Over the past 20 years, Highland Capital Management has evolved into one of the industry’s largest and most experienced global alternative credit managers. Highland’s history began back in January of 1990 when founding partners James Dondero and Mark Okada formed a joint venture with Protective Life Insurance Corporation. The joint venture specialized in fixed income markets, including the management of senior secured bank loans. In 1993, this venture evolved into Protective Asset Management Company (“PAMCO”), an SEC registered investment advisor owned 60% by Protective Life and 40% by the founding partners.
As the company began to take off in May of 1997, James Dondero and Mark Okada purchased Protective Life’s stake in PAMCO and established Ranger Asset Management, L.P. as an independent advisor registered with the SEC. The following year, Ranger Asset Management, L.P. changed its name to Highland Capital Management, L.P. and the rest is history.
- In 2000, under the leadership of Mr. James Dondero and Mr. Mark Okada, Highland launched its first commingled bank loan fund and that same year, established an alternative investment 40 Act platform.
- Highland continued its expansion of product lines in 2004 by entering the mutual fund business with the acquisition of two floating rate funds from Columbia Asset Management.
- Highland’s global footprint expanded yet again with the firm opening its Singapore office in 2008 and Seoul office in 2011.
In addition to Highland’s vast experience and leadership, the company also pioneered the collateralized loan obligation (CLO) market having launched one of the first non-bank CLOs in 1996. Since then, Highland has structured and monitored over 39 CLOs/CDOs totaling approximately $32 billion in asset value making the company the largest CLO manager in the world by USD assets under management. (1)
Serving Institutional Investors with New Strategies
In 2000, Highland expanded its investment platform beyond separate accounts and CLOs by launching the company’s first total return strategy focusing on distressed assets. That same year, we established our first two bank loan separate accounts for large public pension plans in the U.S. and Canada. More than a decade later, Highland continues to help investors achieve their risk and return objectives through new strategies and value-oriented investment vehicles. These include a variety of institutional and retail funds with diverse strategies, including long-only credit funds, distressed for control private equity funds, long/short equity funds, ETFs, oil & gas funds, credit hedge funds, and emerging markets credit funds. Over the years, Highland has continued to prove we’re a true investment partner by putting our own skin in the game and investing alongside our clients.
Today, Highland is an independently-owned investment firm with over 20-years of experience in a broad range of products for both retail and institutional investors. We’re a rapidly growing team of over 180 employees based around the world. We’re headquartered in Dallas, Texas with a network of offices in New York City, São Paulo, Singapore, and Seoul. Our diversified client base includes pension plans, foundations and endowments, corporations, financial institutions, governments and high-net worth individuals. Highland is focused on delivering alpha and providing value to investors by offering unique products, pursuing new opportunities and passionately protecting investors’ capital.
1. Source: Moody’s CLO Interest Newsletter, July 2014