Southland Capital Management (“SCM” ) is an Investment Adviser registered in California, based in Santa Monica and Palm Desert.The firm was founded in 2008 by two experienced financial services professionals with a background in arranging and managing investment partnerships involved in the buy-outs of private companies. We saw an opportunity to sponsor alternative investment products that would seek to achieve returns comparable to long term, illiquid investments in private equity, but with investor-friendly features more common to shorter term, publicly-traded investments.
SCM’s principal expertise is in the $2 trillion market of publicly traded leverage finance to U.S. private companies. Our initial focus was on the Business Development Company sector, which provides financing to middle and lower-middle market companies involved in buy-outs and recapitalizations. We have subsequently expanded our coverage to include the High Yield Debt and Floating Rate Loan sectors, which provide financing for larger, below investment grade companies.
To date, SCM has sponsored two alternative private funds focused on publicly-traded, non-investment grade debt investments. BDC Fund II, L.P. was launched in October 2009 for American high net worth investors seeking high returns from dividend income and capital appreciation. BDC Fund III, L.P. followed in February 2011, targeted at overseas investors. Both funds have identical strategies but the minimum investment requirement for BDC III is higher than BDC II, and the fee structure different.
* Registration as an investment advisor does not constitute an endorsement by the SEC or any other regulatory authority, nor does it imply that Southland Capital Management has attained a certain level of skill or ability.
Nicholas Marshi is a co-founder and Chief Investment Officer (CIO) of Southland Capital Management. He is responsible for the firm’s investment management, and the editor of The BDC Reporter, SCM’s highly regarded online publication about the $2 trillion Leveraged Debt industry
Prior to forming SCM, Mr. Marshi, with Mr. Hansen, was a co-founder and principal of Southland Capital Partners (“SCP”), a Los Angeles based private equity firm. SCP was established in 1998 in Los Angeles, California in order to acquire controlling interests in middle market companies based in the Southern California region. SCP acquired several companies , one of which is still under the firm’s management. Prior to forming SCP with Mr Hansen, Mr. Marshi managed Kensington Capital Corporation (“KCC”), another private-equity investment firm. Founded in 1990, KCC specialized in acquiring control interests in privately-held, SouthernCalifornia based middle market companies.Prior to establishing KCC, Mr Marshi was the head of the Los Angeles office of Kleinwort Benson Limited, a British merchant bank, from 1987-1990. Mr Marshi managed a nine person office, and was involved in leading investment banking, lending and principal investing activities (both directly in middle market companies and in funds managed by Kleinwort Benson and other institutions). Before that, Mr Marshi held various positions with Citibank at locations worldwide including Athens, Dubai, Puerto Rico and London.
Mr Marshi is a graduate of Tufts University (B.A.) and Harvard University (M.A.).
William (“Bill”) Hansen is a co-founder of SCM, and the firm’s Chief Marketing Officer (“CMO”). He is responsible for marketing the SCM’s services to accredited investors, performance reporting and investor relations.
Prior to co-founding both SCM in 2008 and SCP in 1998, Mr Hansen ran his own investment banking firm-Hansen Capital. Established in 1990, Hansen Capital was principally involved in identifying potential M&A prospects for would-be buyers. Hansen Capital was also involved in arranging debt financings for borrowers. Mr. Hansen began his career with Dahlke & Co., a broker dealer on Wall St. in NYC in the municipal bond-trading department in 1978. (The firm was acquired in 1986 by Mercantile House Holdings Limited.) In 1988, Mr. Hansen left Mercantile to work closely with WestSphere Capital. In 1990 Mr. Hansen relocated from NYC to Los Angeles, and founded Hansen Capital, a mergers and acquisition boutique. In 1998, Mr Hansen co-founded Southland Capital Partners (“SCP”) with Nicholas Marshi (see above).
Mr Hansen in a graduate of the University of Vermont (B.A.).