KKR's fourth quarter profit surged as the private equity giant recorded stronger investment income, driven by a rise in dividend income and net gains from investments.

"Our private equity portfolio and our balance sheet both appreciated 24% in 2012, outperforming the S&P 500 and MSCI World indices by over 700 basis points," chief executive Henry Kravis said. "In addition, in 2012 we completed transactions which returned over $9bn to all investors in our private equity funds and co-investment vehicles, the highest figure in our 36-year history."