distinct marketing slogan in recent communications, focusing messaging on the core mission of securing financial well-being.

Guiding Principles

The company operates based on several key values that shape its interactions with clients, employees, and the broader community. These principles are integral to how Equitable conducts business.

• Customer-centricity: Placing client needs and outcomes at the forefront of all decisions.
• Integrity: Adhering to the highest ethical standards in every action.
• People: Fostering a supportive and collaborative environment for employees.
• Excellence: Striving for outstanding performance and continuous improvement.
• Inclusion: Championing diversity and ensuring equitable opportunities for all stakeholders.

Equitable Holdings, Inc. (EQH) How It Works

Equitable Holdings operates primarily as a diversified financial services company, offering advice, protection, and retirement strategies through its distinct business segments. Value is created by managing assets, underwriting insurance risks, and distributing financial products through a large network of affiliated advisors.

Equitable Holdings' Product/Service Portfolio

Equitable Holdings' Operational Framework

The company's operations hinge on two core pillars: risk management and distribution. Insurance segments carefully underwrite life and annuity policies, managing liabilities through hedging programs and prudent reserving. The Investment Management segment, primarily through its majority stake in AllianceBernstein (AB), generates fees by managing client assets across diverse global strategies. Distribution relies heavily on its network of approximately 4,300 Equitable Advisors financial professionals as of late 2024, who provide personalized advice and sell proprietary and third-party products. This affiliated channel is complemented by third-party distribution partners, reaching a wider market. Operational efficiency is pursued through technology investments and process optimization across its business lines.

Equitable Holdings' Strategic Advantages

Equitable Holdings benefits from several key competitive strengths that underpin its market position.

• A long-standing, recognized brand name associated with financial security and retirement planning fosters trust.
• The extensive Equitable Advisors network provides significant distribution scale and direct client relationships, a crucial advantage in selling complex financial products. Understanding the underlying numbers is key; you can explore more by Breaking Down Equitable Holdings, Inc. (EQH) Financial Health: Key Insights for Investors.
• Its diversified business model across retirement, protection, and asset management provides multiple revenue streams and reduces reliance on any single market condition.
• The strategic relationship with AllianceBernstein offers world-class investment management capabilities, supporting product development and attracting assets. By the end of 2024, AB's AUM contributed significantly, underscoring this synergy.
• Significant scale in core US retirement and protection markets allows for operational efficiencies and competitive pricing.

Equitable Holdings, Inc. (EQH) How It Makes Money

Equitable Holdings generates revenue primarily through fees earned on assets under management, premiums collected for insurance and annuity products, and net investment income derived from its general account portfolio.

Equitable Holdings, Inc.'s Revenue Breakdown

The company diversifies its earnings across several core business segments, reflecting its broad reach in financial services as of year-end 2024.

Equitable Holdings, Inc.'s Business Economics

The economic engine relies heavily on asset accumulation and management, insurance underwriting discipline, and investment performance. Key drivers include:

• Fee-Based Earnings: A significant portion comes from managing client assets in retirement accounts and through AllianceBernstein (AB). These fees are typically based on Assets Under Management (AUM), making earnings sensitive to market fluctuations.
• Spread-Based Earnings: Generated from the difference between investment returns earned on general account assets and the interest credited to policyholders and contract holders. Interest rate movements significantly impact this.
• Underwriting Margin: Profitability in the Protection Solutions segment hinges on effective risk assessment, pricing strategies for life insurance products, and managing claims experience relative to actuarial assumptions.
• Distribution Network: Leveraging a large network of financial professionals is crucial for product sales and client acquisition, impacting overall revenue generation and aligning with their strategic direction detailed in the Mission Statement, Vision, & Core Values of Equitable Holdings, Inc. (EQH).

Operating costs involve managing the extensive distribution network, technology investments, regulatory compliance, and claims payouts.

Equitable Holdings, Inc.'s Financial Performance

As of the fiscal year ending December 31, 2024, Equitable Holdings demonstrated financial resilience amidst evolving market conditions. Key indicators included total Assets Under Management (AUM) across EQH and AllianceBernstein reaching approximately $975 billion. Adjusted operating earnings for the full year 2024 were reported at approximately $5.6 billion. The company maintained a strong capital position, with a combined estimated RBC ratio comfortably above regulatory requirements, reflecting financial stability. Furthermore, the adjusted operating return on equity (ROE) hovered around the 14% mark for 2024, showcasing profitability relative to shareholder equity.

Equitable Holdings, Inc. (EQH) Market Position & Future Outlook

Equitable Holdings maintains a significant position within the US life insurance and retirement landscape, leveraging its extensive advisor network to navigate evolving market demands. Its future outlook hinges on successfully capitalizing on retirement income trends and wealth management growth while managing market volatility and competitive pressures inherent in the financial services sector as of 2025.

Competitive Landscape

Opportunities & Challenges

Industry Position

Equitable Holdings stands as a prominent entity in the competitive U.S. financial services industry, particularly recognized for its retirement and protection solutions delivered through a robust advisor force. The company benefits from a long-standing brand presence but faces ongoing pressure to adapt to shifting consumer preferences towards digital engagement and fee-based advisory models. Its performance is closely tied to demographic trends favoring retirement planning and its ability to navigate complex market environments, detailed further in Breaking Down Equitable Holdings, Inc. (EQH) Financial Health: Key Insights for Investors. Strategic initiatives focusing on wealth management growth and enhancing advisor productivity are central to maintaining and improving its industry standing against larger, diversified competitors and nimble fintech challengers entering the space.