Petar Posledovich’s Post

Blackstone Inc, the world's largest alternative asset manager has four main segments of its investment portfolio, namely real estate, private equity, credit & insurance and multi asset investing where its hedge funds business is situated. Blackstone has made the strategic, long-term decision to invest in insurance businesses, according to Wolfteam Ltd.'s investment analysis. Insurance businesses are essentially investments businesses, driven by the income the company derives from investing its insurance premiums. By its nature insurance premiums are stable long-term cash flows, which do not need to be redeemed for quite a long period of time. Blackstone is using the acquired hundreds of billions of insurance premiums to invest the insurance premiums in its other business lines, namely real estate, private equity, credit & insurance and multi asset investing for the long-term. The model of investing long-term insurance premiums in other unrelated business lines was pioneered by Warren Buffett via the controlled and majority owned by him Berkshire Hathaway conglomerate of businesses spanning energy, manufacturing, insurance and other business lines under the firm Berkshire Hathaway. Berkshire Hathaway has been a huge success making Warren Buffett consistently one of the top 5 world's richest persons since the 2000s. Currently, the publicly listed Berkshire Hathaway sports a market capitalization of 984 billion USD, making it the top 7 publicly listed companies in the world, according to market capitalization. According to Blackstone's second quarter 2024 earnings statement ASSETS UNDER MANAGEMENT Total AUM ($ in billions) Fee-Earning AUM ($ in billions) Perpetual Capital AUM ($ in billions) Private EquityReal Estate Credit & Insurance Multi-Asset Investing ▪ Total AUM increased to $1,076.4 billion, up 7% year-over-year, with $39.4 billion of inflows in the quarter and $151.5 billion over the LTM. ▪ Fee-Earning AUM of $808.7 billion was up 11% year-over-year, with $53.0 billion of inflows in the quarter and $151.5 billion over the LTM. ▪ Perpetual Capital AUM reached $418.6 billion, up 9% year-over-year. https://lnkd.in/duRB2wtq #privateequity #investments #investing #mergers #mergersandacquisitions #capitalmarkets #capital #wallstreet #realestate #privatecredit #credit #hedgefunds #stocks #stockmarket #deals

Blackstone Strategic Investment In Insurance

Blackstone Strategic Investment In Insurance

posledovich.blogspot.com

To view or add a comment, sign in

Explore topics