Clearline Capital LP

Clearline Capital LP provides discretionary investment management to pooled private funds, including a domestic limited partnership and an offshore master vehicle, and serves institutional and high-net-worth investors such as family offices, endowments and funds-of-funds. The firm manages roughly $1.194 billion in regulatory assets and operates with a small investment team of five professionals.

The firm follows a catalyst-driven, value-oriented long/short approach across equity and fixed-income instruments, emphasizing fundamental, multi-scenario research and a multi-step diligence process that prioritizes positions offering significant upside with limited downside. Portfolio construction and risk management are active components of the process, and Clearline may use derivatives, leverage and opportunistic exposures (including SPAC-related investments) when the risk/reward profile meets its criteria.

Several operational and structural features are notable in the brochure: Clearline discloses and advertises predecessor performance for prior vehicles (a practice that is uncommon among peers), documents a strategic capital relationship with an outside investor that includes reporting and audit rights and special economic arrangements, and maintains independent annual audits and monthly administrator confirmations of pricing and valuation. The firm also notes the possibility of side letters and differentiated terms for certain investors, which can result in varied investor rights and allocations within its funds.