Latest news with #Schwarzman
Yahoo
a day ago
- Business
- Yahoo
Blackstone is going big in Europe: 'We are seeing signs of change,' says Schwarzman
Blackstone plans to invest at least $500 billion in Europe over the next decade. CEO Steve Schwarzman sees potential in Europe's economic reforms and lower company valuations. The optimism contrasts with January's pessimism at the World Economic Forum in Davos. Europe is back in favor with the world's biggest private equity firm. Blackstone is planning to go big in Europe, CEO and co-founder Stephen Schwarzman told the Financial Times on Tuesday. Schwarzman said that Blackstone is planning to invest at least $500 billion in Europe over the next 10 years, citing "signs of change" in the continent, where the firm's current investments stand at around $350 billion. "European leaders are generally becoming more sensitive to the fact that their growth rates over the past decade have been quite low and it's not sustainable for them," he told the FT. "So they are looking at putting pressure on the European Union regarding deregulation. We think Europe has the prospect of doing better than they had in the past," he said. The finance titan said Blackstone is increasingly bullish on Europe, not just because of lower company valuations compared to US peers or lower financing costs, but also due to growing confidence in the region's economic reforms. "We see it as a major opportunity for us," Schwarzman told Bloomberg Television on Tuesday. Blackstone's positivity on Europe comes as winds of change are blowing in the continent's favor. European governments are planning to boost spending, particularly in defense. Germany, the largest economy in Europe, has also announced spending plans on infrastructure after years of conservative fiscal management. The prospect of growth has sent the Stoxx Europe 600 index up 9% this year to date. Germany's DAX index is up 20% over the same period. The upbeat view toward Europe contrasts with pessimism at the World Economic Forum early this year. At the Davos, Switzerland event, delegates bemoaned the continent's risk aversion, crippling regulations, and isolated markets. "I don't see Europe moving forward enough; I see Europe still focusing on backward looking too much," said BlackRock's CEO, Larry Fink, at the conference. In contrast, WEF participants hailed the US economy in anticipation of President Donald Trump's second term, which they had expected to usher in a pro-business climate. However, Trump's trade war has injected uncertainties into the US's economic outlook and markets. The US stock market cratered in the days following "Liberation Day," but has since recovered all of those losses. The changing market dynamics also came amid a sell-off in US assets, including the dollar. Some analysts have termed this the "Sell America" trade. Read the original article on Business Insider
Yahoo
a day ago
- Business
- Yahoo
Blackstone is going big in Europe: 'We are seeing signs of change,' says Schwarzman
Blackstone plans to invest at least $500 billion in Europe over the next decade. CEO Steve Schwarzman sees potential in Europe's economic reforms and lower company valuations. The optimism contrasts with January's pessimism at the World Economic Forum in Davos. Europe is back in favor with the world's biggest private equity firm. Blackstone is planning to go big in Europe, CEO and co-founder Stephen Schwarzman told the Financial Times on Tuesday. Schwarzman said that Blackstone is planning to invest at least $500 billion in Europe over the next 10 years, citing "signs of change" in the continent, where the firm's current investments stand at around $350 billion. "European leaders are generally becoming more sensitive to the fact that their growth rates over the past decade have been quite low and it's not sustainable for them," he told the FT. "So they are looking at putting pressure on the European Union regarding deregulation. We think Europe has the prospect of doing better than they had in the past," he said. The finance titan said Blackstone is increasingly bullish on Europe, not just because of lower company valuations compared to US peers or lower financing costs, but also due to growing confidence in the region's economic reforms. "We see it as a major opportunity for us," Schwarzman told Bloomberg Television on Tuesday. Blackstone's positivity on Europe comes as winds of change are blowing in the continent's favor. European governments are planning to boost spending, particularly in defense. Germany, the largest economy in Europe, has also announced spending plans on infrastructure after years of conservative fiscal management. The prospect of growth has sent the Stoxx Europe 600 index up 9% this year to date. Germany's DAX index is up 20% over the same period. The upbeat view toward Europe contrasts with pessimism at the World Economic Forum early this year. At the Davos, Switzerland event, delegates bemoaned the continent's risk aversion, crippling regulations, and isolated markets. "I don't see Europe moving forward enough; I see Europe still focusing on backward looking too much," said BlackRock's CEO, Larry Fink, at the conference. In contrast, WEF participants hailed the US economy in anticipation of President Donald Trump's second term, which they had expected to usher in a pro-business climate. However, Trump's trade war has injected uncertainties into the US's economic outlook and markets. The US stock market cratered in the days following "Liberation Day," but has since recovered all of those losses. The changing market dynamics also came amid a sell-off in US assets, including the dollar. Some analysts have termed this the "Sell America" trade. Read the original article on Business Insider Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
2 days ago
- Business
- Business Insider
Blackstone is going big in Europe: 'We are seeing signs of change,' says Schwarzman
Europe is back in favor with the world's biggest private equity firm. Blackstone is planning to go big in Europe, CEO and co-founder Stephen Schwarzman told the Financial Times on Tuesday. Schwarzman said that Blackstone is planning to invest at least $500 billion in Europe over the next 10 years, citing "signs of change" in the continent, where the firm's current investments stand at around $350 billion. "European leaders are generally becoming more sensitive to the fact that their growth rates over the past decade have been quite low and it's not sustainable for them," he told the FT. "So they are looking at putting pressure on the European Union regarding deregulation. We think Europe has the prospect of doing better than they had in the past," he said. The finance titan said Blackstone is increasingly bullish on Europe, not just because of lower company valuations compared to US peers or lower financing costs, but also due to growing confidence in the region's economic reforms. "We see it as a major opportunity for us," Schwarzman told Bloomberg Television on Tuesday. Blackstone's positivity on Europe comes as winds of change are blowing in the continent's favor. European governments are planning to boost spending, particularly in defense. Germany, the largest economy in Europe, has also announced spending plans on infrastructure after years of conservative fiscal management. The prospect of growth has sent the Stoxx Europe 600 index up 9% this year to date. Germany's DAX index is up 20% over the same period. The upbeat view toward Europe contrasts with pessimism at the World Economic Forum early this year. At the Davos, Switzerland event, delegates bemoaned the continent's risk aversion, crippling regulations, and isolated markets. "I don't see Europe moving forward enough; I see Europe still focusing on backward looking too much," said BlackRock's CEO, Larry Fink, at the conference. In contrast, WEF participants hailed the US economy in anticipation of President Donald Trump's second term, which they had expected to usher in a pro-business climate. However, Trump's trade war has injected uncertainties into the US's economic outlook and markets. The US stock market cratered in the days following "Liberation Day," but has since recovered all of those losses. The changing market dynamics also came amid a sell-off in US assets, including the dollar. Some analysts have termed this the "Sell America" trade.
