Och-Ziff Capital Management Group's assets under management increased 1.5% in the quarter and rose 15% in year ended Dec. 31 to $47.5 billion, the firm's latest earnings report showed.
Drivers behind the $7.3 billion net growth in assets over the year were net inflows of $6.1 billion and performance gains of $2.1 billion. Distributions and redemptions equaled $944 million.
Best known as a hedge fund manager, with 72% of total assets or $34.1 billion managed in its multistrategy funds, the firm's areas of greatest asset growth in the year ended Dec. 31 were in credit and real estate funds, Thursday's earnings report said.
Real estate funds experienced the highest growth of assets during the year, up 108% to $2 billion.
Assets managed in credit funds in aggregate rose 49% to $10.3 billion. OZ institutional credit strategies assets under managed leapt 98% to $5.2 billion for the 12 months ended Dec. 31, while OZ opportunistic credit funds' assets rose 18% to $5.1 billion.
OZ multistrategy hedge funds had asset growth of 7% over the one-year period, while the combined assets managed in real estate and credit strategies rose 59%, according to the earnings report.
“2014 was a strong year for our firm, as demonstrated by the growth and diversification we achieved,” said Daniel S. Och, Och-Ziff's chairman and CEO, in the report.
Och-Ziff reported that its GAAP net income in 2014 was $142.4 million, compared to $261.8 million in 2013. In the earnings report, the company attributed 2014's lower net income primarily to lower incentive income, which was partially offset by higher management fees.
