On May 2, 2007, Franklin Square Capital Partners, now FS Investments, was formed with a simple yet ambitious mission: to provide mainstream investors with the same access to alternative investment solutions that big institutional investors – like ultra-high net worth individuals, pension funds and university endowments – have had for years.
As we look back upon our firm’s first ten years, we take great pride in what we’ve done to help investors gain access to alternative sources of income and growth. Anniversaries are also a chance to look forward. Below is a letter I sent to all of my colleagues today reflecting on our past and embracing our future.
To: FS Investments
From: Michael Forman
Tuesday, May 2, 2017, 5:02 a.m.
Today is FS Investments’ 10th anniversary, and I’d like to share some thoughts, express my appreciation for all you’ve done, and challenge us to have an even more impactful future.
Looking back at our earliest days, I think about how we started this business from scratch, with few people and limited infrastructure. What we lacked in resources, we made up for with hard work, smarts, grit and, most importantly, a commitment to a meaningful mission. We were determined to transform an industry by offering investors better, more transparent and safer alternative investment opportunities than the industry had ever contemplated. We didn’t set goals based on the amount of assets we wanted to manage. Rather, we focused on innovating, disrupting and overcoming the opposition to deliver on our mission.
Ten years later I believe we’ve done just that, and quite effectively. Now we have more than 300 colleagues and manage seven funds with several others in the pipeline. We’ve also earned the trust of nearly 20,000 financial advisors and are responsible for the investments of more than 250,000 investors from all 50 states.
That’s all quite impressive, and we should be proud of what we’ve accomplished together, but I’m most proud that I still see in all of you the same DNA that carried us through our earliest days – the work ethic, smarts, grit and commitment to our mission.
I believe that same DNA will empower us to seize the opportunities the next ten years present. We have to recognize that our success will continue to invite competition. While I believe competition is good for investors because they will benefit from greater access, it will push us to be at our best to stay on top. That means remaining focused on developing new investment solutions, enhancing our education program, improving ease of business through technology and expanding our distribution – all of which we’re already actively doing today.
Beyond this work, we also have an opportunity to help address two of our country’s most pressing issues, the affordability of higher education and retirement. I want all of us to think about these issues and what more we can do as a company to help solve them. By staying true to our mission and constantly striving to innovate, I know we can make a meaningful impact on the world around us.
I believe we are well prepared for the road ahead. We have the infrastructure, resources and confidence to take on complex, tough problems. We’ve built a culture defined by innovation, high performance and a focus on doing the right thing for our investors and our communities. And from my vantage point, we have the very best people the industry has to offer – all of you.
Thank you for all you have done to get FS Investments to this point, and thank you for joining me in our continuing quest to make a profound difference. As you’ve often heard me say, I believe our best years are ahead of us. Let’s enjoy the journey, remain true to our culture and continue to deliver on our promises to our clients and investors.
This information is educational in nature and does not constitute a financial promotion, investment advice or an inducement or incitement to participate in any product, offering or investment. FS Investments is not adopting, making a recommendation for or endorsing any investment strategy or particular security. All views, opinions and positions expressed herein are that of the author and do not necessarily reflect the views, opinions or positions of FS Investments. All opinions are subject to change without notice, and you should always obtain current information and perform due diligence before participating in any investment. FS Investments does not provide legal or tax advice and the information herein should not be considered legal or tax advice. Tax laws and regulations are complex and subject to change, which can materially impact any investment result. FS Investments cannot guarantee that the information herein is accurate, complete, or timely. FS Investments makes no warranties with regard to such information or results obtained by its use, and disclaims any liability arising out of your use of, or any tax position taken in reliance on, such information.
Any projections, forecasts and estimates contained herein are based upon certain assumptions that the author considers reasonable. Projections are necessarily speculative in nature, and it can be expected that some or all of the assumptions underlying the projections will not materialize or will vary significantly from actual results. The inclusion of projections herein should not be regarded as a representation or guarantee regarding the reliability, accuracy or completeness of the information contained herein, and neither FS Investments nor the author are under any obligation to update or keep current such information.
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