Fortress Investment Group reported $70.6 billion in assets under management as of March 31, a 0.1% gain from three months earlier, and up 1% from the year before, the company announced in its fourth-quarter earnings release Thursday.
The slight gain in AUM for the quarter came from $700 million of capital acquisitions related to third-party originated JP and value recovery funds, $500 million in market-driven gains, a $300 million increase in invested capital, and $300 million each in capital raised added directly to AUM and net inflows to subsidiary Logan Circle Partners.
Those gains were partially offset by a $700 million reduction related to the passage of the contractual maturity dates of Fortress Fund III and Fund III co-investment, $600 million in capital distributions to investors, $300 million in hedge fund redemptions, a $300 million drop in the AUM of affiliated managers and co-managed funds, and $100 million in distributions to investors.
Logan Circle's AUM increased 5.1% during the first quarter to $32.8 billion as of March 31; however, that total was a drop of 1.7% from the year before.
Credit private equity funds also increased during the first quarter, rising 3% to $18.7 billion as of March 31. That total was a 35% jump from the year before.
Private equity and permanent capital AUM dropped 11.7% to $14 billion as of March 31 from Dec. 31. It was also a drop of 5.7% from March 31, 2015.
Liquid markets AUM totaled $5.2 billion as of March 31, down 4% from the previous quarter and down 33.7% from the previous quarter.
Logan Circle accounted for 46.4% of Fortress' total AUM as of March 31. Credit private equity funds accounted for 26.4%; private equity and permanent capital accounted for 19.8%; and liquid markets accounted for 7.4%.