HMC Capital, a recognized financial advisory and investment firm, has signed a distribution agreement with DoubleLine Capital, a leading Los Angeles-headquartered investment management firm founded by Jeffrey Gundlach.
Following this agreement, HMC will distribute DoubleLine’s strategies, including the Shiller Enhanced CAPE investment strategy for institutional investors in Chile and Peru. The investment strategy is classified by research firm Morningstar as Large Cap Blend equity.
The DoubleLine Shiller Enhanced CAPE strategy seeks to outperform the S&P 500 index. The primary source of return is the portfolio’s exposure to the Shiller Barclays CAPE U.S. Core Sector Net ER USD Index NoC (CAPE Index), obtained through derivatives. A secondary source of return is achieved by actively investing the net assets in fixed income securities, which also collateralize the derivatives. Under the investment strategy’s “double-value proposition” net of costs, one dollar invested in the portfolio obtains one dollar exposure in the fixed income portfolio and one dollar of exposure to large-cap U.S. stocks via the CAPE index.
DoubleLine Capital and its related companies (“DoubleLine”) is an investment adviser registered under the Investment Advisers Act of 1940. DoubleLine and its related entities manage over 150 billion dollars in assets across all vehicles, including open-end mutual funds, collective investment trusts, closed-end funds, exchange-traded funds, hedge funds, variable annuities, UCITS and separate accounts.
The agreement with DoubleLine strengthens HMC Capital’s goal of representing leading fund managers in equities and fixed income globally, offering specialized investment opportunities to its clients.
“The DoubleLine Shiller Enhanced CAPE investment strategy has consistently outperformed the S&P 500 with its double-value enhancement proposition,” said Nicolás Fonseca, Head of Institutional Sales from HMC Capital. “DoubleLine is one of the top asset managers globally. We look forward to working with DoubleLine and are proud to represent and help expand the firm’s presence in Latin America.”
“It is important for us to have strong local representation in order to better serve our clients,” said Joel Peña, Head of Institutional and Intermediary Relations for DoubleLine in Latin America and the Caribbean. “We are therefore delighted to now have a strategic partnership with a firm like HMC Capital, a group of highly regarded professionals that have demonstrated a strong commitment to investors”.