Hedge Fund Giant Fortress Down Sharply Following Earnings (FIG)

Hedge fund and private equity giant Fortress Investment Group FIG is down sharply today, losing more than 5% after the company reported results. The company reported a first quarter loss of 58 cents per share, but pre-tax distributable earnings of 20 cents per share. This is the number Wall Street pays most attention to. The company also noted that assets under management fell to $43.1 billion at the end of March, from $44.6 billion at the start of 2011. “We had a very solid first quarter, with our Credit business in a sweet spot, private equity valuations again marching up, and our macro funds delivering top-tier returns,” said Daniel Mudd, Chief Executive Officer. “More and more Fortress cylinders are firing, investor interest in our strategies is strong and growing, and we see tremendous opportunities to put capital to work.” At last check, shares of Fortress were off 31 cents to $5.30, a loss of 4.99% on almost 1 million shares.