Och-Ziff assets remain relatively flat for quarter, year
By Melanie Zanona | August 2, 2012 3:29 pm
Och-Ziff Capital Management Group reported assets under management of $29.9 billion as of June 30, down less than 1% from the prior quarter and up only slightly from the $29.8 billion the year before, according to Och-Ziff's second quarter earnings report Thursday.
The slight year-over-year increase was attributed to performance-related appreciation of $218 million partially offset capital net outflows of $58 million.
The firm also said estimated AUM as of July 1 was $29.3 billion, remaining flat from the year prior, while estimated AUM as of Aug. 1 was $30.3 billion, down 1.3% from the year before.
Second-quarter revenue was $141.9 million, essentially remaining flat from the first quarter but up 7% from a year earlier. Och-Ziff also reported a GAAP net loss of $116.2 million for the second quarter, compared to a net loss of $122.7 during the first quarter and a net loss of $93.4 million a year ago.
Meanwhile, net returns for the firm's four hedge funds in the second quarter were 0.19% for the OZ Master Fund, -1.41% for the OZ Europe Master Fund, -3.43% for the OZ Asia Master Fund and -0.12% for the OZ Global Special Investments Master Fund.
Also on Thursday, Apollo Global Management said assets under management totaled $105 billion as of June 30, up 22% from three months earlier and 46% above the previous year, driven by increases in Apollo's capital-market unit.
However, Apollo's said second-quarter profit fell 84% as global market declines hurt its share of profits from investments.
Economic net income after taxes, a measure of earnings excluding some compensation costs tied to Apollo's IPO last year, fell to $18.7 million, or 5 cents a share, from $118 million, or 31 cents, a year earlier, Apollo said Thursday in a statement.
Apollo's economic net income doesn't comply with U.S. generally accepted accounting principles. The net loss under those standards narrowed to $41 million, or a loss of 38 cents a share, from a loss of $51 million, or 46 cents, a year earlier.
Separately, Fortress Investment Group reported $47.8 billion in AUM in the second quarter, up 2.9% from three months earlier, while its profit rose 8.7% on higher incentive income.
Incentive income, which the firm earns depending on fund performance, more than doubled to $47 million from $20 million a year earlier, helped by its liquid hedge funds, credit hedge funds and private equity funds.
Fortress' private equity valuations gained 5.4% gain during the quarter, beating declines in global markets, Fortress said Thursday in a statement.
Fortress's alternatives business including hedge funds gathered $1.1 billion in investor capital during the quarter, bringing the amount raised for the year to $4 billion. The firm expects to raise more than $500 million in August for a private equity fund that will make investments in mortgage-servicing rights.
Bloomberg News and News Editor Rick Baert contributed to this story.