2020--10-310.0039062512800001907200000.00390625--seven7falsesevenQ30000350797Large Accelerated Filer------ 0000350797 2019-11-01 2020-07-31 0000350797 2020-07-31 0000350797 2019-10-31 0000350797 2020-05-01 2020-07-31 0000350797 2019-05-01 2019-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2019-11-01 2020-07-31 0000350797 us-gaap:RetainedEarningsMember 2019-10-31 0000350797 us-gaap:RetainedEarningsMember 2019-11-01 2020-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2019-10-31 0000350797 ev:RedeemableNonControllingInterestsMember 2019-11-01 2020-07-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2019-11-01 2020-07-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2019-10-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2019-10-31 0000350797 ev:HexavestMember 2020-07-31 0000350797 ev:HexavestMember 2019-10-31 0000350797 ev:PrivateEquityPartnershipMember 2020-07-31 0000350797 us-gaap:CustomerRelationshipsMember 2020-07-31 0000350797 us-gaap:PatentedTechnologyMember 2020-07-31 0000350797 us-gaap:TrademarksMember 2020-07-31 0000350797 ev:MutualFundManagementContractAcquiredMember 2020-07-31 0000350797 us-gaap:ComputerSoftwareIntangibleAssetMember 2020-07-31 0000350797 us-gaap:CustomerRelationshipsMember 2019-10-31 0000350797 us-gaap:PatentedTechnologyMember 2019-10-31 0000350797 ev:MutualFundManagementContractAcquiredMember 2019-10-31 0000350797 us-gaap:TrademarksMember 2019-10-31 0000350797 us-gaap:ComputerSoftwareIntangibleAssetMember 2019-10-31 0000350797 us-gaap:NonUsMember 2019-05-01 2019-07-31 0000350797 us-gaap:NonUsMember 2020-05-01 2020-07-31 0000350797 us-gaap:NonUsMember 2020-07-31 0000350797 us-gaap:NonUsMember 2019-10-31 0000350797 us-gaap:FairValueInputsLevel2Member us-gaap:ShortTermDebtMember 2020-07-31 0000350797 us-gaap:FairValueInputsLevel1Member us-gaap:ShortTermDebtMember 2020-07-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember us-gaap:ShortTermDebtMember 2019-10-31 0000350797 us-gaap:FairValueInputsLevel1Member us-gaap:ShortTermDebtMember 2019-10-31 0000350797 us-gaap:FairValueInputsLevel3Member us-gaap:ShortTermDebtMember 2019-10-31 0000350797 us-gaap:FairValueInputsLevel3Member us-gaap:ShortTermDebtMember 2020-07-31 0000350797 us-gaap:FairValueInputsLevel2Member us-gaap:ShortTermDebtMember 2019-10-31 0000350797 us-gaap:NonvotingCommonStockMember 2020-07-31 0000350797 2018-11-01 2019-07-31 0000350797 ev:StockIndexFuturesContractsMember 2020-07-31 0000350797 us-gaap:ForeignExchangeFutureMember 2019-10-31 0000350797 ev:InterestRateFuturesContractsMember 2019-10-31 0000350797 us-gaap:NonvotingCommonStockMember 2019-10-31 0000350797 us-gaap:CommonClassAMember 2020-07-31 0000350797 us-gaap:CommonClassAMember 2019-10-31 0000350797 us-gaap:ForeignExchangeContractMember 2020-07-31 0000350797 us-gaap:ForeignExchangeFutureMember 2020-07-31 0000350797 ev:StockIndexFuturesContractsMember 2019-10-31 0000350797 ev:CommodityFuturesContractsMember 2019-10-31 0000350797 us-gaap:NonvotingCommonStockMember 2019-11-01 2020-07-31 0000350797 us-gaap:NonvotingCommonStockMember 2018-11-01 2019-07-31 0000350797 us-gaap:StockCompensationPlanMember 2020-05-01 2020-07-31 0000350797 ev:IncentivePlanMember 2020-05-01 2020-07-31 0000350797 ev:CommodityFuturesContractsMember 2020-07-31 0000350797 ev:InterestRateFuturesContractsMember 2020-07-31 0000350797 us-gaap:ForeignExchangeContractMember 2019-10-31 0000350797 ev:SeparatelyManagedAccountsMember 2020-07-31 0000350797 ev:SeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:ShortTermDebtMember 2020-07-31 0000350797 us-gaap:ShortTermDebtMember 2019-10-31 0000350797 ev:ServiceFeesMember 2020-05-01 2020-07-31 0000350797 ev:ServiceFeesMember 2019-05-01 2019-07-31 0000350797 us-gaap:CommonStockMember us-gaap:CommonClassAMember 2019-10-31 0000350797 us-gaap:AdditionalPaidInCapitalMember us-gaap:NonvotingCommonStockMember 2019-11-01 2020-07-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2019-10-31 0000350797 ev:PermanentEquityMember 2019-11-01 2020-07-31 0000350797 us-gaap:NonvotingCommonStockMember ev:PermanentEquityMember 2019-11-01 2020-07-31 0000350797 us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember 2020-05-01 2020-07-31 0000350797 us-gaap:FinancialServiceOtherMember 2020-05-01 2020-07-31 0000350797 us-gaap:FinancialServiceOtherMember 2019-05-01 2019-07-31 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2019-10-31 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2019-11-01 2020-07-31 0000350797 us-gaap:ForeignExchangeFutureMember 2020-05-01 2020-07-31 0000350797 ev:InterestRateFuturesContractsMember 2020-05-01 2020-07-31 0000350797 ev:SponsoredFundsMember 2019-10-31 0000350797 us-gaap:DistributionServiceMember 2020-05-01 2020-07-31 0000350797 us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember 2019-05-01 2019-07-31 0000350797 us-gaap:DistributionServiceMember 2019-05-01 2019-07-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2019-11-01 2020-07-31 0000350797 ev:PermanentEquityMember 2019-10-31 0000350797 ev:StockIndexFuturesContractsMember 2020-05-01 2020-07-31 0000350797 ev:StockIndexFuturesContractsMember 2019-05-01 2019-07-31 0000350797 us-gaap:ForeignExchangeContractMember 2020-05-01 2020-07-31 0000350797 country:US 2020-05-01 2020-07-31 0000350797 country:US 2019-05-01 2019-07-31 0000350797 ev:SponsoredFundsMember 2020-07-31 0000350797 ev:CommodityFuturesContractsMember 2020-05-01 2020-07-31 0000350797 country:US 2020-07-31 0000350797 country:US 2019-10-31 0000350797 us-gaap:RestrictedStockMember 2019-11-01 2020-07-31 0000350797 ev:HexavestRelatedPartiesAgreementsMember 2020-07-31 0000350797 us-gaap:RestrictedStockMember 2020-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2020-04-30 0000350797 ev:EmployeeLoanProgramMember 2019-10-31 0000350797 ev:EmployeeLoanProgramMember 2020-07-31 0000350797 ev:ConsolidatedSponsoredFundsMember 2020-05-01 2020-07-31 0000350797 ev:ConsolidatedSponsoredFundsMember 2019-05-01 2019-07-31 0000350797 ev:MajorityOwnedSubsidiariesMember 2020-05-01 2020-07-31 0000350797 ev:MajorityOwnedSubsidiariesMember 2019-05-01 2019-07-31 0000350797 us-gaap:CreditDefaultSwapMember 2020-07-31 0000350797 us-gaap:CreditDefaultSwapMember 2019-10-31 0000350797 us-gaap:CreditDefaultSwapMember 2020-05-01 2020-07-31 0000350797 us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMember 2020-07-31 0000350797 us-gaap:VariableInterestEntityNotPrimaryBeneficiaryMember 2019-10-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-10-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2018-10-31 0000350797 us-gaap:RetainedEarningsMember 2018-10-31 0000350797 us-gaap:RetainedEarningsMember 2018-11-01 2019-07-31 0000350797 ev:PermanentEquityMember 2018-11-01 2019-07-31 0000350797 us-gaap:NonvotingCommonStockMember ev:PermanentEquityMember 2018-11-01 2019-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember us-gaap:NonvotingCommonStockMember 2018-11-01 2019-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2018-11-01 2019-07-31 0000350797 ev:PermanentEquityMember 2018-10-31 0000350797 ev:PrivateEquityPartnershipMember 2019-10-31 0000350797 ev:ConsolidatedSponsoredFundsMember 2019-10-31 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2018-11-01 2019-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2018-11-01 2019-07-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2018-11-01 2019-07-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2018-10-31 0000350797 us-gaap:NonvotingCommonStockMember us-gaap:ReceivablesFromStockholderMember 2018-11-01 2019-07-31 0000350797 ev:ConsolidatedSponsoredFundsMember 2020-07-31 0000350797 us-gaap:CommonStockMember us-gaap:CommonClassAMember 2018-10-31 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2018-10-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2018-10-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2018-11-01 2019-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2018-10-31 0000350797 ev:ConsolidatedSecuritizedCloEntitiesMember 2020-07-31 0000350797 ev:ConsolidatedSecuritizedCloEntitiesMember 2019-10-31 0000350797 2018-10-31 0000350797 ev:ConsolidatedSponsoredFundsIncludedInInvestmentsMember 2019-10-31 0000350797 ev:AssetsOfConsolidatedCloEntitiesCashMember 2019-10-31 0000350797 ev:RestrictedCashIncludedInOtherAssetsMember 2019-10-31 0000350797 ev:SeniorNotes2027Member 2019-11-01 2020-07-31 0000350797 ev:SeniorNotes2023Member 2020-05-01 2020-07-31 0000350797 ev:ConsolidatedSponsoredFundsIncludedInInvestmentsMember 2020-07-31 0000350797 ev:AssetsOfConsolidatedCloEntitiesCashMember 2020-07-31 0000350797 ev:RestrictedCashIncludedInOtherAssetsMember 2020-07-31 0000350797 ev:SeniorNotes2027Member 2020-05-01 2020-07-31 0000350797 us-gaap:FairValueInputsLevel3Member 2020-07-31 0000350797 us-gaap:FairValueInputsLevel2Member 2020-07-31 0000350797 us-gaap:FairValueInputsLevel2Member 2019-10-31 0000350797 ev:AtlantaCapitalMember 2020-07-31 0000350797 ev:AtlantaCapitalMember 2019-10-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2020-05-01 2020-07-31 0000350797 us-gaap:FairValueInputsLevel3Member 2019-10-31 0000350797 ev:AtlantaCapitalMember 2017-11-01 2018-10-31 0000350797 ev:OmnibusIncentivePlansMember ev:DeferredStockUnitsMember 2020-05-01 2020-07-31 0000350797 ev:HexavestRelatedPartiesAgreementsMember 2019-11-01 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member us-gaap:OtherDebtSecuritiesMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member us-gaap:OtherDebtSecuritiesMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member us-gaap:OtherDebtSecuritiesMember 2019-10-31 0000350797 us-gaap:OtherDebtSecuritiesMember us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:OtherDebtSecuritiesMember 2020-07-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member 2020-07-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member ev:InvestmentsOtherMember 2020-07-31 0000350797 us-gaap:EquityFundsMember us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember 2020-07-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember ev:InvestmentsOtherMember 2020-07-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember ev:InvestmentsOtherMember 2019-10-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain ev:InvestmentsOtherMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member us-gaap:OtherDebtSecuritiesMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member us-gaap:OtherDebtSecuritiesMember 2019-10-31 0000350797 us-gaap:OtherDebtSecuritiesMember us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember 2020-07-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member 2020-07-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member ev:InvestmentsOtherMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member ev:InvestmentsOtherMember 2019-10-31 0000350797 us-gaap:EquityFundsMember us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember 2019-10-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member us-gaap:OtherDebtSecuritiesMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:OtherDebtSecuritiesMember 2019-10-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member 2020-07-31 0000350797 us-gaap:EquityFundsMember us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member ev:InvestmentsOtherMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member ev:InvestmentsOtherMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member ev:InvestmentsOtherMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain ev:InvestmentsOtherMember 2020-07-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2018-11-01 2019-07-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-10-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-11-01 2020-07-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2019-10-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2019-11-01 2020-07-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2018-11-01 2019-07-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2018-11-01 2019-07-31 0000350797 ev:SponsoredFundsMember 2020-05-01 2020-07-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-11-01 2020-07-31 0000350797 ev:SponsoredFundsMember 2019-05-01 2019-07-31 0000350797 us-gaap:ForeignExchangeContractMember 2019-05-01 2019-07-31 0000350797 ev:InterestRateFuturesContractsMember 2019-05-01 2019-07-31 0000350797 ev:CommodityFuturesContractsMember 2019-05-01 2019-07-31 0000350797 us-gaap:CreditDefaultSwapMember 2019-05-01 2019-07-31 0000350797 us-gaap:ForeignExchangeFutureMember 2019-05-01 2019-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain 2019-10-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember 2020-07-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember us-gaap:ShortTermDebtMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain 2020-07-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember 2019-10-31 0000350797 us-gaap:NonvotingCommonStockMember us-gaap:ReceivablesFromStockholderMember 2019-11-01 2020-07-31 0000350797 ev:HexavestRelatedPartiesAgreementsMember 2019-10-31 0000350797 ev:SeniorNotes2023Member 2019-11-01 2020-07-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-07-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2020-07-31 0000350797 ev:ConsolidatedSecuritizedCloEntitiesMember 2020-05-01 2020-07-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2018-10-31 0000350797 2019-07-31 0000350797 us-gaap:TotalReturnSwapMember 2019-10-31 0000350797 us-gaap:InterestRateSwapMember 2019-10-31 0000350797 us-gaap:StockCompensationPlanMember 2019-05-01 2019-07-31 0000350797 ev:IncentivePlanMember 2019-05-01 2019-07-31 0000350797 ev:OmnibusIncentivePlansMember ev:DeferredStockUnitsMember 2019-05-01 2019-07-31 0000350797 us-gaap:PhantomShareUnitsPSUsMember srt:DirectorMember ev:OmnibusIncentivePlan2013Member 2018-11-01 2019-01-31 0000350797 us-gaap:RetainedEarningsMember 2020-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2020-07-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2020-07-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2020-07-31 0000350797 ev:PermanentEquityMember 2020-07-31 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2020-07-31 0000350797 us-gaap:CommonStockMember us-gaap:CommonClassAMember 2020-07-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-07-31 0000350797 us-gaap:NonvotingCommonStockMember us-gaap:RetainedEarningsMember 2018-11-01 2019-07-31 0000350797 us-gaap:TotalReturnSwapMember 2019-05-01 2019-07-31 0000350797 us-gaap:InterestRateSwapMember 2019-05-01 2019-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2020-07-31 0000350797 us-gaap:PhantomShareUnitsPSUsMember srt:DirectorMember ev:OmnibusIncentivePlan2013Member 2019-11-01 2020-07-31 0000350797 us-gaap:CollateralPledgedMember 2019-10-31 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricPlanMember 2017-11-01 2018-10-31 0000350797 us-gaap:TotalReturnSwapMember 2020-07-31 0000350797 us-gaap:InterestRateSwapMember 2020-07-31 0000350797 us-gaap:AccountingStandardsUpdate201602Member 2019-11-01 2019-11-01 0000350797 us-gaap:AccountingStandardsUpdate201602Member 2019-11-01 0000350797 ev:AtlantaCapitalMember 2018-11-01 2019-10-31 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricPlanMember 2018-11-01 2019-10-31 0000350797 us-gaap:RestrictedStockMember ev:OmnibusIncentivePlansMember 2020-05-01 2020-07-31 0000350797 us-gaap:RestrictedStockMember ev:OmnibusIncentivePlansMember 2019-05-01 2019-07-31 0000350797 us-gaap:EmployeeStockOptionMember ev:OmnibusIncentivePlansMember 2020-05-01 2020-07-31 0000350797 us-gaap:EmployeeStockOptionMember ev:OmnibusIncentivePlansMember 2019-05-01 2019-07-31 0000350797 country:GB 2020-07-31 0000350797 ev:WealthManagementTechnologyFirmMember 2020-07-31 0000350797 us-gaap:CollateralizedDebtObligationsMember 2019-10-31 0000350797 ev:ConsolidatedSecuritizedCloEntitiesMember 2019-05-01 2019-07-31 0000350797 us-gaap:TotalReturnSwapMember 2020-05-01 2020-07-31 0000350797 us-gaap:InterestRateSwapMember 2020-05-01 2020-07-31 0000350797 ev:WealthManagementTechnologyFirmMember 2019-10-31 0000350797 us-gaap:CollateralizedDebtObligationsMember 2020-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember us-gaap:CommonClassAMember 2019-11-01 2020-07-31 0000350797 us-gaap:CommonClassAMember ev:PermanentEquityMember 2019-11-01 2020-07-31 0000350797 ev:SeniorNotes2027Member 2019-05-01 2019-07-31 0000350797 ev:SeniorNotes2023Member 2019-05-01 2019-07-31 0000350797 ev:EatonVanceClo20191Member 2019-11-01 2020-07-31 0000350797 ev:EatonVanceClo20181Member 2020-01-15 2020-01-15 0000350797 ev:EatonVanceClo20181Member 2019-11-01 2020-07-31 0000350797 us-gaap:EmployeeStockOptionMember 2019-11-01 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:ShortTermDebtMember 2019-10-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlanMember 2020-05-01 2020-07-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlanMember 2019-05-01 2019-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:ShortTermDebtMember 2020-07-31 0000350797 ev:AtlantaCapitalLongTermEquityIncentivePlanMember 2020-05-01 2020-07-31 0000350797 ev:AtlantaCapitalLongTermEquityIncentivePlanMember 2019-05-01 2019-07-31 0000350797 ev:ParametricLongTermEquityIncentivePlanMember 2020-05-01 2020-07-31 0000350797 ev:ParametricLongTermEquityIncentivePlanMember 2019-05-01 2019-07-31 0000350797 ev:ParametricCapitalPhantomIncentivePlanMember 2020-05-01 2020-07-31 0000350797 ev:ParametricCapitalPhantomIncentivePlanMember 2019-05-01 2019-07-31 0000350797 us-gaap:PhantomShareUnitsPSUsMember srt:DirectorMember ev:OmnibusIncentivePlan2013Member 2019-10-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2018-11-01 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2018-11-01 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2018-11-01 0000350797 us-gaap:PhantomShareUnitsPSUsMember srt:DirectorMember ev:OmnibusIncentivePlan2013Member 2020-07-31 0000350797 2015-12-23 0000350797 us-gaap:AdditionalPaidInCapitalMember 2020-04-30 0000350797 us-gaap:ReceivablesFromStockholderMember 2020-04-30 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-04-30 0000350797 us-gaap:RetainedEarningsMember 2020-04-30 0000350797 us-gaap:RetainedEarningsMember 2020-05-01 2020-07-31 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2020-05-01 2020-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2020-05-01 2020-07-31 0000350797 us-gaap:NonvotingCommonStockMember ev:PermanentEquityMember 2020-05-01 2020-07-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2020-05-01 2020-07-31 0000350797 ev:PermanentEquityMember 2020-05-01 2020-07-31 0000350797 us-gaap:NonvotingCommonStockMember us-gaap:ReceivablesFromStockholderMember 2019-05-01 2019-07-31 0000350797 us-gaap:RetainedEarningsMember 2019-05-01 2019-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2019-05-01 2019-07-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2019-05-01 2019-07-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2019-05-01 2019-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2019-05-01 2019-07-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2020-04-30 0000350797 ev:PermanentEquityMember 2020-04-30 0000350797 us-gaap:AdditionalPaidInCapitalMember 2020-07-31 0000350797 us-gaap:CommonStockMember us-gaap:CommonClassAMember 2020-04-30 0000350797 ev:NonRedeemableNonControllingInterestsMember 2020-05-01 2020-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2020-05-01 2020-07-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-05-01 2020-07-31 0000350797 us-gaap:NonvotingCommonStockMember us-gaap:ReceivablesFromStockholderMember 2020-05-01 2020-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember us-gaap:NonvotingCommonStockMember 2020-05-01 2020-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2019-04-30 0000350797 us-gaap:ReceivablesFromStockholderMember 2019-04-30 0000350797 ev:RedeemableNonControllingInterestsMember 2019-04-30 0000350797 us-gaap:AdditionalPaidInCapitalMember us-gaap:NonvotingCommonStockMember 2019-05-01 2019-07-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-05-01 2019-07-31 0000350797 ev:PermanentEquityMember 2019-05-01 2019-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2020-04-30 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2020-04-30 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-04-30 0000350797 us-gaap:RetainedEarningsMember 2019-04-30 0000350797 ev:NonRedeemableNonControllingInterestsMember 2019-04-30 0000350797 ev:PermanentEquityMember 2019-04-30 0000350797 us-gaap:CommonStockMember us-gaap:CommonClassAMember 2019-04-30 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2019-04-30 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2019-05-01 2019-07-31 0000350797 us-gaap:NonvotingCommonStockMember ev:PermanentEquityMember 2019-05-01 2019-07-31 0000350797 us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember 2019-11-01 2020-07-31 0000350797 us-gaap:InvestmentAdvisoryManagementAndAdministrativeServiceMember 2018-11-01 2019-07-31 0000350797 us-gaap:DistributionServiceMember 2019-11-01 2020-07-31 0000350797 us-gaap:DistributionServiceMember 2018-11-01 2019-07-31 0000350797 ev:ServiceFeesMember 2019-11-01 2020-07-31 0000350797 ev:ServiceFeesMember 2018-11-01 2019-07-31 0000350797 us-gaap:FinancialServiceOtherMember 2019-11-01 2020-07-31 0000350797 us-gaap:FinancialServiceOtherMember 2018-11-01 2019-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2019-11-01 2020-07-31 0000350797 ev:ConsolidatedWarehouseCloEntityMember 2019-05-01 2019-07-31 0000350797 ev:ConsolidatedSecuritizedCloEntitiesMember 2019-11-01 2020-07-31 0000350797 ev:ConsolidatedSecuritizedCloEntitiesMember 2018-11-01 2019-07-31 0000350797 us-gaap:TotalReturnSwapMember 2019-11-01 2020-07-31 0000350797 us-gaap:TotalReturnSwapMember 2018-11-01 2019-07-31 0000350797 us-gaap:InterestRateSwapMember 2019-11-01 2020-07-31 0000350797 us-gaap:InterestRateSwapMember 2018-11-01 2019-07-31 0000350797 us-gaap:CreditDefaultSwapMember 2019-11-01 2020-07-31 0000350797 us-gaap:CreditDefaultSwapMember 2018-11-01 2019-07-31 0000350797 us-gaap:ForeignExchangeContractMember 2019-11-01 2020-07-31 0000350797 us-gaap:ForeignExchangeContractMember 2018-11-01 2019-07-31 0000350797 ev:CommodityFuturesContractsMember 2019-11-01 2020-07-31 0000350797 ev:CommodityFuturesContractsMember 2018-11-01 2019-07-31 0000350797 us-gaap:ForeignExchangeFutureMember 2019-11-01 2020-07-31 0000350797 us-gaap:ForeignExchangeFutureMember 2018-11-01 2019-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2019-05-01 2019-07-31 0000350797 ev:SeniorNotes2027Member 2018-11-01 2019-07-31 0000350797 ev:InterestRateFuturesContractsMember 2019-11-01 2020-07-31 0000350797 ev:InterestRateFuturesContractsMember 2018-11-01 2019-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2018-11-01 2019-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2019-07-31 0000350797 ev:ManagementFeesSponsoredFundsMember 2020-05-01 2020-07-31 0000350797 ev:ManagementFeesSponsoredFundsMember 2019-05-01 2019-07-31 0000350797 ev:ManagementFeesSponsoredFundsMember 2019-11-01 2020-07-31 0000350797 ev:ManagementFeesSponsoredFundsMember 2018-11-01 2019-07-31 0000350797 ev:ManagementFeesSeperateAccountsMember 2020-05-01 2020-07-31 0000350797 ev:ManagementFeesSeperateAccountsMember 2019-05-01 2019-07-31 0000350797 ev:ManagementFeesSeperateAccountsMember 2019-11-01 2020-07-31 0000350797 ev:ManagementFeesSeperateAccountsMember 2018-11-01 2019-07-31 0000350797 ev:DistributionAndUnderwriterFeesDistributionFeesMember 2020-05-01 2020-07-31 0000350797 ev:DistributionAndUnderwriterFeesDistributionFeesMember 2019-05-01 2019-07-31 0000350797 ev:DistributionAndUnderwriterFeesDistributionFeesMember 2019-11-01 2020-07-31 0000350797 ev:DistributionAndUnderwriterFeesDistributionFeesMember 2018-11-01 2019-07-31 0000350797 ev:DistributionAndUnderwriterFeesUnderwriterCommissionsMember 2020-05-01 2020-07-31 0000350797 ev:DistributionAndUnderwriterFeesUnderwriterCommissionsMember 2019-05-01 2019-07-31 0000350797 ev:DistributionAndUnderwriterFeesUnderwriterCommissionsMember 2019-11-01 2020-07-31 0000350797 ev:DistributionAndUnderwriterFeesUnderwriterCommissionsMember 2018-11-01 2019-07-31 0000350797 ev:ManagementFeesEquityMember 2020-05-01 2020-07-31 0000350797 ev:ManagementFeesEquityMember 2019-05-01 2019-07-31 0000350797 ev:ManagementFeesEquityMember 2019-11-01 2020-07-31 0000350797 ev:ManagementFeesEquityMember 2018-11-01 2019-07-31 0000350797 ev:ManagementFeesFixedIncomeMember 2020-05-01 2020-07-31 0000350797 ev:ManagementFeesFixedIncomeMember 2019-05-01 2019-07-31 0000350797 ev:ManagementFeesFixedIncomeMember 2019-11-01 2020-07-31 0000350797 ev:ManagementFeesFixedIncomeMember 2018-11-01 2019-07-31 0000350797 ev:ManagementFeesFloatingRateIncomeMember 2020-05-01 2020-07-31 0000350797 ev:ManagementFeesFloatingRateIncomeMember 2019-05-01 2019-07-31 0000350797 ev:ManagementFeesFloatingRateIncomeMember 2019-11-01 2020-07-31 0000350797 ev:ManagementFeesFloatingRateIncomeMember 2018-11-01 2019-07-31 0000350797 ev:ManagementAlternativeMember 2020-05-01 2020-07-31 0000350797 ev:ManagementAlternativeMember 2019-05-01 2019-07-31 0000350797 ev:ManagementAlternativeMember 2019-11-01 2020-07-31 0000350797 ev:ManagementAlternativeMember 2018-11-01 2019-07-31 0000350797 ev:ManagementFeesPortfolioImplementationMember 2020-05-01 2020-07-31 0000350797 ev:ManagementFeesPortfolioImplementationMember 2019-05-01 2019-07-31 0000350797 ev:ManagementFeesPortfolioImplementationMember 2019-11-01 2020-07-31 0000350797 ev:ManagementFeesPortfolioImplementationMember 2018-11-01 2019-07-31 0000350797 ev:ManagementFeesExposureManagementMember 2020-05-01 2020-07-31 0000350797 ev:ManagementFeesExposureManagementMember 2019-05-01 2019-07-31 0000350797 ev:ManagementFeesExposureManagementMember 2019-11-01 2020-07-31 0000350797 ev:ManagementFeesExposureManagementMember 2018-11-01 2019-07-31 0000350797 us-gaap:StockCompensationPlanMember 2019-11-01 2020-07-31 0000350797 us-gaap:StockCompensationPlanMember 2018-11-01 2019-07-31 0000350797 ev:IncentivePlanMember 2019-11-01 2020-07-31 0000350797 ev:IncentivePlanMember 2018-11-01 2019-07-31 0000350797 ev:AtlantaCapitalLongTermEquityIncentivePlanMember 2019-11-01 2020-07-31 0000350797 ev:AtlantaCapitalLongTermEquityIncentivePlanMember 2018-11-01 2019-07-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlanMember 2019-11-01 2020-07-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlanMember 2018-11-01 2019-07-31 0000350797 ev:ParametricLongTermEquityIncentivePlanMember 2019-11-01 2020-07-31 0000350797 ev:ParametricLongTermEquityIncentivePlanMember 2018-11-01 2019-07-31 0000350797 ev:ParametricCapitalPhantomIncentivePlanMember 2019-11-01 2020-07-31 0000350797 ev:ParametricCapitalPhantomIncentivePlanMember 2018-11-01 2019-07-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-04-30 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2019-04-30 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-05-01 2019-07-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2019-05-01 2019-07-31 0000350797 ev:SponsoredFundsMember 2018-11-01 2019-07-31 0000350797 ev:HexavestRelatedPartiesAgreementsMember 2018-11-01 2019-07-31 0000350797 ev:ConsolidatedWarehouseCloEntityMember 2018-11-01 2019-07-31 0000350797 ev:StockIndexFuturesContractsMember 2019-11-01 2020-07-31 0000350797 ev:StockIndexFuturesContractsMember 2018-11-01 2019-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2019-04-30 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2018-10-31 0000350797 srt:RestatementAdjustmentMember ev:ManagementFeesPortfolioImplementationMember 2019-05-01 2019-07-31 0000350797 ev:ConsolidatedSponsoredFundsMember 2019-11-01 2020-07-31 0000350797 ev:ConsolidatedSponsoredFundsMember 2018-11-01 2019-07-31 0000350797 ev:MajorityOwnedSubsidiariesMember 2019-11-01 2020-07-31 0000350797 ev:MajorityOwnedSubsidiariesMember 2018-11-01 2019-07-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-04-30 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2020-04-30 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2020-05-01 2020-07-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2020-05-01 2020-07-31 0000350797 srt:RestatementAdjustmentMember ev:ManagementFeesPortfolioImplementationMember 2018-11-01 2019-07-31 0000350797 us-gaap:RestrictedStockMember ev:OmnibusIncentivePlansMember 2019-11-01 2020-07-31 0000350797 us-gaap:RestrictedStockMember ev:OmnibusIncentivePlansMember 2018-11-01 2019-07-31 0000350797 us-gaap:EmployeeStockOptionMember ev:OmnibusIncentivePlansMember 2019-11-01 2020-07-31 0000350797 us-gaap:EmployeeStockOptionMember ev:OmnibusIncentivePlansMember 2018-11-01 2019-07-31 0000350797 ev:OmnibusIncentivePlansMember ev:DeferredStockUnitsMember 2019-11-01 2020-07-31 0000350797 ev:OmnibusIncentivePlansMember ev:DeferredStockUnitsMember 2018-11-01 2019-07-31 0000350797 ev:SponsoredFundsMember 2019-11-01 2020-07-31 0000350797 country:US 2019-11-01 2020-07-31 0000350797 country:US 2018-11-01 2019-07-31 0000350797 us-gaap:NonUsMember 2019-11-01 2020-07-31 0000350797 us-gaap:NonUsMember 2018-11-01 2019-07-31 0000350797 ev:NonConsolidatedSponsoredFundsAndOtherMember 2020-07-31 0000350797 ev:NonConsolidatedSponsoredFundsAndOtherMember 2019-10-31 0000350797 us-gaap:LondonInterbankOfferedRateLIBORMember ev:BankLoanInvestmentsMember 2019-11-01 2020-07-31 0000350797 us-gaap:LondonInterbankOfferedRateLIBORMember us-gaap:NotesPayableToBanksMember srt:MinimumMember 2019-11-01 2020-07-31 0000350797 us-gaap:NotesPayableToBanksMember ev:SeniorSecuredFloatingRateNotesPayableMember 2020-07-31 0000350797 us-gaap:NotesPayableToBanksMember ev:SubordinatedNotesMember 2020-07-31 0000350797 us-gaap:LondonInterbankOfferedRateLIBORMember us-gaap:NotesPayableToBanksMember srt:MaximumMember 2019-11-01 2020-07-31 0000350797 us-gaap:NotesPayableToBanksMember 2020-07-31 0000350797 2020-03-16 2020-03-16 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricRiskAdvisorsMember 2014-10-31 0000350797 us-gaap:RevolvingCreditFacilityMember 2018-12-11 2018-12-11 0000350797 us-gaap:RevolvingCreditFacilityMember 2018-12-11 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricRiskAdvisorsMember 2018-11-01 2019-01-31 0000350797 us-gaap:RevolvingCreditFacilityMember 2020-05-01 2020-07-31 0000350797 us-gaap:RevolvingCreditFacilityMember 2020-07-31 0000350797 us-gaap:RevolvingCreditFacilityMember 2019-11-01 2020-07-31 0000350797 us-gaap:RevolvingCreditFacilityMember 2019-10-31 0000350797 us-gaap:RestrictedStockMember 2019-10-31 0000350797 us-gaap:RetainedEarningsMember 2019-07-31 0000350797 ev:SeniorNotes2027Member 2016-11-01 2017-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricPlanMember 2020-07-31 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricPlanMember 2019-10-31 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricRiskAdvisorsMember 2020-07-31 0000350797 us-gaap:RevolvingCreditFacilityMember 2018-11-01 2019-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel1Member ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel2Member ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain us-gaap:FairValueInputsLevel3Member ev:DebtSecuritiesHeldInSeparatelyManagedAccountsMember 2019-10-31 0000350797 us-gaap:PortionAtOtherThanFairValueFairValueDisclosureMember ev:EquitySecuritiesHeldInSeparatelyManagedAccountsMember 2020-07-31 0000350797 ev:ParametricPortfolioAssociatesMember ev:ParametricRiskAdvisorsMember 2019-10-31 0000350797 ev:HexavestRelatedPartiesAgreementsMember 2020-05-01 2020-07-31 0000350797 ev:HexavestRelatedPartiesAgreementsMember 2019-05-01 2019-07-31 0000350797 us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember 2019-07-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember 2019-07-31 0000350797 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember 2019-07-31 0000350797 us-gaap:CommonStockMember us-gaap:NonvotingCommonStockMember 2019-07-31 0000350797 us-gaap:ReceivablesFromStockholderMember 2019-07-31 0000350797 ev:NonRedeemableNonControllingInterestsMember 2019-07-31 0000350797 ev:RedeemableNonControllingInterestsMember 2019-07-31 0000350797 ev:PermanentEquityMember 2019-07-31 0000350797 us-gaap:CommonStockMember us-gaap:CommonClassAMember 2019-07-31 0000350797 ev:EatonVanceClo20201Member 2020-07-31 0000350797 us-gaap:LondonInterbankOfferedRateLIBORMember us-gaap:ScenarioPlanMember ev:EatonVanceClo20201Member 2021-04-01 2021-04-30 0000350797 ev:ConsolidatedWarehouseCloEntityMember 2019-11-01 2020-07-31 0000350797 us-gaap:SubsequentEventMember ev:EatonVanceClo20201Member 2020-08-25 2020-08-25 0000350797 ev:SeniorNotes2023Member 2018-11-01 2019-07-31 0000350797 ev:ConsolidatedWarehouseCloEntityMember 2020-07-31 0000350797 us-gaap:LondonInterbankOfferedRateLIBORMember ev:EatonVanceClo20201Member 2019-11-01 2020-07-31 0000350797 ev:ConsolidatedWarehouseCloEntityMember 2020-05-01 2020-07-31 0000350797 us-gaap:CollateralPledgedMember 2020-07-31 0000350797 us-gaap:CommonClassAMember ev:PermanentEquityMember 2020-05-01 2020-07-31 0000350797 us-gaap:AdditionalPaidInCapitalMember us-gaap:CommonClassAMember 2020-05-01 2020-07-31 0000350797 us-gaap:CommonClassAMember 2019-11-01 2020-07-31 0000350797 us-gaap:CommonClassAMember 2018-11-01 2019-07-31 0000350797 ev:BankLoansAndOtherInvestmentsOfConsolidatedCloEntityMember 2019-10-31 0000350797 us-gaap:FairValueDisclosureItemAmountsDomain ev:HexavestMember 2020-07-31 0000350797 ev:HexavestMember 2020-05-01 2020-07-31 0000350797 us-gaap:MeasurementInputLongTermRevenueGrowthRateMember ev:HexavestMember 2020-07-31 0000350797 us-gaap:MeasurementInputDiscountRateMember ev:HexavestMember 2020-07-31 0000350797 us-gaap:MeasurementInputEbitdaMultipleMember ev:HexavestMember 2020-07-31 0000350797 us-gaap:VariableInterestEntityPrimaryBeneficiaryMember 2020-07-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlansMember 2019-10-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlansMember 2019-11-01 2020-07-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlansMember 2020-07-31 0000350797 ev:AtlantaCapitalLongTermEquityIncentivePlanMember 2020-07-31 0000350797 ev:AtlantaCapitalPhantomIncentivePlanMember 2020-07-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember ev:EvmcMember 2020-07-31 0000350797 srt:ConsolidatedEntityExcludingVariableInterestEntitiesVIEMember 2020-07-31 0000350797 srt:ConsolidatedEntityExcludingVariableInterestEntitiesVIEMember 2019-10-31 0000350797 us-gaap:AccumulatedTranslationAdjustmentMember ev:EvmcMember 2019-07-31 0000350797 ev:ParametricPhantomIncentivePlansMember 2019-04-30 0000350797 ev:ParametricPhantomIncentivePlansMember 2019-02-01 2019-04-30 0000350797 us-gaap:SubsequentEventMember ev:EatonVanceClo20201Member 2020-08-25 iso4217:USD xbrli:pure xbrli:shares iso4217:USD xbrli:shares ev:NrEntities ev:Number

