We provide asset management services globally through our multi-strategy funds, credit funds, CLOs, real estate funds, equity funds and other alternative investment vehicles. Our products and services are designed to meet the needs of institutional investors around the world.
Our approach to asset management today is based on the same fundamental elements that we have employed since our firm was founded in 1994. Our objectives are to create long-term value for our fund investors by generating consistent, positive, absolute returns while protecting investor capital, and to develop new, carefully considered investment opportunities. Our extensive experience, combined with the consistency of our approach to investing and risk management, has been integral to extending our performance history. Our investment and risk management processes benefit from our dedicated and experienced investment teams operating out of our offices worldwide. Our portfolio managers, who are executive managing directors, combine qualitative judgment gained from their extensive experience with quantitative analysis in order to effectively manage our investment process.
Our approach to investing is defined by certain common elements:
Consistent, Positive, Absolute Returns
Our investment process focuses on generating consistent, positive, absolute returns across market cycles with low volatility compared to the broader markets. Our goal is to preserve capital during periods of market decline and produce competitive investment performance in rising markets. We seek to generate fund returns without relying on asset concentration or market direction.
Our funds invest across multiple strategies and geographies, with no predetermined commitments of capital. Portfolio composition is determined by selecting what we believe are the best market opportunities, consistent with the investment objectives for each of our funds. Our ability to invest in multiple strategies worldwide enables us to adjust our portfolio allocations as market conditions change.
Focus on Fundamentals
We approach investments in each of our strategies through rigorous fundamental analysis of the drivers of potential investment risk and return. We look at both qualitative and quantitative factors in assessing the risk/reward parameters and perform extensive due diligence.
Limited Use of Leverage
Our funds generally do not rely on extensive leverage to generate investment returns. Our approach to risk management limits the amount of leverage we employ on a portfolio-wide basis.
Disciplined Investment and Risk Management Processes
Our investment and risk management processes are central to the way we allocate capital. We focus on hedging and actively managing the exposures of our portfolios. Our risk management practices are based on both quantitative and qualitative analyses implemented at both the individual position and total portfolio levels, and they have been integrated into our daily investment process.
Commitment to Integrity:
We conduct business according to the highest ethical and professional standards. That is because it is the right thing to do and because our reputation for integrity is one of our most important assets.
Our compliance program implements these core principles. Our Code of Business Conduct and Ethics sets forth our expectations for the behavior of every employee. We expect our directors, officers, partners and employees to abide by it. We have also set forth policies and procedures in our employee Compliance Manual that apply to particular areas of our business. All employees are expected to follow these policies and procedures wherever applicable.
By adhering to our core values, and by following to our policies and procedures, we can maintain our place as an example of integrity and excellence.
Founded in 1994 by Daniel S. Och, Och-Ziff Capital Management Group is one of the largest institutional alternative asset managers in the world, with approximately $37 billion in assets under management as of November 1, 2016.
We serve the investment needs of a diversified institutional base, providing asset management services through our funds, which pursue a broad range of global investment opportunities. We currently manage multi-strategy funds, credit funds, collateralized loan obligations (CLOs), real estate funds, equity funds and other alternative investment vehicles.
We have always focused on establishing long-term relationships with a global base of institutional investors, which today includes many of the largest, most sophisticated investors in the world. These include pension funds, fund-of-funds, foundations and endowments, corporations and other institutions, private banks and family offices. Our fund investors value our funds’ consistent performance history, our global investing expertise, and our diverse investment strategies, combined with our strong focus on risk management and sustaining a robust operational infrastructure. Our funds make investments in many regions around the world with a breadth we believe is offered by few alternative asset management firs.
Our business was built on certain fundamental elements that we believe are differentiating competitive strengths. They continue to define Och-Ziff today. As such, we view these elements as important to our ability to retain and attract new assets under management and, over time, increase our market share of new capital flows to the hedge fund industry.
Alignment of Interests
We structure our business to align our firm’s interests with those of the investors in our funds. Investments by our executive managing directors and employees comprise a meaningful portion of our total assets under management. Additionally, all of our executive managing directors have an ownership interest in the firm and receive distributions that are directly tied to the firm’s profitability or otherwise receive compensation tied to the firm’s profitability.
