![]() And so you get a lot of balance.Īnd I think that came through, where results were still very good overall against what was probably the most challenging backdrop since the beginning of 2020, as the pandemic started. And now we're moving into likely a higher interest rate cycle. But, you know, I think what you saw is the resilience of these business models, and there's a lot of natural hedges. Equity issuance was down 70% year over year. On the other hand, investment banking activity was incredibly slow. Well, what I would say is that 2022 has started complete opposite of what we saw throughout all of 2021, where 2021 was all about investment banking and asset prices appreciating 2022. Looking through the numbers, what stood out to you?ĭEVIN RYAN: Sure. And Devin, let's just start broadly here because I know you cover Goldman and Morgan Stanley specifically. Let's bring in Devin Ryan, JMP Securities analyst. Financials trading pretty flat right now, but we did see some big moves on the back of earnings from Morgan Stanley, Citigroup, Goldman Sachs, and Wells Fargo, by the way, the biggest laggard on the day among the banks that have reported so far. ![]() Video TranscriptĪKIKO FUJITA: Let's turn our attention now to Brian's favorite topic. It ended the quarter with $147.7 billion of unspent capital.īlackstone said it would pay a quarterly dividend of 96 cents per share.JMP Securities Director of Financial Technology Research Devin Ryan joins the Live show to discuss bank earnings and the outlook for financial stocks amid Fed tightening, volatility, and the macroeconomic backdrop. "What's driving what you're seeing us do and a number of firms in our industry is theĮxtremely low level of interest rates out there, which is creating the need for greater returns for insurance company assets," Blackstone Chief Executive Stephen Schwarzman said in conference call with analysts on Wednesday.īlackstone's total assets under management rose to $618.6 billion, from $584.4 billion in the previous quarter, driven by strong fundraising. The deal is expected to increase Blackstone's assets under management by $28 billion.īlackstone said it expects to do more deals with insurance firms given prevailing low interest rates. insurer Allstate Corp (ALL.N) for $2.8 billion. ![]() On Tuesday, Blackstone agreed to acquire most of the life insurance business of U.S. Opportunistic and core real estate funds rose 4.3% and 5.5%, respectively. "There may be market volatility in the near term and short-term risks to performance, but they're well positioned to navigate it given that we just went to through a real life stress-test."ĭuring the quarter, Blackstone completed the $14.6 billion sale of BioMed Realty Trust, America's largest private owner of medical office buildings, and the divestment of its 36% shareholding in UK insurer and annuity provider Rothesay Life.Ī sharp rise in investment income helped Blackstone report net income of $748.9 million under generally accepted accounting principles (GAAP), up 55% from the previous year.īlackstone said its private equity portfolio appreciated 10.6% in the quarter, compared with an 11.7% rise in the benchmark S&P 500 stock index over the same period. "They are entering 2021 with substantial momentum especially in insurance," said JMP analyst Devin Ryan. This translated into distributable earnings per share of $1.13, outperforming analysts' average estimate of 89 cents, according to financial data provider Refinitiv.īlackstone's stock was up 3% at $66.78 in afternoon trading in New York on Wednesday. NEW YORK, Jan 27 (Reuters) - Blackstone Group Inc (BX.N), the world's largest manager of alternative assets, said on Wednesday its fourth-quarter distributable earnings rose 60% year-on-year, driven by a surge in asset sales across its private equity and real estate business lines.ĭistributable earnings - cash available for paying dividends to shareholders - totaled $1.46 billion, up from $914 million a year earlier. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |