New York-based The Blackstone Group has increased its alternative assets under management by roughly 100 percent over the past 12 months, the firm has revealed.
Since last summer, Blackstone, led by Stephen Schwarzman, has raised roughly $30 billion across all its alternative investment fund products. Since it launched operations 20 years ago, the firm has raised a total of $63 billion for such funds.
The most recent and significant burst of fundraising activity has come from Blackstone’s private equity and real estate operations. Today, the firm announced the final close of its fifth private equity fund on $15.6 billion, the largest private equity fund ever raised. Just last month, the firm closed the largest private equity real estate fund ever raised, Blackstone Real Estate Partners V, on $5.25 billion.
Also last month, Blackstone closed its latest collateralised debt obligation vehicle on $500 million. In May, Blackstone rounded up $1.06 billion for a mezzanine fund.
Significantly, over the past 12 months, the firm has seen its fund of hedge funds programme grow from more than $9 billion to more than $13 billion.
The firm now calls itself the “world’s largest independent alternative asset manager”.
Indicative of the still-specialised place of alternatives within the broader asset management world, Blackstone’s assets under management are dwarfed by many traditional asset managers. Legg Mason controls $868 billion, according to the firm. Mutual fund giant Fidelity manages $1.3 trillion. And State Street Global Advisors reports $1.5 trillion in assets under management.