In 1998, Randal Nardone founded Fortress Investment Group with Wes Edens, another prominent name in finance. Randal Nardone is now number 557 on the Forbes Billionaire List. Fortress Investment Group now controls over 43 billion dollars from more than 1,750 investors and has over 900 employees. However, before he became huge in finance, Randal Nardone studied law. He got a J.D. from Boston University and started practicing professionally in corporate law. Through this, he learned where law intertwined with finance, and he became intrigued. He soon decided to start working in finance. A short time after he made the bold move to change careers, he started an investment firm with Wes Edens.
Fortress Investment Group’s style is mainly for investors looking for long-term investments. The investment group mostly exceeds in capital markets, corporate mergers and acquisitions, operations management, asset-based investing, and sector-specific knowledge of companies and institutions.
Randal Nardone is currently principal for Fortress Investment Group, along with Wes Edens and Peter Briger. Robert Kauffman was a principal for the investment group as well, but he retired in 2012. In the early times of their investment firm, the group’s strategy was unique in that they raised private equity and invested it into new and advanced vehicles. This strategy proved very effective, as their assets multiplied 9.75 times over five years, turning 400 million dollars into 3.9 billion.
The investment group established its first vehicle in 1999 – the Fortress Investment Fund I. The investment group began growing rapidly. By 2006, it had added funds II, III, and IV. During the years of 2006 and 2007, the investment group gained Intrawest, the largest ski resort operator in North America, RailAmerica, Penn National Gaming, and Florida East Coast Industries. All of these were important acquisitions for the company. Fortress Investment Group then made history in 2007 when they went public. They were the first alternate-asset investment firm to go public. This led the way for other firms to follow, as seven investment firms went public within the next year. The Fortress Investment Group has made an enormous impact in the finance community, and it was all because of the vision of an ex-lawyer (Randal Nardone) and a former managing director (Wes Edens). Fortress Three Top Executives Split $44 Million Bonuses In 2015