High Trail Capital

Scott Carmilani is the Founder and Portfolio Manager with controlling investment authority over High Trail's credit strategies. Carmilani's background includes credit trading and portfolio management roles prior to founding the firm in 2017. All investment decisions flow through him, consistent with the concentrated governance structure of a boutique credit specialist. The firm has not publicly disclosed additional principals with discretionary investment authority.

High Trail sources opportunities through direct outreach to micro- and small-cap public companies that lack access to traditional bank or syndicated loan markets. The firm's origination model relies on relationship-based sourcing with issuers, their management teams, and a limited network of boutique investment banks and corporate advisors. Because High Trail targets an underserved segment — public companies below $500 million in market cap — it faces limited competition from large direct lenders and regional banks that have retreated from this space since the post-Dodd-Frank regulatory tightening.

High Trail operates exclusively through direct, privately negotiated credit arrangements with public-company borrowers. The firm does not make fund commitments to external managers, nor does it invest in broadly syndicated loans or traded debt securities as a primary strategy. Each transaction is structured bilaterally with the issuer, allowing High Trail to negotiate bespoke terms — including security interests, covenants, and equity conversion features — that generic credit funds cannot typically obtain.

High Trail targets growth-stage public companies with market capitalizations typically below $500 million. The firm structures its investments as convertible notes, senior secured credit facilities, and other privately negotiated credit instruments. Each deal includes downside protections — such as first-lien security interests, financial maintenance covenants, and amortization schedules — paired with equity upside via conversion rights or warrant coverage. This approach distinguishes High Trail from both straight equity investors and passive debt buyers.

High Trail has not publicly enumerated sectors it avoids, but its disclosed positions and regulatory filings indicate a focus on technology, life sciences, and select industrial companies. The firm's emphasis on downside protection and security interests suggests it typically avoids pre-revenue, asset-light, or speculative-stage companies that cannot offer collateral or predictable cash flows. Sectors with regulatory uncertainty or binary risk profiles — such as speculative biotechnology — are likely screened out based on the firm's structural preference for secured lending.

High Trail operates as a private investment partnership and registered investment adviser, managing assets through pooled private funds and separately managed accounts. The firm is not a single-family office — it manages external capital alongside any proprietary investment by its founder. Its regulatory filings with the SEC indicate that High Trail qualifies as an exempt reporting adviser, consistent with a boutique credit manager that has not crossed the threshold for full registration.

High Trail does not market co-investment opportunities alongside external GPs as part of its business model. The firm originates and underwrites its own transactions and holds them within its managed vehicles. While it is possible that institutional limited partners could co-invest directly in specific High Trail deals through separately managed accounts or side letters, the firm has not publicly marketed a co-investment program or club-deal structure.