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒Quarterly Report Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

For the quarterly period ended July 31, 2020

☐Transition Report Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934

For the transition period from _____________ to ____________

Commission File Number: 1-8100

EATON VANCE CORP.

(Exact name of registrant as specified in its charter)

Maryland		04-2718215
(State or other jurisdiction of		(I.R.S. Employer Identification No.)
incorporation or organization)

	Two International Place, Boston, Massachusetts 02110
	(Address of principal executive offices) (zip code)

	(617) 482-8260
	(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Non-Voting Common Stock, $0.00390625 par value	EV	New York Stock Exchange

Indicate by check-mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Class:		Outstanding as of July 31, 2020
Non-Voting Common Stock, $0.00390625 par value		114,173,283 shares
Voting Common Stock, $0.00390625 par value		464,716 shares

Eaton Vance Corp.

Form 10-Q

As of July 31, 2020 and for the

Three and Nine Month Periods Ended July 31, 2020

Table of Contents

Required Information		Page Number Reference

Part I	Financial Information
Item 1.	Consolidated Financial Statements (unaudited)	3
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	46
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	76
Item 4.	Controls and Procedures	76

Part II	Other Information
Item 1.	Legal Proceedings	77
Item 1A.	Risk Factors	77
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	78
Item 6.	Exhibits	79

Signatures		80

Part I - Financial Information


Item 1. Consolidated Financial Statements (unaudited)

Eaton Vance Corp.
Consolidated Balance Sheets (unaudited)

		July 31,		October 31,
(in thousands)		2020		2019

Assets

Cash and cash equivalents	$	878,875	$	557,668
Management fees and other receivables		231,115		237,864
Investments		657,444		1,060,739
Assets of consolidated collateralized loan obligation (CLO) entities:
Cash		51,854		48,704
Bank loans and other investments		1,484,671		1,704,270
Other assets		19,145		28,039
Deferred sales commissions		59,622		55,211
Deferred income taxes		55,127		62,661
Equipment and leasehold improvements, net		71,251		72,798
Operating lease right-of-use assets		257,700		-
Intangible assets, net		72,956		75,907
Goodwill		259,681		259,681
Loan to affiliate		5,000		5,000
Other assets		77,956		85,087
Total assets	$	4,182,397	$	4,253,629

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Balance Sheets (unaudited) (continued)

		July 31,		October 31,
(in thousands, except share data)		2020		2019

Liabilities, Temporary Equity and Permanent Equity

Liabilities:

Accrued compensation	$	173,311	$	240,722
Accounts payable and accrued expenses		71,063		89,984
Dividend payable		55,600		55,177
Debt		621,139		620,513
Operating lease liabilities		306,493		-
Liabilities of consolidated CLO entities:
Senior and subordinated note obligations		1,170,800		1,617,095
Other liabilities		298,282		51,122
Other liabilities		24,912		108,982
Total liabilities		2,721,600		2,783,595

Commitments and contingencies (Note 19)		nil		nil

Temporary Equity:

Redeemable non-controlling interests		185,510		285,915
Total temporary equity		185,510		285,915

Permanent Equity:

Voting Common Stock, par value $0.00390625 per share:
Authorized, 1,280,000 shares
Issued and outstanding, 464,716 and 422,935 shares,
respectively		2		2
Non-Voting Common Stock, par value $0.00390625 per share:
Authorized, 190,720,000 shares
Issued and outstanding, 114,173,283 and 113,143,567 shares,
respectively		446		442
Additional paid-in capital		49,122		-
Notes receivable from stock option exercises		(7,153)		(8,447)
Accumulated other comprehensive loss		(63,132)		(58,317)
Retained earnings		1,296,002		1,250,439
Total Eaton Vance Corp. shareholders' equity		1,275,287		1,184,119
Non-redeemable non-controlling interests		-		-
Total permanent equity		1,275,287		1,184,119
Total liabilities, temporary equity and permanent equity	$	4,182,397	$	4,253,629

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Income (unaudited)
				Three Months Ended				Nine Months Ended
				July 31,				July 31,
(in thousands, except per share data)				2020		2019		2020		2019
Revenue:
	Management fees		$	369,198	$	375,747	$	1,118,120	$	1,085,881
	Distribution and underwriter fees			18,141		21,281		58,841		64,425
	Service fees			32,322		31,855		96,818		90,801
	Other revenue			1,158		2,352		5,505		8,405
		Total revenue		420,819		431,235		1,279,284		1,249,512
Expenses:
	Compensation and related costs			156,780		158,642		477,834		466,072
	Distribution expense			32,198		38,070		105,734		111,508
	Service fee expense			28,266		28,037		84,669		79,475
	Amortization of deferred sales commissions			6,329		5,644		18,586		16,762
	Fund-related expenses			9,545		9,715		31,509		29,320
	Other expenses			56,480		53,992		173,056		160,937
		Total expenses		289,598		294,100		891,388		864,074
Operating income				131,221		137,135		387,896		385,438
Non-operating income (expense):
	Gains (losses) and other investment income, net			33,671		14,846		(751)		35,885
	Interest expense			(5,888)		(5,888)		(18,140)		(17,907)
	Other income (expense) of consolidated CLO entities:
		Gains and other investment income, net		14,440		18,260		25,162		45,495
		Interest and other expense		(9,912)		(21,748)		(38,955)		(40,905)
		Total non-operating income (expense)		32,311		5,470		(32,684)		22,568
Income before income taxes and equity in net
	income (loss) of affiliates			163,532		142,605		355,212		408,006
Income taxes				(36,899)		(36,304)		(91,494)		(100,998)
Equity in net income (loss) of affiliates, net of tax				(100,244)		2,235		(96,438)		6,918
Net income				26,389		108,536		167,280		313,926
Net (income) loss attributable to non-controlling and
	other beneficial interests			(27,982)		(6,315)		7,170		(23,097)
Net income (loss) attributable to
	Eaton Vance Corp. shareholders		$	(1,593)	$	102,221	$	174,450	$	290,829
Earnings (loss) per share:
	Basic		$	(0.01)	$	0.94	$	1.60	$	2.63
	Diluted		$	(0.01)	$	0.90	$	1.55	$	2.54
Weighted average shares outstanding:
	Basic			109,183		109,111		109,255		110,553
	Diluted			111,694		113,464		112,879		114,510

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Comprehensive Income (unaudited)

