Engaged Capital provides investment management services on a discretionary basis to private investment funds and institutional clients. The firm employs a long "constructive activist" approach, investing in small and mid-cap domestic equities. Engaged Capital seeks investments that can be made at discounts to their estimates of intrinsic value and where there are identifiable catalysts for recognition of that value. They may offer co-investment opportunities to certain investors, including supervised persons, through special purpose vehicles.
Fee Structure
Engaged Capital charges an annual management fee for investment management services, which generally ranges from 1.00% to 1.75%. The specific fee is based on the amount of assets managed, the timing of the investment, and the length of the commitment. Certain special purpose funds may or may not have management fees. Engaged Capital may also receive performance allocations or fees from clients, generally ranging from 10% to 25% of any annual appreciation, subject to preferred returns, hurdles, or high-water mark requirements. Certain special purpose funds may have performance allocations of up to 30%.