UPDATE: Bank of America Initiates Coverage on Oaktree Capital Group

According to a research report published this morning, Bank of America has initiated Oaktree Capital Group

with a Buy rating and $54 PO. In the report, Bank of America said, "OAK differentiates itself by taking a more credit-oriented, crosscapital structure approach, which we believe allows it to be more nimble in economic downturns (and take advantage of distressed situations). Overall, Alternative Fund assets grew significantly in the last 10 years, helping drive 14% annual AUM growth for OAK since 2000. AUM growth has slowed, but is to a degree sustainable, as secular trends are favorable, particularly as OAK's core credit strategies increasingly gain interest from LPs. '12E ANI is $2.78 and '13E is $5.59. ENI is $3.77 and $5.42, respectively." Oaktree Capital Group closed yesterday at $38.80.