Since its founding in 1985, Blackstone Group has been able to capitalize on the movement to alternatives in creating a manager with almost $600 billion in assets under management. The firm's real estate, private equity and hedge fund divisions as well as its credit and insurance unit are all substantial in their own right, each with a minimum of $75 billion in assets. U.S. pension funds are some of Blackstone's best clients, attracted by the firm's high consistent returns.
Path to growth: Blackstone has grown by expanding its alternatives offerings and making key acquisitions. Its asset growth exceeds industry peers; with around $600 billion, the firm is on track to reach its goal of being the first trillion-dollar alts manager.
Hiring spree: Blackstone has received almost twice the number of allocations and twice the assets as compared with other alternatives managers, with real estate mandates making up the largest number of hires.
Many happy returns: Blackstone's real estate and private equity teams have delivered significant returns over the past 20 years. Most of the firm's funds have had double-digit returns, easily outperforming industry benchmarks.
Shares on a tear: Blackstone's shares have outpaced the S&P 500 since its 2007 IPO. After switching to a corporation from a partnership, the firm's stock has almost doubled in two years. Dividends totaling more than $20 per share have helped total returns since the IPO.
*As of Dec. 31. **Includes $20 billion Saudi Arabia Public Investment Fund infrastructure commitment. ***25 years through June 30. Sources: P&I, Blackstone Group Inc. and Bloomberg LP