Anchorage Capital Group, L.L.C. Profile
Anchorage Capital Group, L.L.C. is a hedge fund sponsor based out of New York City. The company was established in 2003 and has grown from its inception to now have 144 employees of which 58 are investment professionals. Anchorage Capital Group “manages private investment funds across the credit, special situations and illiquid investment markets of North America and Europe using an active long and short basis, with particular focus on defaulted and leveraged issuers.” The company conducts its research both internally and externally and utilizes a fundamental methodology to make its investment decisions. Anchorage Capital Group invests most heavily in the finance sector, which alone makes up almost two thirds of its total asset allocations, and also invests in consumer discretionary, energy and industrials sectors, among other sectors such as materials and transports to a lesser degree, in order of decreasing allocation. The company’s top 10 holdings make up over three quarters of its total asset allocations and the company has a high turnover rate of approximately 65.4%. Anchorage Capital Group’s top holding in SPDR S&P 500 ETF Index Depositary Receipts alone makes up over 40% of its total holdings. The company currently holds over $21.6 billion in total assets under management spread across 40 accounts, all of which are discretionary. Both of Anchorage Capital Group’s total number of accounts and total assets under management have been increasing in recent years with its total managed assets growing significantly from $7.6 billion back in 2010 to approaching 3 times that amount today. The company mainly caters to pooled investment vehicles, which alone makes up the majority of its client base, and also provides its services to other client types, mainly single investor funds. Anchorage Capital Group takes advisory fees in the form of a percentage of assets and various performance based fees.