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Fair Value Measurements of Financial Instruments
 3 Months Ended
Mar. 31, 2024
Fair Value Measurements of Financial Instruments
8.  Fair Value Measurements of Financial Instruments
The following tables summarize the valuation of Blackstone’s financial assets and liabilities by the fair value hierarchy:

 
                     
                     
                     
                     
                     
 
  
March 31, 2024
 
  
Level I
  
Level II
  
Level III
  
NAV
  
Total
Assets
               
Cash and Cash Equivalents
   
 $
214,997
 
   
 $
—
 
   
$
—
 
   
$
—
 
   
$
214,997
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Investments
               
Investments of Consolidated Blackstone Funds
               
Equity Securities, Partnerships and LLC Interests (a)
   
 
10,259
 
   
 
119,238
 
   
 
2,688,028
 
   
 
469,012
 
   
 
3,286,537
 
Debt Instruments
   
 
—
 
   
 
130,010
 
   
 
15,564
 
   
 
—
 
   
 
145,574
 
Freestanding Derivatives
   
 
—
 
   
 
26,800
 
   
 
—
 
   
 
—
 
   
 
26,800
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Total Investments of Consolidated Blackstone Funds
   
 
10,259
 
   
 
276,048
 
   
 
2,703,592
 
   
 
469,012
 
   
 
3,458,911
 
Corporate Treasury Investments
   
 
67,688
 
   
 
121,712
 
   
 
8,576
 
   
 
—
 
   
 
197,976
 
Other Investments
   
 
2,006,970
 
   
 
2,590,956
 
   
 
72,555
 
   
 
7,081
 
   
 
4,677,562
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Total Investments
   
 
2,084,917
 
   
 
2,988,716
 
   
 
2,784,723
 
   
 
476,093
 
   
 
8,334,449
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Accounts Receivable - Loans and Receivables
   
 
—
 
   
 
—
 
   
 
95,532
 
   
 
—
 
   
 
95,532
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
O
ther
Assets - Freestanding Derivatives
   
 
—
 
   
 
157,852
 
   
 
5,812
 
   
 
—
 
   
 
163,664
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 $
2,299,914
 
   
 $
3,146,568
 
   
 $
2,886,067
 
   
 $
476,093
 
   
 $
8,808,642
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Liabilities
               
Loans Payable - CLO Notes Payable
   
 $
—
 
   
$
169,835
 
   
 $
—
 
   
$
—
 
   
$
169,835
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Accounts Payable, Accrued Expenses and Other Liabilities
               
Freestanding Derivatives
   
 
—
 
   
 
97,975
 
   
 
646,002
 
   
 
—
 
   
 
743,977
 
Contingent Consideration
   
 
—
 
   
 
—
 
   
 
504
 
   
 
—
 
   
 
504
 
Corporate Treasury Commitments
   
 
—
 
   
 
—
 
   
 
887
 
   
 
—
 
   
 
887
 
Securities Sold, Not Yet Purchased
   
 
3,867
 
   
 
—
 
   
 
—
 
   
 
—
 
   
 
3,867
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Total Accounts Payable, Accrued Expenses and Other Liabilities
   
 
3,867
 
   
 
97,975
 
   
 
647,393
 
   
 
—
 
   
 
749,235
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 $
3,867
 
   
 $
267,810
 
   
 $
647,393
 
   
 $
—
 
   
$
919,070
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
 
 
                     
                     
                     
                     
                     
 
  
December 31, 2023
 
  
Level I
  
Level II
  
Level III
  
NAV
  
Total
Assets
               
Cash and Cash Equivalents
   
 $
263,574
 
   
 $
—
 
   
$
—
 
   
$
—
 
   
$
263,574
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Investments
               
Investments of Consolidated Blackstone Funds
               
Equity Securities, Partnerships and LLC Interests (a)
   
 
11,118
 
   
 
123,022
 
   
 
2,653,246
 
   
 
558,259
 
   
 
3,345,645
 
Debt Instruments
   
 
—
 
   
 
924,264
 
   
 
30,385
 
   
 
—
 
   
 
954,649
 
Freestanding Derivatives
   
 
—
 
   
 
19,189
 
   
 
—
 
   
 
—
 
   
 
19,189
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Total Investments of Consolidated Blackstone Funds
   
 
11,118
 
   
 
1,066,475
 
   
 
2,683,631
 
   
 
558,259
 
   
 
4,319,483
 
Corporate Treasury Investments
   
 
72,071
 
   
 
435,430
 
   
 
296,369
 
   
 
—
 
   
 
803,870
 
Other Investments
   
 
1,564,112
 
   
 
2,355,423
 
   
 
223,441
 
   
 
7,275
 
   
 
4,150,251
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Total Investments
   
 
1,647,301
 
   
 
