Doug Ostrover, one of three founders of Blackstone Group LP’s GSO Capital Partners unit, will leave the credit investment firm to start a family office.
Ostrover, 52, will remain a senior adviser to New York-based Blackstone, the firm said in a statement Friday.
“The success of GSO as the leading alternative credit platform in the market today is in no small measure the result of Doug’s creative thinking and energy,” Bennett Goodman and Tripp Smith, the unit’s two other founders, said in the statement.
Blackstone bought GSO -- which refers to Goodman, Smith and Ostrover -- in 2008. The unit, which managed about $10 billion at the time, has expanded to oversee $75 billion, making it one of the largest credit alternative investment firms globally. The group generated 9.9 percent of Blackstone’s revenue in 2014.
Steve Schwarzman, Blackstone’s co-founder and chief executive officer, said Ostrover “leaves behind a deep bench of finance professionals at GSO, whom he helped mentor and train.”
There are an estimated 4,000 family offices globally, which manage the financial and personal affairs of the wealthy, according to London-based researcher Campden Wealth. They manage about $4 trillion in assets.
Goodman and Smith will invest in Ostrover’s family office, said a person with knowledge of the matter, who requested anonymity because the details are private. Peter Rose, a Blackstone spokesman, declined to comment on the plans.
Goodman, Smith and Ostrover founded GSO in 2005 after leaving Credit Suisse First Boston. The three previously worked with Tony James, Blackstone’s president, at both Credit Suisse and Donaldson Lufkin & Jenrette.