Hildene’s core strategy is buying and holding attractive structured finance assets (in both relative and absolute terms), which may be mispriced due to factors such as inefficient markets, misunderstood value, product/business complexity, as well as other unique characteristics.
Hildene uses conservative investment principles, including:
- A proven discipline of patience and innovation to find overlooked market opportunities in structured credit
- Focus on capital preservation and current returns
- A “bottom-up” investment approach to identify deep value assets with asymmetric return profiles
- Broad position diversification
- Constant monitoring of asset performance, structures and counterparties
- Targeting low correlation to the broadly-based stock and bond indices
Hildene’s breadth and depth of expertise allows it to look at complex structured credit situations to opportunistically uncover value dislocations.
Much of Hildene’s analysis is completed in advance of a potential investment opportunity being executed. We believe that one must be proactive to be reactive. When opportunities present themselves, one must be prepared to move swiftly, as investments can quickly disappear and may never again be seen in the same context.