How Highland Capital Management Approaches Investing

Highland Capital Management, L.P. is a financial company that is based in Dallas, Texas. It is an SEC-registered investment advisor who specializes in providing alternative asset funds to its clients. It is a company that was founded by two people with experience in the financial industry, James Dondero and Mark Okada. Visit highland.com to know more.

As of today Highland Capital Management now has about $15.4 billion in assets under management. They offer credit strategies such as long-only funds, credit hedge funds, collateralized loan obligations, and distressed private equity. They offer a number of alternative investment funds to investors such as natural resources, currencies, and emerging markets.

Many different types of investors use Highland Capital Management’s funds. This includes other financial firms, public pension plans, other government entities, as well as foundations and endowments. High net-worth individuals also own Highland Capital Management funds in order to diversify their investments.

The Highland Small Cap Equity fund had an outstanding return in 2016. It returned about triple what the S&P 500 fund had returned for the year. A large portion of the return was due to investments the managers of the fund had made in pipeline partnerships when the value of a barrel of oil had bottomed out. One of the managers of the fund, Michael Gregory, had said that none of the partnerships they invested in cut their dividends in 2016 which led to the outsized performance. Read more at Biz Journals about Highland Capital.

For 2017 the Highland Small Cap Equity fund is concentrated on health care stock. Gregory has said that the U.S. government is starting to address the abuse of opioid’s which has resulted in a public health epidemic across the nation. One of the ways the epidemic is being addressed is by fast-tracking the FDA approval process for a new generation of pain relievers which are less addictive and more difficult to abuse.

Beyond Highland Capital Management’s role in the financial industry, it also has a philanthropic arm. This arm is led by Linda Ownes as the charitable giving manager. Since 2005 Highland Capital Management and its partners have donated over $10 million to various nonprofits across the globe.

Read: https://www.crunchbase.com/organization/highland-capital-management

Leave a Reply

Your email address will not be published. Required fields are marked *