GCM Grosvenor Exceeds Expectations in Q4 2024, Reports Strong Fundraising and Financial Results
GCM Grosvenor, a leading global alternative investment manager, has reported a strong finish to the year with impressive financial results for its clients. In a conference call on February 10, 2025, the company announced that its fee-related earnings increased by 22% in the fourth quarter of 2024 compared to the same period in 2023, and adjusted net income rose by 63%. For the full year 2024, fee-related earnings grew by 19%, while adjusted net income increased by 36%.
The company's fundraising activities also saw significant growth, with $7.1 billion raised in 2024, a 40% increase from 2023. This represents a major milestone for GCM Grosvenor and demonstrates the company's ability to attract investors and grow its assets under management.
Michael Sacks, Chairman and Chief Executive Officer of GCM Grosvenor, highlighted the company's progress in achieving its strategic priorities during the year. He noted that the company had made meaningful investments from its Elevate Fund, a first-time fund for a private equity seating strategy, which closed at nearly $800 million in the fourth quarter.
The final close of the company's third private equity co-invest fund and second Infrastructure Advantage Fund are also expected to be announced this quarter. Later in 2025, GCM Grosvenor plans to hold first closings for its next vintage of private equity secondaries fund and direct-oriented infrastructure fund.
John Levin, President of GCM Grosvenor, emphasized the company's commitment to operating leverage and its ability to continue expanding fee-related earnings margins. He noted that the company's fee-related earnings margin was 42% for the year compared to 38% in 2023 and 31% at the end of 2020.
GCM Grosvenor also made important hires during the year, deepening its credit investment talent with complementary expertise. This strategic move is expected to contribute to the company's growth over the coming years.
In conclusion, GCM Grosvenor has reported a strong finish to the year with impressive financial results and significant progress in achieving its strategic priorities. The company's commitment to operating leverage and its ability to attract investors demonstrate its continued leadership in the alternative investment space.
