Cahoon Capital was formed in 2016 with the goal of earning above-market rates of income, while managing risk and protecting capital. Since 2009, the decline in interest rates had challenged investors to earn attractive yields on bonds or with other credit strategies. Seeking higher yield with low volatility, Cahoon tested and identified an attractive opportunity: address the short-term financing needs of home builders to acquire, build and renovate residential properties. Premium yields could be earned by supplying capital more quickly and conveniently than banks. Cahoon Capital launched its first fund to pool capital and enable investors to participate in the income earned by a diversified portfolio of these short-term, first mortgage loans. Cahoon has since grown to be a leading, non-bank provider of senior debt in New England.
The name of our firm, Cahoon Capital, reflects our goal of avoiding excessive volatility and risk while earning an attractive rate of return. Cahoon Hollow is a beach in Wellfleet, MA on the Cape Cod National Seashore. It is the 40-mile stretch of beach, marshes and ponds protected as a National Park by President John F. Kennedy in 1961.
The Cahoons were a family of Scottish immigrants who settled on Cape Cod in the 17th century. “Hollow” describes the sheltered nature of the beach that bears their name. Just as the Cahoons sought a sheltered place to settle, so we have pursued an investment strategy that we believe protects our capital from high volatility and risk.
If you’re an accredited investor interested in exploring investment opportunities with Cahoon Capital Management, reach out to us today.