3,857,328
 
   
 
3,203,441
 
   
 
565,534
 
   
 
9,273,604
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Accounts Receivable - Loans and Receivables
   
 
—
 
   
 
—
 
   
 
60,738
 
   
 
—
 
   
 
60,738
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
O
ther
Assets - Freestanding Derivatives
   
 
90
 
   
 
157,629
 
   
 
13,171
 
   
 
—
 
   
 
170,890
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 $
1,910,965
 
   
 $
4,014,957
 
   
 $
3,277,350
 
   
 $
565,534
 
   
 $
9,768,806
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Liabilities
               
Loans Payable - CLO Notes Payable
   
 $
—
 
   
$
687,122
 
   
 $
—
 
   
$
—
 
   
$
687,122
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Accounts Payable, Accrued Expenses and Other Liabilities
               
Freestanding Derivatives
   
 
436
 
   
 
90,199
 
   
 
563,986
 
   
 
—
 
   
 
654,621
 
Contingent Consideration
   
 
—
 
   
 
—
 
   
 
387
 
   
 
—
 
   
 
387
 
Corporate Treasury Commitments
   
 
—
 
   
 
—
 
   
 
1,264
 
   
 
—
 
   
 
1,264
 
Securities Sold, Not Yet Purchased
   
 
3,886
 
   
 
—
 
   
 
—
 
   
 
—
 
   
 
3,886
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
Total Accounts Payable, Accrued Expenses and Other Liabilities
   
 
4,322
 
   
 
90,199
 
   
 
565,637
 
   
 
—
 
   
 
660,158
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 $
4,322
 
   
 $
777,321
 
   
 $
565,637
 
   
 $
—
 
   
$
1,347,280
 
  
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
 
LLC Limited Liability Company.
(a)
Equity Securities, Partnership and LLC Interest includes investments in investment funds.
Within Investments of Consolidated Blackstone Funds and Other Investments, Blackstone held equity securities subject to sale restrictions with a fair value of
$1.4 
billion a
s of
 March 31, 2024. The nature of such restrictions are contractual or legal in nature and deemed an attribute of the holder rather than the investment. Contractual restrictions include certain phased restrictions on sale or transfer, underwriter lock-ups and sale or transfer restrictions applicable to certain Investments of Consolidated Blackstone Funds pledged as collateral. Restrictions will generally lapse over time or after a predetermined date and the weighted-average remaining duration of such restrictions is
 1.6 years.
Level III equity securities included in Investments of Consolidated Blackstone Funds are illiquid and privately negotiated in nature and may also be subject to contractual sale or transfer restrictions including those pursuant to their respective governing or similar agreements. Investments within Other Investments subject to restrictions on sale or transfer as a result of pledge arrangements are discussed in Note 16. “Commitments and Contingencies — Contingencies — Strategic Ventures.”
 
 
The following table summarizes the quantitative inputs and assumptions used for items categorized in Level III of the fair value hierarchy as of March 31, 2024. Consistent with presentation in these Notes to Condensed Consolidated Financial Statements, this table presents the Level III Investments only of Consolidated Blackstone Funds and therefore does not reflect any other Blackstone Funds.
 
                                                                                                                 
   
Fair Value
  
Valuation

Techniques
  
Unobservable

Inputs
  
Ranges
  
Weighted-
Average (a)
  
Impact to
Valuation
from an
Increase
in Input
Financial Assets
            
Investments of Consolidated Blackstone Funds
            
Equity Securities, Partnership and LLC Interests
  
$
2,688,028
 
  
 
Discounted Cash Flows
 
  
 
Discount Rate
 
  
 
3.3% - 38.6%
 
  
 
10.1%
 
  
 
Lower
 
     
 
Exit Multiple - EBITDA
 
  
 
4.0x - 30.6x
 
  
 
15.0x
 
  
 
Higher
 
     
 
Exit Capitalization Rate
 
  
 
3.1% - 13.2%
 
  
 
5.1%
 
  
 
Lower
 
Debt Instruments
  
 
15,564
 
  
 
Third Party Pricing
 
  
 
n/a
 
      
 
 
 
 
          
Total Investments of Consolidated Blackstone Funds
  
 
2,703,592
 
          
Corporate Treasury Investments
  
 
8,576
 
  
 
Transaction Price
 
  
 
n/a
 
      
Loans and Receivables
  
 
95,532
 
  
 
Discounted Cash Flows
 
  
 
Discount Rate
 
  
 
8.8% - 14.0%
 
  
 
10.3%
 
  
 
Lower
 
Other Investments (b)
  
 
78,367
 
  
 
Third Party Pricing
 
  
 
n/a
 
      
 
 
 
 
          
 
$
2,886,067
 
          
 
 
 
 
          
