January 31, 2020
Guggenheim Partners Combines its Commercial Real Estate Finance and Structured Real Estate Divisions Under Guggenheim Investments
SANTA MONICA, CA – Guggenheim Partners, announced today that it has consolidated its real estate divisions, Guggenheim Commercial Real Estate Finance (GCREF) and Guggenheim Investments Structured Real Estate, under Guggenheim Investments.
The combined unit, now branded as Guggenheim Real Estate (GRE) resides within Guggenheim Investments, and reports to Anne Walsh, Guggenheim Investments’ Chief Investment Officer – Fixed Income.
GRE is a national commercial real estate lending business that sources, underwrites, closes, and services commercial mortgage loans throughout the United States. GRE originates a broad array of loan types for multiple capital sources, including clients for whom Guggenheim Investments acts as investment advisor, sources, underwrites, and closes commercial mortgage loans, along with other real estate structured debt and equity products. Loans are sourced through GRE as broker as well as from direct industry relationships.
“Guggenheim has a very successful track record in the real estate industry, and we look forward to bringing clients even more opportunities to invest in the sector,” said Scott Minerd, Global Chief Investment Officer. “By consolidating onto one integrated platform, we expect to increase the number of opportunities that we bring to clients through improved brand recognition, enhanced industry strategic partnerships, and greater efficiency of execution on transactions.”
Anne Walsh commented that GRE “will offer the real estate industry access to the firm’s thought leadership, led by Global CIO Scott Minerd, and the Guggenheim Investments teams who will source, service, and underwrite investments on behalf of our clients. I look forward to working closely with Jennifer Marler, Head of Real Estate, who will lead the unit and brings significant experience to the team.”
GRE will make both debt and structured equity investments and will comprise three teams:
- Investments Team: Focused on the sourcing and underwriting of investments
- Portfolio Team: Focused on asset management, servicing, and portfolio strategy
- Credit Team: Focused on GRE underwriting, credit policies, and procedures
As part of the consolidation, all current GCREF employees will be transferred to Guggenheim Investments.
About Guggenheim Investments
Guggenheim Investments is the global asset management and investment advisory division of Guggenheim Partners, with more than $215 billion¹ in total assets across fixed income, equity, and alternative strategies. We focus on the return and risk needs of insurance companies, corporate and public pension funds, sovereign wealth funds, endowments and foundations, consultants, wealth managers, and high-net-worth investors. Our 290+ investment professionals perform rigorous research to understand market trends and identify undervalued opportunities in areas that are often complex and underfollowed. This approach to investment management has enabled us to deliver innovative strategies providing diversification opportunities and attractive long-term results.
About Guggenheim Partners
Guggenheim Partners is a global investment and advisory firm with more than $275 billion² in assets under management. Across our three primary businesses of investment management, investment banking, and insurance services, we have a track record of delivering results through innovative solutions. With over 2,400 professionals based in offices around the world, our commitment is to advance the strategic interests of our clients and to deliver long-term results with excellence and integrity. We invite you to learn more about our expertise and values by visiting GuggenheimPartners.com and following us on Twitter at twitter.com/guggenheimptnrs.
1Assets under management as of 12.31.2019 and include leverage of $11.8bn. Guggenheim Investments represents the following affiliated investment management businesses of Guggenheim Partners, LLC: Guggenheim Partners Investment Management, LLC, Security Investors, LLC, Guggenheim Funds Distributors, LLC, Guggenheim Funds Investment Advisors, LLC, Guggenheim Corporate Funding, LLC, Guggenheim Partners Europe Limited, GS GAMMA Advisors, LLC, and Guggenheim Partners India Management.
2Assets under management are as of 12.31.2019 and include consulting services for clients whose assets are valued at approximately $67bn.
Structured debt, including mortgage-backed securities and CLOs, are complex investments and not suitable for all investors. Investing in fixed-income instruments is subject to the possibility that interest rates could rise, causing their values to decline. Investors in structured debt generally receive payments that are part interest and part return of principal. These payments may vary based on the rate loans are repaid. Some structured debt investments may have structures that make their reaction to interest rates and other factors difficult to predict, making their prices volatile and they are subject to liquidity and valuation risk. CLOs bear similar risks to investing in loans directly, including credit risk, interest rate risk, counterparty risk and prepayment risk. Loans are often below investment grade, may be unrated, and typically offer a fixed or floating interest rate.