Blackstone to Roll Out New Funds for Retail Market by 2025

Blackstone – the world’s largest alternative asset manager with more than $1 trillion in assets under management – is preparing to roll out an infrastructure fund and a credit fund for financial advisers to sell to clients by 2025.

This is according to its executives who addressed investors and analysts yesterday at a conference call to discuss second quarter earnings.

“We built a leading platform in our industry with over $240 billion and three large-scale perpetual vehicles. We have more in development, including two we plan to bring to market by early next year,” said Jonathan D. Gray, Blackstone president and chief operating officer.

“First, an infrastructure vehicle that will provide investors access to the full breadth of the firm’s strategies in this area, including equity, secondaries and credit and second, a vehicle that will invest across our expansive credit platform. Our commitment to the $85 trillion private wealth market is stronger than ever,” said Gray.

Referencing the results Blackstone has seen such as “double-digit net returns over seven and a half years” with Blackstone Real Estate Income Trust, Inc., or BREIT, Gray touted Blackstone’s performance successes. Similarly, Blackstone Private Credit Fund, or BCRED, “had its best quarter in two years in fundraising.”

According to reporting from Robert A. Stanger & Co., Inc., non-traded business development companies raised approximately $14.9 billion year-to-date through May 2024, led by Blackstone with $4.7 billion raised.

During the Q&A portion of the call, Gray emphasized the value of the Blackstone brand and the advantages that provides when introducing new products.

“We talked about in the remarks, new products in infrastructure and multi-asset credit. I think the one advantage I’d say in this market versus the institutional market, there you can have thousands and thousands of individual private equity firms or real estate firms, credit firms, I think when you get to private wealth, the brands are going to matter, the scale, the ability to service,” said Gray.

“So as long as we continue to execute, I think that’s the key in this private wealth channel and I feel good about our ability to do that,” he added.

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