Proprietary Capital manages hedge funds, debt funds, and separate accounts for institutions and certain individuals. The firm invests primarily in mortgage and housing-related securities, including residential mortgage-backed securities and federally guaranteed loans. Services are tailored to the needs of separately managed accounts. Proprietary Capital does not participate in wrap fee programs.
Fee Structure
Proprietary Capital manages investments for hedge funds, debt funds, and institutional accounts. Fees for hedge funds include a management fee of 0.85% of assets and incentive fees ranging from 10% to 30% of net profits above a high-water mark. Debt fund fees include a management fee of 1% to 1.5% of assets and carried interest distributions. Relationship accounts are not charged a management fee, but may pay fees if they invest in a fund.