U.S. Opportunistic High Yield
Management & Investment Process
Management
The investment team leverages high degrees of experience and knowledge within a disciplined investment process. Learn more about the Team.
-
David J. Breazzano
Head of Team, Portfolio Manager
-
40
- Years Industry
Experience
-
-
Benjamin J. Santonelli
Portfolio Manager
-
17
- Years Industry
Experience
-
-
John W. Sherman
Portfolio Manager
-
17
- Years Industry
Experience
-
-
Investment Process
The strategy seeks to exploit inefficiencies in the middle market and lower-tier segments of the high yield market and has the flexibility to invest across the capital structure. Polen Capital Credit aims to identify mis-priced credit risk and construct a portfolio with a significant yield advantage relative to the applicable benchmark.
-
Bottom-up Fundamental Research
- Analyze entire company, not just an individual bond/loan tranche
- 360-degree view of business – customers, suppliers, competitors
- Identify sustainable competitive advantages
-
Cash Flow
- Understand how a target company generates cash
- Assess durability and sustainability of cash flow
-
Minimize Credit Losses
- Calculate and continuously monitor company’s total enterprise value
- Focus on loan-to-value and cash flow
- Only invest in securities with appropriate margin of safety
- ESG factors evaluated for each investment
-
Legal Protections
- Understand contractual protections in debt agreements
- Assess "waterfall of value" and downside scenarios
-
Portfolio Construction
- Security selection drives performance
- No macro bets or themes
- Construct concentrated portfolios – overweight high confidence positions
- Flexibility to invest across the capital structure - bonds and bank loans
- Long-term investment horizon
- Limited exposure to stressed/distressed securities
- Monitor to provide for appropriate diversification and liquidity
-
Other Strategies Managed
You are now leaving the Polen Capital Funds website and entering the Polen Capital website.
Proceed
Cancel