Fortress Investment Group is a company that has led the investment industry for many decades since its foundation. It was formed by its three founders who had the intention of inventing an exceptional kind of company that would aid in consolidating investment funds from private equity and then reinvesting it in cutting edge asset strategies. This was meant to enable the company to generate cash flow that was long-term. Fortress Group was then started with private equity as the only strategy that the firm managed. Success followed the company immediately after foundation, with the value of its assets under management skyrocketing within a short period. However, the founders of Fortress Investment Group felt that the growth of the company at that time was not yet high enough.
They held numerous board meetings trying to figure out how they could improve the growth rate.The ultimate solution that they got from their brainstorming sessions was to diversify their portfolio under management.However, they had a challenge; they didn’t have enough expertise to manage the some of the asset strategies that they wished to incorporate into their existing portfolio.This is how they came up with the idea that would later come to turn the tables for the company. In 2002, Fortress Investment Group hired Peter Briger, who had a long working experience from Goldman Sachs Bank. Briger’s main area of specialization was in the management of credit funds, hedge funds, real estate and distressed debts. With all this expertise, Fortress Investment Group had a jackpot on board.
The extensive knowledge possessed by Briger was not only from the bank experience but also numerous pieces of training that he had undergone while still working for Goldman Sachs.Things started taking a new direction for Fortress Group immediately after having Peter on board. The first impact that the company experienced was the transition from being an “equity-only” firm and now began managing other investment strategies for its clients, e.g., real estate, liquid markets, hedge funds and traditional asset management. This saw Fortress Investment Group’s asset portfolio shoot in value, something that left many tongues wagging.