Global Business and Financial News, Stock Quotes, and Market Data and Analysis. It's just waiting for the market to really open up to be more aggressive. And it's hard to generalize about a market that's trillions of dollars deep and, and is global, I would say the following, private equity enjoyed a wonderful rebound coming out of COVID. He is a member of the Ares Executive Management Committee, the Ares Enterprise Risk Committee and is on the Board of Directors of the Ares Charitable Foundation. And if so, do you think that the markets are already pricing that in? The HOPE Community Credit Score Index A Closer Look at the Twin Identities of Washington, DC. As I was preparing to take the job, this friend reminded me of the Maya Angelou quote, People will forget what you said, people will forget what you did, but people will never forget how you made them feel. I think that is so poignant as a leader. And one small company is building them for the Pentagon! Its very rewarding. He joined my board of directors for Operation HOPE, and later I joined his board, for a new publicly traded company called Ares Commercial Real Estate REIT. Hence the demand that we see for private credit assets globally, and maybe a dissatisfaction with the performance of traditional 60/40 portfolios and what seems to be more consistent volatility in the traded markets. Mr. Arougheti is a Co-Founder of Ares and the Chief Executive Officer and President, as well as a Director of Ares Management Corporation. Mr. Arougheti oversaw an investment team that originated, managed and monitored a diverse portfolio of middle-market leveraged loans, senior and junior subordinated debt, preferred equity and common stock and warrants on behalf of RBC and other third-party institutional investors. Michael Arougheti Mr. Arougheti is a Co-Founder of Ares and has served as a Director and the President of Ares Management since 2014. So there's a lot to digest. Musk Made a Mess at Twitter. That's not necessarily true for traditional 60/40 portfolios, when you have money, you have to express a view on what you think is the best opportunity in the market. Michael Arougheti is co-founder, chief executive officer and president, as well as a director of Ares Management Corp. For the last almost 10 years, it seems like almost every market has been correlated and performing well. Will His AI Plans Be Any Different? This chart shows Michael J Arougheti's buying and selling at Ares Management by year and by quarter. He was elected Congressman three times and is a leading figure in the civil rights movement. Ares Management LP said Dec. 18 that Michael J Arougheti, co-founder and president, was named CEO effective Jan. 1, replacing Tony Ressler who will continue as executive chairman. Thats not how leadership is classically trained. With hundreds of billions of dollars worth of floating rate credit and real assets, the firm's $200B book has surprisingly held up well. What makes our culture special is that its deeply rooted in partnership, in entrepreneurialism, in growth mindset. Kudos to Ares. So, you have to lead in a new way. Ares Management's global platform had $149 billion of assets under management as of March 31, 2020 with more than 1,200 employees in over 20 offices in more than 10 countries. The challenge right now is in 2022, given how well the portfolio's performed and how deployed, they were given the significant amount of volume in 2021, the market now is digesting the need for more capital against the backdrop of a lack of capital. And then he met with me weekly, for close to four years, making himself fully available to my dream, treating it like it was his own. And I think that's true for the publicly traded markets as well. So there's a fundamentally different positioning when you manage private capital versus liquid capital. So, there was something about the shift to remote work that I think broke down some of those barriers and forced people to open their lives up a little bit more to their colleagues. Mr. Arougheti joined RBC in October 2001 from Indosuez Capital, where he was a Principal and an Investment Committee member, responsible for originating, structuring and executing leveraged transactions across a broad range of products and asset classes. When you look at the economy, its a tale of two cities. What Im hoping is that we can continue to have that mindset as we scale. Where we are now, were deploying actively in almost every strategy across the firm because of this bifurcation. Direct Lending and Pathfinder Fund Investment Committees, the Ares Equity Income Opportunity Strategy Portfolio Review Committee and the Ares Operations Management Group. He additionally serves as Co-Chairman of Ares Capital Corporation (NASDAQ: ARCC) (ARCC) and as a director of Ares Commercial Real Estate Corporation (NYSE: ACRE) (ACRE). We want to hear from you. When expanded it provides a list of search options that will switch the search inputs to match the current selection. I'd subscribe to that podcast on a heartbeat, People will forget what you said, people will forget what you did, but people will never forget how you made them feel.. Certainly, Michael and Nelly would never say an external word. Copyright 2018 | John Hope Bryant and JohnHopeBryantHoldings, LLC | All rights reserved. I LOVE this series!! Together, we built The Promise Homes Company into the largest Black controlled owner of singles family residential rental homes in the country, with $150 million in assets. Theres a conversation I had with a very close friend that still sticks with me. Frankel is also a real estate investor and owner of wineries and restaurants. This button displays the currently selected search type. I think what we do well is we tend to avoid big mistakes. We wouldn't blame Ares Management Corporation (NYSE:ARES) shareholders if they were a little worried about the fact that Michael Arougheti, the Co-Founder recently netted about US$15m selling . What I continue to learn every time I delegate and trust, every time we give somebody a part of the business to run and hold accountable for success, is it just turbocharges the growth here. Arougheti: Yes and no. Learn More about Michael J. Arougheti's net worth. A dream planted, but not much more. And without betraying their confidences, let me just say that what Michael and Nelly did for HOPE, and at the time they did it, was extraordinary. So that was the good news. As the President, Chief Executive Officer, Co-Founder, and Director of Ares Management Corp, the total compensation of Michael Arougheti at Ares Management Corp is $12,665,700. Inflation, a hawkish Fed, fears of a recession have all made 2022 a tough environment for investing. Moulds, Michael 12/27/1949 2/13/2023 