KKR & Co. Inc. (KKR) Risk Factors

Recent key developments

Concrete developments — dated events, named agreements and instruments, legal proceedings — that KKR & Co. Inc. surfaced in its latest filing.

• In the first quarter of 2024, KKR implemented strategic initiatives, including creating the Strategic Holdings business segment.First quarter 2024
• In 2025, KKR announced changes to the management of its insurance business to originate longer-duration liabilities and assets, including investing more in non-yielding or lower-yield asset classes, expanding outside the United States, and raising more third-party co-investment insurance capital.2025
• In February 2026, KKR announced an agreement to acquire Arctos Partners, an investment management firm that invests in professional sports teams and provides strategic capital to other asset management firms.February 2026
• Realized carried interest repayment in the fourth quarter 2025 relating to KKR's Asian Fund II.Fourth quarter 2025
• On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was enacted, amending and extending certain 2017 Tax Cuts and Jobs Act provisions.July 4, 2025
• Global Atlantic was the subject of policyholder and agent class action litigation matters and regulatory matters stemming from service disruptions caused by a third-party administrator for certain Global Atlantic life insurance policies.
• Periodic engagement in discussions with limited partners regarding waivers of key person provisions with respect to executives involved in geographically or product-focused funds whose departures have occurred or are anticipated.
• The Council of the European Union required all 27 EU member states to adopt local legislation during 2023 implementing Pillar Two rules from fiscal years starting December 31, 2023.2023
• Bermuda adopted a corporate income tax effective for tax years beginning in 2025, in line with OECD principles, which may increase tax expense and compliance costs for KKR.2025
• The Reorganization Agreement requires elimination of Series I preferred stock and establishment of one-vote-per-share common stock by the Sunset Date (not later than December 31, 2026).December 31, 2026
• The NAIC recently adopted a requirement for life insurers engaging in certain reserve-financing or asset-intensive reinsurance treaties to perform robust asset adequacy testing on ceded blocks.
• The NAIC is evaluating changes to accounting rules regarding surplus notes with linked assets, a structure used in certain captive reserve financing transactions.
• The BMA continues to review BSCR and issued consultation papers in 2023 and 2024 exploring updates to its EBS framework, which if implemented could materially increase the Enhanced Capital Requirement.2023-2024
• KKR has completed structured transactions where its balance sheet provides subordinated or equity financing and third-party investors provide senior or preferred equity financing to an investment vehicle that invests in KKR's investment vehicles.
• KKR's third-party service providers have experienced certain cyber incidents, and unauthorized individuals have gained access to clients’ confidential data through such third parties.
• NYSDFS finalized amendments in November 2023 that significantly expanded regulation of data privacy matters.November 2023
• Due to regulatory restrictions on the payment of dividends, KKR's U.S. insurance subsidiaries may not declare a dividend in 2025 to the corporate parent companies of the insurance business without prior domiciliary state regulatory approval.2025
• Refer to Note 24 'Commitments and Contingencies' for certain legal matters involving KKR.