Stephen A. Schwarzman is raking in the rewards of a hugely successful year for the Blackstone Group.
Mr. Schwarzman, the co-founder and chief executive of Blackstone, personally made a total of $374.5 million in 2013, according to a regulatory filing on Friday. The vast majority of that haul came from cash dividends he received on his partnership units, reflecting the profitability of the alternative investment firm.
The eye-popping compensation underscored yet again how lucrative the private equity business model was last year, as firms were able to reap big gains from selling their holdings into a soaring stock market. Blackstone, which made money selling shares in companies like Hilton Worldwide Holdings and Merlin Entertainments, also benefited from its growing real estate business.
Mr. Schwarzman, 67, earned a salary of $350,000 and did not take a bonus, the filing showed. He earned carried interest â€" his share of Blackstone’s investment profits â€" of $21.6 million.
But he made most of his money from his partnership units, collecting $352.5 million. Separately from that compensation, Mr. Schwarzman received $78.2 million from his personal investments in Blackstone’s funds. Including that would bring his total earnings to $452.7 million.
The second in command at Blackstone, Hamilton E. James, who is known as Tony, made $99 million, the filing shows. That includes dividends on his partnership units and common units, as well as his salary, bonus and share of carried interest. Mr. James got $15.7 million from his investments in Blackstone’s funds.
The big publicly traded private equity firms, including the Carlyle Group, Apollo Global Management and Kohlberg Kravis Roberts, have made billionaires out of their founders. Mr. Schwarzman has an estimated net worth of $10.9 billion, according to the Bloomberg Billionaires Index.
One main rival, Carlyle, reported this week that its three founders collectively made $750 million in 2013, benefiting from a banner year. Another, Kohlberg Kravis Roberts, said its two co-founders each earned more than $160 million.
Blackstone said last month that its fourth-quarter profit, measured as economic net income, which includes unrealized gains from investments, more than doubled to $1.5 billion from the period a year earlier.
