Brigade Capital Management LP
Last Updated: 1/27/2021
Brigade Capital Management LP is a Limited Partnership that started in 2006 and is primarily owned and controlled by Donald E Morgan.
Brigade Capital provides discretionary investment advisory or sub-advisory services to its clients which include: private investment funds for institutional and other sophisticated investors; separately managed accounts, including accounts established by registered investment companies ; joint venture arrangements with unaffiliated third parties; and other institutional or sophisticated investors.
Brigade Capital Management LP operates out of an office in New York, NY. Based on the Form ADV filed on 2020-09-28 00:00:00, the investment firm is comprised of 101 employees, only 41 of whom performs investment advisory functions.
Fact Sheet
- Name: Brigade Capital Management LP
- CRD No: 144078
- Filing Recorded: 2020-09-28 00:00:00
- Year of Origin: 2006
- Employees: 101
- Clients: 96
- AUM: 20,644,356,759
- Management Fee: .3 to 1.5 Percent
- Performance Fee: 15 to 25 Percent
- Client Type: Investment Companies, Pooled Investment Vehicles, Pension and Profit Sharing Plans, State or Municipal Government Entities
- Assets Traded: Exchange-Traded Equity Securities, Non Exchange-Traded Equity Securities, US Government Bonds, US State and Local Bonds, Sovereign Bonds, Investment Grade Corporate Bonds, Non-Investment Grade Coporate Bonds, Other
Contact
- Website: http://www.brigadecapital.com/
- Email: [email protected]
- Telephone: 212-745-9700
- Address: 399 Park Avenue, New York NY 10022
Investment Strategy
According to the brochure submitted to IAPD, Brigade Capitals investment strategy is as follows:
Brigade has seven primary investment strategies, they are:
Leveraged Capital Structures - Brigade manages Advisory Client portfolios that use a multi-strategy long/short investment strategy that focuses on investments throughout the capital structure of U.S. and international leveraged companies. The primary investment universe for these portfolios includes any issuer with debt or debt-like obligations rated below investment grade by one or more of the major rating agencies, or securities trading at yields comparable to the high yield market.
Credit Strategies - Brigade manages Advisory Client portfolios that focus primarily on investments in the credit markets and, more specifically, in secured bank loans. In addition to first lien senior secured loans, these portfolios may also invest in unsecured loans, second lien loans, mezzanine securities, debtor in possession loans, secured bonds and unsecured bonds.
Distressed Investing - Brigade manages Advisory Client portfolios that focus on distressed debt investing, capital structure arbitrage, leveraged and distressed equities, short positions in imminent bankruptcies, postreorganization equities, trade claims and merger arbitrage.
Arbitrage/Derivative Strategies - Brigade manages Advisory Client portfolios that utilize a multi-strategy approach which includes one or more of the following: shorter maturity bonds versus credit default swaps (“CDS”); longer maturity bonds versus CDS; matched maturity bonds versus CDS; and long-protection positions in single-name CDS.
Structured Credit Strategies - Brigade manages Advisory Client portfolios that focus on structured credit instruments, primarily long and short positions in the U.S. and European high yield and investment grade index tranches. These portfolios may also invest in U.S. and European CLO equity and debt, as well as CMBS, single-name CDS contracts, etc.
Energy Strategies - Brigade manages Advisory Client portfolios that focus on the long and short opportunity set within the energy sector. In addition to the bond, bank debt and equity prospects in the space, these portfolios may invest in rescue financing and second lien opportunities developing across the various subsectors.
Aviation Strategies - Brigade’s aviation strategies generally involve investments in aviation-linked securities and aircraft, including engines, parts and lease equity.
Methods of Analysis
In addition, Brigade Capitals methods of analysis include:
Brigade utilizes a variety of resources or services to form an investment idea or strategy. In general, Brigade researches and screens investment ideas from quantitative and qualitative points of view. Research typically includes reviewing the prospectus of a company as well as financial statements and regulatory filings. Brigade often seeks to speak with company management, analysts and seasoned sales professionals at major broker-dealers, third party industry experts, and others industry participants. Brigade also generates ideas by reviewing industry reports and having discussions with third party industry experts. In addition, Brigade develops and closely reviews internal valuations for potential investment targets, including asset coverage, free cash flow, and overall likelihood and severity of default.
Top 10 Holdings from Form 13F
Reporting Period: 09/30/2020
| Issuer | Share | Value(1000s) | Put/Call |
|---|---|---|---|
| SPDR S&P 500 ETF TR | 1,394,000 | 466,837 | Put |
| ISHARES TR | 3,655,000 | 306,655 | Call |
| ISHARES TR | 1,895,000 | 283,852 | Put |
| SPDR S&P 500 ETF TR | 720,000 | 241,121 | Put |
| ISHARES TR | 2,345,000 | 196,746 | Call |
| ISHARES TR | 1,300,000 | 194,727 | Put |
| ISHARES TR | 1,500,000 | 125,850 | Put |
| LIBERTY MEDIA CORP DEL | 128,261,000 | 93,631 | |
| SPDR GOLD TR | 360,000 | 63,763 | Call |
| ISHARES SILVER TR | 2,100,000 | 45,444 | Call |
Historical 13F Filings
EdgeGiant has compiled all 13F filings since Q2 2013 for your convenience. You can view historical portfolio position forBrigade Capital Management LPin our 13F section HERE.
To get the comprehensive list of holdings that fall under 13F regulatory guidelines, check out our write up on how to access and use 13Fs in your personal investment decisions.