Penn Capital is a boutique, SEC registered investment management firm that specializes in the leveraged finance market – the credit and equity of non-investment grade companies.
Penn Capital distinctly integrates credit and equity research with a Complete Capital Structure Analysis®. We believe this approach offers an advantage in the identification of mispriced securities, capital structure catalysts, and risk mitigation. We offer clients access to investment strategies through public mutual funds, private funds, and custom managed accounts.
Founded in 1987, our firm of 28 employees, 18 partners, and a 15-member investment team specializes in the fundamental, bottom-up research of underfollowed, speculative grade companies.
Through our foundation, programs, and support of other organizations, we are dedicated to being a partner in our community. We believe firm success should be measured not only by investment performance, but by the positive impact we make to the community.
We pair qualitative research with quantitative risk management to target market inefficiencies with high conviction. We believe our capacity constraint, discipline, and specialization allows us to provide clients with durable sources of alpha and downside protection.
Penn Capital credit strategies seek durable high income with downside protection. The strategies pair fundamental, bottom-up research with quantitative risk management to actively target relative value, quality, and other credit factors with high conviction. The strategies maintain capacity integrity, establishing a liquidity advantage versus larger managers and ETFs. This allows for more effective building of portfolios and selling on our terms.
Penn Capital equity strategies seek to optimize the risk-return potential of small to mid cap stocks. The strategies pair fundamental, bottom-up research with quantitative risk management to actively target equities exhibiting positive capital structure catalysts. Penn Capital’s Complete Capital Structure Analysis® seeks to gain an informational advantage on companies exhibiting inefficient pricing and low research coverage.