		Three Months Ended				Nine Months Ended
		July 31,				July 31,
(in thousands)		2020		2019		2020		2019

Net income	$	26,389	$	108,536	$	167,280	$	313,926
Other comprehensive income (loss):
Amortization of net losses on cash flow hedges,
net of tax		(25)		(23)		(74)		(73)
Foreign currency translation adjustments		5,818		1,703		(4,741)		(2,967)
Other comprehensive income (loss), net of tax		5,793		1,680		(4,815)		(3,040)

Total comprehensive income		32,182		110,216		162,465		310,886
Comprehensive (income) loss attributable to non-controlling
and other beneficial interests		(27,982)		(6,315)		7,170		(23,097)
Total comprehensive income attributable to
Eaton Vance Corp. shareholders	$	4,200	$	103,901	$	169,635	$	287,789

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Shareholders' Equity (unaudited)

	Three Months Ended July 31, 2020
		Permanent Equity																Temporary Equity
(in thousands)	Voting Common Stock		Non-Voting Common Stock		Additional Paid-In Capital		Notes Receivable from Stock Option Exercises		Accumulated Other Comprehensive Income (Loss)		Retained Earnings		Non-Redeemable Non- Controlling Interests		Total Permanent Equity			Redeemable Non-Controlling Interests
Balance, April 30, 2020	$	2	$	445	$	12,094	$	(7,070)	$	(68,925)	$	1,340,559	$	-	$	1,277,105	$	211,135
Net income (loss)		-		-		-		-		-		(1,593)		182		(1,411)		27,800
Other comprehensive income, net of tax		-		-		-		-		5,793		-		-		5,793		-
Dividends declared ($0.375 per share)		-		-		-		-		-		(42,964)		-		(42,964)		-
Issuance of Non-Voting Common Stock:
On exercise of stock options		-		1		5,935		(246)		-		-		-		5,690		-
Under employee stock purchase plans		-		-		1,380		-		-		-		-		1,380		-
Under employee stock purchase incentive plan		-		-		821		-		-		-		-		821		-
Stock-based compensation		-		-		25,347		-		-		-		-		25,347		-
Tax expense associated with non-controlling interests		-		-		(15)		-		-		-		-		(15)		-
Repurchase of Voting Common Stock		-		-		(145)		-		-		-		-		(145)		-
Repurchase of Non-Voting Common Stock		-		-		(1,312)		-		-		-		-		(1,312)		-
Principal repayments on notes receivable
from stock option exercises		-		-		-		163		-		-		-		163		-
Net subscriptions (redemptions/distributions)
of non-controlling interest holders		-		-		-		-		-		-		(182)		(182)		125,491
Net consolidations (deconsolidations) of
sponsored investment funds		-		-		-		-		-		-		-		-		(173,899)
Changes in redemption value of non-controlling
interests redeemable at fair value		-		-		5,017		-		-		-		-		5,017		(5,017)
Balance, July 31, 2020	$	2	$	446	$	49,122	$	(7,153)	$	(63,132)	$	1,296,002	$	-	$	1,275,287	$	185,510

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Shareholders' Equity (unaudited) (continued)

	Three Months Ended July 31, 2019
		Permanent Equity																Temporary Equity
(in thousands)	Voting Common Stock		Non-Voting Common Stock		Additional Paid-In Capital		Notes Receivable from Stock Option Exercises		Accumulated Other Comprehensive Income (Loss)		Retained Earnings		Non-Redeemable Non- Controlling Interests		Total Permanent Equity			Redeemable Non-Controlling Interests
Balance, April 30, 2019	$	2	$	446	$	-	$	(7,820)	$	(61,615)	$	1,157,970	$	1,049	$	1,090,032	$	340,176
Net income		-		-		-		-		-		102,221		494		102,715		5,821
Other comprehensive income, net of tax		-		-		-		-		1,680		-		-		1,680		-
Dividends declared ($0.35 per share)		-		-		-		-		-		(39,626)		-		(39,626)		-
Issuance of Non-Voting Common Stock:
On exercise of stock options		-		1		11,371		(286)		-		-		-		11,086		-
Under employee stock purchase plans		-		-		1,606		-		-		-		-		1,606		-
Under employee stock purchase incentive plan		-		1		812		-		-		-		-		813		-
Stock-based compensation		-		-		23,420		-		-		-		-		23,420		-
Tax expense associated with non-controlling interests		-		-		(30)		-		-		-		-		(30)		-
Repurchase of Non-Voting Common Stock		-		(6)		(36,460)		-		-		(24,790)		-		(61,256)		-
Principal repayments on notes receivable
from stock option exercises		-		-		-		187		-		-		-		187		-
Net subscriptions (redemptions/distributions)
of non-controlling interest holders		-		-		-		-		-		-		(501)		(501)		15,529
Net consolidations (deconsolidations) of
sponsored investment funds		-		-		-		-		-		-		-		-		(16,082)
Changes in redemption value of non-controlling
interests redeemable at fair value		-		-		(719)		-		-		-		-		(719)		719
Balance, July 31, 2019	$	2	$	442	$	-	$	(7,919)	$	(59,935)	$	1,195,775	$	1,042	$	1,129,407	$	346,163

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Shareholders' Equity (unaudited) (continued)

	Nine Months Ended July 31, 2020
		Permanent Equity																Temporary Equity
(in thousands)	Voting Common Stock		Non-Voting Common Stock		Additional Paid-In Capital		Notes Receivable from Stock Option Exercises		Accumulated Other Comprehensive Income (Loss)		Retained Earnings		Non-Redeemable Non- Controlling Interests		Total Permanent Equity			Redeemable Non-Controlling Interests
Balance, November 1, 2019	$	2	$	442	$	-	$	(8,447)	$	(58,317)	$	1,250,439	$	-	$	1,184,119	$	285,915
Net income (loss)		-		-		-		-		-		174,450		548		174,998		(7,718)
Other comprehensive loss, net of tax		-		-		-		-		(4,815)		-		-		(4,815)		-
Dividends declared ($1.125 per share)		-		-		-		-		-		(128,887)		-		(128,887)		-
Issuance of Voting Common Stock		-		-		581		-		-		-		-		581		-
Issuance of Non-Voting Common Stock:
On exercise of stock options		-		6		52,344		(1,327)		-		-		-		51,023		-
Under employee stock purchase plans		-		-		3,037		-		-		-		-		3,037		-
Under employee stock purchase incentive plan		-		1		3,787		-		-		-		-		3,788		-
Under restricted stock plan, net of forfeitures		-		6		-		-		-		-		-		6		-
Stock-based compensation		-		-		76,298		-		-		-		-		76,298		-
Tax benefit of non-controlling interest repurchases		-		-		2,494		-		-		-		-		2,494		-
Repurchase of Voting Common Stock		-		-		(145)		-		-		-		-		(145)		-
Repurchase of Non-Voting Common Stock		-		(9)		(98,900)		-		-		-		-		(98,909)		-
Principal repayments on notes receivable
from stock option exercises		-		-		-		2,621		-		-		-		2,621		-
Net subscriptions (redemptions/distributions)
of non-controlling interest holders		-		-		-		-		-		-		(548)		(548)		243,417
Net consolidations (deconsolidations) of
sponsored investment funds		-		-		-		-		-		-		-		-		(326,478)
Changes in redemption value of non-controlling
interests redeemable at fair value		-		-		9,626		-		-		-		-		9,626		(9,626)
Balance, July 31, 2020	$	2	$	446	$	49,122	$	(7,153)	$	(63,132)	$	1,296,002	$	-	$	1,275,287	$	185,510

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Shareholders' Equity (unaudited) (continued)

	Nine Months Ended July 31, 2019
		Permanent Equity																Temporary Equity
(in thousands)	Voting Common Stock		Non-Voting Common Stock		Additional Paid-In Capital		Notes Receivable from Stock Option Exercises		Accumulated Other Comprehensive Income (Loss)		Retained Earnings		Non-Redeemable Non- Controlling Interests		Total Permanent Equity			Redeemable Non-Controlling Interests
Balance, November 1, 2018	$	2	$	455	$	17,514	$	(8,057)	$	(53,181)	$	1,150,698	$	1,000	$	1,108,431	$	335,097
Cumulative effect adjustment upon adoption
of new accounting standard (ASU 2016-01)		-		-		-		-		(3,714)		3,714		-		-		-
Net income		-		-		-		-		-		290,829		1,356		292,185		21,741
Other comprehensive loss, net of tax		-		-		-		-		(3,040)		-		-		(3,040)		-
Dividends declared ($1.05 per share)		-		-		-		-		-		(120,051)		-		(120,051)		-
Issuance of Non-Voting Common Stock:
On exercise of stock options		-		3		23,400		(534)		-		-		-		22,869		-
Under employee stock purchase plans		-		-		3,199		-		-		-		-		3,199		-
Under employee stock purchase incentive plan		-		1		4,201		-		-		-		-		4,202		-
Under restricted stock plan, net of forfeitures		-		7		-		-		-		-		-		7		-
Stock-based compensation		-		-		67,967		-		-		-		-		67,967		-
Tax benefit of non-controlling interest repurchases		-		-		929		-		-		-		-		929		-
Repurchase of Non-Voting Common Stock		-		(24)		(115,347)		-		-		(129,415)		-		(244,786)		-
Principal repayments on notes receivable
from stock option exercises		-		-		-		672		-		-		-		672		-
Net subscriptions (redemptions/distributions)
of non-controlling interest holders		-		-		-		-		-		-		(1,342)		(1,342)		59,448
Net consolidations (deconsolidations) of
sponsored investment funds		-		-		-		-		-		-		-		-		(67,994)
Reclass to temporary equity		-		-		-		-		-		-		28		28		(28)
Purchase of non-controlling interests		-		-		-		-		-		-		-		-		(3,964)
Changes in redemption value of non-controlling
interests redeemable at fair value		-		-		(1,863)		-		-		-		-		(1,863)		1,863
Balance, July 31, 2019	$	2	$	442	$	-	$	(7,919)	$	(59,935)	$	1,195,775	$	1,042	$	1,129,407	$	346,163

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Cash Flows (unaudited)
		Nine Months Ended
		July 31,
(in thousands)		2020		2019

Cash Flows From Operating Activities:
Net income	$	167,280	$	313,926
Adjustments to reconcile net income to net cash provided by
operating activities:
Depreciation and amortization		17,407		18,029
Amortization of deferred sales commissions		18,586		16,761
Stock-based compensation		76,298		67,967
Deferred income taxes		11,326		9,109
Net (gains) losses on investments and derivatives		21,855		(3,509)
Equity in net (income) loss of affiliates, net of tax		96,438		(6,918)
Dividends received from affiliates		4,689		8,221
Non-cash operating lease expense		12,938		-
Consolidated CLO entities’ operating activities:
Net losses on bank loans, other investments and note obligations		30,507		3,400
Amortization of bank loan investments		(2,937)		(825)
(Increase) decrease in other assets, net of other liabilities		(8,375)		11,116
Increase (decrease) in cash due to initial consolidation (deconsolidation) of
CLO entities		(4,606)		19,009
Changes in operating assets and liabilities:
Management fees and other receivables		6,881		2,572
Short-term debt securities		146,712		23,300
Investments held by consolidated sponsored funds and separately
managed accounts		(263,815)		(17,998)
Deferred sales commissions		(22,997)		(20,457)
Other assets		14,736		7,316
Accrued compensation		(67,602)		(57,203)
Accounts payable and accrued expenses		(1,857)		(1,107)
Operating lease liabilities		(12,941)		-
Other liabilities		14,274		(12,797)
Net cash provided by operating activities		254,797		379,912

Cash Flows From Investing Activities:
Additions to equipment and leasehold improvements		(15,626)		(29,977)
Proceeds from sale of investments		16,282		13,874
Purchase of investments		(146)		(1,481)
Proceeds from sale of investments in CLO entity note obligations		27,258		-
Purchase of investments in CLO entity note obligations		-		(54,352)
Consolidated CLO entities’ investing activities:
Proceeds from sale of bank loans and other investments		557,889		352,375
Purchase of bank loans and other investments		(570,004)		(908,752)
Net cash provided by (used for) investing activities		15,653		(628,313)

See notes to Consolidated Financial Statements.

Eaton Vance Corp.
Consolidated Statements of Cash Flows (unaudited) (continued)
			Nine Months Ended
			July 31,
(in thousands)			2020		2019
Cash Flows From Financing Activities:
Purchase of additional non-controlling interest		$	(8,372)	$	(18,098)
Proceeds from line of credit			300,000		-
Repayment of line of credit			(300,000)		-
Line of credit issuance costs			-		(930)
Proceeds from issuance of Voting Common Stock			581		-
Proceeds from issuance of Non-Voting Common Stock			57,854		30,277
Repurchase of Voting Common Stock			(145)		-
Repurchase of Non-Voting Common Stock			(112,579)		(257,922)
Principal repayments on notes receivable from stock option exercises			2,621		672
Dividends paid			(128,350)		(121,083)
Net subscriptions received from (redemptions/distributions paid to)
non-controlling interest holders			242,322		57,997
Consolidated CLO entities’ financing activities:
Proceeds from line of credit			-		197,915
Repayment of line of credit			-		(197,915)
Issuance of senior and subordinated notes obligations			-		404,477
Principal repayments of senior and subordinated note obligations			(375)		-
Net cash provided by financing activities			53,557		95,390
Effect of currency rate changes on cash and cash equivalents			(1,101)		(2,454)
Net increase (decrease) in cash, cash equivalents and restricted cash			322,906		(155,465)
Cash, cash equivalents and restricted cash, beginning of period			653,345		866,075
Cash, cash equivalents and restricted cash, end of period		$	976,251	$	710,610

Supplemental Cash and Restricted Cash Flow Information:
Cash paid for interest		$	17,795	$	17,350
Cash paid for interest by consolidated CLO entities			46,352		23,735
Cash paid for income taxes, net of refunds			87,371		92,944
Supplemental Schedule of Non-Cash Investing and Financing
	Transactions:
Increase in equipment and leasehold improvements due to non-cash
additions		$	929	$	2,726
Operating lease right-of-use assets recognized upon adoption of new
lease guidance			270,040		-
Operating lease liabilities recognized upon adoption of new lease guidance			318,824		-
Operating lease right-of-use assets obtained in exchange for new operating
lease liabilities			517		-
Exercise of stock options through issuance of notes receivable			1,327		534
Decrease in non-controlling interests due to net deconsolidation
of sponsored investment funds			(326,478)		(67,994)
Decrease in bank loans and other investments of consolidated CLO entities
due to unsettled sales			(16,093)		(18,514)
Increase in bank loans and other investments of consolidated CLO entities
due to unsettled purchases			289,289		66,301
Consolidation (Deconsolidation) of CLO Entities:
Increase (decrease) in bank loans and other investments		$	(445,569)	$	410,853
Increase (decrease) in senior and subordinated note obligations			(421,601)		391,080

See notes to Consolidated Financial Statements.

Eaton Vance Corp.

Notes to Consolidated Financial Statements (unaudited)

1. Summary of Significant Accounting Policies

Basis of presentation

In the opinion of management, the accompanying unaudited interim Consolidated Financial Statements of Eaton Vance Corp. (the Company) include all normal recurring adjustments necessary to present fairly the results for the interim periods in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Such financial statements have been prepared in accordance with the instructions to Form 10-Q pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures have been omitted pursuant to such rules and regulations. As a result, these financial statements should be read in conjunction with the audited Consolidated Financial Statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended October 31, 2019.

Adoption of new accounting standard

The Company adopted Accounting Standards Update (ASU) 2016-02, Leases, as of November 1, 2019. This guidance requires a lessee to recognize assets and liabilities on the balance sheet related to the rights and obligations created by those leases. The Company applied a modified retrospective approach to adoption and has not restated comparative periods. In order to reduce the complexity of adoption, the Company elected practical expedients that allowed it to forego reassessments of the following: whether an arrangement is or contains a lease, the classification of the lease, the recognition requirement for initial direct costs, and assumptions regarding renewal options that affect the lease term. Separately, the Company made accounting policy elections to 1) not separate lease and non-lease components such that all consideration required to be paid under its lease agreements will be allocated to the lease component, and 2) to report short-term leases with a term of twelve months or less off-balance sheet.

Upon adoption of the new guidance on November 1, 2019, the Company recognized operating lease right‐of‐use (ROU) assets of approximately $270.0 million equal to forecasted operating lease liabilities less deferred rent of $48.8 million, which was recognized under previous lease accounting guidance, and operating lease liabilities of approximately $318.8 million, with no cumulative-effect adjustment to opening retained earnings. The new guidance does not have a significant impact on the Company’s results of operations or cash flows because operating lease costs continue to be recognized on a straight‐line basis over the remaining lease term and operating lease payments continue to be classified within operating activities in the Consolidated Statement of Cash Flows.

The Company’s accounting policies related to leases, as provided below, have been updated to reflect the adoption of this new accounting standard as of November 1, 2019.

Leases

Contracts are evaluated at inception to determine whether they are or contain leases. The Company leases certain office space and equipment under non-cancelable operating leases. As leases expire, they are normally renewed or replaced in the ordinary course of business. Lease agreements may contain renewal options exercisable by the Company, rent escalation clauses and/or other incentives provided by the

landlord. Renewal options that have been determined to be reasonably certain to be exercised are included in the lease term. Rights and obligations attributable to identified leases with a term in excess of twelve months are recognized on the Company’s Consolidated Balance Sheet in the form of ROU assets and lease liabilities as of the date the underlying assets are available for use, which may be the date the Company gains access to begin leasehold improvements. Lease payments related to short-term leases with a term of twelve months or less are recognized on a straight-line basis as short-term lease expense.

Lease liabilities are initially and subsequently measured at the present value of future lease payments over the lease term. For the purposes of this calculation, lease payments consist of fixed monthly lease payments related to use of the underlying assets and related services. Discount rates used in the calculation of present value reflect estimated incremental borrowing rates determined for each lease as of the lease commencement date or subsequently when the lease liability is re-measured, as applicable.

ROU assets are initially measured equal to the corresponding lease liabilities, adjusted for any lease incentives payable to the Company. Subsequently, the amortization of ROU assets is recognized as a component of operating lease expense. The total cost of operating leases is recognized on a straight-line basis over the life of the related leases and is comprised of imputed interest on lease liabilities measured using the effective interest method and amortization of the ROU asset. Variable lease payments are primarily related to services such as common-area maintenance and utilities, property taxes and insurance and are recognized as variable lease expense when incurred.

ROU assets are tested for impairment whenever changes in facts or circumstances indicate that the carrying amount of an asset may not be recoverable. Modification of a lease term would result in re-measurement of the lease liability and a corresponding adjustment to the ROU asset.

2. Cash, Cash Equivalents and Restricted Cash

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported on the Company’s Consolidated Balance Sheets that equal the total of the same such amounts presented in the Consolidated Statements of Cash Flows:

		July 31,		October 31,
(in thousands)		2020		2019
Cash and cash equivalents	$	878,875	$	557,668
Restricted cash of consolidated sponsored funds included in investments		25,067		37,905
Restricted cash included in assets of consolidated CLO entities, cash		51,854		48,704
Restricted cash included in other assets		20,455		9,068
Total cash, cash equivalents and restricted cash presented
in the Consolidated Statement of Cash Flows	$	976,251	$	653,345

3. Investments

The following is a summary of investments:

(in thousands)			July 31,		October 31,
(in thousands)			2020		2019
Investments held at fair value:
Short-term debt securities		$	150,520	$	297,845
Debt and equity securities held by consolidated sponsored funds			346,134		514,072
Debt and equity securities held in separately managed accounts			88,638		76,662
Non-consolidated sponsored funds and other			15,186		10,329
Total investments held at fair value			600,478		898,908
Investments held at cost			20,928		20,904
Investments in non-consolidated CLO entities			1,365		1,417
Investments in equity method investees			34,673		139,510
Total investments⁽¹⁾		$	657,444	$	1,060,739

⁽¹⁾	Excludes bank loans and other investments held by consolidated CLO entities, which are discussed in Note 4.

Investments held at fair value

The Company recognized gains (losses) related to debt and equity securities held at fair value within gains (losses) and other investment income, net, in the Company’s Consolidated Statements of Income as follows:

	Three Months Ended				Nine Months Ended
	July 31,				July 31,
(in thousands)	2020		2019		2020		2019
Realized gains (losses) on securities sold	$	82	$	(298)	$	(10,560)	$	(531)
Unrealized gains (losses) on investments
held at fair value		36,440		3,156		(8,939)		14,532
Net gains (losses) on investments held at fair value	$	36,522	$	2,858	$	(19,499)	$	14,001

Investments held at cost

Investments held at cost primarily include the Company’s equity investment in a wealth management technology firm. At both July 31, 2020 and October 31, 2019, the carrying value of the Company’s investment in the wealth management technology firm was $19.0 million.

Investments in non-consolidated CLO entities

The Company provides investment management services for, and has made direct investments in, CLO entities that it does not consolidate, as described further in Note 4. The Company’s investments in non-consolidated CLO entities are carried at amortized cost unless impaired, at which point they are written down to fair value. At both July 31, 2020 and October 31, 2019, the carrying values of such investments

were $1.4 million. At both July 31, 2020 and October 31, 2019, combined assets under management in the pools of non-consolidated CLO entities were $0.4 billion.

The Company did not recognize any impairment losses related to the Company’s investments in non-consolidated CLO entities for the three and nine months ended July 31, 2020 and 2019, respectively.

Investments in equity method investees

The Company has a 49 percent equity interest in Hexavest Inc. (Hexavest), a Montreal, Canada-based investment adviser. During the third quarter of fiscal 2020, the Company recognized an other-than-temporary impairment charge of $100.5 million to write down the carrying amount of its investment in Hexavest to fair value, which is estimated to be $32.7 million as of July 31, 2020. The impairment was recorded as a component of equity in net income of affiliates, net of tax, in the Company’s Consolidated Statement of Income. The decline in fair value reflects net outflows experienced by Hexavest due to client withdrawals and the associated decline in Hexavest’s revenue. The Company determined that the decline in fair value is other-than-temporary due to the magnitude of the difference between the previous carrying value and the estimated fair value of the investment. The Company has no intention of disposing of its investment in Hexavest.

