Highland Capital Management has been operating since 1993. The firms main offices are in Dallas, TX., with another office in New York City and two overseas branches located in London and Singapore
Highland Capital Management currently manages over 20 billion dollars in assets and one of their best investments is their ‘Highland iBoxx Senior Loan ETF.’
Let’s break this down so it is easier to understand.
iBoxx is basically a very reputable source of information updating daily that allow the top analysts to evaluate on a daily basis regarding how they should treat certain investments as far as evaluation of performance in certain areas of investment to allow a for better resource allocation leading to a greater profit.
SUBHEADING: ‘Senior Loans’ and ‘Leveraged Loans’
A ‘Leveraged Loan’ is to a company that already carries a considerable amount of debt. Any lenders will therefore only offer this type of loan with a high interest rate created a higher rate of return on their investment.
Senior Loans are extended lines of credit that have a priority when it comes to the assets of a company. In other words, should anything happen, they are first in line when debtors come calling to receive the return of their principle.
Senior loans not only have the potential for a high rate of return they are also normally short in duration and are diversified to reduce any risk to the capital investment.
‘EFT’ stands for ‘Exchange-Traded Fund’ which simply means certain assets are bought and sold on a daily basis by corporations and other investment firms and the only important aspect here is an EFT is not owned by the individual shareholders it is pwned by the investment firms who then pay out dividends to the shareholder.