UNITE HERE has released the third update to its List of Responsible and Irresponsible Private Equity Managers in the hospitality industry to help staff and trustees of pension funds and other institutional investors in their due diligence of fund managers. Click here or the full list. New additions to the list of Responsible managers include GEM Realty […]
Our new report, “Staffing Concerns at CBRE Global Investors,” is available here. Key Points: CBRE Global Investors (GI) has experienced significant turnover in recent years. Between March 2012 and March 2017, the number of employees with investment advisory functions has fallen from 134 to 71. Over the same period, the ratio of Assets Under Management […]
Full report available here. A recently published piece from Buyouts highlighted a push by the SEC for the use of definitive language in communicating with current and prospective clients. As an example, the article title asks, “Do you accelerate monitoring fees? Don’t say you ‘may’ in your Form ADV.” Prompted by this article, we […]
Ares Increases Stake in Dental Firm Fined $1.7 Million by State Attorneys General for Deceptive Practices
On June 13, 2017 Ares increased its stake in Aspen Dental Management, Inc. – a dental business support firm that has been investigated by state attorneys general for misleading practices and the unauthorized practice of dentistry. Key Points Since 2010 Aspen paid $1.7 million in settlements with state attorneys general in New York, Indiana, Pennsylvania […]
Our new report, “Philadelphia Hotel Redevelopment: Headline Risk for Almanac’s Limited Partners?,” is available here. Key Points Almanac Realty Investors was featured in an article in the Philadelphia Inquirer headlined “U.S. Rep. Brady Slams Tax Credit for Philly Hotel in Letter to Treasury” HRI Properties, a portfolio investment of Almanac, is using $15 million […]
Strange Bedfellows: Are GreenOak investors losing out as a result of the firm’s partnership with hedge fund Tetragon Financial Group? (Revised)
GreenOak Real Estate founders Sonny Kalsi, John Carrafiell and Fred Schmidt, who formed the firm in 2010 after overseeing massive losses for pension fund investors in Morgan Stanley Real Estate Funds (“MSREF”) during the financial crisis, brought on hedge fund Tetragon Financial Group (Euronext Amsterdam: TFG) as an early investor and equity owner. TFG affiliates […]
Ares’ Rose-Colored Portrait of Performance: Ares Management Fund Name, Pitch Materials Obscure Facts about Performance
Alternatives manager Ares Management maintains $99 billion in assets under management (AUM), yet none of the firm’s real estate funds have performed in the top quartile of peer funds. This report explores Ares Management’s business decisions that have obscured the historical of performance of some of its funds. Read the full report here.
99 Problems But the Price Ain’t One: Unsustainable Capital Structure at Ares Management’s 99 Cents Only Stores
As Ares Management looks to deploy capital from its newly-raised Ares Corporate Opportunities Fund V (ACOF V), the firm’s troubled $6 billion buyout of struggling luxury retailer Neiman Marcus has drawn headlines amidst a potentially conflicted exit. But the firm’s lesser-known acquisition of discount retailer 99 Cents Only Stores has also been plagued with heavy […]
Are Some Limited Partners Being Cut Out Of Ares’ Clayton Williams Deal – One Of Its Best Energy Investments?
Ares Corporate Opportunities Fund IV (ACOF IV) stands to triple its money from its recently announced sale of oil and gas producer Clayton Williams Energy Inc. (NYSE:CWEI), according to the Wall Street Journal. Meanwhile, two of Ares’ underperforming funds that invest heavily in the oil and gas sector – Energy Investors Fund IV (EIF IV) and […]
Private Equity’s Irish Adventure: Has Tax Avoidance Put Limited Partners Outside Their Comfort Zone?
Oaktree Capital Management’s funding of Mars Capital Ireland, an “orphaned” Section 110 SPV, provides an example of the headline risk that tax avoidance may expose limited partners to. The full report is available here. Key Points In the wake of the financial crisis, the Irish government took steps to rescue its largest banks, including the […]