Alt Investments

Earnings, AuM Expand At Alternative Investments Big-Hitter

Editorial Staff, 9 February 2021

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The financial health of the firm, one of the largest private equity and alternative investment firms in the world, is a benchmark. Private equity and debt investing, for example, have boomed as wealth managers and other clients have sought returns against a background of very low interest rates.

Kohlberg Kravis Roberts, aka KKR, reported after-tax distributable earnings of $0.49 per share in the fourth quarter and $1.78 per share for all of last year, rising by 11 per cent and 6 per cent, respectively, from a year before. 

The financial health of KKR, one of the largest private equity and alternative investment houses in the world, is a benchmark of this investment sector. Private market investing, such as in the equity and credit side, has boomed in recent years as clients such as wealth managers have sought returns at a time of almost-zero official interest rates.

On a GAAP basis, KKR said its net income attributable to common shareholders was $1.479 billion and $1.946.0 billion, respectively, for the quarter and full year ended December 31, 2020. (The figures showed how much of the earnings were bunched up at the back end of 2020.)

Assets under management and fee-paying assets under management were $252 billion and $186 billion, rising by 15 per cent and 16 per cent, respectively, year-over-year, driven in part by record fundraising in 2020.

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