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Investments
 6 Months Ended
Jun. 30, 2019
Investments
4.    Investments
  
 
 
 
 
 
 
 
 
 
 
 
 
Investments consist of the following:
                                                               
 
June 30,
 
December 31,
 
 
2019
 
2018
 
Investments of Consolidated Blackstone Funds
  $
8,633,794
    $
8,376,338
 
Equity Method Investments
   
     
 
Partnership Investments
   
3,802,565
     
3,649,423
 
Accrued Performance Allocations
   
6,743,542
     
5,883,924
 
Corporate Treasury Investments
   
2,797,908
     
2,206,493
 
Other Investments
   
264,231
     
260,853
 
                 
  $
22,242,040
     $
20,377,031
 
                 
 
 
 
 
 
 
 
 
 
 
 
 
Blackstone’s share of Investments of Consolidated Blackstone Funds totaled $
383.9
 million and $
366.5
 million at June 
30
, 
2019
and December 
31
, 
2018
, respectively. 
 
The following table presents the Realized and Net Change in Unrealized Gains (Losses) on investments held by the consolidated Blackstone Funds and a reconciliation to Other Income – Net Gains from Fund Investment Activities in the Condensed Consolidated Statements of Operations:
                                 
 
Three Months Ended
 
Six Months Ended
 
June 30,
 
June 30,
 
2019
 
2018
 
2019
 
2018
 
Realized Gains
  $
5,198
    $
52,236
    $
2,286
    $
34,378
 
Net Change in Unrealized Gains (Losses)
   
6,257
     
(22,278
 )    
112,260
     
74,963
 
                                 
Realized and Net Change in Unrealized Gains from Consolidated Blackstone Funds
   
11,455
     
29,958
     
114,546
     
109,341
 
Interest and Dividend Revenue Attributable to Consolidated Blackstone Funds
   
49,676
     
43,561
     
76,910
     
74,777
 
                                 
Other Income - Net Gains from Fund Investment Activities
  $
61,131
    $
73,519
    $
191,456
    $
184,118
 
                                 
 
 
 
 
 
 
 
 
 
 
 
Equity Method Investments
Blackstone’s equity method investments include Partnership Investments, which represent the
pro-rata
investments, and any associated Accrued Performance Allocations, in private equity funds, real estate funds, funds of hedge funds and credit-focused funds. Partnership Investments also includes the 40%
non-controlling
interest in Pátria Investments Limited and Pátria Investimentos Ltda. (collectively, “Pátria”).
Blackstone evaluates each of its equity method investments, excluding Accrued Performance Allocations, to determine if any were significant as defined by guidance from the United States Securities and Exchange Commission. As of and for the six months ended June 30, 2019 and 2018, no individual equity method investment held by Blackstone met the significance criteria. As such, Blackstone is not required to present separate financial statements for any of its equity method investments.
Partnership Investments
Blackstone recognized net gains related to its Partnership Investments accounted for under the equity method of $72.3 million and $165.6 million for the three months ended June 30, 2019 and 2018, respectively.
Blackstone 
recognized net gains related to its equity method investments of $
227.7
 million and $
328.1
 million for the six months ended June 
30
, 
2019
and
2018
, respectively.
Accrued Performance Allocations
Accrued Performance Allocations to Blackstone were as follows:
                                       
 
Real
 
Private
 
Hedge Fund
 
 
 
 
Estate
 
Equity
 
Solutions
 
Credit
 
Total
 
Accrued Performance Allocations, December 31, 2018
  $
2,853,261
    $
2,642,119
    $
22,921
    $
365,623
    $
5,883,924
 
Performance Allocations as a Result of Changes in Fund Fair Values
   
832,342
     
435,425
     
70,690
     
105,164
     
1,443,621
 
Foreign Exchange Loss
   
(3,300
 )    
—
     
—
     
—
     
(3,300
 )
Fund Distributions
   
(268,978
 )    
(291,911
 )    
(1,605
 )    
(18,209
 )    
(580,703
 )
                                       
Accrued Performance Allocations, June 30, 2019
  $
3,413,325
    $
2,785,633
    $
92,006
    $
452,578
    $
6,743,542
 
                                       
 
 
 
 
 
 
 
 
 
 
Corporate Treasury Investments
The portion of corporate treasury investments included in Investments represents
 Blackstone
’s investments into primarily fixed income securities, mutual fund interests, and other fund interests. These strategies are managed by a combination of Blackstone personnel and third party advisors. The following table presents the Realized and Net Change in Unrealized Gains (Losses) on these investments:
                                 
 
Three Months Ended
 
Six Months Ended
 
June 30,
 
June 30,
 
2019
 
2018
 
2019
 
2018
 
Realized Gains
  $
22,983
    $
4,774
    $
23,300
    $
7,113
 
Net Change in Unrealized Gains (Losses)
   
558
     
(6,702
 )    
49,217
     
(14,896
 )
                                 
  $
23,541
    $
(1,928
 )   $
72,517
    $
(7,783
 )
                                 
 
 
 
 
 
 
 
 
 
 
Other Investments
Other Investments consist primarily of proprietary investment securities held by Blackstone. Other Investments include equity investments without readily determinable fair values which have a carrying value of $48.9 million as of June 30, 2019. The following table presents Blackstone’s Realized and Net Change in Unrealized Gains (Losses) in Other Investments:
                                 
 
Three Months Ended
 
Six Months Ended
 
June 30,
 
June 30,
 
2019
 
2018
 
2019
 
2018
 
Realized Gains
  $
21,491
    $
16,207
    $
45,727
    $
16,319
 
Net Change in Unrealized Gains (Losses)
   
(3,933
 )    
49,643
     
6,789
     
45,411
 
                                 
  $
17,558
    $
65,850
    $
52,516
    $
61,730