Blackstone: 3 Key Takeaways for Long-Term Investors

On its third quarter of 2026 earnings call, held on Oct. 22, 2026, Blackstone (NYSE:BX) reported $1.7 billion in distributable earnings, which is net cash available for dividends. Total assets under management, representing the market value of managed investments, reached $1.4 trillion. Three key takeaways from management highlight how the business is positioning for long-term growth.

1. Data Center Growth Relies on Long-Term Counterparty Contracts

Artificial intelligence (AI) infrastructure requires massive capital to build computing capacity and power generation. The company mitigates execution risks by securing long-dated commitments from financially stable corporate clients before breaking ground.

At Blackstone, we approach investments in this area with the same rigor and focus on risk-adjusted returns that have defined our investment process for four decades. In AI infrastructure, for example, our data center portfolio is built on durable, long term contracts with highly creditworthy counterparties.
-- Stephen Allen Schwarzman, Chairman and Chief Executive Officer

2. Wealth Channel Expansion Drives Steady Inflows

Individual investors are expanding allocations to alternative assets beyond traditional stock and bond portfolios. BXP, the company's flagship private equity vehicle for individual investors, reached $29 billion in net asset value (NAV), or total assets minus liabilities, in less than three years.

Of course, it is all about investment performance, and BXP has delivered, achieving an 18% net annualized return since inception.
-- Jonathan D. Gray, President and Chief Operating Officer

3. Investment Grade Credit Captures Insurance Demand

Insurance companies are turning to private markets to generate excess yield over public corporate debt. The company's investment grade private credit business, which provides high-quality debt financing, expanded 24% year over year to nearly $150 billion.

We have established the largest non-captive insurance platform in our industry, including 40 clients in our dedicated insurance solutions area representing leading global firms, of which over half expanded their relationship with us in the past 12 months.
-- Jonathan D. Gray, President and Chief Operating Officer

Looking Ahead

Fee revenues and total assets under management are climbing across key investment strategies. Management is tracking the stabilization of real estate values alongside fee growth from new institutional funds amid surging bond yields and higher borrowing costs.

The firm delivered resilient financial results and overall fund performance in the third quarter, and for the first 9 months of the year, generated double-digit year-over-year growth across fee revenues, fee-related earnings, realized performance revenues, and distributable earnings -- all against a backdrop of significant external volatility.
-- Michael S. Chae, Vice Chairman and Chief Financial Officer

Massive scale across credit, infrastructure, and private equity provides structural advantages when originating complex deals. Long-term capital commitments give the firm steady management fees across market cycles.

I have learned the most important thing during these periods is to keep our focus on delivering great results for limited partners, pioneering new markets for investment, and expanding our fundraising channels, all of which are occurring now. Our firm has enormous earnings power, and we expect outstanding results in the years ahead
-- Stephen Allen Schwarzman, Chairman and Chief Executive Officer

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