Global investment giant, Fortress Investment Group (FIG), has officially been acquired by Japanese technology company, SoftBank (SFTBY) Group. The $3.3 billion cash purchase was completed at the end of 2017. This acquisition marks a major step into the global investment markets by SoftBank. Since its inception in 1998 as a private equity firm, Fortress has been a bellwether and trendsetter in the financial sector. Fortress made history with its initial public offering (IPO) in 2007 when the company became the first major private equity firm to go public on the New York Stock Exchange. Fortress Investment Group currently has 1,750 investor-clients that they direct $43 billion of assets for.
The assets are directed to private equity, hedge funds, and permanent capital vehicles. The New York-headquartered company has over 900 employees. Fortress was founded by Randal Nardone—current principle, Wes Edens—current principal, and Rob Kauffman—retired in 2012. The founders brought their collective experience from the positions they held at Goldman Sachs, Lehman Brothers, UBS, and BlackRock Financial Management. In 1999, Fortress Investment Group launched its first investment vehicle—the Fortress Investment Fund I. Real estate in New York and Toronto, was the major focus earlier, and later expanded to include hedge funds and debt securities.
Over its first five years, Fortress Investment Group went from $400 million to $3.9 billion in assets managed. The asset count rose to $32.9 billion by 2007. Fortress is also the parent company of New Residential Investment, a company that purchases a large quantity of mortgage servicing rights. The company is also a partial stakeholder in Nationstar Mortgage, the non-bank mortgage company known as Mr. Cooper.SoftBank is aggressively positioning itself in the global financial markets, and also continually increasing its threshold in the technological community, recently announcing a partnership with Saudi Arabia, to establish a $100 billion tech fund. SoftBank’s CEO says that $50 billion of the funds will go toward investments in the US.
Fortress Investment Group has widened its base with the recent purchase of a distribution center owned by SuperValu. They sourced funds from the Canadian Royal Bank to procure the deal. The distribution facility located in Pompano Beach cost them a total of $66.4 million. The group made the purchase through one of their affiliate groups involved in the distribution of grocery. The facility that was constructed back in 1973 at a cost of $51 million when it was last traded. This transaction took place 12 years ago. The Florida Associated Grocers, the owners of the facility, had been planning to sell seven other facilities along with the Florida based distribution center. They made an announcement to that effect in April. Facilities in Pennsylvania, Green Bay, California, and Illinois were among those up for sale.
Softbank purchases FIG
This has come a few months after the Fortress Investment Group got new owners. Softbank paid $3.3billion in cash to acquire the leading alternative asset manager late last year. As Masayoshi Son, Softbank’s owner, had promised at the time of the purchase the executive team of FIG was not tampered with. Pete Briger, Wes Edens amd Randal Nardone did not relinquish their positions at the top of the group’s leadership.When Softbank made the purchase many analysts and critics felt that they were venturing into unknown territory. They were not entirely wrong in their opinions as the firm had been known for investing in technology based start ups. Son felt that the acquisition would give them an opportunity to expand their operations.Randal Nardone of Fortress Investment Group felt that the transaction was timely. True to his word the fortunes of FIG took a positive turn and their share value has since increased much to the delight of their clients.
FIG Services and Core Competences
Even under new owners Fortress Investment Group that was launched towards the close of the 20th century (1998) has kept its desire for excellence in service delivery. The company offers asset management services ranging from private equities, credit funds, hedge funds along with other alternative asset management services.The core competences that they pride themselves in guide all their operations. They are first asset based. This emphasizes that their operations are run around the client’s assets. They also have good command of corporate mergers as well as acquisitions. They boast in a great knowledge and understanding of the market. Their top leadership organ clearly demonstrates this as they bring on board years of experience and expertise in asset management. The other two competences are operations management and capital markets.
There are businesses today that don’t grow because they’re taking too many risks. Risks are okay in the right places, but the best thing to do these days is to make sure that one survives first. One should first ensure that there’s no threat to one’s survival in the business that one takes. One should first make sure that the representation of the business in the market is reliable, solid and robust. Otherwise, there’s going to be more risks to the operations and lengthening of a company. This is the concept, idea, and axiom that builds the foundation of Fortress Investment Group under the leadership of Randal Nardone, the co-founder of the firm. With him, Fortress Investment Group has made a name for being one of the largest alternative asset management companies today.
The Randal Leadership
It’s not that hard to get our head around the contemporary success of Randal because we already know from the start of the creation of Fortress Investment Group that he has the passions, actions, dedication, and power to further the brand’s mission. It is said that the worse that one is in, the better it is for the creators of the company to find hope in what they do. In the case of Randal Nardone, he went through all the challenges of raising funding, gaining people’s trust, and pushing his determination forward despite the risks. It was not long before his efforts paid off, as he victoriously gained the Rank #557 in the World’s Billionaires of Forbes’ list. His net worth when he reached such position was about $1.8 Billion, which is a fantastic record.It may be a great help to the success of Randal Nardone that he’s based in the United States, where there is so much potential and tinkering that creates business’ growth and discover solutions for world problems. Solving these problems get to the point of the problem and address them so that the companies can increase their profit and income shares. Being able to address these problems can also make sure that the company that can solve them would sustain its success and current ranking.
The Responsibility of Randal Nardone
Fortress Investment Group LLC has been noted as the highly diversified and leading investment management firm tody that has reached to about $43.6 billion in assets, as of assessment on December 31, 2017. His main responsibility in the growth of the company is in being the principal and member of the Board of Directors of the firm. He’s also the interim Chief Executive Officer from 2011 to July 2013. Through him, the company has made the wisest, most robust decisions that would shape the future not only of the company but of Randal Nardone, too.Before being part of Fortress in 1998, Mr. Nardone was also trained in executive position for being the principal of BlackRock Financial Management. It also helps to know that he got a B.A. in English and Biology from the renowned and respected University of Connecticut. Its impressive that he has the mix of formal training and experience-based education that can only be acquired through risk-taking and tinkering.
