Teams

MSD Capital utilizes a multi-disciplinary investment strategy focused on maximizing long-term capital appreciation by making investments across the globe in the debt and equity of public and private companies, real estate and other asset classes.*


*If you intended to search for information relating to the Registered Investment Adviser MSD Partners, L.P. or MSD Partners’ MSD Private Capital Group, please use the following links to be redirected to their respective websites: www.msdpartners.com and www.msdprivatecapital.com.

Real Estate

MSD Real Estate pursues a value-oriented investment strategy that seeks attractive risk-adjusted returns, generally in “forever” real estate with significant barriers to entry.

The team invests across most real estate asset classes, and is open to investing in existing properties, value-added assets and ground-up development opportunities, as well as operating companies where real estate expertise and/or relationships can add value. It makes both equity and debt investments. MSD Real Estate looks for opportunities to create value through:

Direct ownership and aggressive asset management

Joint ventures with best-in-class sponsors seeking to grow their asset base

Debt investments

The team prefers situations where being a partner with MSD Capital brings value to the operating partners with whom it invests.

PUBLIC, PRIVATE & SPECIAL
SITUATION INVESTMENTS

MSD Capital has several investment teams which focus on public, private and special situations debt and equity investments.

These teams make concentrated and opportunistic investments with a focus on mispriced opportunities based on a deep understanding of each investment’s earnings potential over time.

A core differentiating feature of each team is to use the flexible and longer term nature of its capital base to find investment opportunities which fewer competitors can feasibly pursue. They are not restricted by where an investment is in the capital structure, its geographic exposure, or how it is transacted (e.g. publicly traded or privately negotiated). Each team seeks out opportunities where it can:

Develop a deep understanding of the future cash flows

Understand and quantify the risks

Acquire at valuations below the intrinsic value; which we derive through our thorough investment process

PARTNERSHIP INVESTMENTS GROUP

The Partnership Investments Group invests primarily in a select number of third-party funds for the benefit of Dell family charitable entities, including the Michael & Susan Dell Foundation.

The team applies a long-term, fundamentally-oriented view towards constructing and managing the portfolio which is primarily invested with third party managers.

It seeks to compound superior risk-adjusted returns over time by concentrating capital with outstanding managers who are interested in building economically aligned, long-term relationships with us. The team welcomes the chance to review new fund investment opportunities. Strategies that it commonly finds to be of interest include the following:

Value-oriented equity long/short (and long-biased) funds that invest based on extensive fundamental research

Fundamentally-oriented event-driven/distressed or special situation funds

Multi-strategy funds that may be comprised of several of these types of strategies

Given the team’s long-term outlook, it is not averse to funds with side pockets or longer lock-ups. It will generally consider funds that focus on any geography

Strategies that tend not to be a fit include: global macro, highly levered fixed-income arbitrage, CTAs or managed futures strategies as well as quantitative funds. Additionally, the team does not invest in new private equity, venture capital or real estate funds