Fortress Fourth-Quarter Profit Doubles

Feb 27 2013 | 1:38pm ET

Fortress Investment Group's fourth quarter profit doubled on higher fees after its main hedge fund posted double-digit returns.

The New York-based alternative investments giant said its pretax distributable earnings jumped to $107 million from $50 million in the year-earlier period. Revenue rose 51% to $417.6 million, while expenses fell the same proportion to $254 million, due to the expiration of a principals' compensation agreement. Assets under management were up nearly $2 billion to $53.4 billion in the fourth quarter alone.

"Investment performance in 2012 was strong across our credit private-equity and hedge-fund strategies," co-chairman Peter Briger said. "We will remain patient and opportunistic investors."

Fortress' flagship Macro fund rose 18% last year, and its Asia Macro fund 21%. The firm's credit funds posted earnings of $46 million pretax, up 59% from the fourth quarter of 2011, while its liquid hedge funds earned $30 million, up 41%.

In Depth

Financial Industry Blockchain Consortium R3 To Open-Source Platform Code

Oct 20 2016 | 9:03pm ET

Bitcoin's blockchain technology has spawned a flurry of activity among fintech startups...


U.S. Trust's Beard: The Rapid Growth of the Art Lending Industry

Oct 7 2016 | 10:55pm ET

Alternative investment managers have emerged as some of the most significant art...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...