Friday, 19 December 2014
Last updated 7 hours ago
Dec 14 2006 | 11:12am ET
Bear Stearns didn’t have quite the fourth quarter, or fiscal year, that Goldman Sachs did. Neither did anyone else, for that matter. But at least Bear’s hedge funds are heading in the right direction – north.
The Wall Street giant reported a 38% jump in net income in the fourth quarter to $563 million on a 28% surge in net revenues to $2.4 billion. For the full year ending Nov. 30, net income rose some 40% to $2.1 billion, a record for the firm, and revenues jumped by a quarter to $9.2 billion. In comparison, Goldman’s profits substantially skyrocketed 70% during the same period to $9.5 billion.
But whereas Goldman saw performance fees from its hedge funds plummet almost 80%, thanks to negative returns, including in its $10 billion Global Alpha flagship, Bear attributed the 66% jump in asset management revenues during the fourth quarter to an increase in hedge fund performance fees. It also said that the 45% jump for the full year was the result of both huge inflows of money into its alternative investment products, as well as the performance fees.
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.