Although Highland Capital Management is located in Dallas they also operate in Korea. One of their equity funds based on healthcare has been closed with capital commitments totaling $147 million. NPS is an abbreviation for the National Pension Service in Korea. When it was incepted in 1988 the value was roughly $499.8 billion. Reports from the Sovereign Wealth Fund Institute have established their corpus at $465.13 billion. There are objections from the Highland fund’s investors regarding the NPS Korea and their returns from investments including their co-investment access regarding strategic investments placed in China, the United States, and Korea.
The fund is being co-managed by a Korean venture firm, Stonebridge Capital and Highland in Asia. This is the first time Highland has had a fund in Asia for healthcare. The investors in Asia have shown an increasing interest over the last two years although most of the investments were made with multi-purpose funds or directly. As stated by Carl Moore, Highland’s managing director for the fund, their strategy involves aligning the core capabilities of the company with their knowledge regarding the healthcare sector. He feels in fifteen years the company’s biggest exposure to the industry has been through the healthcare sector.
The fund is focusing on healthcare companies occupying the middle market in both Asia and North America. In excess of $1.5 billion is assets have been delegated to this field as of 2017. Matt Jameson is Highland Capital’s managing director and believes the healthcare sector in the United States is facing numerous disruptive forces that are having an effect on the middle market firms. He feels the demands being placed on this sector are from the demands of governments and consumers. Significant opportunities for investors in the healthcare sector are being created by the reimbursement models. Highland Capital currently has $15 billion in their credit strategies.
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