The fair value of the Company’s investment in Hexavest was estimated utilizing two equally weighted valuation approaches, a discounted cash flow methodology under the income approach and a guideline public company methodology under the market approach. The valuations were prepared with the assistance of an independent valuation firm and approved by management. The discounted cash flow methodology estimated future cash flows of Hexavest using revenue forecasts developed at the individual customer level, a long-term projected revenue growth rate of 3 percent and a discount rate of 14.5 percent. The market approach ascribed a value to equity interests in Hexavest by applying a multiple of 6.5 times to Hexavest’s projected earnings before interest, taxes, depreciation, and amortization (EBITDA) for fiscal 2021.

The impairment charge was allocated to investor basis differences using the fair value method. The new basis differences are summarized in the table below.

(in thousands)		July 31,		October 31,
(in thousands)		2020		2019
Equity in net assets of Hexavest	$	7,087	$	5,466
Definite-lived intangible assets		21,344		19,486
Goodwill		10,005		116,319
Deferred tax liability		(5,763)		(5,243)
Total carrying value	$	32,673	$	136,028

The Company’s investment in Hexavest is denominated in Canadian dollars and is subject to foreign currency translation adjustments, which are recorded in accumulated other comprehensive income (loss). Apart from the recognition of the impairment charge described above, changes in the carrying value of equity method goodwill are attributable to foreign currency translation adjustments.

In addition to its position in Hexavest, the Company has a seven percent equity interest in a private equity partnership managed by a third party that invests in companies in the financial services industry. The carrying value of this investment was $2.0 million at July 31, 2020 and $3.5 million at October 31, 2019.

During the nine months ended July 31, 2020 and 2019, the Company received dividends of $4.7 million and $8.2 million, respectively, from its investments in equity method investees.

4. Variable Interest Entities (VIEs)

Investments in VIEs that are consolidated

In the normal course of business, the Company maintains investments in sponsored entities that are considered VIEs to support their launch and marketing. The Company consolidates these sponsored entities if it is the primary beneficiary of the VIE.

Consolidated sponsored funds

The Company invests in sponsored investment companies that meet the definition of a VIE. Underlying investments held by consolidated sponsored funds consist of debt and equity securities and are included in the reported amount of investments on the Company’s Consolidated Balance Sheets at July 31, 2020 and October 31, 2019. Net investment income or (loss) related to consolidated sponsored funds was included in gains (losses) and other investment income, net, in the Company’s Consolidated Statements of Income for all periods presented. The impact of consolidated sponsored funds’ net income or (loss) on net income attributable to Eaton Vance Corp. shareholders was reduced by amounts attributable to non-controlling interest holders, which are recorded in net (income) loss attributable to non-controlling and other beneficial interests in the Company’s Consolidated Statements of Income for all periods presented. The extent of the Company’s exposure to loss with respect to a consolidated sponsored fund is limited to the amount of the Company’s investment in the sponsored fund and any uncollected management and performance fees. The Company is not obligated to provide financial support to sponsored funds. Only the assets of a sponsored fund are available to settle its obligations. Other beneficial interest holders of sponsored funds do not have recourse to the general credit of the Company.

The Company consolidated 16 sponsored funds as of July 31, 2020 and 19 sponsored funds as of October 31, 2019. The following table sets forth the balances related to these funds as well as the Company’s net interest in these funds:

(in thousands)		July 31,		October 31,
(in thousands)		2020		2019
Investments	$	346,134	$	514,072
Other assets		6,615		16,846
Other liabilities		(9,241)		(35,488)
Redeemable non-controlling interests		(169,901)		(260,681)
Net interest in consolidated sponsored funds	$	173,607	$	234,749

Consolidated CLO entities

As of July 31, 2020, the Company deemed itself to be the primary beneficiary of three non-recourse securitized CLO entities, namely, Eaton Vance CLO 2019-1 (CLO 2019-1), Eaton Vance CLO 2014-1R (CLO 2014-1R) and Eaton Vance CLO 2013-1 (CLO 2013-1) (collectively, the consolidated securitized CLO

entities), and one non-recourse warehouse CLO entity, namely, Eaton Vance CLO 2020-1 (CLO 2020-1). As of October 31, 2019, the Company deemed itself to be the primary beneficiary of four non-recourse securitized CLO entities, namely, CLO 2019-1, Eaton Vance CLO 2018-1 (CLO 2018-1), CLO 2014-1R and CLO 2013-1.

The assets of consolidated CLO entities are held solely as collateral to satisfy the obligations of each entity. The Company has no right to receive benefits from, nor does the Company bear the risks associated with, the assets held by these CLO entities beyond the Company’s investment in these entities. In the event of default, recourse to the Company is limited to its investment in these entities. The Company has not provided any financial or other support to these entities that it was not previously contractually required to provide, and there are neither explicit arrangements nor does the Company hold implicit variable interests that could require the Company to provide any ongoing financial support to these entities. Other beneficial interest holders of consolidated CLO entities do not have any recourse to the Company’s general credit. The Company reports the financial information of consolidated securitized CLO entities on a one-month lag based upon the availability of financial information. The financial information of consolidated warehouse CLO entities is reported as of the end of the Company’s fiscal period.

Consolidated warehouse CLO entity

The Company established CLO 2020-1 as a warehousing phase CLO entity on July 13, 2020. The Company entered into a credit facility agreement with a third-party lender to provide CLO 2020-1 with a non-recourse revolving line of credit of up to $160.0 million upon inception of the entity. The Company contributed a total of $30.0 million in capital to the CLO 2020-1 warehouse during the three months ended July 31, 2020. CLO 2020-1 entered the securitization phase towards the end of the third quarter, but did not close prior to July 31, 2020.

While in the warehousing phase, the Company, acting as collateral manager and subject to the approval of the CLO entity’s third-party lender, used its capital contributions along with the proceeds from the revolving line of credit to accumulate a portfolio of commercial bank loan investments in open-market purchases in an amount sufficient for eventual securitization. The line of credit is secured by the commercial bank loan investments held by the warehouse and initially bears interest at a rate of daily LIBOR plus 1.5 percent per annum, with such interest rate increasing to daily LIBOR plus 2.5 percent per annum in April 2021. There were no outstanding borrowings against the line of credit as of July 31, 2020. The Company does not earn any collateral management fees from CLO 2020-1 during the warehousing phase and will continue to be the collateral manager of the CLO entity during the securitization phase.

As collateral manager, the Company has the unilateral ability to liquidate the CLO 2020-1 warehouse without cause, a right that, by definition, provides the Company with the power to direct the activities that most significantly affect the economic performance of the entity. The Company’s investment in the warehouse serves as first-loss protection to the third-party lender and provides the Company with an obligation to absorb losses of, or the right to receive benefits from, the VIE that could potentially be significant to the entity. Accordingly, the Company deems itself to be the primary beneficiary of CLO 2020-1, as it has both power and economics, and began consolidating the entity from establishment of the warehouse on July 13, 2020.

Subsequent event – CLO 2020-1 securitization

The securitization of CLO 2020-1 closed on August 25, 2020. Upon closing, proceeds from the issuance of senior and subordinated note obligations were used to purchase the warehouse bank loans, repay the third-party revolving line of credit and return the Company’s total capital contributions of $30.0 million.

The Company acquired 100 percent of the subordinated notes issued by CLO 2020-1 at closing for $39.5 million and will provide collateral management services to this CLO entity in exchange for a collateral management fee. The Company deems itself to be the primary beneficiary of CLO 2020-1, as it has both power and economics, and began consolidating the securitized entity at closing. CLO 2020-1 had total assets of approximately $450 million at closing.

Consolidated securitized CLO entities

As of July 31, 2020, the Company continues to deem itself to be the primary beneficiary of CLO 2019-1, CLO 2014-1R and CLO 2013-1 as it has both power and economics by virtue of its role as collateral manager and the Company’s 100 percent interest in the subordinated notes of these entities.

On January 15, 2020, the Company sold its 93 percent interest in the subordinated notes of CLO 2018-1 to an unrelated third party for $27.3 million and recognized a loss of $7.2 million upon the sale. The loss is included within gains and other investment income, net of consolidated CLO entities in the Company’s Consolidated Statement of Income for the nine months ended July 31, 2020. Although the Company continues to serve as collateral manager of the entity, the Company concluded that, subsequent to the sale of the subordinated notes, it no longer has an obligation to absorb the losses of, or the rights to receive benefits from, CLO 2018-1 that could potentially be significant to the entity. As a result, the Company concluded that it was no longer the primary beneficiary of CLO 2018-1 upon the sale of the subordinated interests of the entity on January 15, 2020 and deconsolidated the entity as of that date.

The Company applies the measurement alternative to ASC 820 for collateralized financing entities upon initial consolidation and for subsequent measurement of securitized CLO entities consolidated by the Company. The Company determined that the fair value of the financial assets of these entities is more observable than the fair value of the financial liabilities. Through the application of the measurement alternative, the fair value of the financial liabilities of these entities is measured as the difference between the fair value of the financial assets and the fair value of the Company’s beneficial interests in these entities, which include the subordinated interests held by the Company and any accrued management fees due to the Company. The fair value of the subordinated notes held by the Company is determined primarily based on an income approach, which projects the cash flows of the CLO assets using projected default, prepayment, recovery and discount rates, as well as observable assumptions about market yields, callability and other market factors. An appropriate discount rate is then applied to determine the discounted cash flow valuation of the subordinated notes. Aggregate disclosures for the securitized CLO entities consolidated by the Company as of July 31, 2020 and October 31, 2019 are provided below.

The following table presents the balances attributable to the consolidated securitized CLO entities and the consolidated warehouse CLO entity that were included on the Company’s Consolidated Balance Sheets:

			July 31,				October 31,
			2020				2019
			Consolidated Securitized CLO Entities		Consolidated Warehouse CLO Entity		Consolidated Securitized CLO Entities
(in thousands)			Consolidated Securitized CLO Entities		Consolidated Warehouse CLO Entity		Consolidated Securitized CLO Entities
Assets of consolidated CLO entities:
	Cash	$	34,866	$	16,988	$	48,704
	Bank loans and other investments		1,216,777		267,894		1,704,270
	Receivable for pending bank loan sales		15,919		174		24,193
	Other assets		2,966		86		3,846
Liabilities of consolidated CLO entities:
	Senior and subordinated note obligations		1,170,800		-		1,617,095
	Payable for pending bank loan purchases		34,397		254,892		33,985
	Other liabilities		8,993		-		17,137
Total beneficial interests		$	56,338	$	30,250	$	112,796

Although the Company’s beneficial interests in the consolidated securitized CLO entities are eliminated upon consolidation, the application of the measurement alternative results in the Company’s total beneficial interests in these entities of $56.3 million and $112.8 million at July 31, 2020 and October 31, 2019, respectively, being equal to the net amount of the consolidated CLO entities’ assets and liabilities included on the Company’s Consolidated Balance Sheets.

The collateral assets held by consolidated CLOs primarily consist of senior secured bank loan investments. Bank loan investments held in these collateral pools, which are diversified by industry, mature at various dates between 2020 and 2028 and pay interest at LIBOR plus a spread of up to 13.8 percent. Approximately 1.3 percent of the collateral assets held by consolidated CLO entities were in default as of July 31, 2020. Additional disclosure of the fair values of assets and liabilities of consolidated CLO entities that are measured at fair value on a recurring basis is included in Note 6.

The consolidated securitized CLO entities held notes payable with a total par value of $1.8 billion at July 31, 2020, consisting of senior secured floating-rate notes payable with a par value of $1.6 billion and subordinated notes with a par value of $162.1 million. These note obligations bear interest at variable rates based on LIBOR plus a pre-defined spread ranging from 0.7 percent to 8.5 percent. The principal amounts outstanding of these note obligations mature on dates ranging from January 2028 to July 2030.

The following table presents the balances attributable to consolidated securitized CLO entities included in the Company’s Consolidated Statements of Income:

			Consolidated Securitized CLO Entities
			Three Months Ended				Nine Months Ended
			July 31,				July 31,
(in thousands)			2020		2019		2020		2019
Other income (expense) of consolidated
	CLO entities:
	Gains (losses) and other investment
	income, net	$	14,190	$	20,254	$	24,912	$	42,187
	Interest and other expense		(9,912)		(21,490)		(38,955)		(39,415)
Net gain (loss) attributable to the Company		$	4,278	$	(1,236)	$	(14,043)	$	2,772

The Company recognized net income of $0.2 million from a consolidated warehouse CLO entity in both the three and nine months ended July 31, 2020. The Company recognized net losses of $2.3 million and net income of $1.8 million from a consolidated warehouse CLO entity in the three and nine months ended July 31, 2019, respectively.

As summarized in the table below, the application of the measurement alternative results in the Company's earnings from the consolidated securitized CLO entities subsequent to initial consolidation, as shown above, to be equivalent to the Company's own economic interests in these entities:

			Consolidated Securitized CLO Entities:
			Three Months Ended				Nine Months Ended
			July 31,				July 31,
(in thousands)			2020		2019		2020		2019
Economic interests in consolidated
securitized CLO entities:
	Distributions received and gains (losses)
	on senior and subordinated interests
	held by the Company	$	2,857	$	(2,943)	$	(18,810)	$	(1,072)
	Management fees		1,421		1,707		4,767		3,844
Total economic interests		$	4,278	$	(1,236)	$	(14,043)	$	2,772

Investments in VIEs that are not consolidated

Sponsored funds

The Company is an investment adviser to, and has administrative agreements with, certain funds that it sponsors for which employees of the Company are officers and/or directors. Substantially all of the services to these entities for which the Company earns a fee, including management, distribution and shareholder services, are provided under contracts that set forth the services to be provided and the fees to be charged. Certain of these contracts are subject to annual review and approval by the funds’ boards of directors or trustees.

Revenues for services provided or related to sponsored funds are as follows:

		Three Months Ended				Nine Months Ended
		July 31,				July 31,
(in thousands)		2020		2019		2020		2019
Management fees	$	245,072	$	256,620	$	747,824	$	742,750
Distribution and underwriter fees		18,141		21,281		58,841		64,425
Service fees		32,322		31,855		96,818		90,801
Shareholder services fees included in
other revenue		677		1,622		3,783		4,900
Total	$	296,212	$	311,378	$	907,266	$	902,876

For the three months ended July 31, 2020 and 2019, the Company contractually waived management fees it was otherwise entitled to receive of $5.3 million and $5.0 million, respectively. Separately, for these same periods, the Company provided subsidies to sponsored funds of $7.0 million and $4.8 million, respectively. For the nine months ended July 31, 2020 and 2019, the Company contractually waived management fees it was otherwise entitled to receive of $15.4 million and $14.1 million, respectively. Separately, for these same periods, the Company provided subsidies to sponsored funds of $19.3 million and $21.9 million, respectively. Fee waivers and fund subsidies are recognized as a reduction to management fees in the Consolidated Statements of Income.

Sales proceeds and net realized gains (losses) from investments in non-consolidated sponsored funds are as follows:

		Three Months Ended				Nine Months Ended
		July 31,				July 31,
(in thousands)		2020		2019		2020		2019
Proceeds from sales	$	10,834	$	1,206	$	15,892	$	7,831
Net realized gains (losses)		(150)		286		29		5,490

The Company pays all ordinary operating expenses of certain sponsored funds (excluding investment advisory and administrative fees) for which it earns an all-in-management fee. For the three months ended July 31, 2020 and 2019, expenses of $2.3 million and $3.0 million, respectively, were incurred by the Company pursuant to these arrangements. For the nine months ended July 31, 2020 and 2019, expenses of $8.5 million and $9.7 million, respectively, were incurred by the Company pursuant to these arrangements.

Included in management fees and other receivables at July 31, 2020 and October 31, 2019 are receivables due from sponsored funds of $102.1 million and $104.1 million, respectively. Included in accounts payable and accrued expenses at July 31, 2020 and October 31, 2019 are payables due to sponsored funds of $2.9 million and $2.2 million, respectively, relating primarily to fund subsidies.

Loan to affiliate

On December 23, 2015, EVMC, a wholly owned subsidiary of the Company, loaned $5.0 million to Hexavest under a term loan agreement to seed a new investment strategy. The loan renews automatically for an additional one-year period on each anniversary date unless written termination notice is provided by EVMC. The Company earns interest equal to the one-year Canadian Dollar Offered Rate plus 100 basis points. Hexavest may prepay the loan in whole or in part at any time without penalty. For the three months ended July 31, 2020 and 2019, the Company recorded $39,000 and $45,000, respectively, of interest income related to the loan in gains (losses) and other investment income, net, in the Company’s Consolidated Statement of Income. For both the nine months ended July 31, 2020 and 2019, the Company recorded $0.1 million of interest income related to the loan. Interest due from Hexavest under this arrangement included in other assets on the Company’s Consolidated Balance Sheets was $13,000 and $15,000 at July 31, 2020 and October 31, 2019, respectively.

Employee loan program

The Company has established an Employee Loan Program under which a program maximum of $20.0 million is available for loans to officers (other than executive officers) and other key employees of the

Company for purposes of financing the exercise of employee stock options. Loans are written for a seven-year period, at varying fixed interest rates (currently ranging from 0.5 percent to 2.9 percent), are payable in annual installments commencing with the third year in which the loan is outstanding, and are collateralized by the stock issued upon exercise of the option. All loans under the program must be made on or before October 31, 2022. Loans outstanding under this program, which are full recourse in nature, are reflected as notes receivable from stock option exercises in shareholders’ equity and totaled $7.2 million and $8.4 million at July 31, 2020 and October 31, 2019, respectively.

21. Geographic Information

Revenues by principal geographic area are as follows:

	Three Months Ended				Nine Months Ended
		July 31,				July 31,
(in thousands)		2020		2019		2020		2019
Revenue:
U.S.	$	408,281	$	415,746	$	1,241,780	$	1,202,869
International		12,538		15,489		37,504		46,643
Total	$	420,819	$	431,235	$	1,279,284	$	1,249,512

Long-lived assets by principal geographic area are as follows:

		July 31,		October 31,
(in thousands)		2020		2019
Long-lived Assets:
U.S.	$	69,305	$	71,000
International		1,946		1,798
Total	$	71,251	$	72,798

International revenues and long-lived assets are attributed to countries based on the location in which revenues are earned and where the assets reside.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This Item includes statements that are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding our expectations, intentions or strategies regarding the future. All statements, other than statements of historical facts, included in this Form 10-Q regarding our financial position, business strategy and other plans and objectives for future operations are forward-looking statements. The terms “may,” “will,” “could,” “anticipate,” “plan,” “continue,” “project,” “intend,” “estimate,” “believe,” “expect” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such words. Although we believe that the assumptions and expectations reflected in such forward-looking statements are reasonable, we can give no assurance that they will prove to be correct or that we will take any actions that may now be planned. Certain important factors that could cause actual results to differ materially from our expectations are disclosed in Risk Factors under Item 1A in this Form 10-Q and in our latest Annual Report on Form 10-K. All subsequent written or oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by such factors. We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

The discussion and analysis below should be read in conjunction with the consolidated financial statements appearing elsewhere in this report. Management has presumed that the readers of this interim financial information have read or have access to Management’s Discussion and Analysis of Financial Condition and Results of Operations appearing in our Annual Report on Form 10-K for the year ended October 31, 2019, as well as our current reports on Form 8-K.

Overview

Eaton Vance Corp. provides advanced investment strategies and wealth management solutions to forward-thinking investors around the world. Our principal business is managing investment funds and providing investment management and advisory services to high-net-worth individuals and institutions. Our core strategy is to develop and sustain management expertise across a range of investment disciplines and to offer leading investment strategies and services through multiple distribution channels. In executing our core strategy, we have developed broadly diversified investment management capabilities and a highly functional marketing, distribution and customer service organization. We measure our success as a Company based principally on investment performance delivered, client satisfaction, reputation in the marketplace, progress achieving strategic objectives, employee development and satisfaction, business and financial results, and shareholder value created.

We conduct our investment management and advisory business through wholly- and majority-owned investment affiliates, which include: Eaton Vance Management (EVM), Parametric Portfolio Associates LLC (Parametric), Atlanta Capital Management Company, LLC (Atlanta Capital) and Calvert Research and Management (Calvert). We also offer investment management advisory services through minority-owned affiliate Hexavest Inc. (Hexavest).

Through EVM, Atlanta Capital, Calvert and our other affiliates, we manage active equity, income, alternative and blended strategies across a range of investment styles and asset classes, including U.S., global and international equities, floating-rate bank loans, municipal bonds, global income, high-yield and investment

grade bonds, and mortgage-backed securities. Through Parametric, we manage a range of systematic investment strategies, including systematic equity, systematic fixed income, systematic alternatives and managed options strategies. Through Parametric, we also provide portfolio overlay services and manage custom separate account portfolios, including Custom Core™ equity, Custom Core™ fixed income, laddered fixed income, multi-asset and multi-manager portfolios. We also oversee the management of, and distribute, investment funds sub-advised by unaffiliated third-party managers, including global, emerging market and regional equity and asset allocation strategies.

Our breadth of investment management capabilities supports a wide range of strategies and services offered to fund shareholders and separate account investors. Our equity strategies encompass a diversity of investment objectives, risk profiles, income levels and geographic representation. Our income investment strategies cover a broad duration, geographic representation and credit quality range and encompass both taxable and tax-free investments. We also offer alternative investment strategies that include global macro absolute return and commodity-based investments. Although we manage and distribute a wide range of investment strategies and services, we operate in one business segment, namely as an investment adviser to funds and separate accounts. As of July 31, 2020, we had $507.4 billion in consolidated assets under management.

