SEI Investments Co. (NASDAQ:SEIC) Q3 2020 Earnings Conference Call - Final Transcript
Oct 21, 2020 • 04:30 pm ET
Alfred P. West
$109 million of stock repurchaseed during the quarter.
And this quarter, we also continued our investment in the growth generating initiatives. The newest effort is One SEI. This is a large part of our growth strategy. As you recall, One SEI leverages existing and new SEI platforms by making them accessible to all types of clients, all adjacent markets and all other platforms. As a byproduct of the investments suite made in the third quarter, we've capitalized approximately $6.1 million of development and amortized approximately $12.2 million of previously capitalized development. To date, we have not capitalized any of the One SEI work.
Now turning to revenue production. Third quarter sales events, net of client losses, totaled approximately $28 million and are expected to generate net annualized recurring revenues of approximately $15 million. Clearly, we are encouraged with this year's sales results. They reflect the fact that although throughout the company we have successful in entrepreneurial sales teams driving revenue. Our unit heads will speak to their specific sales results.
We have three business objectives. The first is to deliver soft, smooth, safe operations. The second quarter -- I'm sorry, the second objective is to grow our business by helping our clients grow. And our third objective is to continuously innovate, so we can keep growing in the future. To reach these objectives we know that things will never be the same. So we have been busy adapting to new middle models and realities. We feel ready to capture the opportunities inherent in significant change.
Now this concludes my formal remarks. And I'll turn it over to Dennis to give you an update on LSV and the investment in our new business segment. And after that, all the segment heads will update the results in their segments. Dennis?
Dennis J. McGonigle
Thanks, Al. Good afternoon, everyone. I will cover the third quarter results for the investments in new business segment and discuss the results of LSV Asset Management. During the third quarter 2020, the investments in new business segment continued its focus on the ultra-high-net-worth investor segment through our private wealth management group and additional business and research initiatives, including those related to our IT services business opportunity and the modularization of larger technology platforms into stand-alone components for the wealth management and investment processing space to deliver on our One SEI strategy.
During the quarter, the investments in new business segment incurred a loss of $9.8 million, which compared to a loss of $4.5 million during the third quarter of 2019. This increased loss reflects an increase in investments specifically related to our One SEI strategy, which we have discussed in the prior couple of quarters. Of our expenses in this segment, approximately $8 million is tied to that effort. The One SEI strategy is a companywide initiative to open business opportunity across our entire company, as well as creating new business lines.
Regarding LSV, our earnings from LSV represent our approximate 39% ownership interest during the third quarter. LSV contributed $28.3