Newstead Capital Management is an investment management firm that utilizes a concentrated investment strategy focused on smaller market capitalization companies globally. The firm employs fundamental, legal, and cyclical analysis to identify mispriced securities, typically investing in companies with market capitalizations below $1 billion. Newstead Capital Management offers separately managed accounts to individuals, high-net-worth individuals, trusts, estates, business entities, charitable organizations, and family offices. The firm does not tailor its investment management services to the individual goals, objectives, time horizon, or risk tolerance of each client, meaning its strategy is specifically suited for those interested in a non-diversified portfolio of smaller capitalization companies. Investment decisions are made on a discretionary basis, though clients may impose certain restrictions on specific securities. The firm charges fees based on assets under management, with an alternative fee structure available for qualified clients that includes both a management fee and a performance fee.
Fee Structure
Portfolio-Based Fees (Flat)
| Portfolio Value | Annual Fee |
|---|---|
| Any | 1.00% |
Rates are 1.5% annually for non-qualified clients. For qualified clients, the rate is 1.0% annually plus a 20% performance fee on capital appreciation above a 5% hurdle rate. Fees are negotiable.