We distribute our funds and individual separately managed accounts principally through financial intermediaries. We have broad market reach, with distribution partners including national and regional broker-dealers, independent broker-dealers, registered investment advisors, banks and insurance companies. We support these distribution partners with a team of approximately 160 sales professionals covering U.S. and international markets.

We employ a team of approximately 30 sales professionals focused on serving institutional and high-net-worth clients who access investment management services on a direct basis and through investment consultants. Through our wholly- and majority-owned affiliates, we manage investments for a broad range of clients in the institutional and high-net-worth marketplace in the U.S. and internationally, including corporations, sovereign wealth funds, endowments, foundations, family offices and public and private employee retirement plans.

Our revenue is derived primarily from management, distribution and service fees received from Eaton Vance-, Parametric- and Calvert-branded funds and management fees received from individual and institutional separate accounts. Our fee revenues are based primarily on the value of the investment portfolios we manage, and fluctuate with changes in the total value and mix of assets under management. As a matter of course, investors in our sponsored open-end funds and separate accounts have the ability to redeem their investments at any time, without prior notice, and there are no material restrictions that would prevent them from doing so. Our major expenses are employee compensation, distribution-related expenses, service fee expense, fund-related expenses, facilities expense and information technology expense.

Our discussion and analysis of our financial condition, results of operations and cash flows is based upon our Consolidated Financial Statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). The preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosures of contingent assets and liabilities. On an ongoing basis, we evaluate our estimates, including those related to goodwill and intangible assets, temporary equity, income taxes, investments and stock-based compensation. We base our estimates on historical experience and on various assumptions that we believe to be reasonable under current circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily available from other sources. Actual results may differ from these estimates.

Current Developments

During the third quarter of fiscal 2020, the coronavirus (COVID-19) global pandemic has continued to impact the economy and financial markets worldwide. While the Company is continuously monitoring and evaluating the impact of COVID-19, there is substantial uncertainty regarding how long the pandemic will last and how it will ultimately affect the overall economy and markets. We have not experienced any significant disruptions during the pandemic period due to operational issues, loss of communication capabilities, technology failure or cyber-attacks. We continue to pursue four primary strategic priorities: (1) capitalizing on the near-term growth opportunities presented by our market-leading positions in customized individual separate accounts, responsible investing, specialty wealth management strategies and services, and the array of high-performing actively managed investment strategies we offer across asset classes and investment styles; (2) defending our floating-rate bank loan, global macro absolute return, systematic emerging market equity and closed-end fund investment franchises; (3) enhancing our competitive position by developing new value-added investment offerings, lowering operating costs, advancing succession planning and opportunistically pursuing potential acquisitions; and (4) investing in technology and operating infrastructure, leadership and staff development, and diversity and inclusion.

In June 2019, we announced a strategic initiative involving our Parametric, EVM and Eaton Vance Distributors affiliates to further strengthen our leadership positions in rules-based, systematic investment strategies, customized individual separate accounts and wealth management solutions. The initiative has three principal components: (1) rebranding EVM’s rules-based, systematic investment-grade fixed income strategies as Parametric and aligning internal reporting consistent with the revised branding; (2) integrating under Eaton Vance Distributors the sales teams serving Parametric and EVM clients and business partners in the registered investment advisor and multi-family office market; and (3) combining under Parametric the technology and operating platforms supporting the individual separately managed account businesses of Parametric and EVM. The first two principal components of this initiative are complete and we anticipate that the enhancements to the technology and operating platforms will be substantially complete by fiscal year end.

We now report equity, fixed income and multi-asset separate accounts managed by Parametric for which customization is a primary feature as Parametric custom portfolios. This investment mandate reporting category includes the Parametric equity and multi-asset strategies, primarily Custom Core and centralized portfolio management, as well as the laddered bond separate accounts that were formerly managed by EVM. In July 2020, Parametric introduced Custom Core Fixed Income to provide investors with customized, index-based approach to fixed income investing similar to Custom Core equity separate accounts. Parametric’s market-leading offerings combine the benefits of benchmark-based investing with the ability to customize portfolios to meet individual preferences and needs. In the first nine months of fiscal 2020, net inflows into Parametric custom portfolios totaled $4.4 billion, generating annualized internal growth in managed assets of 4 percent.

The Calvert Funds are one of the largest and most diversified families of responsibly invested mutual funds, encompassing actively and passively managed equity, fixed and floating-rate income, and multi-asset strategies managed in accordance with the Calvert Principles for Responsible Investment or other responsible investment criteria. Since Calvert became part of Eaton Vance in December 2016, we have experienced significant growth in Calvert-branded investment strategies and further distinguished Calvert as a leader in environmental, social and governance (ESG) research and responsible engagement. In June 2020, Calvert announced the launch of Calvert ESG Research Leaders Strategies, a new series of equity separate account strategies for institutional and individual investors. Also in June, Calvert announced the launch of the Calvert

Institute for Responsible Investing (Calvert Institute), an affiliated research institute dedicated to driving positive change by advancing understanding and promoting best practices in responsible investing. Including the Atlanta Capital-subadvised Calvert Equity Fund, assets under management in Calvert strategies grew to $24.7 billion at July 31, 2020 from $19.8 billion at October 31, 2019, reflecting net inflows of $3.4 billion and market price appreciation of $1.5 billion. Calvert’s $3.4 billion of net inflows in the first nine months of fiscal 2020 equate to annualized internal growth in managed assets of 23 percent.

While Calvert is the centerpiece of our responsible investment strategy, our commitment to responsible investing also encompasses our other investment affiliates. EVM and Atlanta Capital are increasingly utilizing Calvert’s proprietary ESG research as a component of their fundamental research processes, and portfolio customization to reflect individual client’s responsible investment criteria remains a central feature of Parametric separate account offerings. As of July 31, 2020, Parametric managed $25.0 billion of client assets based on client-specified responsible investment criteria. On an overall basis, Eaton Vance is one of the largest participants in responsible investing, a position we are committed to growing in conjunction with rising demand for investment strategies that incorporate ESG-integrated investment research and/or seek to achieve both favorable investment returns and positive societal impact.

In July 2020, Eaton Vance Investment Counsel (EVIC) announced an agreement to acquire the assets of WaterOak Advisors, LLC (WaterOak), a wealth management firm headquartered in Winter Park, Florida, with approximately $2 billion of client assets under management. The acquisition will strengthen EVIC’s position in private wealth management and provide an opportunity to grow EVIC’s wealth management business in Florida and throughout the Southeast.

Net outflows of our floating-rate bank loan strategies declined to approximately $570 million in the third quarter of fiscal 2020 from $1.2 billion in the third quarter of fiscal 2019 and $3.2 billion in the second quarter of fiscal 2020. The improved flow results reflect a more favorable market outlook for the performance of floating‐rate bank loans, as considerable liquidity raised by many corporate issuers has improved expectations about default rates and recoveries. Resumed activity in the CLO market has also contributed to the price recovery of bank loan assets. In July 2020, we successfully placed a new CLO entity that closed in August 2020, which will contribute approximately $450 million to our fourth quarter net flows.

In our global macro absolute return strategies, we saw net outflows of approximately $50 million in the third quarter of fiscal 2020, a substantial improvement from approximately $580 million of net outflows in the third quarter of fiscal 2019 and approximately $670 million of net outflows in the second quarter of fiscal 2020. While not insulated from event risk, our global macro funds offer the potential for attractive levels of absolute returns that are substantially uncorrelated to U.S. equity and bond market returns.

In February 2019, EVM and related parties filed an application for exemptive relief with the SEC, seeking permission to offer exchange-traded funds (ETFs) that employ a novel method of supporting efficient secondary market trading of their shares. Because disclosure of current holdings would not be required, the portfolio trading activity of ETFs utilizing the proposed method could remain confidential. Reflecting dialogue with SEC staff, the application was first amended in March 2020 and then additionally amended in July 2020. The timing and likelihood of approval remains uncertain.

We are heavily investing in technology to support the growth of our business. Investments are being made in portfolio management and trading systems at Parametric and Atlanta Capital. Technology is also being implemented to enhance the efficiency and reporting capabilities of our separately managed account operations to respond to the evolving needs of our clients.

Performance

As of July 31, 2020, 66 Calvert, Eaton Vance and Parametric-branded mutual funds offered in the U.S. were rated 4 or 5 stars by Morningstar^TM for at least one class of shares, including 32 five-star rated funds. As measured by total return net of expenses, at July 31, 2020 18 percent of our U.S. mutual fund assets ranked in the top quartile of their Morningstar peer groups over three years, 43 percent ranked in the top quartile over five years and 54 percent ranked in the top quartile over ten years. A good source of performance-related information for our funds is their websites, available at www.calvert.com and www.eatonvance.com. Information on these websites is not incorporated by reference into this Quarterly Report on Form 10-Q. On our funds’ websites, investors can also obtain other current information about our funds, including investment objective and principal investment policies, portfolio characteristics, expenses and Morningstar ratings.

Consolidated Assets under Management

Prevailing equity and income market conditions and investor sentiment affect the sales and redemptions of our investment offerings, managed asset levels, operating results and the recoverability of our investments. During the third quarter and the first nine months of fiscal 2020, the S&P 500 Index, a broad measure of U.S. equity market performance, had total returns of 12.9 percent and 9.3 percent, respectively, and the MSCI Emerging Market Index, a broad measure of emerging market equity performance, had total returns of 18.0 percent and 5.7 percent, respectively. Over the same periods, the Barclays U.S. Aggregate Bond Index, a broad measure of U.S. bond market performance, had total returns of 2.6 percent and 7.6 percent, respectively.

Consolidated assets under management were $507.4 billion on July 31, 2020, up 5 percent from $482.8 billion of consolidated assets under management on July 31, 2019. The year-over-year increase reflects net inflows of $9.3 billion and market price appreciation of $15.3 billion.

The following tables summarize our consolidated assets under management by investment mandate, investment vehicle and investment affiliate.

Consolidated Assets under Management by Investment Mandate⁽¹⁾

		July 31,
(in millions)			2020	% of Total		2019	% of Total	% Change
Equity⁽²⁾		$	133,008	26%	$	128,996	27%	3%
Fixed income⁽³⁾			68,955	14%		60,968	13%	13%
Floating-rate income			28,569	6%		38,339	8%	-25%
Alternative⁽⁴⁾			7,467	1%		9,031	2%	-17%
Parametric custom portfolios⁽⁵⁾			175,039	34%		159,067	32%	10%
Parametric overlay services			94,350	19%		86,379	18%	9%
Total		$	507,388	100%	$	482,780	100%	5%

⁽¹⁾	Consolidated Eaton Vance Corp. See table on page 57 for directly managed assets and flows of 49 percent-owned Hexavest, which are not included in the table above.
⁽²⁾	Includes balanced and other multi-asset mandates. Excludes equity mandates reported as Parametric custom portfolios.
⁽³⁾	Includes cash management mandates. Excludes benchmark-based fixed income separate accounts reported as Parametric custom portfolios.
⁽⁴⁾	Consists of absolute return, commodity and currency mandates.
⁽⁵⁾	Equity, fixed income and multi-asset separate accounts managed by Parametric for which customization is a primary feature; other Parametric strategies may also be customized.

Equity assets under management included $47.5 billion and $44.4 billion of assets managed for after-tax returns on July 31, 2020 and 2019, respectively. Parametric custom portfolio assets under management included $137.3 billion and $117.3 billion of assets managed for after-tax returns and/or tax-exempt income on July 31, 2020 and 2019, respectively. Fixed income assets included $29.6 billion and $27.3 billion of tax-exempt municipal income assets on July 31, 2020 and 2019, respectively.

Consolidated Assets under Management by Investment Vehicle⁽¹⁾

		July 31,
(in millions)			2020	% of Total		2019	% of Total	% Change
Open-end funds		$	104,948	21%	$	105,614	22%	-1%
Closed-end funds			23,214	5%		24,307	5%	-4%
Private funds⁽²⁾			48,053	9%		43,512	9%	10%
Institutional separate accounts			163,818	32%		165,311	34%	-1%
Individual separate accounts			167,355	33%		144,036	30%	16%
Total		$	507,388	100%	$	482,780	100%	5%

⁽¹⁾	Consolidated Eaton Vance Corp. See table on page 57 for directly managed assets and flows of 49 percent-owned Hexavest, which are not included in the table above.
⁽²⁾	Includes privately offered equity, fixed and floating-rate income, and alternative funds and CLO entities.

Consolidated Assets under Management by Investment Affiliate⁽¹⁾⁽²⁾

			July 31,			%
(in millions)			2020		2019	Change
Eaton Vance Management⁽³⁾		$	147,165	$	148,379	-1%
Parametric			310,557		292,212	6%
Atlanta Capital			24,982		23,978	4%
Calvert⁽⁴⁾			24,684		18,211	36%
Total		$	507,388	$	482,780	5%

⁽¹⁾	Consolidated Eaton Vance Corp. See table on page 57 for directly managed assets and flows of 49 percent-owned Hexavest, which are not included in the table above.
⁽²⁾	The Company's policy for reporting managed assets of investment portfolios overseen by multiple Eaton Vance affiliates is to base classification on the strategy's primary identity.
⁽³⁾	Includes managed assets of Eaton Vance-sponsored funds and separate accounts managed by Hexavest and unaffiliated third-party advisers under Eaton Vance supervision.
⁽⁴⁾	Includes managed assets of Calvert Equity Fund, which is sub-advised by Atlanta Capital, and Calvert-sponsored funds managed by unaffiliated third-party advisers under Calvert supervision.

Consolidated average assets under management presented in the following tables are derived by averaging the beginning and ending assets of each month over the period. The tables are intended to provide information useful in the analysis of our asset-based revenue and distribution expenses. Separate account management fees are generally calculated as a percentage of either beginning, average or ending quarterly assets. Fund management, distribution and service fees, as well as certain expenses, are generally calculated as a percentage of average daily assets.

Consolidated Average Assets under Management by Investment Mandate⁽¹⁾

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in millions)			2020		2019	Change		2020		2019	Change
Equity⁽²⁾		$	127,966	$	125,483	2%	$	129,934	$	120,352	8%
Fixed income⁽³⁾			65,173		59,870	9%		63,751		57,591	11%
Floating-rate income			28,337		39,100	-28%		31,160		40,783	-24%
Alternative⁽⁴⁾			7,394		9,111	-19%		7,928		10,003	-21%
Parametric custom portfolios⁽⁵⁾			166,505		154,161	8%		166,244		145,425	14%
Parametric overlay services			89,127		83,289	7%		92,199		80,240	15%
Total		$	484,502	$	471,014	3%	$	491,216	$	454,394	8%

⁽¹⁾	Consolidated Eaton Vance Corp. See table on page 57 for directly managed assets and flows of 49 percent-owned Hexavest, which are not included in the table above.
⁽²⁾	Includes balanced and other multi-asset mandates. Excludes equity mandates reported as Parametric custom portfolios.
⁽³⁾	Includes cash management mandates. Excludes benchmark-based fixed income separate accounts reported as Parametric custom portfolios. Amounts for periods prior to fiscal 2020 have been revised to reflect the reclassification of benchmark-based fixed income separate accounts from fixed income to Parametric custom portfolios in the first quarter of fiscal 2020.
⁽⁴⁾	Consists of absolute return, commodity and currency mandates.
⁽⁵⁾	Equity, fixed income and multi-asset separate accounts managed by Parametric for which customization is a primary feature; other Parametric strategies may also be customized. Amounts for periods prior to fiscal 2020 have been revised to reflect the reclassification of benchmark-based fixed income separate accounts from fixed income to Parametric custom portfolios in the first quarter of fiscal 2020.

Consolidated Average Assets under Management by Investment Vehicle⁽¹⁾

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in millions)			2020		2019	Change		2020		2019	Change
Open-end funds		$	100,127	$	104,301	-4%	$	102,261	$	102,199	0%
Closed-end funds			22,523		24,169	-7%		23,313		23,916	-3%
Private funds⁽²⁾			46,000		42,398	8%		45,518		40,517	12%
Institutional separate accounts			157,208		160,555	-2%		164,444		156,720	5%
Individual separate accounts			158,644		139,591	14%		155,680		131,042	19%
Total		$	484,502	$	471,014	3%	$	491,216	$	454,394	8%

⁽¹⁾	Consolidated Eaton Vance Corp. See table on page 57 for directly managed assets and flows of 49 percent-owned Hexavest, which are not included in the table above.
⁽²⁾	Includes privately offered equity, fixed income and floating-rate income funds and CLO entities.

Consolidated Net Flows

In the third quarter and first nine months of fiscal 2020, the Company had consolidated net inflows of $2.7 billion and net outflows of $0.5 billion, respectively, representing annualized internal growth in managed assets (consolidated net flows divided by beginning of period consolidated assets under management) of 2 percent and -0.1 percent, respectively. For comparison, we had consolidated net inflows of $8.0 billion and $14.1 billion in the third quarter and first nine months of fiscal 2019, respectively, representing annualized internal growth in managed assets of 7 percent and 4 percent, respectively. Excluding Parametric overlay services, which have lower fees and more variable flows than the rest of our business, we had net inflows of $1.2 billion and $3.4 billion in the third quarter and first nine months of fiscal 2020, respectively, representing annualized internal growth in managed assets of 1 percent for both periods. For comparison, we had net inflows of $5.3 billion and $10.1 billion in the third quarter and first nine months of fiscal 2019, respectively, representing annualized internal growth in managed of assets of 5 percent and 4 percent, respectively.

Our annualized internal management fee revenue growth (management fees attributable to consolidated inflows less management fees attributable to consolidated outflows, divided by beginning of period consolidated management fee revenue) was 2 percent and 0.3 percent in the third quarter and first nine months of fiscal 2020, respectively, as the management fee revenue contribution from new sales and other inflows exceeded the management fee revenue lost from redemptions and other outflows. For comparison, our annualized internal management fee revenue growth was 2 percent and -1 percent in the third quarter and first nine months of fiscal 2019, respectively.

The following tables summarize our consolidated assets under management and asset flows by investment mandate and investment vehicle:

Consolidated Assets under Management and Net Flows by Investment Mandate⁽¹⁾

			Three Months Ended						Nine Months Ended
			July 31,				%		July 31,			%
(in millions)			2020		2019		Change		2020	2019		Change
Equity assets - beginning of period⁽²⁾			$	122,273	$	125,869	-3%	$	131,895	$	115,772	14%
		Sales and other inflows		6,587		6,749	-2%		22,709		18,019	26%
		Redemptions/outflows		(8,757)		(5,130)	71%		(23,732)		(15,161)	57%
		Net flows		(2,170)		1,619	NM⁽⁶⁾		(1,023)		2,858	NM
		Exchanges		(19)		(43)	-56%		(221)		(1)	NM
		Market value change		12,924		1,551	733%		2,357		10,367	-77%
Equity assets - end of period			$	133,008	$	128,996	3%	$	133,008	$	128,996	3%
Fixed income assets - beginning of period⁽³⁾				61,347		58,531	5%		62,378		54,339	15%
		Sales and other inflows		8,573		5,237	64%		21,557		17,019	27%
		Redemptions/outflows		(4,080)		(3,495)	17%		(15,746)		(12,813)	23%
		Net flows		4,493		1,742	158%		5,811		4,206	38%
		Exchanges		51		69	-26%		228		466	-51%
		Market value change		3,064		626	389%		538		1,957	-73%
Fixed income assets - end of period			$	68,955	$	60,968	13%	$	68,955	$	60,968	13%
Floating-rate income assets - beginning of period				27,822		39,750	-30%		35,103		44,837	-22%
		Sales and other inflows		1,495		1,772	-16%		5,121		7,417	-31%
		Redemptions/outflows		(2,068)		(2,963)	-30%		(10,210)		(13,098)	-22%
		Net flows		(573)		(1,191)	-52%		(5,089)		(5,681)	-10%
		Exchanges		4		(38)	NM		(142)		(361)	-61%
		Market value change		1,316		(182)	NM		(1,303)		(456)	186%
Floating-rate income assets - end of period			$	28,569	$	38,339	-25%	$	28,569	$	38,339	-25%
Alternative assets - beginning of period⁽⁴⁾				7,226		9,409	-23%		8,372		12,139	-31%
		Sales and other inflows		575		466	23%		1,748		2,312	-24%
		Redemptions/outflows		(622)		(1,109)	-44%		(2,397)		(5,648)	-58%
		Net flows		(47)		(643)	-93%		(649)		(3,336)	-81%
		Exchanges		(38)		9	NM		(52)		(167)	-69%
		Market value change		326		256	27%		(204)		395	NM
Alternative assets - end of period			$	7,467	$	9,031	-17%	$	7,467	$	9,031	-17%
Parametric custom portfolios assets - beginning of period⁽⁵⁾				158,696		153,604	3%		164,895		134,345	23%
		Sales and other inflows		9,917		9,236	7%		33,558		28,499	18%
		Redemptions/outflows		(10,385)		(5,449)	91%		(29,202)		(16,445)	78%
		Net flows		(468)		3,787	NM		4,356		12,054	-64%
		Exchanges		3		3	0%		8		56	-86%
		Market value change		16,808		1,673	905%		5,780		12,612	-54%
Parametric custom portfolios assets - end of period			$	175,039	$	159,067	10%	$	175,039	$	159,067	10%
Parametric overlay services assets - beginning of period				87,919		82,775	6%		94,789		77,871	22%
		Sales and other inflows		22,638		17,307	31%		72,976		48,988	49%
		Redemptions/outflows		(21,143)		(14,611)	45%		(76,836)		(44,963)	71%
		Net flows		1,495		2,696	-45%		(3,860)		4,025	NM
		Exchanges		-		-	NM		178		-	NM
		Market value change		4,936		908	444%		3,243		4,483	-28%
Parametric overlay services assets - end of period			$	94,350	$	86,379	9%	$	94,350	$	86,379	9%
Total assets under management - beginning of period				465,283		469,938	-1%		497,432		439,303	13%
		Sales and other inflows		49,785		40,767	22%		157,669		122,254	29%
		Redemptions/outflows		(47,055)		(32,757)	44%		(158,123)		(108,128)	46%
		Net flows		2,730		8,010	-66%		(454)		14,126	NM
		Exchanges		1		-	NM		(1)		(7)	-86%
		Market value change		39,374		4,832	715%		10,411		29,358	-65%
Total assets under management - end of period			$	507,388	$	482,780	5%	$	507,388	$	482,780	5%

⁽¹⁾	Consolidated Eaton Vance Corp. See table on page 57 for directly managed assets and flows of 49 percent-owned Hexavest, which are not included in the table above.
⁽²⁾	Includes balanced and other multi-asset mandates. Excludes equity mandates reported as Parametric custom portfolios.

