Oaktree Capital SWOT Analysis

Oaktree Capital

Parent Company

Oaktree Capital

Category

Global Asset Management Firm

Sector

Financial Services

USP

Value oriented investment with margin of safety which specializes in distressed debt

STP

Segment

Investors seeking low risk investment options

Target Group

Global pension plans, endowments, sovereign wealth funds and primary state retirement plans

Positioning

A company with a mission to deliver superior investment results with a control over risks.

SWOT Analysis

Strengths

1. It emphasizes on senior debt in companies.
2. Present in 13 cities worldwide.
3. Leading global alternative investment management firm.
4. They diversify into 6 categories – distressed debt, corporate debt, control investing, convertible securities, real estate and listed equities.

5. They target markets with potential for high returns and in alignment with the philosophy of risk control of the company.

6. High expertise in the area.

Weaknesses

1. Being an alternative investment firm, it needs to pay majority of its earnings as dividends.
2. Susceptible to financial market breakdown.

Opportunities

1. Control investing by investing in struggling companies and helping them to grow.
2. With the incomes on the rise, people are seeking more investment opportunities.
3. Expansion to new markets.

Threats

1. Very high dependence on the state of the economy.
2. High competition
3. Heavily dependent on performance.

Competition

Competitors

1. Kps Capital Partners, LP
2. Equity Group Investments, L.L.C.
3. Angelo, Gordon & Co.,L.P.