With Washington D.C. being one of the major financial hubs in the U.S., it comes as no surprise that some of the leading investment management firms have set up their headquarters here. Ranging from large multinational firms managing billions in assets to boutique firms catering to high net worth individuals and families, Washington D.C. is home to a diverse mix of investment firms. In this article, we will highlight 5 of the top investment management firms headquartered in Washington D.C., looking at their history, specialties, assets under management and major clients.
The Carlyle Group is a Leading Private Equity Firm Based in Washington D.C. with $260 Billion in Assets
Founded in 1987 and headquartered in Washington, D.C., The Carlyle Group is one of the world’s largest and most well-known private equity firms. As of December 2021, the firm had $260 billion in assets under management across various investment strategies including private equity, real estate, credit and energy infrastructure. Some of Carlyle’s high profile investments over the years have included Kinder Morgan, AMC Entertainment, and Allison Transmission. Today, Carlyle’s portfolio consists of over 200 companies spanning industries like healthcare, financial services, aerospace & defense, consumer & retail, technology and more. With nearly 2000 professionals operating out of over 25 offices worldwide, The Carlyle Group has established a strong global presence and has consistently delivered solid returns for its limited partner investors which include large pension funds, sovereign wealth funds, university endowments and high net worth individuals.
FBR & Co. is a Leading Investment Bank and Asset Management Firm Based in Arlington, VA right outside Washington D.C.
FBR & Co. (formerly Friedman Billings Ramsey) was founded in 1989 and is headquartered in Arlington, Virginia right across the Potomac River from Washington D.C. The firm operates two core businesses – investment banking focused on sectors like real estate, energy, and technology; and asset management with over $8 billion in assets under management. In 2017, FBR was acquired by B. Riley Financial, but continues to operate as an independent subsidiary maintaining the FBR brand. FBR’s asset management business provides investment solutions across public equities, private equity, and debt markets. The firm manages assets for a global institutional client base that includes pension funds, insurance companies, endowments, and high net worth individuals. Some of FBR’s strategies include small-cap equity, large-cap equity, private equity secondaries, and direct lending.
STEPStone Group is a Leading Private Markets Investment Firm Managing $22 Billion in Assets
Founded in 2007 and headquartered in Washington, D.C., STEPStone Group is a global private markets firm providing customized investment and advisory solutions to institutional and high net worth clients. As of March 2021, STEPStone oversaw more than $22 billion in private equity, private debt, real estate and infrastructure assets. STEPStone’s clients include pension funds, sovereign wealth funds, insurance companies, endowments, foundations, family offices and high net worth individuals across North America, Europe, Asia and Australia. The firm’s investment capabilities span the private markets spectrum including primary fund investments, secondary acquisitions, direct co-investments, and infrastructure. STEPStone also provides clients with customized advisory solutions including private markets research, portfolio construction advice, and fee benchmarking services.
Brightwood Capital Advisors is a Investment and Wealth Management Firm Catering to High Net Worth Clients
Founded in 1999 and headquartered in Bethesda, MD right outside Washington D.C., Brightwood Capital Advisors is an independent wealth and investment management firm catering primarily to high net worth individuals and families. The firm oversees over $1.5 billion in assets under management providing customized investment management, financial planning, and family office services to its selective clientele. Brightwood employs over 30 professionals and takes a goals-based approach to investment management, developing customized solutions aligned to each client’s specific objectives. The firm’s investment capabilities span traditional asset classes like equities and fixed income as well as alternative investments including private equity, hedge funds, and real estate. Brightwood’s high touch service and open architecture platform has allowed it to attract multigenerational client relationships managing wealth across generations.
Callan Associates is one of the Largest Independent Investment Consulting Firms
Founded in 1973 and headquartered in Washington, D.C., Callan Associates is one of the largest independently-owned investment consulting firms in the U.S. The employee-owned firm provides fiduciary services and solutions to institutional investors including pension plans, endowments, foundations, sovereign wealth funds, insurance companies and high net worth families. Callan has a client base of over 500 organizations representing more than $2 trillion in assets. The firm’s services include investment policy development, asset allocation modeling, investment manager selection, monitoring and performance measurement. Callan leverages its deep research capabilities and proprietary analytics to support clients in making informed investment decisions aligned to their organizational goals. The firm employs over 180 research, consulting and client service professionals across multiple offices in the U.S.
In summary, Washington D.C. is home to some of the biggest names in investment management including leading private equity firms like The Carlyle Group, boutique wealth managers like Brightwood Capital catering to high net worth families, and large institutional investment consultants like Callan Associates. Its strategic location at the heart of the political center and proximity to government policy makes Washington an ideal headquarters for investment firms.