⁽³⁾

Includes cash management mandates. Excludes benchmark-based fixed income separate accounts reported as Parametric custom portfolios. Amounts for periods prior to fiscal 2020 have been revised to reflect the reclassification of benchmark-based fixed income separate accounts from fixed income to Parametric custom portfolios in the first quarter of fiscal 2020.

⁽⁴⁾

Consists of absolute return, commodity and currency mandates.

⁽⁵⁾

Equity, fixed income and multi-asset separate accounts managed by Parametric for which customization is a primary feature; other Parametric strategies may also be customized. Amounts for periods prior to fiscal 2020 have been revised to reflect the reclassification of benchmark-based fixed income separate accounts from fixed income to Parametric custom portfolios in the first quarter of fiscal 2020.

⁽⁶⁾

Not meaningful (NM).

Consolidated Assets under Management and Net Flows by Investment Vehicle⁽¹⁾

			Three Months Ended					Nine Months Ended
			July 31,				%	July 31,				%
(in millions)			2020		2019		Change	2020		2019		Change
Funds - beginning of period			$	160,404	$	170,962	-6%	$	174,068	$	164,968	6%
		Sales and other inflows		12,816		10,084	27%		38,628		34,317	13%
		Redemptions/outflows		(10,281)		(8,912)	15%		(36,739)		(33,736)	9%
		Net flows		2,535		1,172	116%		1,889		581	225%
		Exchanges		1		22	-95%		(2)		(83)	-98%
		Market value change		13,275		1,277	940%		260		7,967	-97%
Funds - end of period			$	176,215	$	173,433	2%	$	176,215	$	173,433	2%
Institutional separate accounts - beginning of period				154,755		160,460	-4%		173,331		153,996	13%
		Sales and other inflows		26,296		20,903	26%		83,633		58,059	44%
		Redemptions/outflows		(28,399)		(17,861)	59%		(95,717)		(56,689)	69%
		Net flows		(2,103)		3,042	NM		(12,084)		1,370	NM
		Exchanges		-		(16)	-100%		6		82	-93%
		Market value change		11,166		1,825	512%		2,565		9,863	-74%
Institutional separate accounts - end of period			$	163,818	$	165,311	-1%	$	163,818	$	165,311	-1%
Individual separate accounts - beginning of period				150,124		138,516	8%		150,033		120,339	25%
		Sales and other inflows		10,673		9,780	9%		35,408		29,878	19%
		Redemptions/outflows		(8,375)		(5,984)	40%		(25,667)		(17,703)	45%
		Net flows		2,298		3,796	-39%		9,741		12,175	-20%
		Exchanges		-		(6)	-100%		(5)		(6)	-17%
		Market value change		14,933		1,730	763%		7,586		11,528	-34%
Individual separate accounts - end of period			$	167,355	$	144,036	16%	$	167,355	$	144,036	16%
Total assets under management - beginning of period				465,283		469,938	-1%		497,432		439,303	13%
		Sales and other inflows		49,785		40,767	22%		157,669		122,254	29%
		Redemptions/outflows		(47,055)		(32,757)	44%		(158,123)		(108,128)	46%
		Net flows		2,730		8,010	-66%		(454)		14,126	NM
		Exchanges		1		-	NM		(1)		(7)	-86%
		Market value change		39,374		4,832	715%		10,411		29,358	-65%
Total assets under management - end of period			$	507,388	$	482,780	5%	$	507,388	$	482,780	5%

⁽¹⁾	Consolidated Eaton Vance Corp. See table on page 57 for directly managed assets and flows of 49 percent-owned Hexavest, which are not included in the table above.

As of July 31, 2020, managed assets of our 49 percent-owned affiliate Hexavest decreased to $6.8 billion, down 49 percent from $13.4 billion of managed assets on July 31, 2019. The impairment loss recognized on the Company’s investment in Hexavest in the third quarter of fiscal 2020 reflects the net outflows experienced by Hexavest and the associated decline in Hexavest’s revenue and profits. See Note 3, Investments, in Item 1, Consolidated Financial Statements (unaudited) of this Quarterly Report on Form 10-Q for additional details. The Company remains supportive of Hexavest’s leadership and investment approach, and has no plans to change its ownership position in Hexavest. Other than Eaton Vance-sponsored funds for which Hexavest is adviser or sub-adviser, the managed assets and flows of Hexavest are not included in our consolidated totals. The following table summarizes the assets under management and net flows of Hexavest.

Hexavest Assets under Management and Net Flows

			Three Months Ended					Nine Months Ended
			July 31,				%	July 31,				%
(in millions)			2020		2019		Change	2020		2019		Change
Eaton Vance distributed:
Eaton Vance sponsored funds - beginning of period⁽¹⁾			$	70	$	184	-62%	$	152	$	159	-4%
		Sales and other inflows		31		3	933%		38		47	-19%
		Redemptions/outflows		(17)		(17)	0%		(85)		(45)	89%
		Net flows		14		(14)	NM		(47)		2	NM
		Market value change		9		-	NM		(12)		9	NM
Eaton Vance sponsored funds - end of period			$	93	$	170	-45%	$	93	$	170	-45%
Eaton Vance distributed separate accounts - beginning
		of period⁽²⁾		1,001		2,076	-52%		1,563		2,169	-28%
		Sales and other inflows		19		79	-76%		49		103	-52%
		Redemptions/outflows		(519)		(414)	25%		(879)		(633)	39%
		Net flows		(500)		(335)	49%		(830)		(530)	57%
		Market value change		83		4	NM		(149)		106	NM
Eaton Vance distributed separate accounts - end of period			$	584	$	1,745	-67%	$	584	$	1,745	-67%
Total Eaton Vance distributed - beginning of period				1,071		2,260	-53%		1,715		2,328	-26%
		Sales and other inflows		50		82	-39%		87		150	-42%
		Redemptions/outflows		(536)		(431)	24%		(964)		(678)	42%
		Net flows		(486)		(349)	39%		(877)		(528)	66%
		Market value change		92		4	NM		(161)		115	NM
Total Eaton Vance distributed - end of period			$	677	$	1,915	-65%	$	677	$	1,915	-65%
Hexavest directly distributed - beginning of period⁽³⁾				7,559		11,634	-35%		11,640		11,467	2%
		Sales and other inflows		30		410	-93%		430		1,629	-74%
		Redemptions/outflows		(2,253)		(646)	249%		(4,927)		(2,253)	119%
		Net flows		(2,223)		(236)	842%		(4,497)		(624)	621%
		Market value change		793		76	943%		(1,014)		631	NM
Hexavest directly distributed - end of period			$	6,129	$	11,474	-47%	$	6,129	$	11,474	-47%
Total Hexavest assets - beginning of period				8,630		13,894	-38%		13,355		13,795	-3%
		Sales and other inflows		80		492	-84%		517		1,779	-71%
		Redemptions/outflows		(2,789)		(1,077)	159%		(5,891)		(2,931)	101%
		Net flows		(2,709)		(585)	363%		(5,374)		(1,152)	366%
		Market value change		885		80	NM		(1,175)		746	NM
Total Hexavest assets - end of period			$	6,806	$	13,389	-49%	$	6,806	$	13,389	-49%

⁽¹⁾	Managed assets and flows of Eaton Vance-sponsored funds for which Hexavest is adviser or sub-adviser. Eaton Vance receives management fees (and in some cases also distribution fees) on these assets, which are included in our consolidated assets under management, flows and average annualized management fee rates.
⁽²⁾	Managed assets and flows of Eaton Vance-distributed separate accounts managed by Hexavest. Eaton Vance receives distribution fees, but not management fees, on these assets, which are not included in our consolidated assets under management, flows and average annualized management fee rates.
⁽³⁾	Managed assets and flows of pre-transaction Hexavest clients and post-transaction Hexavest clients in Canada. Eaton Vance receives no management fees or distribution fees on these assets, which are not included in our consolidated assets under management, flows and average annualized management fee rates.

Results of Operations

In evaluating operating performance, we consider net income attributable to Eaton Vance Corp. shareholders and earnings per diluted share, which are calculated on a basis consistent with U.S. GAAP, as well as adjusted net income attributable to Eaton Vance Corp. shareholders and adjusted earnings per diluted share, both of which are internally derived non-U.S. GAAP performance measures.

Effective in the second quarter of fiscal 2020, our calculation of non-U.S. GAAP financial measures excludes the impact of consolidated sponsored funds and consolidated collateralized loan obligation (CLO) entities (collectively, consolidated investment entities) and other seed capital investments. Adjustments to U.S. GAAP operating income include the add-back of management fee revenue received from consolidated investment entities that are eliminated in consolidation and the non-management expenses of consolidated sponsored funds recognized in consolidation. Adjustments to U.S GAAP net income attributable to Eaton Vance Corp. shareholders include the after-tax impact of these adjustments to operating income and the elimination of gains (losses) and other investment income (expense) of consolidated investment entities and other seed capital investments included in non-operating income (expense), as determined net of tax and non-controlling and other beneficial interests. All prior period non-U.S. GAAP financial measures have been updated to reflect this change.

Management believes that certain non-U.S. GAAP financial measures, specifically, adjusted net income attributable to Eaton Vance Corp. shareholders and adjusted earnings per diluted share, while not a substitute for U.S. GAAP financial measures, may be effective indicators of our performance over time. Non-U.S. GAAP financial measures should not be construed to be superior to U.S. GAAP measures. In calculating these non-U.S. GAAP financial measures, net income attributable to Eaton Vance Corp. shareholders and earnings per diluted share are adjusted to exclude items management deems non-operating or non-recurring in nature, or otherwise outside the ordinary course of business. These adjustments may include, when applicable, the add back of closed-end fund structuring fees, costs associated with debt repayments and tax settlements, the tax impact of stock-based compensation shortfalls or windfalls, impairment charges and non-recurring charges for the effect of tax law changes. The adjusted measures also exclude the impact of consolidated investment entities and other seed capital investments. Management and our Board of Directors, as well as certain of our outside investors, consider the adjusted numbers a measure of our underlying operating performance. Management believes adjusted net income attributable to Eaton Vance Corp. shareholders and adjusted earnings per diluted share are important indicators of our operations because they exclude items that may not be indicative of, or are unrelated to, our core operating results, and may provide a useful baseline for analyzing trends in our underlying business.

The following table provides a reconciliation of net income attributable to Eaton Vance Corp. shareholders and earnings per diluted share to adjusted net income attributable to Eaton Vance Corp. shareholders and adjusted earnings per diluted share, respectively:

			Three Months Ended					Nine Months Ended
			July 31,				%	July 31,				%
(in thousands, except per share figures)				2020		2019	Change		2020		2019	Change
Net income (loss) attributable to
		Eaton Vance Corp. shareholders	$	(1,593)	$	102,221	NM	$	174,450	$	290,829	-40%
Management fees of consolidated sponsored
		funds and consolidated CLO entities, net of tax⁽¹⁾		885		1,348	-34%		3,260		2,690	21%
Non-management expenses of consolidated
		sponsored funds, net of tax⁽²⁾		752		964	-22%		2,555		3,037	-16%
Net gains and other investment income
		related to consolidated sponsored funds and
		other seed capital investments, net of tax⁽³⁾		(5,131)		(7,161)	-28%		(5,444)		(10,743)	-49%
Other (income) expense of consolidated CLO
		entities, net of tax⁽⁴⁾		(3,357)		2,592	NM		10,227		(3,430)	NM
Net excess tax benefit from stock-based
		compensation plans		(176)		(637)	-72%		(6,095)		(3,863)	58%
Impairment loss⁽⁵⁾				100,450		-	NM		100,450		-	NM
Adjusted net income attributable to
		Eaton Vance Corp. shareholders	$	91,830	$	99,327	-8%	$	279,403	$	278,520	0%

Earnings (loss) per diluted share			$	(0.01)	$	0.90	NM	$	1.55	$	2.54	-39%
Management fees of consolidated sponsored
		funds and consolidated CLO entities, net of tax		0.01		0.01	0%		0.03		0.02	50%
Non-management expenses of consolidated
		sponsored funds, net of tax		-		0.01	-100%		0.02		0.03	-33%
Net gains and other investment income
		related to consolidated sponsored funds and
		other seed capital investments, net of tax		(0.05)		(0.06)	-17%		(0.05)		(0.09)	-44%
Other (income) expense of consolidated CLO
		entities, net of tax		(0.03)		0.02	NM		0.09		(0.04)	NM
Net excess tax benefit from stock-based
		compensation plans		-		-	NM		(0.05)		(0.03)	67%
Impairment loss				0.90		-	NM		0.89		-	NM
Adjusted earnings per diluted share			$	0.82	$	0.88	-7%	$	2.48	$	2.43	2%

⁽¹⁾	Represents management fees eliminated upon the consolidation of sponsored funds and CLO entities.
⁽²⁾	Represents expenses of consolidated sponsored funds.
⁽³⁾	Represents gains, losses and other investment income earned on investments in sponsored strategies, whether accounted for as consolidated funds, separate accounts or equity investments, as well as the gains and losses recognized on derivatives used to hedge these investments. Stated amounts are net of non-controlling interests.
⁽⁴⁾	Represents other income and expenses of consolidated CLO entities.
⁽⁵⁾	Represents an impairment loss recognized on the Company's investment in 49 percent-owned affiliate Hexavest.

The $103.8 million decrease in net income attributable to Eaton Vance Corp. shareholders in the third quarter of fiscal 2020 compared to the third quarter of fiscal 2019 reflects:

 The $100.5 million impairment loss recognized on the Company’s equity method investment in Hexavest in the third quarter of fiscal 2020.

 A decrease in revenue of $10.4 million, reflecting a decrease in management fees, distribution and underwriting fees and other revenue, partially offset by an increase in service fees.

 A decrease in operating expenses of $4.5 million, reflecting decreases in compensation, distribution expense and fund-related expenses, partially offset by increases in service fee expense, amortization of deferred sales commissions and other operating expenses.

 An increase in non-operating income of $26.8 million, primarily reflecting an $18.8 million increase in net gains and other investment income of consolidated sponsored funds and our investments in other sponsored strategies and an $8.0 million improvement in net income (expense) of consolidated CLO entities.

 An increase in income taxes of $0.6 million.

 A decrease in equity in net income of affiliates, net of tax, of $102.5 million, reflecting the $100.5 million impairment loss noted above as well as a $2.0 million decrease in income contribution from our equity method investees.

 An increase in net income attributable to non-controlling and other beneficial interests of $21.7 million.

Weighted average diluted shares outstanding decreased by 1.8 million shares, or 2 percent, in the third quarter of fiscal 2020 compared to the third quarter of fiscal 2019, primarily reflecting a decrease in the dilutive effect of in-the-money options and unvested restricted stock awards due to lower market prices of the Company’s shares.

The $116.4 million decrease in net income attributable to Eaton Vance Corp. shareholders in the first nine months of fiscal 2020 compared to the first nine months of fiscal 2019 reflects:

 The $100.5 million impairment loss recognized on the Company’s equity method investment in Hexavest in the third quarter of fiscal 2020.

 An increase in revenue of $29.8 million, reflecting increases in management fees and service fees, partially offset by decreases in distribution and underwriting fees, and other revenue.

 An increase in operating expenses of $27.3 million, reflecting increases in compensation, service fee expense, amortization of deferred sales commissions, fund-related expenses and other operating expenses, partially offset by a decrease in distribution expense.

 A negative change in non-operating income (expense) of $55.3 million, primarily reflecting a $36.6 million unfavorable change in net gains (losses) and other investment income of consolidated sponsored funds and our investments in other sponsored strategies and an $18.4 million unfavorable change in net income (expense) of consolidated CLO entities.

 A decrease in income taxes of $9.5 million.

 A decrease in equity in net income of affiliates, net of tax, of $103.4 million, reflecting the $100.5 million impairment loss noted above as well as a $2.9 million decrease in income contribution from our equity method investees.

 A decrease in net income attributable to non-controlling and other beneficial interests of $30.3 million.

Weighted average diluted shares outstanding decreased by 1.6 million shares, or 1 percent, in the first nine months of fiscal 2020 compared to the first nine months of fiscal 2019, primarily reflecting share repurchases

in excess of new shares issued upon the vesting of restricted stock awards and the exercise of employee stock options.

Revenue

The following table shows the components of our revenue:

	Three Months Ended					Nine Months Ended
	July 31,				%	July 31,				%
(in thousands)		2020		2019	Change		2020		2019	Change
Management fees	$	369,198	$	375,747	-2%	$	1,118,120	$	1,085,881	3%
Distribution and underwriter fees		18,141		21,281	-15%		58,841		64,425	-9%
Service fees		32,322		31,855	1%		96,818		90,801	7%
Other revenue		1,158		2,352	-51%		5,505		8,405	-35%
Total revenue	$	420,819	$	431,235	-2%	$	1,279,284	$	1,249,512	2%

Management fees

The $6.5 million decrease in management fees in the third quarter of fiscal 2020 from the same period a year earlier is primarily attributable to a 5 percent decrease in our consolidated average annualized management fee rate and a $2.2 million increase in fund subsidies, which are recorded as a contra-revenue component of management fees, partially offset by a 3 percent increase in our consolidated average assets under management and a $0.8 million increase in performance-based fees. The $32.2 million increase in management fees in the first nine months of fiscal 2020 from the same period a year earlier is primarily attributable to an 8 percent increase in consolidated average assets under management, a $2.6 million decrease in fund subsidies, a $2.0 million increase in performance-based fees and the impact of one additional fee day in the first nine months of fiscal 2020, partially offset by a 5 percent decrease in our consolidated average annualized management fee rate.

The following table shows our consolidated average annualized management fee rates by investment mandate, excluding performance-based fees, which were $0.9 million in the third quarter of fiscal 2020, $0.1 million in the third quarter of fiscal 2019, $3.6 million in the first nine months of fiscal 2020 and $1.6 million in the first nine months of fiscal 2019. Our consolidated average annualized management fee rates also exclude management fees earned on consolidated investment entities that are eliminated in consolidation, which were $1.2 million in the third quarter of fiscal 2020, $1.8 million in the third quarter of fiscal 2019, $4.4 million in the first nine months of fiscal 2020 and $3.6 million in the first nine months of fiscal 2019.

		Three Months Ended			Nine Months Ended
		July 31,		%	July 31,		%
(in basis points on average managed assets)		2020	2019	Change	2020	2019	Change
Equity⁽¹⁾		55.7	57.1	-2%	56.0	57.1	-2%
Fixed income⁽²⁾		40.1	41.7	-4%	40.4	41.7	-3%
Floating-rate income		49.9	49.7	0%	49.8	49.8	0%
Alternative⁽³⁾		64.3	66.9	-4%	63.6	61.0	4%
Parametric custom portfolios⁽⁴⁾		15.5	15.0	3%	15.1	14.7	3%
Parametric overlay services		5.2	5.2	0%	5.0	5.2	-4%
Consolidated average annualized
management fee rates		30.3	31.8	-5%	30.3	31.9	-5%

⁽¹⁾	Includes balanced and other multi‐asset mandates. Excludes equity mandates reported as Parametric custom portfolios.
⁽²⁾	Includes cash management mandates. Excludes benchmark-based fixed income separate accounts reported as Parametric custom portfolios. Amounts for periods prior to fiscal 2020 have been revised to reflect the reclassification of benchmark-based fixed income separate accounts from fixed income to Parametric custom portfolios in the first quarter of fiscal 2020.
⁽³⁾	Consists of absolute return, commodity and currency mandates.
⁽⁴⁾	Equity, fixed income and multi-asset separate accounts managed by Parametric for which customization is a primary feature; other Parametric strategies may also be customized. Amounts for periods prior to fiscal 2020 have been revised to reflect the reclassification of benchmark-based fixed income separate accounts from fixed income to Parametric custom portfolios in the first quarter of fiscal 2020.

Consolidated average assets under management by investment mandate to which these fee rates apply can be found in the Consolidated Average Assets under Management by Investment Mandate table in Management’s Discussion and Analysis of Financial Condition and Results of Operations under Item 2 of this Quarterly Report on Form 10-Q. Changes in the consolidated average annualized management fee rates for the compared period primarily reflects shifts in the Company’s mix of business.

Distribution and underwriter fees

The following table shows fund distribution and underwriter fee revenue and other fund-related distribution income:

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in thousands)			2020		2019	Change		2020		2019	Change
Distribution fees:
Class A		$	558	$	763	-27%	$	1,846	$	2,391	-23%
Class B			-		20	-100%		-		96	-100%
Class C			7,261		9,078	-20%		23,094		30,678	-25%
Class F			361		392	-8%		1,112		1,144	-3%
Class N⁽¹⁾			12		18	-33%		36		60	-40%
Class R			427		493	-13%		1,337		1,401	-5%
Private funds			3,862		2,995	29%		10,911		8,252	32%
Total distribution fees			12,481		13,759	-9%		38,336		44,022	-13%
Underwriter commissions			3,957		5,964	-34%		15,660		15,257	3%
Contingent deferred sales charges
and other redemption fees			555		396	40%		1,364		1,751	-22%
Other distribution income			1,148		1,162	-1%		3,481		3,395	3%
Total distribution and underwriter fees		$	18,141	$	21,281	-15%	$	58,841	$	64,425	-9%

⁽¹⁾	Consists of Investor class shares of Parametric Funds and Advisers class shares of Eaton Vance Funds.

