Blue Owl Capital Inc. (NYSE: OWL)

Blue Owl Capital Inc. is a global alternative asset manager that manages approximately 251.1 billion dollars in assets under management as of December 31 2024. The firm deploys private capital across its Credit GP Strategic Capital and Real Assets platforms on behalf of institutional and private wealth clients. It employs over 1,100 people worldwide and was formed in May 2021 through the combination of Owl Rock a leader in credit solutions and Dyal Capital a leading capital solutions provider to private capital managers. Subsequent acquisitions of Oak Street Wellfleet Par Four CHI Prima KAM and Atalaya expanded its capabilities in real estate credit liquid credit biopharmaceutical equity and insurance related solutions.

Revenue is generated primarily from investment advisory and management agreements with the firm’s various products. Management fees are earned based on the amount of fee paying assets under management with approximately 91 percent of fees coming from Permanent Capital vehicles. The firm may also receive performance based fees such as carried interest from certain funds.

The company operates through the following segments.

• Consolidated Operations: The segment includes the firm’s full range of activities such as capital deployment across Credit GP Strategic Capital and Real Assets platforms origination of direct lending GP minority stakes GP debt financing net lease and real estate credit investments and management of related advisory relationships.

Blue Owl Capital Inc. holds a strong position in the alternative asset management industry distinguished by a high proportion of permanent capital which provides earnings stability and predictability. The firm competes with other credit focused asset managers such as BDCs banks and private equity funds in its Credit platform while facing limited direct competition in GP Strategic Capital where it is a leading provider of capital solutions to private managers. In Real Assets it differentiates itself through a focus on investment grade tenants and large ticket transactions. Competitive advantages include a scalable global distribution network deep relationships with alternative asset managers a disciplined investment approach and an experienced management team with substantial personal alignment through significant owned AUM and accrued carried interest.

The firm’s customers consist primarily of institutional investors such as public and private pension funds endowments foundations family offices sovereign wealth funds asset managers and insurance companies. It also serves retail clients through partnerships with wealth management firms private banks and high net worth individuals. On the borrowing side its capital solutions are provided to middle market companies private equity sponsored enterprises and corporate real estate owners and tenants.