Och-Ziff Capital Management Group's assets under management increased 21% to $27.9 billion in the year ended Dec. 31, according to an earnings report released Thursday.
The $4.8 billion increase in assets managed by the multistrategy hedge fund manager was attributed to $2.2 billion of investment gains and $2.6 billion of net inflows for the calendar year. About $1.4 billion of the total growth came in the fourth quarter, resulting from $1 billion of investment returns and $411 million of net inflows, according to the report.
While not providing a breakdown of net inflows in 2010 by client type, Daniel S. Och, chairman and CEO, told analysts in an earnings call: “In 2010, we experienced ongoing demand from the diversified combination of new and existing investors with specific interest from public and private pension funds, corporates, private banks and other institutions,” according to a transcript of the earnings call.
“We believe that capital inflows will continue to accelerate as institutional investors increase their allocations to alternative asset managers and that our institutional differentiation positions us to continue to attract a meaningful share of those flows,” Mr. Och said in the firm's written earnings statement.
Och-Ziff's four hedge funds all produced positive returns in the year ended Dec. 31: OZ Master Fund, 8.52%; OZ Europe Master Fund, 7.52%; OZ Asia Master Fund, 9.9%; and OZ Global Special Investment Master Fund, 13.43%.
Och-Ziff reported a GAAP net loss of $294.4 million in 2010, compared with $297.4 million in 2009.