Business Times
2 days ago
- Business
- Business Times
Blackstone plans US$500 billion Europe investment: CEO
BLACKSTONE is planning to invest as much as US$500 billion in Europe over the next 10 years, underlining the continent's growing appeal to investors during a period of geopolitical flux. 'We see it as a major opportunity for us,' chief executive officer Steve Schwarzman said in a Bloomberg Television interview on Tuesday. 'They are starting to change their approach here, which we think will result in higher growth rates. So this has worked out amazingly well for us.' Schwarzman's comments, which mark the 25th anniversary of the alternative asset manager's operations in London, are the latest sign of investment firms touting the attractiveness of Europe. At last week's SuperReturn International conference in Berlin, executives from behemoths such as BC Partners, Permira and Brookfield Asset Management talked up the case for Europe as an investment destination as global economic risks mount. When Blackstone opened its London office in 2000, the firm's only other office was in New York, according to a statement at the time. Then, it had raised more than US$13 billion for discretionary investment funds focused on alternative asset classes. Today, it is the world's largest alternative asset manager, with more than US$1 trillion in assets under management and offices in 27 cities around the world, according to its website. It is the largest fund manager in European real estate, according to industry group INREV. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up A bet on the continent's urban warehouses is one of Blackstone's largest and most profitable investments ever. The firm's London office, which is due to move to a new building that's currently under construction on Berkeley Square in Mayfair, now employs 650 people, Schwarzman said. The firm has about US$100 billion invested in the UK already, making it one of the largest foreign investors in the country, he added. Blackstone has poured capital into UK real estate bets, including a site for a data center in the north of England that has the potential to be Europe's largest. 'The UK government has been really helpful, really focused to make that happen,' Schwarzman said. Outside Europe, Blackstone is also looking to the Middle East as an investment destination, rather than simply a region in which it has raised vast sums of capital. While the region has traditionally been dominated by local businesses and capital, the rapid growth of cities including Riyadh and Dubai as international hubs is making it an attractive opportunity, he said. BLOOMBERG
Yahoo
2 days ago
- Business
- Yahoo
Blackstone's $500 Billion Power Play: Why Europe Could Be the Next Big Investing Frontier
Blackstone (NYSE:BX) is gearing up for a decade-long, $500 billion investment spree across Europea bold signal that the world's largest alternative asset manager sees the continent's shifting economic backdrop as fertile ground for long-term bets. CEO Steve Schwarzman, speaking with Bloomberg, said Europe is starting to embrace pro-growth reforms, which could unlock a wave of new opportunities. That optimism isn't isolated. At last week's SuperReturn conference in Berlin, heavyweights like Permira, BC Partners, and Brookfield also pointed to Europe as a market worth leaning into, especially with dealmaking elsewhere under pressure. Warning! GuruFocus has detected 4 Warning Signs with BX. Blackstone's timing might be strategic. The firm already manages $100 billion in UK investments and holds a commanding position in European real estate, including one of its most profitable calls ever: a concentrated bet on urban warehouses. Its London officeonce the firm's only outpost outside New Yorknow houses 650 employees and is set to move into a new building in Mayfair. One of its newer projects, a data center site in Northern England, could become the largest of its kind in Europe. Schwarzman also credited the UK government for being really focused on making big-ticket investments easier to executea key signal for peers monitoring regulatory risk. But Blackstone isn't stopping at Europe. The firm is also starting to see the Middle East as more than just a capital source. Cities like Riyadh and Dubai, fast becoming global business hubs, are now being eyed as active investment destinations. Schwarzman pointed out that the pace of development in the region is reshaping the opportunity set. In a world where global capital is getting choosier, Blackstone's pivot toward new geographies may be less about chasing yieldand more about being early in the next wave of structural transformation. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
