Long / Short Credit

Investment Philosophy

We believe that the credit markets offer premium risk-adjusted return potential that can only be captured through superior credit research. In seeking to generate consistent returns without incurring undue risk, we focus on proprietary, in-depth fundamental research (free cash-flow and balance sheet analysis) and capital structure and covenant analysis. We perform detailed reviews of management and industry trends and target duration neutral portfolios. We attempt to maximize upside potential while seeking to achieve capital preservation. We actively look to exploit market mispricings – our fundamental credit analysis implemented within a disciplined but active trading framework.

Investment Process

The Long / Short Credit strategy seeks to produce positive total returns in all market environments by employing multiple credit-based investment strategies while minimizing interest rate duration exposure. The evaluation of a specific credit is conducted over a 5-step selection process that is explained below. Each credit will be scrutinized through the first 4 steps of this process before it can be added to the portfolio.

Idea Generation
Research Trading Portfolio Management
> Security specific
> Capital structure
> Credit trends
> Industry analysis
> Dislocations
> Levels & Liquidity
> New-issues
> Dealer relationships
> Macro Fashion
> Valuations
> Investment outlook

Investors should carefully consider their investment objectives, risks, fees, charges and expenses before investing any money. To obtain this and other information, please email asklogan@lcpim.com to request more information. Please review the Terms of Use of this site for additional details.