The Rise of Credit at Blackstone

Credit has become the largest unit at Blackstone, outperforming real estate, which highlights a significant shift in the firm's strategic focus. In the latest quarter, Blackstone reported strong overall performance, with substantial capital deployment and fundraising exceeding $40 billion, making a total of over $1.1 trillion in assets under management (AUM). This growth demonstrates the strength and diversity within Blackstone's portfolio, particularly in private credit, where clients have benefited from higher returns without increased risk. The success in this area is partly attributed to the firm’s innovative approach, linking investors directly to borrowers, which has fostered a competitive advantage in offering robust returns, especially amid evolving market conditions.