In 2016 highland capital Equity Fund performed extremely well and investors reaped up to 32% regarding returns. Michael Gregory whose energy stocks helped to boost the company’s S&P index is optimistic that the health-care-focused industry will perform even better in 2017. Gregory is currently the Chief Investment Officer of Highland Alternative Investors. Highland Capital Management is a unit of Highland Alternative Investors located in Dallas and runs a fund worth $15.4 billion. Gregory together with James Dandero, president and co-founder of Highland Capital Management manage the small-cap stock fund. Read more at Biz Journals about Highland Capital.
According to Michael Gregory, it was “credit competency” which helped Highland Capital to make major profits in 2016. The company reaped a lot of benefits as a result of partnering with major oil firms. He said that even after the fund bought shares none of the partners the company was working with reduced the number of dividends. “It was really interesting for us to see that master limited partnerships (MLPs) low double-digit dividends,” Said Gregory. The 2016 MLP winners were SemGroup Corp and Energy Transfer Equity. They all obtained almost 100% of the invested fund.
Gregory asserted that they were concentrating on multifamily real estate investment trusts. He said that NextPoint Residential Trust Inc. which is also managed by the company was already enough proof that their strategy was going to work. He also pointed out that Jernigan Inc. was also another target investment. “Just think of the demographic changes in cities such as Nashville, Texas, Dallas and San Antonio. There is a great potential in people who are moving because you can be sure they will invest in areas they are moving in” said Greg. Read this article at PR Newswire.
When it comes to opportunities available in the healthcare industry, Gregory was quick to mention about two stocks with great potential. The first one is the opioid addiction which has become a public epidemic in the U.S. He noted that insurance companies have already taken action by increasing the approval process of pain relievers which are not addictive.
Gregory also talked about the potential energy companies have. He mentioned Western Gas Equity Partners who currently have a dividend yield of 4.08 percent. In general, Michael Gregory expressed that the company was on the verge of expansion in term of profit especially through its strategy of identifying potential corporations whose share value is likely to increase in the next few years.