How Fortress Investment Group Became An Empire

Fortress Investment Group was established by three business moguls in 1998, which means the company has been around for two decades. It was actually founded by Randal Nardone, Wes Edens, and Rob Kauffman. Although Fortress Investment Group has several branch offices, it is headquartered in New York, New York.The payroll of Fortress Investment Group hit 2,500 in 2016 and the figure kept increasing until it was acquired by SoftBank. Some of the subsidiaries of Fortress Group are New Media Investment Group, New Senior Investment Group, New Residential Investment Corp, and Newcastle Investment Corp. When valued in 2016, it was discovered that the company had earned a total of US$1.1 billion and it was also discovered that it had made a total profit of US$180 million. The credit arm of the business was launched in 2002 by Pete Briger and the venture witnessed a steady growth. Currently, the credit team can boast of more than 500 professionals. The credit arm invests globally in distressed and illiquid credit investments.

It also invests in undervalued assets. Over the years, the investment team which was led by Pete Briger and Dean Dakolias has invested profitably in some projects like the Asian Financial Crisis, the RTC workout, and a host of others. In fact, Fortress Investment Group has built an enviable track record on this.Currently, the team has more than 100 professionals managing different assets in over 14 geographical locations and the number can still increase. The idea behind this arm of the business is being able to see hidden value in some distressed or undervalued assets. Like they say, a genius sees a business opportunity long before it becomes obvious to everyone.  In a nutshell, the Fortress credit team does not only specialize in seeing hidden values in undervalued assets, it also has experience, expertise, knowledge, material, and human resources to manage and service different assets scattered in different geographical locations.According to Pete Briger, one of the distinctive features of Fortress Group is their affinity for buying bad debts, buying bonds, attacking credit market with so much veracity, and venturing into illiquid situations big time.

They often buy distressed competitors too. The five competencies of the company are asset-based, industry knowledge, operations management, corporate mergers and acquisitions, and capital markets. These five competencies have helped to grow the company from a small firm that was established in 1998 to a global empire.Apart from acquiring assets, the company is also good in financing and overseeing the management of all the assets. They are also great in pricing. Remember that when an asset is over-priced, it will scare buyers and renters off and if it is underpriced, the company will be losing money. So, fixing the right price for assets requires certain skills and Fortress Group has the skills.Fortress Group has in-depth knowledge in all the industries where it invests. This is why the company always sees opportunities in some businesses before the opportunities become obvious. During the interview of a few employees of the company, they all said one thing – The management of the company believes in regular training, so they spare no expense in training the employees regularly.

Source of the article : https://www.payscale.com/research/US/Employer=Fortress_Investment_Group_LLC/Salary

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