First Principles Capital Management, LLC (New York)

Name: First Principles Capital Management, LLC
Address: 140 Broadway, New York, NY, 10005
Telephone: 212-380-2280

First Principles Capital Management, LLC is a large advisory firm based in New York. It manages $7.75 billion of regulatory assets for 62 client accounts. It has been registered with the SEC as an adviser since 2006 and has operated in the jurisdictions of Florida, New York, and Pennsylvania.

First Principles Capital Management provides portfolio management for individuals and small businesses, portfolio management for pooled investment vehicles, portfolio management for businesses and institutional clients, pension consulting services, educational seminars and workshops, and administer and sponsor private funds. It doesn't provide financial planning services to its clients. On top of advisory services, the firm doesn't engage in other business activities.

First Principles Capital Management: assets under management

The assets under management (AUM) of First Principles Capital Management, LLC is $7.75 billion, all of which is managed in discretionary accounts. The firm's AUM has grown by 768% since the beginning of its operation, and $600.29 million of the total AUM is attributable to clients outside of the United States.

The firm manages $7.75 billion in discretionary accounts. On average, the discretionary accounts where all decisions are made on behalf of the client hold $125.02 million each.

First Principles Capital Management has custody of $94.12 million in cash and securities for 3 clients in total but doesn’t act as a qualified custodian.

Investments

The firm invests in state and local bonds the most. They account for 76% of the total AUM. The second-largest asset type is government bonds, which make up 12% of the firm’s portfolio. Investments in investment grade corporate bonds form 8% of the total invested assets.

Fees & Commissions

The advisory firm has several streams of revenue. Clients pay First Principles Capital Management, LLC for their services and products based on a percentage of assets under management, fixed fees, 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 Douglas Adam Dachille serves?

The firm provides services to charitable organizations, high net worth individuals, pooled investment vehicles, and corporations or other businesses. The largest group of clients of Douglas Adam Dachille is corporations or other businesses with 12 clients and $2.68 billion of assets under management. Among the 9 most similar advisory firms, First Principles Capital Management has the 2nd highest percentage of corporations or other businesses out of all clients.

The amount of regulatory assets under management is $4.17 billion for 56 clients that can include trusts, estates, and 401(k) plans and IRAs of individuals and their family members. 2% of the firm’s clients are foreign persons or businesses.

First Principles Capital Management also advises several private funds. Namely, one hedge fund, one other private fund, and three private equity funds. The minimum investment commitment required of non-related persons ranges from $500,000 to $100,000,000.

Careers at First Principles Capital Management, LLC

The company employs 28 people that are either part- or full-time employees. 64 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 doesn’t compensate employees in addition to the salary for bringing in new clients. Employees don’t receive compensation from other entities for client referrals.

Douglas Adam Dachille has been acting as President since 1 Jan 2004. Mark Gus Alexandridis has served as the Chief Investment Officer since 1 Sep 2015 and Richard Francis Dolan is the Chief Executive Officer of First Principles Capital Management, LLC family office. Michael J Baek joined the executive team most recently as the Chief Operating Officer.

Direct owners and executive officers

Name	Entity	Date acquired	Ownership	Employer ID
Douglas Adam Dachille	Chief executive officer/chairman	1 Jan 2004	25% - 50%	1890171
Richard Francis Dolan	Chief financial officer/vice chairman	1 Jan 2004	Other	2157161
James H Vanepps	Chief operating officer/member	1 Jan 2004	Other	844958
Stephen Roderick Miller	Chief risk officer/chief compliance officer/secretary	1 Oct 2005	Other	1600441
Hong Chen	Director of research/member	1 Oct 2005	Other	4445586
Mark Frederic Lieberman	Managing director/member	1 Oct 2005	Other	1407862
Robert Richard Lewis	Managing director/member	1 Oct 2005	Other	1769980
Michael J Baek	Managing director/member	1 Oct 2005	Other	2090023
Mark Gus Alexandridis	Managing director/member	1 Oct 2005	Other	1721131
David Chiching Ho	Managing director/member	1 Jul 2008	Other	2508954
S.Prasad Kadiyala	Managing director/member	1 Feb 2012	Other	4573821
Llc Aig Asset Management (U.S.)	Sole member	1 Sep 2015	75% - 100%	150088
Richard Francis Dolan	Chief executive officer	1 Sep 2015	Other	2157161
Mark Gus Alexandridis	Chief investment officer	1 Sep 2015	Other	1721131
Stephen Roderick Miller	Chief compliance officer	1 Sep 2015	Other	1600441
Aig Capital Corporation	Sole member	1 Sep 2015	75% - 100%	60-0001373
Michael J Baek	Chief operating officer	1 Mar 2018	Other	2090023

Indirect Owners

The SEC currently registers 3 indirect owners.

Name	Entity	Date acquired	Ownership	Employer ID
Aig Global Asset Management Holdings Corp	Member	1 Dec 2002	75% - 100%	13-3870953
Aig Capital Corporation	Shareholder	1 Dec 2002	75% - 100%	60-0001373
Inc. American International Group	Shareholder	1 Dec 2002	75% - 100%	13-2592361

Based in New York

The principal office where First Principles Capital Management, LLC performs its advisory services is located at 140 Broadway, New York, NY 10005, which is also the mailing address of the firm. It doesn’t run an office outside of the United States.

You can reach the main office by calling the phone number 212-380-2280 or by fax 212-380-2290. The normal business hours are 8:00am est to 5:00pm est on Monday - Friday. You can find more information about the New York firm at fpcmllc.com.