Babson Capital Management LLC (Babson Capital) is a provider of innovative solutions to sophisticated investors around the globe. The firm, based in Springfield and Boston, Mass., and Charlotte, N.C., with a subsidiary in London, is a unit of the Massachusetts Mutual Life Insurance Company (MassMutual), one of the US's leading financial services firms. As of March 31, 2005, Babson Capital and subsidiaries had approximately US$95bn in assets under management. Of this, US$17bn was managed within CDOs across multiple asset categories, and current and matured deals are or have been in investmentgrade, high yield bond, high yield loan, US bank loan, European bank loan, mortgage backed, emerging market, multi sector and CDO of CDOs. Babson Capital was a pioneer in the CDO discipline, issuing its first CDO in 1991.
The firm has more than 110 people supporting CDO management activities in the US and Europe. It offers deep expertise in collateral asset management, CDO structuring, market breadth and insight. Fundamental bottom-up credit analysis and prudent diversification are the cornerstones of our CDO platform. The firm has acted as portfolio manager for numerous CDOs, and in January 2005, Risk magazine named the firm its CDO Manager of the Year.
The Structured Credit team of 16 professionals is based in Springfield and headed by Matthew Natcharian. As part of the Corporate Securities Group, the Structured Credit team manages more than US$4.5bn* in CDO securities, conducting transactions at all levels of the capital structure. The team benefits from CDO World(SM), our proprietary database system used to analyse and monitor our CDO investments.
The Quantitative Management Group of 27 professionals, also based in Springfield, manages a series of four market-value CDOs, which combine an innovative structure with market-value-based triggers and an actively traded, high quality leveraged mortgage fund strategy, making extensive use of derivatives. The group manages about US$6.2bn* in CDOs, hedge strategies and other accounts. The ABS/MBS/Real Estate team, formed in 1994, has three managers overseeing CDO activities: Mr. Natcharian from Structured Credit, David Canuel from Quantitative Management, and Tom Kelley from the firm's Real Estate Finance Group.
The US Bank Loan team of 43 professionals is based in Charlotte and is among the largest institutional loan managers in the US with more than US$8bn* in assets under management. It is also one of the most experienced US CLO managers. The team, headed by Thomas Finke, joined Babson Capital in June 2002 when the firm acquired First Union Institutional Debt Management from Wachovia Corp. where it had been managing leveraged loans since 1998.
The European Leveraged Loan team of 33 professionals is based in London and is headed by Ian Hazelton. The unit, a subsidiary called Babson Capital Europe Limited, was acquired in May 2004 as Duke Street Capital Debt Management, the leveraged and mezzanine loan business started up by London-based Duke Street Capital in 2000. The team's CLOs are among the largest of their type launched in Europe and aggregate to over €3bn*. Total funds under management in leveraged loans is over €4bn*. – less – More from ZoomInfo »