Summary
Blackstone Group has a long history of outperforming its benchmark indices, which should help it raise additional capital.
Thus far, the company has managed to significantly grow its AUM over the years.
It intends to continue this, with the goal of hitting $1 trillion in assets under management within 8 years.
The company's revenues are directly correlated with its AUM.
This growth should allow the firm to continue its strong growth and thus deliver unit price growth to its investors.
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On Thursday, September 27, 2018, alternative asset management giant The Blackstone Group L.P. (BX) held its annual Investor Day. The general practice at events such as this is to give a presentation that outlines the company's value and growth proposition to investors. In many cases, companies will also discuss broader trends in their respective industries. Blackstone opted not to do that and instead focused on the outstanding performance of its various funds over the years. In this industry, that is the primary differentiator between it and its competitors as it is ultimately the thing that will help the company raise capital for future funds and thus ensure the long-term continuation and growth of the business. Overall, Blackstone is a very successful asset management firm that looks poised to continue solid long-term returns to its unitholders.
The Blackstone Group is the largest independent alternative asset manager in the United States, boasting $439 billion in assets under management. This represents a substantial increase over the $400,000 that the company was managing back in 1985.
