In a recent interview, the co founder and President of Highland Capital Management James Dondero talked about his approach to making deals in the finance industry. James has often stated that one of the things he does when looking to make deals is to carefully evaluate all debt and credit based securities. Since his firm specializes in this very product, Dondero always looks to acquire assets that are backed by credit and debt. This has proven to make his firm highly profitable over the years. Another way in which James looks to make finance deals is by looking to securities that have the potential to turn around This means that they are securities that may be low in value but are likely to rise up within a few months. Lastly, James keeps track of all of the latest developments and trends in the securities industry in order to take advantage of new opportunities.
James Dondero co founded Highland Capital Management in the year 1990 with Mark Okada. When the firm first started out, it was a one that specialized in life insurance products. This provided consumers with a very valuable insurance policy to use. During the next few years, Dondero realized that there is a growing demand for other types of financial services. Therefore, he looked to expand on the firms offerings which would eventually include financial advice, wealth management and also the offering of collateralized loan obligations. This helped the firm set itself a part form other financial services firms during the rest of the 1990’s decade.
When James first began his career, he worked as an employee for a number of finance firms. His first job was one as a credit analyst in which he would evaluate credit based securities. With this experience, James would develop the foundation for his eventual business idea. During the next few years of his career, he would steadily get higher positions in the industry that would give him more responsibility. His last job was one as a chief investment officer where he would routinely manage billions of dollars in assets for large corporations.