Initially founded as a private firm, Fortress Investment Group LLC grew exponentially with its private equity funds netting 39.7% seven years after its inception. Rob Kauffman, executive director at UBS; Wesley R. Edens, co-owner of Milwaukee Bucks and Randal A. Nardone, a managing director at UBS, spearheaded its successful real-estate investments and expanded it into liquid hedge funds. This New York firm became a household name in no time.
February 9, 2007, marked its first public tradeoff, with Goldman Sachs and Lehman Brothers securing the underwriting rights. The following year was not a good one for the founding principles, as the economic crisis in 2008 had them listed as the biggest billionaire losers by Forbes. Refer to this article to learn more
Fortress Investment Group rose from the tough economic times and won the title for ‘Credit-Focused Fund of the year’ for 2010 and 2011, “Discretionary Macro-Focused Hedge Fund of the year” in 2012, and ‘Hedge Fund Manager of the Year in 2014. That same year, it hired former Global Head of Foreign Exchange at Citigroup, Jeff Feig, to be the co-CIO of Fortress Macro Fund but closed the segment soon after its funds were distributed to its investors.
Two years later, the SoftBank Group bought Fortress Investment Group LLC for $3.3 billion in December 2017. This company, still in New York, has since diversified, investing in the privately-owned passenger rail in Florida and the construction of Brightline West, a rail route between Southern California and Las Vegas.
Fortress Investment Group declared its agreement with Colony Capital on June 7, 2021, under which Fortress will acquire certain account positions in non-digital real-estate positions. This deal will cater comprehensively to the company’s “Other Equity Debt” and accelerate its transition to a fully digital business. The “OED” portfolio has a diversified investment type in several industries and varied locations.
This is a win-win transaction for both parties. The President of Colony, Marc Ganzi, shows his confidence in working with Fortress Investment Group, deeming it the most reputable and credible contender in building up his company’s compelling digital infrastructure.