Ares Management raised $31bn in the third quarter, putting the alternative asset manager on course for a record fundraising year as investors committed capital across private credit, real estate and infrastructure, according to Private Equity Wire. More than half of the quarterly inflows came from outside credit.
Fundraising split across credit and real assets
Ares’s credit business raised $15.2bn in the quarter. Real assets attracted $11.2bn during the same period, according to Private Equity Wire.
The report said the $31bn raised in the third quarter reflected investor commitments across private credit, real estate and infrastructure. The article described Ares as being on course for a record fundraising year.
CEO comments and fourth-quarter expectations
CEO Michael Arougheti said sustained demand from institutional and wealth investors supported expectations for a strong fourth quarter. The report tied that demand to expectations for continued fundraising momentum into the fourth quarter.
AUM, earnings, and recent fundraising vehicles
Assets under management rose 16% to $690.6bn. Fee-related earnings increased 11% to $524.2m, according to Private Equity Wire.
The article said recent fundraising included around $4bn for a Japan-focused logistics development fund. It also said Ares raised $4.2bn for a debut secondaries vehicle.
Deployment and uninvested capital
Ares deployed $34.8bn during the quarter. The deployment was led by US and European direct lending, alternative credit and infrastructure strategies.
Uninvested capital increased 16% to $173.8bn. Management expected investment activity to accelerate in the fourth quarter following subdued buyout activity and competition from syndicated lenders.
