Competitive Edge – Hildene Capital

WHAT WE DO

Hildene has a unique approach to determining value by considering the value of the asset, the options and the structure. Hildene actively evaluates investment opportunities, with nimble allocations that pivot between the asset and liability sides of the balance sheet throughout the credit lifecycle.

Our experience in the space suggests that certain asset and/or structural nuances are occasionally overlooked or misunderstood; our option-based investing approach aims to identify and profit from these mispricings.

Hildene’s opportunistic approach allows us to add value at all points of the credit cycle.

HOW WE ARE DIFFERENT

The below attributes motivate Hildene to continue to identify high return opportunities, maintain discipline in our allocation of capital, and remain focused on long-term economic alignment with investors.

Buying Inefficiency

Hildene’s investment process is founded on a disciplined and systematic methodology that centers on a bottom‐up, price‐disciplined approach, targeting securities that exhibit fundamental, structural and/or option value.

Hildene breaks down investments into these components and seeks to “buy inefficiency”.

Alignment of Interests

We believe in alignment of interests, supported by (1) significant manager investment alongside our investors; (2) a history of voluntary capital returns, and (3) a reputation for transparency with its prospective and existing investors.

Manage Scale

Investing in inefficient and/or smaller markets requires an assessment of scalability versus the opportunity set, which may change depending on the market environment.

Hildene carefully manages the scale of each opportunity and has closed its funds to investors on multiple occasions.

Technology Infrastructure

Delivering alpha in structured products requires a robust infrastructure to analyze and understand data at a granular level, coupled with a seasoned investment team who understands the nuances of credit securities and their structures.

Hildene’s tenured investment team and technology infrastructure allows us to analyze, identify and source opportunities that other market participants often fail to realize.