James Dondero’s Input In Investment Approaches At Highland Capital

James Dondero is the associate founder of Highland Capital Management. With an experience stretching to almost three decades in the field of credit markets, Dondero was amongst the very first people to launch the non-bank CLOs (Collateralized Loan Obligations) in 1996.

The fund management techniques applied by James Dondero have been acknowledged by top industry publications and organizations, with the inclusion of Morningstar’s 5-star award for Global Allocation in 2014; Morningstar’s number one rates Healthcare short/long equity funds in 2014; and the Lipper Award for the Floating Rate Opportunities in 2014.

James presently serves in the Board of Directors for the Metro-Goldwyn Mayer Studios and American Banknote Corporation; and is also the chairperson in the board of directors at CCS Medical Corporation, Cornerstone Healthcare and Nexbank.

James Dondero went to the University of Virginia where he got a Degree in Commerce with a major in Accounting and Financing. He is additionally a Chartered Financial Analyst, a Certified Public Accountant and a Certified Management Accountant.

The investment approach at Highland Capital on Credit is to be able to produce above average, reliable returns through the application of time-tested techniques of maintaining discipline and investing around the perseveration of capital while targeting the return balance or risk in their portfolios. Their major focus is on asset classes and strategies when they feel they can add significant value to their investors by either in the provision of unique access to asset classes or unique skills and expertise to the process of investment.

Their philosophies are centered on three core principles: bold, disciplined and experienced. The company’s experiences that stretch to more than 20 years in the alternative forms of investing has led to the refining of their processes to be able to generate more alpha through time. Highland Capital combines their top-down risk managing frameworks with the basis of robust bottoms-up research methods across their portfolio.

The portfolio managers and CIOs are in charge of setting the portfolio risk objectives and top down risks potions for the corporation. There is the existence of strong two-way dialogues between the portfolio manager, the CIO and the research professionals, based on the frequent and active communications.

Highland’s time-tested processes in investment are rooted in their capability of identifying mispricing by use of robust basic analysis, very agile trading abilities, monitoring and proactive diligence. The team that handles investment comprises of industry-focused experts who have an approximate of 11 years of experience in the investment field. The professionals are accountable for reviewing of the existing investments, evaluation of activities across structures of issuers capital and monitor trends within the entire industry.


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