The $1.3 million decrease in distribution fees in the third quarter of fiscal 2020 from the same period a year earlier primarily reflects a decrease in Class C distribution fees driven by lower average managed assets of Class C mutual fund shares offset by an increase in distribution fees from private funds driven by higher average managed assets in these funds. The $3.1 million decrease in distribution and underwriter fees further reflects a $2.0 million decrease in underwriter commissions, partially offset by a $0.2 million increase in contingent deferred sales charges and other redemption fees.

The $5.7 million decrease in distribution fees in the first nine months of fiscal 2020 from the same period a year earlier primarily reflects a decrease in Class C distribution fees driven by lower average managed assets of Class C mutual fund shares offset by an increase in distribution fees from private funds driven by higher average managed assets in these funds. The $5.6 million decrease in distribution and underwriter fees further reflects a $0.4 million decrease in contingent deferred sales charges and other redemption fees, primarily attributable to the early redemption of certain managed assets of a private fund in the first quarter of fiscal 2019, partially offset by a $0.4 million increase in underwriter commissions.

Service fees

Service fee revenue increased 1 percent and 7 percent in the third quarter and first nine months of fiscal 2020 from the same periods a year earlier, respectively, primarily reflecting an increase in average assets in funds and fund share classes subject to service fees.

Other revenue

Other revenue, which consists primarily of fund shareholder servicing fees, referral fees and consultancy fees, decreased 51 percent and 35 percent in the third quarter and first nine months of fiscal 2020 from the same

periods a year earlier, primarily reflecting decreases in miscellaneous dealer income, due to a terminated distribution agreement, Hexavest-related referral fees and shareholder servicing fees.

Expenses

The following table shows our operating expenses:

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in thousands)			2020		2019	Change		2020		2019	Change
Compensation and related costs		$	156,780	$	158,642	-1%	$	477,834	$	466,072	3%
Distribution expense			32,198		38,070	-15%		105,734		111,508	-5%
Service fee expense			28,266		28,037	1%		84,669		79,475	7%
Amortization of deferred sales
	commissions		6,329		5,644	12%		18,586		16,762	11%
Fund-related expenses			9,545		9,715	-2%		31,509		29,320	7%
Other expenses			56,480		53,992	5%		173,056		160,937	8%
Total expenses		$	289,598	$	294,100	-2%	$	891,388	$	864,074	3%

Compensation and related costs

The following table shows the details of our compensation and related costs:

	Three Months Ended					Nine Months Ended
	July 31,				%	July 31,				%
(in thousands)		2020		2019	Change		2020		2019	Change
Base salaries and employee benefits	$	78,583	$	73,175	7%	$	234,852	$	219,919	7%
Stock-based compensation		25,336		23,541	8%		76,663		68,827	11%
Operating income-based incentives		40,215		43,731	-8%		119,023		124,720	-5%
Sales-based incentives		12,786		16,143	-21%		46,257		48,532	-5%
Other compensation expense		(140)		2,052	NM		1,039		4,074	-74%
Total	$	156,780	$	158,642	-1%	$	477,834	$	466,072	3%

Compensation expense decreased by $1.9 million, or 1 percent, in the third quarter of fiscal 2020 from the same period a year earlier. The decrease was primarily driven by (1) a $3.5 million decrease in operating income-based bonus accruals due to a decrease in consolidated pre-bonus operating income; (2) a $3.4 million decrease in sales‐based incentive compensation; and (3) a $2.2 million decrease in other compensation expenses primarily due to lower severance expenses. These decreases were partially offset by a $5.4 million increase in base salaries and employee benefits associated with increases in headcount and a $1.8 million increase in stock-based compensation expense.

Compensation expense increased by $11.8 million, or 3 percent, in the first nine months of fiscal 2020 from the same period a year earlier. The increase was primarily driven by (1) a $14.9 million increase in base salaries and employee benefits associated with increases in headcount, year-end compensation increases for continuing employees and one additional payroll day in the first nine months of fiscal 2020; and (2) a $7.8 million increase in stock-based compensation expense primarily due to the accelerated recognition of stock-based compensation expense in the first nine months of fiscal 2020 related to employee retirements. These

increases were partially offset by a $5.7 million decrease in operating income-based bonus accruals, a $3.0 million decrease in other compensation expenses primarily due to lower severance expenses and a $2.3 million decrease in sales‐based incentive compensation.

Distribution expense

The following table shows the breakdown of our distribution expense:

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in thousands)			2020		2019	Change		2020		2019	Change
Distribution fees		$	8,564	$	10,384	-18%	$	27,498	$	35,062	-22%
Intermediary marketing support
	payments		13,036		13,513	-4%		40,099		38,503	4%
Front-end sales commission expense			4,243		5,796	-27%		16,907		14,847	14%
Discretionary marketing expenses			3,435		5,260	-35%		12,228		14,172	-14%
Finder's fees			2,095		2,168	-3%		6,336		6,158	3%
Closed-end fund dealer compensation
	payments		825		949	-13%		2,666		2,766	-4%
Total		$	32,198	$	38,070	-15%	$	105,734	$	111,508	-5%

Distribution expense decreased by $5.9 million, or 15 percent, in the third quarter of fiscal 2020 versus the same period a year earlier, primarily reflecting lower Class C distribution expenses, driven by a decrease in average managed assets of Class C mutual fund shares, a decrease in discretionary marketing expenses, a decrease in front-end sales commission expenses and lower intermediary marketing support payments. Distribution expense decreased $5.8 million, or 5 percent, in the first nine months of fiscal 2020 from the same period a year earlier, primarily reflecting lower Class C distribution expenses and a decrease in discretionary marketing expenses, partially offset by increases in front-end sales commission expenses and intermediary marketing support payments.

Service fee expense

Service fee expense increased by $0.2 million, or 1 percent, in the third quarter of fiscal 2020 from the same period a year earlier, reflecting higher private fund service fee payments, partially offset by lower Class A and Class C service fee payments. Service fee expense increased by $5.2 million, or 7 percent, in the first nine months of fiscal 2020 from the same period a year earlier, reflecting higher Class A and private fund service fee payments, partially offset by lower Class C service fee payments.

Amortization of deferred sales commissions

Amortization expense increased by $0.7 million, or 12 percent, in the third quarter of fiscal 2020, and increased by $1.8 million, or 11 percent, in the first nine months of fiscal 2020 versus the same periods a year earlier, primarily reflecting higher private fund commission amortization, partially offset by lower Class C commission amortization.

Fund-related expenses

Fund-related expenses decreased by $0.2 million, or 2 percent, in the third quarter of fiscal 2020 from the same period a year earlier, reflecting a reduction in fund expense borne by the Company, partially offset by higher sub-advisory fees paid. Fund-related expenses increased by $2.2 million, or 7 percent, in the first nine months of fiscal 2020 from the same period a year earlier, reflecting higher sub-advisory fees driven by

increases in average managed assets in sub-advised funds and one additional fee day, partially offset by lower fund expenses borne by the Company.

Other expenses

The following table shows our other expenses:

	Three Months Ended					Nine Months Ended
	July 31,				%	July 31,				%
(in thousands)		2020		2019	Change		2020		2019	Change
Information technology	$	30,788	$	25,315	22%	$	89,360	$	73,512	22%
Facilities-related		13,716		13,086	5%		40,683		39,041	4%
Travel		434		4,982	-91%		8,101		13,886	-42%
Professional services		4,481		4,128	9%		14,171		12,822	11%
Communications		1,362		1,675	-19%		4,512		4,666	-3%
Amortization of intangible assets		964		1,050	-8%		2,951		3,928	-25%
Other corporate expense		4,735		3,756	26%		13,278		13,082	1%
Total	$	56,480	$	53,992	5%	$	173,056	$	160,937	8%

Other expenses increased by $2.5 million, or 5 percent, in the third quarter of fiscal 2020 from the same period a year earlier. The increase in information technology expense is primarily attributable to an increase in project-related IT consulting services associated with investments in technology and strategic initiatives, higher system maintenance costs and an increase in market data services. The increase in other corporate expenses reflects a one-time corporate charge of $1.4 million related to a reimbursement to the Company’s sponsored funds in the third quarter of fiscal 2020 for overpayment of shareholder services. These increases were partially offset by lower travel expenses.

Other expenses increased by $12.1 million, or 8 percent, in the first nine months of fiscal 2020 from the same period a year earlier. The increase in information technology expense is primarily attributable to an increase in project-related IT consulting services associated with investments in technology and strategic initiatives, higher system maintenance costs and an increase in market data services. The increase in facilities-related expenses is primarily attributable to a lease termination reimbursement for office space in Seattle during the second quarter of fiscal 2019. The increase in professional services expenses reflects an increase in legal expenses. These increases were partially offset by lower travel expenses and a decrease in amortization expense related to certain intangible assets that were fully amortized during the first quarter of fiscal 2019.

Non-operating Income (Expense)

The following table shows the main categories of non-operating income (expense):

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in thousands)			2020		2019	Change		2020		2019	Change
Gains (losses) and other investment		$	33,671	$	14,846	127%	$	(751)	$	35,885	NM
income, net
Interest expense			(5,888)		(5,888)	0%		(18,140)		(17,907)	1%
Other income (expense) of consolidated
CLO entities:
Gains and other investment
	income, net		14,440		18,260	-21%		25,162		45,495	-45%
Interest and other expense			(9,912)		(21,748)	-54%		(38,955)		(40,905)	-5%
Total non-operating income (expense)		$	32,311	$	5,470	491%	$	(32,684)	$	22,568	NM

The change in gains (losses) and other investment income, net, in the third quarter of fiscal 2020 compared to the same period a year ago reflects a $23.9 million increase in net investment gains, primarily attributable to investments of consolidated sponsored funds and associated hedges, partially offset by a $4.9 million decrease in interest and other income and an increase in foreign currency losses of $0.3 million. The increase in net investment gains of consolidated sponsored funds during the third quarter of fiscal 2020 drove a corresponding increase in net income attributable to non-controlling and other beneficial interest holders during the period as more fully described below.

The change in other income (expense) of consolidated CLO entities in the third quarter of fiscal 2020 compared to the same period a year earlier reflects an $8.0 million improvement in net income (expense) of consolidated CLOs, driven by an increase in our economic interests in these entities. The Company consolidated three securitized CLO entities and one warehouse stage CLO entity as of July 31, 2020 in comparison to four securitized CLO entities as of July 31, 2019. Our economic interests consist of changes in the fair market value of our investments in these entities, distributions received and management fees earned by the Company.

The change in gains (losses) and other investment income, net, in the first nine months of fiscal 2020 compared to the same period a year ago reflects a $25.4 million decrease in net investment gains, primarily attributable to investments of consolidated sponsored funds and associated hedges, and an $11.5 million decrease in interest and other income, partially offset by a decrease in foreign currency losses of $0.2 million.

Interest expense increased by $0.2 million in first nine months of fiscal 2020 compared to the same period a year earlier reflecting borrowings under our line of credit during the second quarter of fiscal 2020. Such borrowings were fully repaid in the second quarter of fiscal 2020.

The change in other income (expense) of consolidated CLO entities in the first nine months of fiscal 2020 compared to the same period a year earlier reflects an $18.4 million unfavorable change in net income (expense) of consolidated CLOs, driven by a decrease in our economic interests in these entities. The Company consolidated three securitized CLO entities and one warehouse stage CLO entity as of July 31, 2020 in comparison to four securitized CLO entities as of July 31, 2019. Our economic interests consist of changes in

the fair market value of our investments in these entities, distributions received and management fees earned by the Company.

Income Taxes

Our effective tax rate, calculated as a percentage of income before income taxes and equity in net income (loss) of affiliates, was 22.6 percent in the third quarter of fiscal 2020 and 25.5 percent in the third quarter of fiscal 2019. Our effective tax rate was 25.8 percent in the first nine months of fiscal 2020 and 24.8 percent in the first nine months of fiscal 2019.

Our income tax provision for the three months ended July 31, 2020 and 2019 includes charges of $0.5 million and $1.1 million, respectively, associated with certain provisions of the 2017 Tax Act taking effect for the Company in fiscal 2019, relating principally to limitations on the deductibility of executive compensation. These charges totaled $2.7 million and $2.4 million for the nine months ended 2020 and 2019, respectively.

Our income tax provision for the three months ended July 31, 2020 and 2019 was reduced by net excess tax benefits of $0.2 million and $0.6 million, respectively, related to the exercise of employee stock options and vesting of restricted stock awards, and $7.3 million and $2.2 million, respectively, related to net income (loss) attributable to non-controlling and other beneficial interests, which is not taxable to the Company. These net excess tax benefits totaled $4.2 million and $9.2 million for the nine months ended July 31, 2020 and 2019, respectively.

Our calculations of adjusted net income and adjusted earnings per diluted share remove the impairment loss recognized in the third quarter of fiscal 2020 on the Company’s investment in 49 percent-owned affiliate Hexavest, exclude gains (losses) and other investment income (expense) of consolidated investment entities and other seed capital investments, add back the management fees and expenses of consolidated investment entities, and exclude the tax impact of stock-based compensation shortfalls or windfalls. On this basis, our adjusted effective tax rate was 27.1 percent and 26.4 percent for the three months ended July 31, 2020 and 2019, respectively, and 26.6 percent for both of the nine month periods ended July 31, 2020 and 2019.

The following table reconciles income before income taxes and equity in net income of affiliates to adjusted income before income taxes and equity in net income of affiliates and the Company’s adjusted income tax expense and adjusted effective income tax rate:

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in thousands)			2020		2019	Change		2020		2019	Change
Income before income taxes and equity in net
	income (loss) of affiliates	$	163,532	$	142,605	15%	$	355,212	$	408,006	-13%
Management fees of consolidated sponsored
	funds and consolidated CLO entities, pre-tax⁽¹⁾		1,193		1,813	-34%		4,396		3,614	22%
Non-management expenses of consolidated
	sponsored funds, pre-tax⁽²⁾		1,014		1,297	-22%		3,446		4,078	-15%
Net (gains) losses and other investment income
	related to consolidated sponsored funds and
	other seed capital investments, pre-tax⁽³⁾		(33,419)		(12,394)	170%		4,258		(27,764)	NM
Other (income) expense of consolidated CLO
	entities, pre-tax⁽⁴⁾		(4,528)		3,488	NM		13,793		(4,589)	NM
Adjusted income before income taxes and equity
	in net income (loss) of affiliates	$	127,792	$	136,809	-7%	$	381,105	$	383,345	-1%

Income tax expense		$	36,899	$	36,304	2%	$	91,494	$	100,998	-9%
Management fees of consolidated sponsored
	funds and consolidated CLO entities⁽¹⁾		308		466	-34%		1,136		925	23%
Non-management expenses of consolidated
	sponsored funds⁽²⁾		262		333	-21%		891		1,041	-14%
Net (gains) losses and other investment income
	related to consolidated sponsored funds and
	other seed capital investments⁽³⁾		(1,789)		(2,474)	-28%		(1,898)		(3,697)	-49%
Other (income) expense of consolidated CLO
	entities⁽⁴⁾		(1,170)		895	NM		3,565		(1,162)	NM
Net excess tax benefits from stock-based
	compensation plans		176		637	-72%		6,095		3,863	58%
Adjusted income tax expense		$	34,686	$	36,161	-4%	$	101,283	$	101,968	-1%
Effective income tax rate			22.6%		25.5%	-11%		25.8%		24.8%	4%
Adjusted effective income tax rate			27.1%		26.4%	3%		26.6%		26.6%	0%

⁽¹⁾	Represents management fees eliminated upon the consolidation of sponsored funds and CLO entities.
⁽²⁾	Represents expenses of consolidated sponsored funds.
⁽³⁾	Represents gains, losses and other investment income earned on investments in sponsored strategies, whether accounted for as consolidated funds, separate accounts or equity investments, as well as the gains and losses recognized on derivatives used to hedge these investments. Stated amounts are net of non-controlling interests.
⁽⁴⁾	Represents other income and expenses of consolidated CLO entities.

Equity in Net Income (Loss) of Affiliates, Net of Tax

Equity in net income (loss) of affiliates, net of tax, primarily reflects our 49 percent equity interest in Hexavest and our seven percent minority equity interest in a private equity partnership managed by a third party. Equity in net income (loss) of affiliates in the third quarter of fiscal 2020 included the $100.5 million impairment loss recognized on the Company’s investment in Hexavest. See Note 3, Investments, in Item 1, Consolidated Financial Statements (unaudited) of this Quarterly Report on Form 10-Q for additional details. Results for the third quarter of fiscal 2020 compared to the same period a year ago further reflect a $1.3 million decrease in

income contribution from Hexavest and a $0.8 million loss from the Company’s investment in a private equity partnership. Results for the first nine months of fiscal 2020 compared to the same period a year ago further reflect a $2.0 million decrease in income contribution from Hexavest and a $0.9 million loss from the Company’s investment in a private equity partnership.

The following table summarizes the components of equity in net income of affiliates:

		Three Months Ended					Nine Months Ended
		July 31,				%	July 31,				%
(in thousands)			2020		2019	Change		2020		2019	Change
Investment in Hexavest, net of
	tax and amortization	$	(99,464)	$	2,235	NM	$	(95,513)	$	6,920	NM
Investment in private equity
	partnership, net of tax		(780)		-	NM		(925)		(2)	NM
Total		$	(100,244)	$	2,235	NM	$	(96,438)	$	6,918	NM

Net (Income) Loss Attributable to Non-controlling and Other Beneficial Interests

The following table summarizes the components of net (income) loss attributable to non-controlling and other beneficial interests:

	Three Months Ended					Nine Months Ended
	July 31,				%	July 31,				%
(in thousands)		2020		2019	Change		2020		2019	Change
Consolidated sponsored funds	$	(26,500)	$	(2,760)	860%	$	11,598	$	(13,323)	NM
Majority-owned subsidiaries		(1,482)		(3,555)	-58%		(4,428)		(9,774)	-55%
Net (income) loss attributable to non-controlling
and other beneficial interests	$	(27,982)	$	(6,315)	343%	$	7,170	$	(23,097)	NM

Net income attributable to non-controlling and other beneficial interests increased by $21.7 million in the third quarter of fiscal 2020 compared to the same period a year ago, reflecting an increase in income and (gains) losses of consolidated investment entities and other seed capital investments driven primarily by market gains in position values to reflect securities price increases in the third quarter of fiscal 2020. Net income (loss) attributable to non-controlling and other beneficial interests decreased by $30.3 million in the first nine months of fiscal 2020 compared to the same period a year ago, reflecting a decline in income and (gains) losses of consolidated investment entities and other seed capital investments. Net income attributable to majority-owned subsidiaries decreased by $2.1 million in the third quarter of fiscal 2020 and decreased by $5.3 million in the first nine months of fiscal 2020, reflecting the Company’s accelerated repurchase of certain profit and capital interests in Parametric entities held by current and former employees. The repurchase settled in the fourth quarter of fiscal 2019. Net income attributable to non-controlling and other beneficial interests is not adjusted for taxes due to the underlying tax status of our consolidated sponsored funds and consolidated majority-owned subsidiaries, which are treated as pass-through entities for tax purposes.

Changes in Financial Condition, Liquidity and Capital Resources

The assets and liabilities of our consolidated CLO entities do not affect our liquidity or capital resources. The collateral assets of our consolidated CLO entities are held solely to satisfy the obligations of these entities and

we have no right to these assets beyond our direct investment in, and management fees generated from, these entities. The note holders and third-party creditors of these entities have no recourse to the general credit of the Company. As a result, the assets and liabilities of our consolidated CLO entities are excluded from the discussion of liquidity and capital resources below.

The following table summarizes certain key financial data relating to our liquidity and capital resources and the uses of cash:

Balance Sheet and Cash Flow Data
				July 31,		October 31,
(in thousands)				2020		2019

Balance sheet data:
	Assets:
	Cash and cash equivalents		$	878,875	$	557,668
	Management fees and other receivables			231,115		237,864
	Total liquid assets		$	1,109,990	$	795,532

	Investments		$	657,444	$	1,060,739

	Liabilities:
	Debt⁽¹⁾		$	625,000	$	625,000

	⁽¹⁾	Represents the principal amount of debt outstanding. The carrying value of the debt, including debt issuance costs, was $621.1 million and $620.5 million as of July 31, 2020 and October 31, 2019, respectively.

			Nine Months Ended
			July 31,
(in thousands)				2020		2019

Cash flow data:
	Operating cash flows		$	254,797	$	379,912
	Investing cash flows			15,653		(628,313)
	Financing cash flows			53,557		95,390

Liquidity and Capital Resources

Liquid assets consist of cash and cash equivalents and management fees and other receivables. Cash and cash equivalents consist of cash and short-term, highly liquid investments that are readily convertible to cash. Management fees and other receivables primarily represent receivables due from sponsored funds and separately managed accounts for investment advisory and distribution services provided. Excluding those assets identified as assets of consolidated CLO entities, liquid assets represented 42 percent and 32 percent of total assets on July 31, 2020 and October 31, 2019, respectively. Not included in the liquid asset amounts are $170.6 million and $317.9 million of highly liquid short-term debt securities with remaining maturities between three and 12 months held as of July 31, 2020 and October 31, 2019, respectively, which are included within investments on our Consolidated Balance Sheets. These amounts include $20.1 million as of July 31, 2020 and October 31, 2019, in a separate account previously classified as a seed capital investment. Generally,

our seed investments in consolidated funds and separate accounts are not treated as liquid assets because they may be longer term in nature.

As of July 31, 2020, our unsecured and unsubordinated debt consisted of $325.0 million in aggregate principal amount of 3.625 percent Senior Notes due in June 2023 and $300.0 million in aggregate principal amount of 3.5 percent Senior Notes due in April 2027. Interest on the senior notes is payable semi-annually in arrears. The senior notes do not contain debt covenants.

