Och-Ziff Capital Management Group reported $28.8 billion in assets under management as of Sept. 30, 3.4% less than three months earlier but 8.7% higher than a year ago, according to the company’s third-quarter earnings release Wednesday .
Net inflows for the quarter were $400 million, offset by performance-related depreciation of $1.2 billion.
The company attributed its year-over-year increase in AUM to performance-related appreciation of $767.6 million, coupled with capital net inflows of $1.6 billion.
For the third quarter, the firm’s four hedge funds all were down, in what was one of the toughest quarters on record for hedge funds; the HFR Fund Weighted Composite index was down 6.2% for the three months. The net return for the OZ Global Special Investments Master Fund was -3.62%, down from 1.83% in the second quarter; OZ Master Fund, -3.75%, down from -0.03%; OZ Asia Master Fund, -4.85%, down from -0.12%; and the OZ Europe Master Fund, -5.25%, down from -1.64%.
During Wednesday’s earnings call, Dan Och, chairman and CEO, said estimated year-to-date performance through Oct. 31 was 3.1% for OZ Global Special Investments Master Fund, 0.1% for OZ Master Fund, -3.3% for OZ Europe Master Fund and -1.4% for OZ Asia Master Fund.
The company reported total revenue of $129.7 million for the quarter, up 16% from a year ago. 2011 year-to-date revenue is $378.7 million, up 17% from $324.5 million reported for the first nine months of 2010. The firm posted a GAAP net loss for the third quarter of $93.1 million, compared to a net loss of $93.5 million during the third quarter of 2010.