Home Our Firm Mission Current Page: Strategy Investments Team Investment Strategy LCM’s investment activities include private equity, late-stage venture capital, search funds, private debt, private real estate, hedge funds, and proprietary trading of public equities and global financial markets Investment Overview LCM’s private equity investments are primarily allocated through direct investments, as well as co-investments with specific financial sponsors on a deal-by-deal basis. LCM typically invests between $500k - $10mm in its portfolio companies. Our private debt, private real estate, and private equity secondaries, including fund restructuring investing, are all managed primarily through trusted affiliates of LCM, along with a select group of highly specialized external managers. Our public equities and global financial markets trading activities are managed internally and through select use of external managers. Asset Classes Private Equity LCM deploys capital into private equity investments through a broad network of business and investor relationships, including private equity sponsors and search funds. The team prefers direct investments and co-investments compared to traditional PE, commingled fund structures. We consider investments across a variety of market opportunities and sectors. We seek access to investment opportunities through high-quality, independent “fundless” sponsors, Search Funds, and a distributed network of direct deal flow from institutional investment firms, other family offices, alternative asset investors, small business CEOs, and existing portfolio companies. Search Funds LCM pursues investment strategies outside the scope of traditional sponsored buy-out deals as the firm provides flexible capital solutions to lower middle market companies with revenues between $10mm - $100mm, and annual cash flow of $2mm - $20mm. Accessing the vast market for small- and medium-sized businesses, LCM supports enterprising entrepreneurs that raise capital to finance the search for a privately-held company for the purpose of acquisition, operation and growth. These “Search Funds” seek and acquire majority control in one small, “operationally learnable” and scalable company, typically for ownership transitions and leadership succession. LCM partners with these Searchers in their pursuit of a company that can: 1) be bought at an attractive price, 2) be managed without requiring operating heroics to be successful (given that the entrepreneurs are usually freshly-minted MBA graduates), and 3) allow these young operators to learn by doing and exhibit talent and ambition that outshines the competitive set, more than offsetting the short-term costs of inexperience. Special Situations PE and Venture Capital LCM also has a particular interest in strategic special situations and private fund vehicle restructuring and secondaries. Trusted partners, such as our affiliate, Cedar Springs Capital, and certain external fund sponsors deploy LCM’s capital in shorter-duration private investments, where existing fund investors are seeking liquidity and are willing to sell their interests at a meaningful discount to Net Asset Value prices. The result provides LCM with downside protection and the opportunity for more attractive risk-adjusted returns. Further, LCM has several decades of demonstrated flexibility in direct early- and later-stage venture opportunities across investment cycles, industries, and capital needs. These earlier-stage minority investments provide capital to high-performing teams for growth equity, acquisition capital, or recapitalization. LCM’s approach to earlier-stage venture often involves a higher-touch role as Board advisor and motivation to spend our time, talent, and treasure co-laboring with an entrepreneur whose purpose and business practice find strong alignment with our Christian faith and values. Industry focus is general and opportunistic, with active investments in a range of markets including B2B software, technology services, CPG, consumer retail, and industrial, commercial, and consumer services. Private Real Estate LCM invests in niche commercial and multi-family properties, with strategies that span both shorter-duration and longer-hold expectations across a diversified commercial real estate portfolio. In partnership with LCM’s private real estate affiliate, Arrow Capital, and several other sponsors with specialized expertise in various sectors of the real estate market, LCM invests in re-positioning, redevelopment, in-fill development, and value-add cap rate arbitrage opportunities in geographic markets throughout the U.S. Public Equities LCM invests in public equity markets often times to express non-consensus views on out-of-favor industries undergoing disruptive changes due to macroeconomic variables, regulatory shifts, and secular trends. LCM allocates capital through its internal Portfolio Team as well as through external investment managers in situations where LCM lacks the capacity or ability to perform highly specific security analysis on a given sector. LCM focuses primarily on public equity opportunities where the company is headquartered in the U.S., and has a longer-term, value-bias to investing over a multi-year period. Occasionally, when market conditions warrant, LCM also pursues shorter time horizon in-house trading to capitalize on dislocations in various financial markets. Our Affiliate Partners LCM works with affiliate partner, Cedar Springs Capital, to strategically invest in special situations in private fund restructurings and secondaries. LCM seeded the launch of CSC in 2015, co-officing together for several years, and investing in every co-investment the sponsor has offered to-date. Through this affiliation, LCM receives attractive risk-adjusted returns as CSC deploys capital into various special situations and private fund restructurings with an emphasis on re-incentivizing management teams to build value in existing portfolio investments. LCM assesses many of its opportunities in private real estate through an LCM affiliate, Arrow Capital. Arrow has co-officed with LCM since 2016 and pursues value-oriented, niche opportunities to produce attractive risk-adjusted returns relative to fixed income or other hard asset opportunity sets. LCM provides equity acquisition capital, and occasionally mezzanine or debt financing, in support of Arrow’s value-add and yield-spread strategies invested across single-tenant net lease, self-storage, and re-development opportunities. Dallas Office 2525 Knight Street, Suite 300 Dallas, TX 75219 T: (469) 802-2000 Tampa Office 2805 W. Busch Blvd, Suite 101 Tampa, FL 33618 T: (813) 972-0909