Beach Point Capital Management (Beach Point) is an American

hedge fund A hedge fund is a Pooling (resource management), pooled investment fund that holds Market liquidity, liquid assets and that makes use of complex trader (finance), trading and risk management techniques to aim to improve investment performance and ...

management firm headquartered in

Santa Monica, California Santa Monica (; Spanish language, Spanish: ''Santa Mónica'') is a city in Los Angeles County, California, Los Angeles County, situated along Santa Monica Bay on California's South Coast (California), South Coast. Santa Monica's 2020 United Sta ...

.The firm focuses on

credit Credit (from Latin verb ''credit'', meaning "one believes") is the trust which allows one party to provide money or resources to another party wherein the second party does not reimburse the first party immediately (thereby generating a debt) ...

related investments. Outside the U.S., it has offices in London and

Dublin Dublin is the capital and largest city of Republic of Ireland, Ireland. Situated on Dublin Bay at the mouth of the River Liffey, it is in the Provinces of Ireland, province of Leinster, and is bordered on the south by the Dublin Mountains, pa ...

Background

Carl Goldsmith and Scott Klein were employees of Post Advisory Group, a credit investment firm that was acquired by

Principal Financial Group Principal Financial Group, Inc. (PFG) is an American global financial investment management and insurance company headquartered in Des Moines, Iowa, United States. History PFG was first founded under the name Bankers Life Insurance Company. Ba ...

in 2003 and was fully owned by 2008. In early 2009, Goldsmith and Klein struck a deal to buy Post Advisory's hedge fund business from Principal and added

asset management Asset management is a systematic approach to the governance and realization of all value for which a group or entity is responsible. It may apply both to tangible assets (physical objects such as complex process or manufacturing plants, infrastr ...

contracts. The independent business was renamed to Beach Point Capital Management and a significant number of Post Advisory's employees left to join it including its Chief investment officer. Within a year of its founding, Beach Point became the 83rd biggest hedge fund firm in the world, ahead of

Marshall Wace Marshall Wace LLP is a British hedge fund headquartered in London, England, founded by Paul Marshall and Ian Wace in 1997. Marshall serves as chairman and chief investment officer, and Wace as a chief executive officer & chief risk officer. The ...

and

Tiger Global Management Tiger Global Management, LLC (often referred to as Tiger Global and formerly known as Tiger Technology) is an American investment firm founded by Chase Coleman III, a former Tiger Management employee under Julian Robertson, in March 2001. It ma ...

. In August 2014, real estate firm Variant Holding filed for

bankruptcy protection Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the deb ...

. Beach Point which was owed more than $73 million tried to oust the management of the firm and presented to the court it had amassed evidence of "rampant fraud" by the company to "line the pockets of insiders." In 2015, a settlement was reached where the chief restructuring officer took control of the firm and Beach Point was allowed to select a third member to the board. In January 2016, Variant Holding sold more than 20 apartment buildings to Beach Point as part of the bankruptcy procedure. Beach Point entered the Irish market via acquisition of a portfolio of loans originated by BMS Finance Ireland. The portfolio included credit advanced to Maximum Media and Irish Studio. In July 2019, it was reported that Beach Point had provided backing to the owners of the ''

Sunday Business Post The ''Business Post'' (formerly ''The Sunday Business Post'') is a Sunday newspaper distributed nationally in Ireland and an online publication. It is focused mainly on business and financial issues in Ireland. Founding to Irish financial crisi ...

''. In May 2024, it was reported that Beach Point purchased the $112 million note on

Hotel Bossert The Hotel Bossert is a former hotel in the Brooklyn Heights neighborhood of Brooklyn in New York City. Opened in 1909, it was bought by the Jehovah's Witnesses in 1983 and used by them until 2012, when it was sold for conversion back to a hotel. ...

and were in talks with the Chetrit Group to reopen the hotel. In September 2024, it was reported that Beach Point acquired Metro Franchising, one of the largest franchisees of

Dunkin' Donuts DD IP Holder LLC, doing business as Dunkin', and originally Dunkin' Donuts, is an American multinational coffee and doughnut company, as well as a quick service restaurant. It was founded by Bill Rosenberg in Quincy, Massachusetts, in 19 ...

References

External links

* {{Hedge funds 2009 establishments in California Alternative investment management companies American companies established in 2009 Companies based in California Financial services companies based in California Financial services companies established in 2009 Hedge fund firms in California