Friday, 19 December 2014
Last updated 43 min ago
Aug 5 2010 | 1:14pm ET
Fortress Investment Group’s second-quarter loss more than doubled, the alternative investments giant said today. But all of the firm’s other numbers were pointed in the right direction.
New York-based Fortress said that its quarterly loss grew from $45 million to $92 million. But its pretax distributable earnings jumped from $59 million to $73 million, easily topping analysts’ expectations in its “most successful capital raising quarter in three years,” according to CEO Daniel Mudd.
Fortress took in $1.9 billion in new money on the quarter, including “5% of all hedge fund inflows in the quarter,” Mudd said. The inflows allowed the firm to close two funds, its $800 million Japan real-estate fund and its $2.6 billion Credit Opportunities Funds II in July.
“There is a great liquidation story going to play out in the next three-to-five years,” Mudd said. “Large-scale downsizing is still to come. We believe the value of offloading non-core assets or platform could be as high as 20 to 30 times what we experienced in the loan crisis. There will be tons of low-hanging fruits.”
Unlike the second quarter of last year, Fortress actually earned some incentive fees, taking in $50 million. Its assets under management grew to $41.7 billion from $30.2 billion in the first quarter, mostly thanks to its acquisition of hedge fund Logan Circle Partners.
Dec 1 2014 | 10:21am ET
As 2014 winds down, Northern Trust Hedge Fund Services executives took some time to share their outlook on trends facing the industry in 2015. Read more…
Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.