Highland Capital Management was co-founded by James Dondero in 1993. This financial investment firm, based in Texas, specializes in alternative investments such as distressed investment funds and structured investments, as well as in stocks and bonds. The company announced that they increased the shares they own in Nexpoint Credit Strategy Funds to 5% of outstanding common shares. Combined with the shares personally owned by James Dondero in the fund this makes up 18.8% of the company’s total shares value. After Morgan Stanly Highland Capital Management is now the second largest investor in Nexpoint Credit Strategy Funds.
Nexpoint Credit Strategy Funds has recently beaten the S&P 500 and is in the top 10% of Close End Funds (CEFs). The fund invests in below investment grade bonds as well as equities that hedge risks. The fund invests heavily in the Real Estate Investment Trusts (REIT) Freedom REIT and Highland Real Estate Capital REIT. So far the fund is up almost 6% for the year and paid $0.24 per share in the last monthly dividend payment to shareholders.
James Dondero serves as the President of Highland Capital Management. He has been involved in financial investing for over 30 years. He graduated from the McIntire School of Commerce at the University of Virgina with a Bachelor’s degrees in Accounting and Finance. He started his professional career as an Analyst with Morgan Guaranty and then a Corporate Bond Analyst and Portfolio Manager at American Express before co-founding Highland Capital Management in 1993.
Dondero has also been active with philanthropy. The main areas he directs his energy and money towards are in education, public policy, and veteran’s affairs. He has donated millions to non-profits in the Dallas area including the Education is Freedom organization. This non-profit gives financial assistance to disadvantaged young people who are looking to graduate from college. Among the other charities he supports he has supported is the Perot Museum of Natural Science. This museum gives provides children with education and exhibits that feature engineering, energy, and innovation. Through Highland Capital he donated $1 million to bring hippos back to the Dallas Zoo and build a center that educates people about them.