Highland Capital Management started doing business on April 1, 1993, which turned out to be a lucky day, for branching into the credit market. With approximately $18 billion in assets, Highland Capital Management now ranks as one of the world’s largest credit management firms. The company has partnered with some of the brightest and the best investors within the industry.
Founding a credit management firm was a risky idea, for CEO James Donero and CFO Mark Okada, both founding partners of Highland Capital Management, but it has become a very lucrative investment. At a time when there weren’t many competitors in the credit market, the firm had a pathway, for structuring a unique position in order to gain leeway over the marketplace.
The industry has changed drastically since that time, with Highland Capital Management now competing against upwards of 400 other companies they have to contend with. In today’s large marketplace, Highland Capital Management competes against a $1.2 trillion credit market. The firm has taken the challenge to raise the bar, for its own success and accountability.
Highland Capital Management is one of the few credit and asset management firms that remain independent. As an independent firm, Highland Capital Management is able to build a culture of investors that aligns with the firm’s mission and sustaining growth in the market. The hallmark of the company’s mission is the operational strategy of investing as a core purpose, for building the enterprise.
The investment strategy of Highland Capital Management is to utilize a bottom-up analysis along with a disciplined approach of a risk assessment, portfolio monitoring, and rigorous credit research. Using that type of a strategy allowed the firm to trade over $17 billion of structured credit in the last decade, by specializing in collateral loan obligation management (CLO).
In May 2017, Highland Capital Management was recognized by the Creditflux Credit Symposium and Manager Awards, for achieving the best CLO fund. The award is given to firms that achieve the best vitality-adjusted weighted performance. This marks the second consecutive year, for Highland Capital Management receiving the award.