Monday, 29 June 2015
Last updated 34 min ago
Aug 14 2007 | 1:36pm ET
Fortress Investment Group posted another loss in the second quarter, making the hedge fund and private equity giant—the first U.S. alternatives firm to go public—0-for-2 as a public company.
Fortress said it lost $55 million in the second quarter, 31% higher than the year-earlier loss of $42 million. But it was substantially lower than its first quarter loss—its first result as a public company—of $71.8 million.
But while Fortress stock—down more than 8% in midday trading on Tuesday—may be a bad investment, investors think otherwise about its hedge and p.e. funds: The firm’s assets under management soared 20% to $43.3 billion from the end of the first quarter. Its revenue rose with the assets, jumping 50% from the year-earlier period to $283 million, thanks mostly to its hedge fund products, where revenue for liquid funds soared to $151 million from $38 million a year earlier.
Its p.e. business, on the other hand, contributed to the profit decline: P.E. revenue dropped by 63% to $36 million.
May 27 2015 | 2:15pm ET
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