The Fortress Investment Group has been able to reinvent itself over the years to become one of the most prolific asset management firms. The firm was started by three partners who had worked in different financial firms before and had risen through the ranks to become influential people in their respective organizations. Wes Edens, one of the founding partners, had previously worked for the Lehman brothers before moving to BlackRock financial services where he was a partner and managing director. Randal Nardone was a managing director at UBS and while the third partner Rob Kauffman was also a managing director at UBS. Their combined experience in the financial services sector had given them an opportunity to study and understand various investment vehicles and the options they offered.
The firm was able to raise four hundred million dollars that used be used as the initial investment for the firm. At the time the Fortress Investment Group ran a tight ship, but within the first five years, they had been able to grow their assets to over four billion dollars. This growth meant that the group needed more people to join the team to help it manage and sustain the new assets and investment vehicles. They would bring in Peter Briger to establish a Credit business and hopefully grow it into a division capable of competing with others within the group. The fortress investment Group today has one of the most solid credit business divisions which has been able to do business worth more than one hundred billion dollars over its lifetime.
They recently introduced the special opportunities credit facility that was meant to make special investments in industries that may not yet have hit the mainstream ear. In 2010 Fortress investment Group acquired AIG, America and were able to turn around the subprime lender from a failing entity to a fourteen billion equity fund. The fund is now known as Springleaf Financial Services. This and other investments continue to be the building blocks of Fortress, even at a time when the private equity fund seems to be slowing down. Softbank Japan recently acquired the group.