James Dondero of Highland Capital Management has control of over $20 billion in managed funds, and he is making changes that will impact the future of his fund in a positive way. Every hedge fund from around the country must report their earnings and portfolio changes on a quarterly basis, and the Highland Capital Management team has ensured a strong year in 2016 by making solid changes to their holdings. This article explains how Highland Capital Management has made huge gains by alter some of their holdings.
Jim directed his team to purchase many shares of companies like Amazon and Eagle Pharmaceuticals. Amazon is one of the largest technology firms in the world, and Eagle Pharmaceuticals is an equally-large medical firm. The purchase of shares of both companies indicates a shift in the business model for HCM, and the shift will result in considerable profits for the company.
#2: Why Is Amazon So Popular?
Amazon appears to have new technology coming out all the time, and there is no stopping the company from releasing new technology that will increase its value. Jim prefers to hold onto as many shares of amazon as possible to ensure that he is working with one of the most valuable companies in America. James has moved into other technology stocks that are worth having, but Amazon is the crown jewel of his technology holdings.
#3: Why Invest In The Medical Industry?
The medical industry is helping care for people and give them medication. Eagle Pharmaceuticals is a wonderful company that is expanding at a high rate, and there are many other large medical firms that are growing at a similar rate. Jim knows that many companies in the healthcare industry are worth investing in, and he is turning the attention of his American holdings to as many of these firms as possible.
#4: HCM Has Quite A Lot Of Money Invested In America
HCM has a quarter of its holdings in America today, and that amounts to around $4 billion. The money that HCM has invested in America will be used primarily for very strong tech and medical companies that Jim believes are the wave of the future.
Jim Dondero has turned a corner at HCM, and he is using his portfolio to increase profitability or the future. His recent acquisition of Amazon and Eagle shares indicates a new approach.