Financial Liabilities
            
Freestanding Derivatives (c)
  
$
646,002
 
  
 
Option Pricing Model
 
  
 
Volatility
 
  
 
6.2%
 
  
 
n/a
 
  
 
Higher
 
Other Liabilities (d)
  
 
1,391
 
  
 
Third Party Pricing
 
  
 
n/a
 
      
   
 
Other
 
  
 
n/a
 
      
 
 
 
 
          
 
$
647,393
 
          
 
 
 
 
          
 
The following table summarizes the quantitative inputs and assumptions used for items categorized in Level III of the fair value hierarchy as of December 31, 2023:
 
                                                                                                                 
   
Fair Value
  
Valuation

Techniques
  
Unobservable

Inputs
  
Ranges
  
Weighted-
Average (a)
  
Impact to
Valuation
from an
Increase
in Input
Financial Assets
            
Investments of Consolidated Blackstone Funds
            
Equity Securities, Partnership and LLC Interests
  
$
2,653,246
 
  
 
Discounted Cash Flows
 
  
 
Discount Rate
 
  
 
3.3% - 38.0%
 
  
 
9.7%
 
  
 
Lower
 
     
 
Exit Multiple - EBITDA
 
  
 
4.0x - 30.6x
 
  
 
15.0x
 
  
 
Higher
 
     
 
Exit Capitalization Rate
 
  
 
3.1% - 12.8%
 
  
 
5.1%
 
  
 
Lower
 
Debt Instruments
  
 
30,385
 
  
 
Third Party Pricing
 
  
 
n/a
 
      
 
 
 
 
          
Total Investments of Consolidated Blackstone Funds
  
 
2,683,631
 
          
Corporate Treasury Investments
  
 
296,369
 
  
 
Discounted Cash Flows
 
  
 
Discount Rate
 
  
 
11.2% - 22.4%
 
  
 
17.1%
 
  
 
Lower
 
   
 
Transaction Price
 
  
 
n/a
 
      
Loans and Receivables
  
 
60,738
 
  
 
Discounted Cash Flows
 
  
 
Discount Rate
 
  
 
8.8% - 14.9%
 
  
 
10.3%
 
  
 
Lower
 
Other Investments (b)
  
 
236,612
 
  
 
Third Party Pricing
 
  
 
n/a
 
      
   
 
Transaction Price
 
  
 
n/a
 
      
 
 
 
 
          
 
$
3,277,350
 
          
 
 
 
 
          
Financial Liabilities
            
Freestanding Derivatives (c)
  
$
563,986
 
  
 
Option Pricing Model
 
  
 
Volatility
 
  
 
6.3%
 
  
 
n/a
 
  
 
Higher
 
Other Liabilities (d)
  
 
1,651
 
  
 
Third Party Pricing
 
  
 
n/a
 
      
   
 
Other
 
  
 
n/a
 
      
 
 
 
 
          
 
$
565,637
 
          
 
 
 
 
          
 
n/a
   
Not applicable.
EBITDA
   
Earnings before interest, taxes, depreciation and amortization.
Exit Multiple
   
Ranges include the last twelve months EBITDA and forward EBITDA multiples.
Third Party Pricing
   
Third Party Pricing is generally determined on the basis of unadjusted prices between market participants provided by reputable dealers or pricing services.
Transaction Price
   
Includes recent acquisitions or transactions.
(a)
   
Unobservable inputs were weighted based on the fair value of the investments included in the range.
(b)
   
As of March 31, 2024 and December 31, 2023, Other Investments includes Level III Freestanding Derivatives.
(c)
   
The volatility of the historical performance of the underlying reference entity is used to project the expected returns relevant for the fair value of the derivative.
(d)
   
As of March 31, 2024 and December 31, 2023, Other Liabilities includes Level III Contingent Consideration and Level III Corporate Treasury Commitments.
For the three months ended March 31, 2024, there have been no changes in valuation techniques within Level II and Level III that have had a material impact on the valuation of financial instruments.
The following tables summarize the changes in financial assets and liabilities measured at fair value for which Blackstone has used Level III inputs to determine fair value and does not include gains or losses that were reported in Level III in prior years or for instruments that were transferred out of Level III prior to the end of the respective reporting period. These tables also exclude financial assets and liabilities measured at fair value on a
non-recurring
basis. Total realized and unrealized gains and losses recorded for Level III investments are reported in either Investment Income (Loss) or Net Gains from Fund Investment Activities in the Condensed Consolidated Statements of Operations.