Finance expert David Giertz, the President of Nationwide Life Insurance Company’s financial sales and distribution organization at https://about.me/davidgiertz, says that financial planners should be speaking to their clients more about social security. While discussing social security options may seem like an obvious topic for professionals giving financial advice, many fail to do so, and this is bad for their clients on officialdavidgiertz.com. Giertz’s team conducted a survey of retirees and discovered that, surprisingly, advisers don’t always mention social security to their clients when planning for the future.
One reason for this is that social security regulations are extremely complex on financial-advisors.credio.com. In fact, as David Giertz points out, the handbook for the government program is well over 1000 pages long, so advisers are often not comfortable discussing a topic they aren’t fully knowledgeable about themselves.
However, because social security frequently amounts to 40% or more of retirees’ income, it needs to be examined as fully as possible by financial advisers to ensure that clients aren’t missing out. A frequent mistake at https://vimeo.com/davidgiertz that retirees make is activating their social security benefits too early, which can cost them thousands of dollars in annual payments.
David Giertz, who also goes by the name Dave Giertz, has served as a senior vice-president for Nationwide as 2013. Additionally, David Giertz heads the company’s financial division
Known in particular for his expertise in financial matters relating to social security, David Giertz uses his considerable experience and knowledge to help Nationwide do right by their clients. Giertz works out of the company headquarters in Columbus, Ohio. He has been interviewed by the Wall Street Journal and other major media organizations for his financial views.
Vinny Parascandola is the Senior Executive Vice President of Finance at AXA Group, a reputable financial organization. He is also the financial advisor to AXA Group. AXA Group was founded in 1859. Vinny Parascandola joined AXA Group in 2004.AXA Group is involved in a variety of activities. These activities involve helping businesses and families towards financial security. Additionally, Vinny Parascandola is responsible for the productivity, management, recruiting and the retaining of competent financial professionals.
Vincent Parascandola has been in the finance industry for more than 25 years. He started his career experience in 1987 at Prudential serving as an agent. In that same year, Vinny was titled the National Rookie. In 1990, Vinny started work at a Life Insurance Company known as MONY. In MONY, Vinny took management roles in both the regional and the local areas. Prior this position as Divisional President, Parascandola worked with Advantage Group as the president. Advantage Group is a subsidiary of AXA Equitable whose aim was to draw professionals in finance. Mr. Parascandola also worked at New York Metro Branch as the co-manager.
Vinny’s competence and the urge for perfection are attributed to his educational background. He attended Pace University where he attained a degree in Bachelor of Science. As an alumnus of Pace University, he went back in 2014 to give a commencement speech to the graduating class. This act put Vinny as one of the most inspiring leaders. To recognize Vinny Parascandola’s work as a leader, he has received various awards. Vinny earned GAMA’s Career and Development and Master Agency Awards.
Furthermore, Vinny is not only involved with AXA Group’s management but also with other companies. These companies include GAMA, Florida chapter and LIMRA. Mr. Parascandola is entirely involved with wealth management. This in itself contains strategies for financial investment and protection, estate planning, business planning, retirements and providing solutions to client’s financial needs.
AXA Group aims at bettering the future of its people. Vinny is the team leader in promoting people’s talents. Vinny together with AXA Group have acquired $582.7 million AUM. They also have 43 branches across the nation. AXA Group is found to have a commendable financial strength courtesy of Vincent Parascandola.
Shah Sanjay Began his career at KPMG working in London working as an Accountant attached at an entry level position and later moved work at Merrill Lynch, an investment bank and then moved to Morgan Stanley. He served in the management position in Morgan before turning out of employment sector to start his company Solo Capital in 2009. Shah from his school days knew how to manage his part-time well and after founding his firm he gave most of his time in the daily management of Solo Capital.
Shah Sanjay is born of immigrant Parents from Kenya, but he was raised in London. He got married to Usha and had three Children, Nikhil their youngest Son started to develop mischievous behavior at the age of four years. The family thought the condition was normal just like any other illness, but it becomes frequent and consistent. They rushed Nikhil to Dubai Hospital where Doctors did not realize the real cause of his problem, but the boy immediately undertook intravenous fluid replacement. Nikhil condition worsened he was transferred to Portland Hospital and got diagnosed with Autism. Shah family devoted much of their time to Nikhil to show affection that led to Sanjay relegate his daily management of Solo Shah. Shah was advised by Doctors to hire a physiotherapist for the period of five years for Nikhil.
Shah Philanthropist work started early due to his big heart for the Vulnerable and underprivileged Children by sending to donations to children in India through Plan International. Due to the illness of Nikhil, Shah established a foundation called Autism Rocks with an ambition of promoting awareness about Autism and early detection in Children. Autism Rocks helps other firms and individual in carrying out research about Autism in Children through providing funds. The awareness message is driven to people by use of musical concerts and charitable events that members of the public are a call to support through donations. Most of the funds come to Shah Sanjay, who is the President and founder of Autism Rocks. The Foundation is based in London with offices in Dubai.
Shah Sanjay is the founder and President of Solo Capital Markets and other many firms across the United Kingdom. Solo Capital Partners is regulated by Solo Group holding which is further owned by Aesa S.a.r.l. Solo Holding Group Controls the operations of British Virgins Island, Malta and The Cayman Islands and recently Solo Capital Markets purchased Old Park Lane Capital, which is under the ownership of Shah Sanjay.
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