Newstar Financial, LLC (Boston)

Name: Newstar Financial, LLC
Address: 500 Boylston St., Boston, MA, 02116
Telephone: 617 848-2500

Newstar Financial, LLC is a large advisory firm based in Boston. It manages $4.82 billion of regulatory assets for 16 client accounts. It has been registered with the SEC as an adviser since 2018 and has operated in the jurisdictions of Connecticut and Massachusetts.

Newstar Financial provides portfolio management for pooled investment vehicles. It doesn't provide financial planning services to its clients. On top of advisory services, the firm doesn't engage in other business activities.

Newstar Financial: assets under management

The assets under management (AUM) of Newstar Financial, LLC is $4.82 billion. The firm's AUM has grown by 0% since the beginning of its operation, and $1.87 billion of the total AUM is attributable to clients outside of the United States.

The firm manages $4.82 billion in discretionary accounts and $4.09 million in non-discretionary accounts. On average, the discretionary accounts where all decisions are made on behalf of the client hold $321.12 million each. Non-discretionary accounts, where clients actively manage their portfolios, generally hold around $4.09 million.

Newstar Financial has custody of $9.95 million in cash and securities for 1 client in total but doesn’t act as a qualified custodian.

Investments

The firm invests in other assets the most. They account for 100% of the total AUM.

Fees & Commissions

The advisory firm has several streams of revenue. Clients pay Newstar Financial, LLC for their services and products based on a percentage of assets under management and performance-based fees. Compensation based on assets under management promotes a long-term relationship between a client and the adviser and helps align mutual interests. These fees don’t include brokerage commissions, interest, taxes, and other account expenses.

What kind of clients Newstar Financial serves?

The only and largest group of clients of Newstar Financial is pooled investment vehicles with 14 clients and $4.81 billion of assets under management. Among the 9 most similar advisory firms, Newstar Financial has the 2nd highest percentage of pooled investment vehicles out of all clients.

The amount of regulatory assets under management is $4.81 billion for 14 clients. 38% of the firm’s clients are foreign persons or businesses.

Newstar Financial also advises several private funds. Namely, one other private fund and thirteen securitized asset funds. The minimum investment commitment required of non-related persons ranges from $0 to $25,000,000.

Careers at Newstar Financial, LLC

The company employs 69 people that are either part- or full-time employees. 17 percent of the employees work as investment advisers or researchers. No employees are registered as investment adviser representatives with the state securities authorities.

There isn’t anyone with the role of looking for and bringing in new clients on behalf of the firm. The firm compensates employees in addition to the salary for bringing in new clients. Employees don’t receive compensation from other entities for client referrals.

Daniel Douglas Mccready has served as the Chief Investment Officer since 1 Jul 2016. Llc First Eagle Investment Management joined the executive team most recently as the Owner Of Newstar Financial, Llc.

Direct owners and executive officers

Name	Entity	Date acquired	Ownership	Employer ID
Patrick Francis Mcauliffe	Managing director	1 May 2012	Other	6178809
Mark Russell Dufour	Head - capital markets	1 Jan 2016	Other	2938216
Daniel Douglas Mccready	Chief investment officer	1 Jul 2016	Other	1952451
Brian Nmn Forde	Chief compliance officer	1 May 2017	Other	6572646
Timothy John Conway	Managing director	1 Dec 2017	Other	2073484
John Kirby Bray	Managing director	1 Dec 2017	Other	6018086
Michael Joseph Eisenstein	Managing director	1 Dec 2017	Other	6772169
Katherine Lynn Perkins	Chief financial officer and treasurer	1 Dec 2017	Other	1496363
Mehdi Asif Mahmud	Chief executive officer and president	1 Dec 2017	Other	3041637
David Oconnor	Secretary and general counsel	1 Dec 2017	Other	5077118
Llc First Eagle Investment Management	Owner of newstar financial, llc	1 Oct 2018	75% - 100%	108260

Indirect Owners

The SEC currently registers 14 indirect owners.

Name	Entity	Date acquired	Ownership	Employer ID
Inc. First Eagle Holdings	Managing member and parent company	1 Mar 1987	75% - 100%	13-4959915
Bcp Cc Holdings L.P.	Shareholder	1 Dec 2015	50% - 75%	47-5444885
Blackstone Capital Partners Vi L.P.	Limited partner	1 Dec 2015	25% - 50%	26-2855384
Corsair Mentor L.P.	Limited partner	1 Dec 2015	25% - 50%	98-1253488
Corsair Mentor Investors L.P.	Limited partner	1 Dec 2015	75% - 100%	98-1253354
Corsair Mentor Management L.P.	General partner	1 Dec 2015	Other	98-1253338
Corsair Capital Llc	General partner	1 Dec 2015	Other	20-4293848
Maximillian Management Llc	Shareholder	1 Dec 2015	75% - 100%	20-0844884
Blackstone Management Associates Vi Llc	General partner	1 Dec 2015	Other	26-1971725
Bma Vi Llc	Sole member	1 Dec 2015	75% - 100%	26-1971291
Blackstone Holdings Iii L.P.	Managing member	1 Dec 2015	50% - 75%	26-0450202
Blackstone Holdings Iii Gp L.P.	General partner	1 Dec 2015	Other	26-0288893
Blackstone Holdings Iii Gp Management Llc	General partner	1 Dec 2015	Other	26-0269478
The Blackstone Group L.P.	Sole member	1 Dec 2015	75% - 100%	20-8875684

Based in Boston

The principal office where Newstar Financial, LLC performs its advisory services is located at 500 Boylston St., Boston, MA 02116, which is also the mailing address of the firm. An additional office of the firm is in Norwalk, CT. It doesn’t run an office outside of the United States.

You can reach the main office by calling the phone number 617 848-2500 or by fax 617 848-4390. The normal business hours are 9am - 5pm on Monday - Friday. You can find more information about the New York firm at newstarfin.com.