We maintain a $300.0 million unsecured revolving credit facility with several banks that expires on December 11, 2023. The facility, which we entered into on December 11, 2018, provides that we may borrow at LIBOR or LIBOR-successor benchmark-based rates of interest which vary depending on our credit ratings. Accrued interest on any borrowing is payable quarterly in arrears and on the date of repayment. Subject to the terms and conditions of the credit facility, the amount available for borrowing may be increased to up to $400.0 million through additional commitments by existing lenders or the addition of one or more new lenders to the syndicate. The credit facility contains financial covenants with respect to leverage and interest coverage, and requires us to pay a quarterly commitment fee on any unused portion. During the second quarter of fiscal 2020, we borrowed $300.0 million under our credit facility to demonstrate the Company’s ability to generate incremental liquidity if needed. Such borrowings were fully repaid during the second quarter. As of July 31, 2020, we had no borrowings under our revolving credit facility and we were in compliance with all debt covenants.

We continue to monitor our liquidity daily and are carefully managing our cash flow to maintain financial flexibility. We expect that our main uses of cash will be paying dividends, acquiring shares of our Non-Voting Common Stock, making seed investments in new investment strategies, potential strategic acquisitions, maintaining and enhancing our technology infrastructure and paying the operating expenses of our business. We believe that our existing liquid assets, cash flows from operations and borrowing capacity under our revolving credit facility are sufficient to meet our current and forecasted operating cash needs. The risk exists, however, that if we need to raise additional capital or refinance existing debt in the future, resources may not be available to us in sufficient amounts or on acceptable terms. Our ability to enter the capital markets in a timely manner depends on a number of factors, including the state of global credit and equity markets, interest rates, credit spreads and our credit ratings at such time. If we are unable to access capital markets to issue new debt, refinance existing debt or sell shares of our Non-Voting Common Stock as needed, or if we are unable to obtain such financing on acceptable terms, our business could be adversely affected. Eaton Vance’s issuer rating is A3 by Moody’s Investors Service and A- by S&P Global Ratings.

Recoverability of our Investments

Our approximately $700 million of investments as of July 31, 2020 consisted of our direct investments in Company-sponsored funds and separate accounts entered into for investment and business development purposes, investments held by the funds we consolidate, our 49 percent minority equity interest in Hexavest, and certain other investments held at cost. Investments directly held by the Company and investments held by funds that we consolidate are significant to us and generally include liquid debt and equity securities that are held at fair value.

We assess our investments in equity method investees for impairment in the fourth quarter of each fiscal year, or as facts and circumstances indicate that additional analysis is warranted. Our investments in equity method investees primarily relates to our investment in Hexavest. During the third quarter of fiscal 2020, Hexavest’s managed assets and associated management fee revenue continued to decline. The decline in Hexavest’s

managed assets accelerated in the spring and summer following disappointing investment performance in the pandemic-related March market selloff. Hexavest employs a value-leaning, preservation of capital-oriented investment style that typically generates strong returns during periods of market weakness. In this year’s market decline, however, value stocks significantly lagged growth stocks, contributing to Hexavest’s disappointing returns during March. At July 31, 2020, we estimated the fair value of the Company’s investment in Hexavest to be $32.7 million. The Company determined that the decline in fair value is other-than-temporary due to the magnitude of the difference between the previous carrying value and the estimated fair value of the investment. We have no intention of disposing of our investment in Hexavest. Accordingly, at July 31, 2020, we recognized an impairment charge of $100.5 million to write down the carrying amount of our investment to fair value. See Note 3, Investments, in Item 1, Consolidated Financial Statements (unaudited) of this Quarterly Report on Form 10-Q for additional details.

We test our investments held at cost for impairment on a quarterly basis by assessing qualitative factors. Our investments held at cost consist primarily of a $19.0 million investment in a U.S.-based wealth management technology firm. We qualitatively concluded that our investments held at cost were not impaired as of July 31, 2020.

We periodically review our deferred sales commissions and amortizing identifiable intangible assets for impairment as events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. There have been no significant events or changes in the financial condition of these assets in the first nine months of fiscal 2020 that would indicate that an impairment loss exists at July 31, 2020.

We assess indefinite-lived intangible assets for impairment in the fourth quarter of each fiscal year, or as facts and circumstances indicate that additional analysis is warranted. Our indefinite-lived intangible assets primarily include $47.7 million of Calvert mutual fund management contracts acquired in fiscal 2017. Calvert is the centerpiece of our responsible investment strategy, and assets managed under Calvert branded strategies continued to experience growth through the third quarter. Accordingly, we qualitatively determined that these indefinite-lived intangible assets were not impaired as of July 31, 2020.

We also assess goodwill for impairment in the fourth quarter of each fiscal year, or as facts and circumstances indicate that additional analysis is warranted. The carrying amount of our goodwill of $259.7 million primarily relates to goodwill associated with our acquisitions of Parametric, Atlanta Capital, and the Tax Advantaged Bond Strategies (TABS) business of M.D. Sass Investor Services that are now combined into a single reporting unit as a consequence of the strategic initiative that we announced in June 2019. This reporting unit has experienced considerable organic growth since acquisition and its financial performance remained strong in the current quarter. Also, our most recent quantitative impairment tests performed in the fourth quarter of fiscal 2019 indicated that the fair values of our reporting units were significantly in excess of their carrying amounts. Accordingly, we qualitatively determined that our goodwill was not impaired as of July 31, 2020.

Operating Cash Flows

Cash provided by operating activities totaled $254.8 million in the first nine months of fiscal 2020 compared to cash provided by operating activities of $379.9 million in the first nine months of fiscal 2019. The year-over-year change primarily reflects a decrease in net cash provided by operating activities of consolidated CLO entities, an increase in net inflows related to the purchase and sale of short-term debt securities, an increase in net outflows from investment activity of consolidated sponsored funds and separately managed accounts and an increase due to timing differences in the cash settlements of our other assets and liabilities.

Investing Cash Flows

Cash provided by investing activities totaled $15.7 million in the first nine months of fiscal 2020 compared to cash used for investing activities of $628.3 million in the first nine months of fiscal 2019. The year-over-year change primarily reflects a $544.3 million decrease in net purchases of bank loans and other investments by consolidated CLO entities, a $54.4 million decrease in purchases of investments in CLO entity note obligations, a $27.3 million increase in proceeds from the sale of CLO entity note obligations, a $14.4 million decrease in additions to equipment and leasehold improvement and a $3.7 million increase in net proceeds from sale of investments.

Financing Cash Flows

Cash provided by financing activities totaled $53.6 million in the first nine months of fiscal 2020. The Company used $112.6 million to repurchase and retire shares of our Non-Voting Common Stock under our authorized repurchase programs, paid $8.4 million to acquire additional interests in Atlanta Capital and Parametric and received proceeds of $57.9 million related to the issuance of shares of our Non-Voting Common Stock in connection with the exercise of stock options and other employee stock purchases. As of July 31, 2020, we had authorization to purchase an additional 4.0 million shares of our Non-Voting Common Stock under our current share repurchase authorization.

Our dividends declared per share were $1.125 in the first nine months of fiscal 2020 and we paid an additional $7.3 million of dividends in the first nine months of fiscal 2020 versus the first nine months of fiscal 2019. We currently expect to declare and pay quarterly dividends on our Voting and Non-Voting Common Stock comparable to the dividend declared in the third quarter of fiscal 2020. Cash provided by financing activities of consolidated CLO entities in the first nine months of fiscal 2019 included $404.5 million of issuance of senior and subordinated note obligations resulting from the securitization of a warehouse CLO entity.

Contractual Obligations

We have future obligations under various contracts relating to debt, interest payments and operating leases. During the first nine months ended July 31, 2020, there were no material changes to our contractual obligations as previously reported in our Annual Report on Form 10-K for the year ended October 31, 2019, except as discussed below.

Vested profit units (non‐controlling interests) held by employees in the Atlanta Capital long‐term equity incentive plan are not subject to mandatory redemption. Our repurchase of these non‐controlling interests is predicated on the exercise of a series of put options held by profit unit holders and call options held by us. The put options provide the profit unit holders the right to require us to repurchase their interests at specified intervals over time. The call options we hold provide us with the right to require the profit unit holders to sell their interests to us at specified intervals over time, as well as upon the occurrence of certain events such as death or permanent disability. These non‐controlling interests are redeemable at fair value. There is uncertainty as to the timing and amount of any purchases of vested profit units in the future. At July 31, 2020, there are no amounts payable to non-controlling interest holders of Atlanta Capital to repurchase vested profit units. In fiscal 2017, the Company introduced a phantom incentive plan for Atlanta Capital that provides for the award of phantom incentive units to eligible employees that are indexed to the per unit enterprise value of Atlanta Capital and settled in shares of our Non‐Voting Common Stock at vesting. As a consequence of introducing this stock‐based compensation plan, we ceased granting profit units to employees of Atlanta Capital under the long‐term equity incentive plan.

We report all redeemable non‐controlling interests in temporary equity on our Consolidated Balance Sheet at estimated redemption value. The estimated redemption value of our non-controlling interests totaled $185.5 million on July 31, 2020 compared to $285.9 million on October 31, 2019. Redeemable non-controlling interests at July 31, 2020 consisted of vested profit units held by employees of Atlanta Capital granted under the Atlanta Capital long‐term equity incentive plan of $15.6 million and equity interests in our consolidated sponsored funds held by third‐party shareholders of $169.9 million.

Foreign Subsidiaries

As of July 31, 2020, we consider the undistributed earnings of certain foreign subsidiaries to be indefinitely reinvested in foreign operations. As of July 31, 2020, we had approximately $12.4 million of undistributed earnings, primarily from operations in the U.K., which are not available to fund domestic operations or to distribute to our shareholders unless repatriated. In consideration of the treatment of taxable distributions, under the 2017 Tax Act, the impact of Global Intangible Low Taxed Income on the Company’s future foreign earnings and lack of withholding tax imposed by certain foreign governments, any future tax liability with respect to these undistributed earnings is immaterial.

Off-Balance Sheet Arrangements

We do not invest in any off-balance sheet vehicles that provide financing, liquidity, market or credit risk support or engage in any leasing activities that expose us to any liability that is not reflected in our Consolidated Financial Statements.

Critical Accounting Policies

The preparation of the Company’s Consolidated Financial Statements in conformity with U.S. GAAP requires management to make judgments, estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and related notes to the Consolidated Financial Statements. Our critical accounting policies reflect our accounting policies that require significant judgments and estimates used in the preparation of our Consolidated Financial Statements. Our critical accounting policies are disclosed in Management’s Discussion and Analysis of Financial Condition and Results of Operations in our Form 10-K for the fiscal year ended 2019. Below is an update to our critical accounting policies.

Fair value measurements

The accounting standards for fair value measurement provide a framework for measuring fair value. Fair value is defined as the price that would be received for an asset, or the exit price that would be paid to transfer a liability, in the principal or most advantageous market in an orderly transaction between market participants on the measurement date.

The Company has a 49 percent equity interest in Hexavest Inc. (Hexavest), a Montreal, Canada-based investment adviser. The investment is accounted for under the equity method of accounting. Investments in equity method investees are evaluated for impairment as events or changes in circumstances indicate that the carrying value of the investment may not be recoverable. During the third quarter of fiscal 2020, Hexavest’s managed assets and associated management fee revenue continued to decline following disappointing investment performance in the pandemic-related March market selloff. At July 31, 2020, the Company estimated the fair value of the Company’s investment in Hexavest to be $32.7 million, which was significantly less than the investment’s previous carrying value. The fair value of the Company’s investment in Hexavest was

estimated utilizing two equally weighted valuation approaches, a discounted cash flow methodology under the income approach and a guideline public company methodology under the market approach. The valuations were prepared with the assistance of an independent valuation firm and approved by management. The magnitude of the loss in value of this investment due to the decline in managed assets and associated revenue indicated that the investment was other-than-temporarily impaired at July 31, 2020. Accordingly, at July 31, 2020, the Company recognized an impairment charge of $100.5 million to write down the carrying amount of its investment to fair value. The Company has no intention of disposing of its investment in Hexavest. A continued decline in managed assets could further reduce the fair value of the Company’s investment in Hexavest and require additional impairment tests to be performed in future periods. See Note 3, Investments, in Item 1, Consolidated Financial Statements (unaudited) of this Quarterly Report on Form 10-Q for additional information on the Company’s investment in Hexavest and estimated fair value of the investment as of July 31, 2020.

Accounting Developments

On November 1, 2019, the Company fully adopted a new accounting standard related to leases. See Note 1, Summary of Significant Accounting Policies, in Item 1, Consolidated Financial Statements (unaudited) of this Quarterly Report on Form 10-Q.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

There have been no material changes in our Quantitative and Qualitative Disclosures About Market Risk from those previously reported in our Annual Report on Form 10-K for the year ended October 31, 2019.

Item 4. Controls and Procedures

We evaluated the effectiveness of our disclosure controls and procedures as of July 31, 2020. Disclosure controls and procedures are designed to ensure that the information we are required to disclose in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time period specified in the SEC’s rule and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information we are required to disclose in the reports that we file or submit under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer (CEO) and Chief Financial Officer (CFO), to allow timely decisions regarding required disclosure. Our CEO and CFO participated in this evaluation and concluded that, as of July 31, 2020, our disclosure controls and procedures were effective.

There have been no changes in our internal control over financial reporting that occurred during the third quarter of our fiscal year ending October 31, 2020 that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting. We have not experienced any material impact to our internal controls over financial reporting despite the fact that most of our employees are working remotely due to the COVID-19 pandemic. We are continually monitoring and assessing the COVID-19 situation on our internal controls to evaluate the impact, if any, on their design and operating effectiveness.

Part II - Other Information

Item 1. Legal Proceedings

There have been no material developments in litigation previously reported in our SEC filings.

Item 1A. Risk Factors

The following is an update to Part I, “Item 1A- Risk Factors,” contained in our Form 10-K for the year ended October 31, 2019.

The COVID-19 pandemic is having an adverse effect on our business, results of operations, cash flows and financial condition. The ongoing COVID-19 pandemic has caused significant disruption in global financial markets, resulting in a decline in our assets under management and negatively affecting our revenue and earnings. While financial markets have substantially recovered, renewed market declines could adversely affect our assets under management, revenue and earnings, which impact could be material.

The COVID-19 pandemic has significantly affected the manner in which we operate. While we have in place business continuity plans that address potential impacts of the COVID-19 pandemic to our personnel and our facilities, and technologies that enable our personnel to work effectively from home, no assurance can be given that the steps we have taken will continue to be effective or appropriate. While our employees have to date been able to continue conducting business while working remotely, operational challenges may arise in the future, which may reduce our organizational efficiency or effectiveness, and increase operational, compliance and cybersecurity risks. In addition, because most of our employees have not previously worked remotely for an extended period of time, we are unsure of the impact that the remote work environment and lack of in-person meetings with colleagues, clients and business partners will have on the growth of our business and the results of our operations. Many of the key service providers we rely on also have transitioned to working remotely. If we or they were to experience material disruptions in the ability of our or their employees to work remotely (e.g., from illness due to COVID-19 or disruption in internet-based communication systems and networks), our ability to operate our business could be materially adversely disrupted. Any such material adverse disruptions to our business operations could have a material adverse impact on our results of operations, cash flows or financial condition.

The extent to which our business, results of operations, cash flows and financial results are affected by the COVID-19 pandemic will largely depend on future developments that cannot be accurately predicted and are uncertain, including the duration and severity of the pandemic and the length of time until the economy recovers and our employees can safely return to the workplace. In addition, many of the risk factors described in our Annual Report on Form 10-K for the year ended October 31, 2019 are heightened by the effects of the COVID-19 pandemic and related economic conditions, which could result in a material adverse effect on our business, results of operations, cash flows or financial condition.

Our clients can withdraw the assets we manage on short notice, making our future client and revenue base unpredictable. Our open-end fund clients generally may redeem their investments in these funds each business day without prior notice. Institutional and individual separate account clients can terminate their relationships with us generally at any time. In a declining stock market, the pace of open-end fund redemptions could accelerate. Poor performance of the assets we manage relative to other asset management firms could result in lower purchases and increased redemptions of open-end fund shares, and the loss of institutional and individual separate accounts. While not subject to daily redemption, closed-end funds that we

advise may shrink in size due to repurchases of shares in open-market transactions or pursuant to tender offers, or in connection with distributions in excess of realized returns. Activist shareholders may attempt to force one or more closed-end funds for which we serve as investment adviser to conduct a share tender offer, to convert to an open-end fund, to liquidate or take other actions that would reduce the fees we receive from such funds. An activist shareholder was recently successful in placing three of its nominees on the board of trustees of one of the closed-end funds we advise. The decrease in revenue that could result from any of these events could have a material adverse effect on our business.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

The table below sets forth information regarding purchases by the Company of our Non-Voting Common Stock on a monthly basis during the third quarter of fiscal 2020:

Purchases of Equity Securities by the Issuer and Affiliated Purchasers

Period			(a) Total Number of Shares Purchased⁽¹⁾	(b) Average Price Paid Per Share		(c) Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs⁽¹⁾⁽²⁾	(d) Maximum Number of Shares That May Yet Be Purchased Under the Plans or Programs
May 1, 2020 through
		May 31, 2020	32,163	$	33.81	32,163	3,962,474
June 1, 2020 through
		June 30, 2020	572	$	39.25	572	3,961,902
July 1, 2020 through
		July 31, 2020	5,366	$	37.60	5,366	3,956,536
Total			38,101	$	34.43	38,101	3,956,536

⁽¹⁾	Represents shares of Non-Voting Common Stock withheld for tax withholding purposes upon the vesting of restricted share awards.
⁽²⁾	We announced a share repurchase program on July 10, 2019, which authorized the repurchase of up to 8,000,000 shares of our Non-Voting Common Stock in the open market and in private transactions in accordance with applicable securities laws. This repurchase plan is not subject to an expiration date.

Item 6. Exhibits

(a) Exhibits

Exhibit No.	Description
31.1	Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1	Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101	Materials from the Eaton Vance Corp. Quarterly Report on Form 10-Q for the quarter ended July 31, 2020, formatted in Inline eXtensible Business Reporting Language (iXBRL): (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Income, (iii) Consolidated Statements of Comprehensive Income, (iv) Consolidated Statements of Stockholders’ Equity, (v) Consolidated Statements of Cash Flows and (vi) related Notes to the Consolidated Financial Statements, tagged in detail.
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

Signatures

Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

EATON VANCE CORP. (Registrant)

DATE: September 4, 2020			/s/Laurie G. Hylton
			(Signature)
			Laurie G. Hylton
			Chief Financial Officer

DATE: September 4, 2020			/s/Julie E. Rozen
			(Signature)
			Julie E. Rozen
			Chief Accounting Officer

Exhibit 31.1

CERTIFICATION

I, Thomas E. Faust Jr., certify that:

I have reviewed this quarterly report on Form 10-Q of Eaton Vance Corp.;

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures or caused such disclosure controls and procedures to be designed under our supervision to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

DATE: September 4, 2020			/s/Thomas E. Faust Jr.
			(Signature)
			Thomas E. Faust Jr.
			Chairman, Chief Executive Officer and President

Exhibit 31.2

CERTIFICATION

I, Laurie G. Hylton, certify that:

I have reviewed this quarterly report on Form 10-Q of Eaton Vance Corp.;

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

DATE: September 4, 2020			/s/Laurie G. Hylton
			(Signature)
			Laurie G. Hylton
			Chief Financial Officer

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Eaton Vance Corp. (the Company) on Form 10-Q for the period ending July 31, 2020 as filed with the Securities and Exchange Commission on the date hereof (the Report), I, Thomas E. Faust Jr., Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

DATE: September 4, 2020			/s/Thomas E. Faust Jr.
			(Signature)
			Thomas E. Faust Jr.
			Chairman, Chief Executive Officer and President

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Eaton Vance Corp. (the Company) on Form 10-Q for the period ending July 31, 2020 as filed with the Securities and Exchange Commission on the date hereof (the Report), I, Laurie G. Hylton, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that, to my knowledge:

(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

DATE: September 4, 2020			/s/Laurie G. Hylton
			(Signature)
			Laurie G. Hylton
			Chief Financial Officer

Document and Entity Information

Consolidated Balance Sheets - USD ($)
$ in Thousands

Consolidated Balance Sheets (Parentheticals) - $ / shares

Consolidated Statements of Income - USD ($)
shares in Thousands, $ in Thousands

Consolidated Statements of Comprehensive Income - USD ($)
$ in Thousands

- Definition

The consolidated profit or loss for the period, net of income taxes, including the portion attributable to the noncontrolling interest.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 1A
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=118930883&loc=SL7669619-108580

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 50
-Paragraph 1A
-Subparagraph (a)(1)
-URI http://asc.fasb.org/extlink&oid=109239629&loc=SL4573702-111684

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 1B
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=118930883&loc=SL7669625-108580

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 50
-Paragraph 1A
-Subparagraph (c)(1)
-URI http://asc.fasb.org/extlink&oid=109239629&loc=SL4573702-111684

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-URI http://asc.fasb.org/extlink&oid=115929826&loc=d3e8736-108599

Reference 6: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 55
-Paragraph 4J
-URI http://asc.fasb.org/extlink&oid=116874947&loc=SL4591551-111686

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=118932676&loc=d3e3000-108585

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 45
-Paragraph 19
-URI http://asc.fasb.org/extlink&oid=108774443&loc=SL4569616-111683

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=115929826&loc=d3e8933-108599

Reference 10: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 55
-Paragraph 4K
-URI http://asc.fasb.org/extlink&oid=116874947&loc=SL4591552-111686

+ Details

Consolidated Statements of Shareholders' Equity - USD ($)
$ in Thousands

Voting Common Stock [Member]