                                                                                                       
   
Level III Financial Assets at Fair Value

Three Months Ended March 31,
   
2024
  
2023
   
Investments
              
Investments
            
   
of
  
Loans
  
Other
      
of
  
Loans
  
Other
    
   
Consolidated
  
and
  
Investments
      
Consolidated
  
and
  
Investments
    
   
Funds
  
Receivables
  
(a)
  
Total
  
Funds
  
Receivables
  
(a)
  
Total
Balance, Beginning of Period
  
 $
2,683,631
 
  
 $
60,738
 
  
 $
373,024
 
  
 $
3,117,393
 
  
 $
4,249,832
 
  
$
315,039
 
  
 $
30,971
 
  
 $
4,595,842
 
Transfer Out Due to Deconsolidation
  
 
(14,237
) 
  
 
—
 
  
 
—
 
  
 
(14,237
) 
  
 
(3,837
) 
  
 
—
 
  
 
—
 
  
 
(3,837
) 
Transfer Into Level III (b)
  
 
3,434
 
  
 
—
 
  
 
—
 
  
 
3,434
 
  
 
13,873
 
  
 
—
 
  
 
898
 
  
 
14,771
 
Transfer Out of Level III (b)
  
 
(2,546
) 
  
 
—
 
  
 
—
 
  
 
(2,546
) 
  
 
(313
) 
  
 
—
 
  
 
(2,726
) 
  
 
(3,039
) 
Purchases
  
 
133,116
 
  
 
149,639
 
  
 
5,675
 
  
 
288,430
 
  
 
299,948
 
  
 
55,070
 
  
 
49,404
 
  
 
404,422
 
Sales
  
 
(34,315
) 
  
 
(111,167
) 
  
 
(289,993
) 
  
 
(435,475
) 
  
 
(319,161
) 
  
 
(86,725
) 
  
 
(180
) 
  
 
(406,066
) 
Issuances
  
 
—
 
  
 
9,561
 
  
 
—
 
  
 
9,561
 
  
 
—
 
  
 
50,689
 
  
 
—
 
  
 
50,689
 
Settlements (c)
  
 
—
 
  
 
(14,110
) 
  
 
(10,160
) 
  
 
(24,270
) 
  
 
—
 
  
 
(33,796
) 
  
 
528
 
  
 
(33,268
) 
Changes in Gains (Losses) Includedin Earnings
  
 
(65,491
) 
  
 
871
 
  
 
(1,404
) 
  
 
(66,024
) 
  
 
98,167
 
  
 
7,011
 
  
 
(4,291
) 
  
 
100,887
 
 
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Balance, End of Period
  
 $
2,703,592
 
  
 $
95,532
 
  
 $
77,142
 
  
 $
2,876,266
 
  
 $
4,338,509
 
  
 $
307,288
 
  
 $
74,604
 
  
 $
4,720,401
 
 
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Changes in Unreali
zed Gains (Losses) Included
in Earnings
Related to Financial Assets Still Held at the Reporting Date
  
 $
(39,295
) 
  
 $
(793
) 
  
 $
(3,305
) 
  
 $
(43,393
) 
  
 $
72,029
 
  
 $
1,737
 
  
 $
534
 
  
 $
74,300
 
 
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
 
            
            
            
            
            
            
 
 
Level III Financial Liabilities at Fair Value

Three Months Ended March 31,
 
 
2024
 
2023
 
 
Freestanding
 
Other
 
 
 
Freestanding
 
Other
 
 
 
 
Derivatives
 
Liabilities
 
Total
 
Derivatives
 
Liabilities
 
Total
                                                                             
Balance, Beginning of Period
  
 $
563,986
 
  
 $
1,651
 
  
 $
565,637
 
  
 $
48,581
 
  
 $
8,144
 
  
 $
56,725
 
Transfer In Due to Consolidation and Acquisition
  
 
—
 
  
 
—
 
  
 
—
 
  
 
—
 
  
 
2,300
 
  
 
2,300
 
Changes in Losses (Gains) Included in Earnings
  
 
82,016
 
  
 
(260
) 
  
 
81,756
 
  
 
154,838
 
  
 
(2,226
) 
  
 
152,612
 
 
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Balance, End of Period
  
 $
646,002
 
  
 $
1,391
 
  
 $
647,393
 
  
 $
203,419
 
  
 $
8,218
 
  
 $
211,637
 
 
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
Changes in Unrealized Losses (Gains) Included in Earnings Related to Financial Liabilities Still Held at the Reporting Date
  
 $
82,016
 
  
 $
(260
) 
  
 $
81,756
 
  
 $
154,838
 
  
 $
(2,226
) 
  
 $
152,612
 
 
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
 
(a)
Represents freestanding derivatives, corporate treasury investments and Other Investments.
(b)
Transfers in and out of Level III financial assets and liabilities were due to changes in the observability of inputs used in the valuation of such assets and liabilities.
(c)
For Freestanding Derivatives included within Other Investments, Settlements includes all ongoing contractual cash payments made or received over the life of the instrument.