From Blackstone’s Second Quarter Results:
Represents currently invested incentive fee eligible AUM above or below High Water Mark and/or hurdle. Totals may not add due to rounding. July 1 subscriptions of $199 million are not included in quarter end Fee-Earning AUM.
The move over the High Water Mark for the majority of assets in Hedge Fund Solutions is important to the staff members. Performance fee related compensation (realized and unrealized) has gone from $5.5m in the first half of 2012 to $37.6m in the first half of 2013.
Subscriptions at Blackstone Hedge Fund Solutions: 1Q $0.9bn, 2Q $1.6bn