Global finance advisor and capital manager, Fortress Investment Group, is focusing on direct lending, and open-end asset funds to meet demands for a stimulating, private credit market. They are expected to close at $5.5 billion by the end of 2018. Such expansion includes fund investment into the following sectors- intellectual property, real estate/ asset debt, and aircraft leases.
Fortress Investment Group wants to give investors a more convenient way to meet their objectives through the open-end asset fund vehicle. The mutual fund strategy loosens share restrictions, helps achieve growth goals, and decreases regulatory challenges.
Founded in 1998 by Wesley Edens, Robb Kauffman, and Randal Nardone, the asset-based manager was recently acquired by SoftBank, an international telecommunications company. Upon its sale for $3.3 billion in 2017, Fortress became the first public company to de-list itself from the New York Stock Exchange.
The Japan based company is seeking to expand its portfolio through strategic acquisitions. The purchase of Fortress Investment Group gives SoftBank access to world-class knowledge on asset-based investing, significant relationships with leading principals, and ability to extract value from a whole new group of industry sectors. SoftBank could also attempt to expand $100 billion tech investment fund through Fortress.
Despite its acquisition, Fortress will continue to be recognized for innovation in leadership, commitment to partnerships, and keeping ahead of industry standards through technology. Its multifacited, highly diversified business model was, and is attractive across the market. Many analysts, and experts have noted Fortress’s ability to yield consistent profits for its investor base.
The Fortress Investment Group specializes in real estate, credit, debt, private equity, and mergers and acquisitions. The company is predictable in its fee structure, incentive income in business alternatives, and strong in health. Diversification, and technological investment defines the company’s legacy. The firm takes its core competencies from the board rooms into the business world.
Many are the every motivational speaker bombards entrepreneurs and business leaders on the need for pressing on, even in the face of adversity. Furthermore, most executives and professionals often fear that pulling out of a project or commitment throws a shade of doubt on their leadership skills. But after walking in the shoes of a business leader for more than three decades, especially in a respectable institution, like Michael Burwell, you get to learn that quitting is sometimes as good as winning.
Burwell reckons of the most memorable quitting move he had to take while working as a financial consultant with Price Waterhouse Coopers. Together with his team, Burwell had been involved in developing a technological project that they all initially believed would be revolutionary. However, long after the process was sanctioned, and millions of dollars already spent on its formulation, he realized that an even more advanced and more disruptive technology had already hit the market.
The longtime finance expert, therefore, opted to pull out his team out of the project and refocus their attention on other activities. This decision was quite controversial and even attracted failure remarks from some quarters. However, to Burwell, it was a learning opportunity and a disguised future win. By deciding to halt the project, Michael saved the company millions that would have been spent in finalizing and launching a redundant technology. Ideally, while most people viewed the project as a fail, Burwell viewed it as a future win.
What can business leaders learn from this?
The key takeaway here is that leaders shouldn’t be afraid to lose, at least in the short run. Leaders also learn the importance of keeping an analytical eye out for competition, particularly in matters revolving around the ever-changing technology. He believes that some of the times you had to quit not only presented learning experiences but were also a success in disguise. The business administration graduate warns business owners and leaders against playing in the losing game of investing resources in existing technologies.
More about Michael Burwell
In his current role of the Chief financial officer for Willis Towers Watson, Michael runs the insurer’s global finance department. According to Willis Towers CEO, Burwell joined the company at a time when they were considering reinforcing its grip on the world of insurance. Michael Burwell’s experience in valuations, audit, and experience in dealing with different companies operating in varied industries would add the much-needed operational insights to the insurer’s executive team.
Visit This Page for related information.