Employee and Executive Managing Director Equity Ownership
We have a history of hiring highly talented and experienced employees across all areas of our business, and developing them into senior roles as managing directors and executive managing directors. As of September 30, 2015, we had 22 active executive managing directors, each of whom has an ownership interest in the firm or otherwise receives compensation tied to the firm’s profitability, and 72 managing directors whose compensation structure includes receiving a portion of any bonus compensation in equity that vests over time. We believe the number of senior personnel we have, and their breadth of equity ownership, sets us apart in our industry and ensures the continuity and stability of our firm.
We evaluate executive managing director and employee contributions, and have designed our compensation structure, based on a “one-firm” approach that encourages internal cooperation and the sharing of ideas. We are a global organization and we have fostered a culture that allows us to allocate capital and evaluate investment opportunities on a firm-wide basis, focusing on the best ideas and opportunities available. This collaborative approach emphasizes the success of our firm as a whole.
Our ability to opportunistically invest worldwide is an important element of diversifying our portfolios and managing risk. Our dedicated and experienced investment professionals operate from our offices globally and have a long history of investing on an international scale.
Synergies among Investment Strategies
Our funds invest across a broad range of asset classes and geographies. Our investment professionals have extensive experience and many are specialized by strategy, industry sector or asset class. This fosters consistent interaction among the investment professionals across our strategies and creates synergies that add to our market insight and ability to identify attractive investment opportunities.
Focus on Infrastructure
Since our firm’s inception, we have focused on building a robust infrastructure with an emphasis on strong financial, operational and compliance-related controls. As a public company, we are required to identify and document key processes and controls, which are subject to independent review. Additionally, we have added a number of independent, third-party processes to our fund operations that provide independent information to our fund investors.
We believe that our fund investors should be provided with qualitative and quantitative information about our investment process, operational procedures and portfolio exposures in order to understand and evaluate our investment performance. We provide our fund investors with comprehensive reporting about each portfolio on a regular basis, and our senior management team and portfolio managers regularly meet with them to address their questions.
Our assets under management are generally invested on a multi-strategy basis, across multiple geographies, although certain of our funds are focused on specific strategies and geographies. The portfolio composition of our multi-strategy funds is determined by evaluating what we believe are the best market opportunities for each fund, consistent with each fund’s goal of diversification and capital preservation. The primary investment strategies we employ in these funds include the following:
Convertible and Derivative Arbitrage
Convertible and derivative arbitrage takes advantage of price discrepancies between convertible and derivative securities and the underlying equity or other security. These investments may be made at multiple levels of an entity's capital structure to profit from valuation or other pricing discrepancies.
Corporate credit includes a variety of credit-based strategies, such as high-yield debt investments in distressed businesses and investments in bank loans and senior secured debt. Corporate credit also includes providing mezzanine financing and structuring creative capital solutions.
Long/Short Equity Special Situations
Long/short equity special situations consists of fundamental long/short and event-driven investing. Fundamental long/short investing involves analyzing companies and assets to profit where we believe mispricing or undervaluation exists. Event-driven investing attempts to realize gain from corporate events such as spin-offs, recapitalizations and other corporate restructurings, whether company specific or as a result of industry or economic conditions.
Merger arbitrage is an event-driven strategy involving multiple investments in entities contemplating a merger or similar business combination. This strategy seeks to realize a profit from pricing discrepancies among the securities of the entities involved in the event.
Private investments encompass investments in a variety of special situations that seek to realize value through strategic sales or initial public offerings.
Structured credit involves investments in residential and commercial mortgage-backed securities and other asset-backed securities. This strategy also includes investments in collateralized loan obligations and collateralized debt obligations.
I have been working at Och-Ziff Capital Management full-time (More than a year)
Good place to build your career
Paid breakfast and lunch
The firm is going through tough period
Hours can be long
Communication isn't good
No growth within the firm
I applied through a recruiter. The process took a week. I interviewed at Och-Ziff Capital Management.
Interviewer was toeing the line between challenging interviewer and plain rude. Disinterested, unfriendly, and completely turned me off to the entire company/environment. The other 2 interviewers who were supposed to meet with me "got pulled into a meeting" so I left after a brief apology from HR and this unpleasant, 25-minute first interview. Complete waste of my time after I'd taken half a day off from my job, and I'm glad I wasn't coming from outside the city to interview.
Let us know if we're missing any workplace or industry recognition –