JCSD Capital advises private investment funds and separately managed accounts. JCSD aims to identify management teams with attractive strategies and invest in businesses that will create long-term value, focusing on inefficiencies in the securities markets. JCSD primarily invests in equity related to the financial services industry, especially banking companies and savings institutions. JCSD acts as a non-discretionary investment advisor for separately managed accounts, meaning the account holder can accept or reject investment recommendations.
Fee Structure
JCSD Capital typically charges a quarterly management fee based on a percentage of the investor's capital account. This fee is generally 1.0% annually (0.25% per quarter). JCSD may also receive a special profit allocation equal to 20% of the net income allocated to each investor for the year, but only if the net income exceeds any cumulative losses from earlier periods. JCSD currently does not charge a management fee or profit allocation to the separately managed account, but may do so in the future with the account holder's consent.