Micro Cap

Inception Date:

Investment Philosophy

Penn Capital’s Complete Capital Structure Analysis® of micro capitalization companies with complex balance sheets captures inefficiencies that traditional equity analysts, with little bond/covenant exposure, frequently avoid. Our private equity approach to public markets targets undervalued companies moving towards their optimal capital structure, resulting in a unique return profile with a greater M&A experience than the Russell Microcap Index. Differentiated return profile characteristics:

  • High active share, low peer holdings overlap/correlation, high M&A premiums, private equity return catalysts
  • Top-ranked market capture versus majority of peers exhibiting defensive return profile
  • Focus on full market cycle; long-term performance in line with private equity market