Pierson, Michigan. I think they've got, you know, the increased challenge of the energy crisis and the strong dollar exacerbating the inflation picture for them. Jobs People Learning Dismiss Dismiss. Thats the good news and the bad news. So given all that, and given just where you see opportunity, are there certain sectors that you're putting more capital to work, say, than others, just given kind of the macro backdrop you just outlined? All of the things that we were embarking on around business development accelerated. He previously occupied the position of Principal at Royal Bank of Canada and Managing Partner-Principal Finance Group at RBC Capital Partners Ltd. (a subsidiary of Royal Bank of Canada), Principal at Onyx Partners, Inc., Executive Vice President at Columbia Savings & Loan Association (Milwaukee, Wisconsin), Member-Mergers & Acquisitions Group at Kidder, Peabody & Co., Inc., Principal at Taylor & Co. Law Offices LLP, Co-Chairman for ACRE Capital LLC, Director at Evercom, Inc., Director at Imperial Capital LLC and Principal at Indosuez Capital. A sponsor. So if you say, cost of goods, inflation, that had an impact on retail, hospitality, consumer facing businesses, as you now shift, and you see easing in that now, maybe you're seeing some pressure on service oriented businesses, you know, that are either facing off with a consumer or trying to navigate a tightening labor market. Picker: And you are not, is this typical for you? So when the markets get challenged, that's when our investment opportunity becomes the most attractive. Thank you Michael Arougheti. Some people struggled figuring out how to be in that environment. So if there is a silver lining to all the challenges globally, right now, we're going into this period of volatility with real strong underpinnings. Sign up for free newsletters and get more CNBC delivered to your inbox. And he did. Mr. Arougheti oversaw an investment team that originated, managed and monitored a diverse portfolio of middle-market leveraged loans, senior and junior subordinated debt, preferred equity and common stock and warrants on behalf of RBC and other third-party institutional investors. When you manage an organization through crisis, you learn a lot about yourself, but you also learn a lot about the organization that supports you. Michael Arougheti Co-Founder, CEO and President at Ares Management New York, New York, United States 7K followers 377 connections Join to follow Ares Management Corporation Yale University. Mr. Arougheti also is a member of the Ares Credit Group's U.S. Mr. Arougheti also is a member of the Ares Credit Group's U.S. And when I launched my dream for The Promise Homes Company, there was Michael Arougheti once again, making the first real commitment to our start-up dream. I was doing the same, so we struck up a conversation. Its been such an interesting year because in so many ways, it was probably one of the most challenging of my career. Mr. Michael J. Arougheti is a Senior Advisor at Volery Capital Partners LLC, a President, Chief Executive Officer & Director at Ares Management Corp., a Co-Chairman & Executive Vice President. After catching up for an hour recently, tackling a slew of questions and meaty subjects, Mike Arougheti had a question for me. ARES DYNAMIC CREDIT ALLOCATION FUND, INC. Transcript : Ares Management Corporation Presents at The Bank of America Securities 2023 Financial Services Conference, Feb-16-2023 09:40 AM, Transcript : Ares Management Corporation, Q4 2022 Earnings Call, Feb 09, 2023, Bloomberg Video: Sizing up the Private Credit Market, Transcript : Ares Management Corporation, Q3 2022 Earnings Call, Oct 27, 2022, Transcript : Ares Management Corporation Presents at Barclays Global Financial Services Conference, Sep-13-2022 12:00 PM, Transcript : Ares Management Corporation, Q2 2022 Earnings Call, Jul 28, 2022, Transcript : Ares Management Corporation Presents at Bernstein 38th Annual Strategic Decisions Conference, Jun-02-2022 02:30 PM, President, Chief Executive Officer & Director, Ares Commercial Real Estate Management LLC, Director, Co-Founder & Chief Executive Officer, Program for Appropriate Technology in Health. And Michael Arougheti, was all of that. Just life family. So, there are big parts of our corporate-opportunities and distressed and special-situations businesses that are very busy in those more stressed parts of the market. That is probably the single biggest challenge that we will face as the company continues to grow and expand. Ares, led by co-founder and CEO Michael Arougheti, is a global alternative investment manager with roughly $262 billion of assets under management, including its purchase of Black Creek Group. Of having a willingness to try new things. Dismiss. Learn More on Ares Management's active insiders. Michael J. Arougheti serves as President, Chief Executive Officer, Co-Founder, Director of the Company. As of 11 November 2022 he still owns at least 460,738 units of Ares Management Corp stock. Leaders can see this crisis as a burden or an opportunity from a DE&I perspective. Credit is crowded PE firms including the Blackstone Group (NYSE: BX), KKR, the Carlyle Group (Nasdaq: CG) and Apollo (NYSE: APO) have all grown their credit business substantially . hopefully Ares can be big but also keep it real. Love and authenticity tends to have that effect on people. So there are a lot of structural competitive advantages that we have as an alt manager, one of the largest is just the structure of our funds. Welcome toHuman Capital, an open exploration of the ideas and people moving financial services forward. Prior to joining Ares in 2004, Mr. Arougheti was employed by Royal Bank of Canada ("RBC") from 2001 to 2004, where he was a Managing Partner of the Principal Finance Group of RBC Capital Partners and a member of the firm's Mezzanine Investment Committee. Private investment firms driven by credit, focusing more on the balance sheet than the story, tend to operate in a less docile manner - less often on boards, less often delivering the CEO, less often sensitive to the sustainability of the legacy or even equity value. Frankel and his wife, Barbara, sold their two-story, 8,500-square-foot home at 1635 West 22nd Street on the Sunset Islands for $31.5 million. Ares Management co-founder and CEO Michael Arougheti bought the property, records show. I sit here now, a year removed from the beginning of that, and feel that the culture we had built and the strategic positioning of the company we had pursued positioned us well to navigate the crisis. Whats been rewarding for me is that we have spent so much time over the years building culture here around our core attributes of collaboration and social responsibility and entrepreneurialism.