Shares of alternative asset manager The Carlyle Group (CG) fell in the fourth quarter. The company continues to perform in accordance with our investment thesis, and assets under management remained largely flat in a challenging year. However, lower investment realizations resulted in a lower dividend payout, and lower performance fees resulted in a sharp drop in distributable earnings. Its hedge fund business also performed poorly. On a positive note, Carlyle has increased its diversification and is in an improved position to stabilize distributable earnings. (Michael Baron)
From Ron Baron (Trades, Portfolio)'s Baron Partners Fund Fourth Quarter 2014 Commentary.
