Form 4: Ares Management CEO Donates 425,000 Units to Charity

Ares Management Corp's Co-Founder and CEO, Michael J. Arougheti, donated 425,000 Ares Operating Group Units to a charity on December 18, 2025.

Summary

• Michael J. Arougheti, Co-Founder and CEO of Ares Management Corp, reported the disposition of 425,000 Ares Operating Group Units (AOG Units).
• The transaction, which occurred on December 18, 2025, was a donation to a charity.
• AOG Units are exchangeable for shares of Class A Common Stock on a one-for-one basis, as per the Sixth Amended and Restated Exchange Agreement dated May 8, 2025.
• The disposition was made pursuant to a Rule 10b5-1(c) plan, indicating a pre-arranged transaction.
• Following this donation, Mr. Arougheti indirectly beneficially owns 6,826,596 AOG Units through Ares Owners Holdings L.P.

Sentiment

Score: 6

Explanation: The donation is a neutral event from a financial perspective, though it reflects positively on executive philanthropy. The transaction being under a 10b5-1 plan adds a layer of transparency and predictability, contributing to a slightly positive sentiment.

Positives

• The donation of 425,000 AOG Units to a charity demonstrates philanthropic activity by a key executive, which can reflect positively on corporate social responsibility.
• The transaction was executed under a Rule 10b5-1(c) plan, indicating a pre-arranged and systematic approach to share disposition, which enhances transparency and reduces concerns about opportunistic insider trading.

Negatives

• A significant number of units (425,000) were disposed of, which, while a donation, represents a reduction in the executive's indirect economic interest in the company's operating units.

Future Outlook

NA

Industry Context

NA

Stakeholder Impact

• Shareholders: The reduction in the CEO's indirect beneficial ownership is noted, but the philanthropic nature and the pre-planned execution under Rule 10b5-1(c) mitigate potential negative interpretations.
• Charity: The recipient charity benefits from a significant donation of 425,000 AOG Units.

Key Dates

Recommendation

This Form 4 reports a pre-planned charitable donation by the CEO, which is a neutral event for the company's operational performance or financial health. While it reduces the executive's indirect beneficial ownership, it does not signal a change in company fundamentals or management's confidence. Therefore, a 'hold' recommendation is appropriate as this filing alone does not provide a basis for a 'buy' or 'sell' decision.

Keywords

Ares Management Corp, ARES, Michael J. Arougheti, SEC Form 4, Insider Transaction, Stock Donation, Ares Operating Group Units, AOG Units, Rule 10b5-1, Executive Compensation, Corporate Governance