Big 2016 Stock Market Gainer’s Next Move

Highland Capital Management, L.P. is a Dallas, Texas-based investment adviser. Since being founded in 1993 the firm has expanded internationally and now has offices in New York, Singapore, Seoul, and Sao Paolo.

The company has also expanded into a firm that has over $15 billion in assets under management. Highland Capital specializes in the alternative investment market and offers its clients exposure to such financial products as hedge funds, distressed private equity, and natural resources among others.

The company serves a wide clientele base including such entities as public pension plans, endowments, corporations, foundations, and individuals of high net-worth.

According to Crunchbase, in 2016 Highland Capital Management had great success with one of its mutual funds, HSZAX, which returned 31.6%. Chief Investment Officer Michael Gregory said that they made a great decision when they invested in pipeline partnerships just as oil prices bottomed in early 2016.

Along with the President and co-founder of Highland Capital Management, Jame Dondero, Gregory oversees the small-cap fund. When they invested in this sector they focused on master limited partnerships that had strong sponsors, who serve as the main customers of the pipelines that Gregory and Dondero had invested in.

Looking to 2017, Gregory expects a pair of health care stocks that he has researched to do very well. In noting that he expects health care companies to start addressing the public health epidemic of opioid addiction, he says there should be new, less addictive pain relievers released into the market this year.

One of his examples is Collegium Pharmaceutical Inc. which as developed an oxycodone drug called Xtampza ER. This drug includes additional ingredients that make it far more difficult to abuse the medicine. He expects the company’s stock to skyrocket this year.

His other health care company where he expects solid growth is Pacira Pharmaceuticals Inc. where they have developed a non-opioid drug that is injected during surgery. While their drug, Exparel, is currently used for orthopedic procedures and soft-tissue surgeries he expects it will also be approved for use in knee-replacement surgeries this year.

 

February 5, 2017

Posted In: Michael Gregory