Blackstone CEO Steve Schwarzman discusses the firm's shift to a corporate structure
About Stephen Schwarzman
Stephen Schwarzman, chairman and CEO of Blackstone, reported record financial results for 2025, including distributable earnings of $1.75 per share in the fourth quarter, a 20% increase in full-year distributable earnings to $5.7 billion, and assets under management reaching a record of nearly $1.2 trillion. On the company’s earnings calls, he described the current environment as one of “uncertainty around tariffs” that has “dramatically impacted investor sentiment,” while emphasizing that Blackstone’s model is “very well designed for periods of stress” due to its “virtually no net debt” and $177 billion in dry powder. He stated that “commercial real estate values bottomed in December 2023” and are “approaching a steeper point in that recovery curve,” with transaction activity increasing 25% year-over-year in U.S. logistics. Schwarzman highlighted several strategic initiatives, including a partnership with Wellington and Vanguard to “collaborate on integrated public private investment solutions,” and efforts to open the defined contribution retirement market to alternatives following a U.S. administration executive order. He noted that Blackstone raised $62 billion in inflows in the first quarter of 2025, the highest in three years, and emphasized the firm’s focus on “AI revolution,” “infrastructure,” and “life sciences.” On private credit, he argued that defaults in the sector have resulted from “bank-led and bank syndicated credits, not private credit,” and that the traditional private credit model involves “direct orig