Strategies

Flexibility to invest across
capital structures and geographies

 

With the approximately $26.8 billion we manage on behalf of our investors, we deploy the capital across a range of strategies with differing risk/return targets and varying vehicle structures.  We offer commingled funds and separate accounts with a spectrum of risk/return and liquidity parameters tailored to meet investors’ needs.

  • Global Bank Loans

    Global Bank Loans

    Managing approximately $11.0 billion in the bank loan asset class, Sankaty invests in senior secured, floating-rate debt through long-only, open-ended commingled funds with monthly liquidity and through separate accounts.  Our fundamental, bottom-up approach isolates good companies in attractive industries, which has resulted in lower defaults and better recoveries than the market over time.

  • High Income

    High Income

    Sankaty’s High Income Strategy identifies relative value opportunities in liquid credit across bank loans, high-yield bonds and corporate and real estate structured credit, tactically changing positioning based upon market conditions.  This long-biased strategy delivers attractive returns through the credit cycle with less volatility. We also offer a total return focused variation of this strategy that includes higher yielding, less liquid opportunities.

  • Structured Credit

    Structured Credit

    Sankaty is a seasoned CLO manager and investor with a strong track record of over 16 years.  Our dedicated Structured Products team manages North American and European CLOs and evaluates opportunities in CLO debt and equity on behalf of our funds.  In 2013, Sankaty closed its first vintage of CLO Partners, a commingled fund targeting CLO debt and equity securities in both the primary and secondary markets.

  • Middle Market Direct Lending

    Middle Market Direct Lending

    Sankaty’s dedicated Middle Market Group focuses on providing complete financing solutions to businesses with EBITDA between $10 million and $100 million located in North America, Europe and Asia Pacific.  Our dedicated global team of 24 investment professionals affords us the ability to diligence the most complex situations and provide private capital to those companies.  We also benefit from more than 110+ investment professionals within Sankaty who cover the entire leveraged finance and equity universe, providing us with in-house expertise in every industry and enabling us to respond quickly and thoughtfully to new opportunities.

    We are actively looking to lead or participate in senior, second lien and unitranche loans; subordinated debt; and preferred or common equity coinvestments for traditional leveraged buyout transactions and unsponsored refinancings.  We place considerable emphasis on finding leading companies with talented management teams, and aim to provide a tailored solution to every unique opportunity by having considerable flexibility when structuring terms.  We can hold up to $250 million in any middle market transaction and can grow with a borrower into a broadly syndicated structure through our liquid credit strategies.

    We maintain strong relationships with our existing investment partners due to our flexible capital, high certainty to close, and the value we bring both pre- and post-close. The resources and expertise that we bring to our partners provides them confidence that we can complete our diligence and reach robust investment decisions in an expeditious manner.

    Since inception, Sankaty has invested over $7.8 billion in middle market investments and brings a debt-oriented approach to this asset class, with principal protection a high priority.  Investors can access this strategy through closed-end drawdown vehicles as well as separate accounts.

    For more information on Sankaty’s Middle Market Group, or to discuss a new investment opportunity, please contact [email protected].

  • Distressed & Special Situations

    Distressed & Special Situations

    Since 2002, the Sankaty Credit Opportunities Funds have invested in higher yielding credit opportunities and special situations around the world.   Our 14 industry research teams, alongside our dedicated Restructuring Team and Portfolio Group, source and diligence global opportunities in distressed debt, capital solutions and special situations arising from dislocations in the market.  This strategy seeks to take advantage of the illiquidity premiums available in credit by utilizing closed-end, draw down vehicles that are either global or region specific.

  • Strategic Relationships

    Strategic Relationships

    Sankaty’s robust credit platform allows us to develop customized portfolios for our partners looking to implement solutions within one asset class or geography, or across the spectrum of performing and opportunistic credit.  These strategic relationships can change considerably over time based on market conditions and investor needs, offering a high degree of flexibility for our partners.