Form 4: Ares Management CFO Disposes of Shares for Tax Obligations

Ares Management Corporation's Chief Financial Officer, Jarrod Phillips, disposed of 2,583 shares of Class A Common Stock to satisfy tax withholding obligations related to the vesting of restricted units.

Summary

• Jarrod Phillips, the Chief Financial Officer of Ares Management Corp (ARES), reported a transaction on July 1, 2025.
• The transaction involved the disposition of 2,583 shares of Class A Common Stock.
• These shares were withheld by Ares Management to cover minimum tax withholding obligations arising from the vesting of restricted units.
• The price per share for the disposition was $174.73.
• Following this transaction, Jarrod Phillips beneficially owns 242,348 shares of Class A Common Stock.
• This beneficial ownership includes 180,407 restricted units, each representing the right to receive one share of Class A Common Stock upon vesting, which vest in installments.

Sentiment

Score: 5

Explanation: The transaction is a routine disposition of shares for tax withholding purposes upon the vesting of restricted units, which is a neutral event from an investment perspective as it is not a discretionary sale.

Positives

• The transaction indicates the vesting of restricted units, signifying the continued realization of equity compensation for the Chief Financial Officer.
• The disposition of shares was non-discretionary, solely for tax withholding purposes, rather than a sale for personal liquidity, which is a routine event.

Negatives

• A reduction of 2,583 shares in direct beneficial ownership occurred due to the tax withholding.

Future Outlook

No specific forward-looking statements or guidance are provided in this Form 4 filing, as it primarily reports a past transaction.

Industry Context

This transaction is a routine insider filing related to equity compensation and tax obligations, which is a common occurrence across publicly traded companies that utilize restricted stock units as part of their executive compensation packages.

Comparison to Industry Standards

• The disposition of shares to cover tax withholding obligations upon the vesting of restricted units is a standard practice in executive compensation across various industries, including financial services.
• This mechanism aligns with typical equity incentive plan structures designed to manage tax liabilities for recipients of equity awards, consistent with global benchmarks for executive compensation.

Stakeholder Impact

• Minimal direct impact on shareholders as this is a routine tax-related transaction and not a discretionary sale by the CFO.
• Employees receiving similar equity compensation would understand this mechanism as a standard part of their compensation and tax management.

Key Dates

Recommendation

Keywords

Ares Management, ARES, Form 4, insider transaction, CFO, stock sale, tax withholding, restricted units, equity compensation