Larry Goldman owns horses on his own and through Little Red Feather. He is the chief administrative officer and general counsel for Beach Point Capital Management, an asset management firm specializing in credit strategies with over $12 billion is assets.
Larry started is career at the law firm of O'Melveny & Myers specializing in banking, finance and corporate law. Between Beach Point and O'Melveny, he served in various capacities for SunAmerica and Post Advisory Group.
Larry serves on the board of directors for Ride On Therapeutic Horsemanship, a 501(c)(3) organization which supports adaptive horseback riding for children and adults with physical and cognitive disabilities. His daughter, who has autism, rides at Ride On every week. Larry received a bachelor's degree in economics from the University of California, San Diego and a J.D. from Boalt Hall School of Law at the University of California, Berkeley.
Who was the first horse you ever owned?
The first horse I ever owned was a small piece of a filly that was purchased in England by Jim Cassidy for a dear friend of mine who introduced me to horse racing. The filly's name was MIss Cassia and she had won a race in the UK. Once she got to the U.S., she kept having minor physical issues and never made it to the races. However, she had decent breeding and Cassidy had said she was fast so we decided to breed her. She has had seven foals, five have made it to the races so far, one is getting close and the other is a yearling. Three of those five are winners and one is trying to break his maiden now. My dear friend is now out of the game due to health issues and I own Miss Cassia outright with another friend. She is currently in foal to Richard's Kid.
How did you get started in the asset management industry?
When I went to law school at Berkeley, I knew I wanted to be a business lawyer and not a litigator. So I did a financial services specialization when I there which led to me becoming a banking and finance lawyer during my time at O'Melveny.
I left O'Melveny to become the first general counsel at a specialty finance company that was owned by SunAmerica and then ended up moving to SunAmerica where one of my responsibilities was working with the capital finance group. I left SunAmerica to become the first general counsel at Post Advisory Group, an asset management firm. I met Carl Goldsmith and Scott Klein, the founders of Beach Point Capital at Post, where they were senior investment professionals and we ultimately spun off Post's alternative investment business and formed Beach Point Capital.
What do you love most about horse racing?
I was 12 when I first went to the races and was intrigued that you could multiply your money by picking the winner of the race. Although I do love the intellectual challenge of handicapping a race, what I love most is the majesty of the Thoroughbred and the beauty and excitement of watching a horse race. Hanging out in the morning at Clocker's Corner watching the horses work is also one of the most relaxing things I can do.
What is the main reason you co-own with others?
There are many reasons. Of course, sharing expenses is a big one, but being able to enjoy something you love with friends is another. It is also a way to meet and benefit from people in the industry that have more experience and better connections than you might have. That was surely the case when I decided to invest with Gary Fenton and Billy Koch of LRF fame in their first pinhooking venture. There was no way I could have accomplished on my own what I have accomplished with Gary and Billy on the pinhooking side of the business.
If you were horse racing commissioner for a day, what one change would you make?
Unfortunately, what needs to be done can't be accomplished in a day. However, I do think racing commissions don't always take into account what is good for the health and growth of the sport and that should be a main focus because a strong industry will lead to more employment and more revenue (from many sources) for the state. We need consistency with how the rules are enforced, and flexibility to adjust rules that no longer makes sense .
We should not settle for doing things a certain way just because it is the way it has always been done. So as a racing commissioner I would advocate for, instead of just regulate, the sport. I would use my influence to try to implement new ideas for the horseplayer like reducing takeout (and increasing handle as many studies suggest), increased transparency to improve how the sport is perceived, and recognize the importance of all of the players in the sport (the tracks, the owners, the bettors, the jockeys and the trainers) which is a unique attribute of the game. There is no other sport where it takes so many different players to produce the ultimate product. Our sport has had trouble coming to agreement on many issues due to the different interests of these constituencies and I would try to reduce the gap between such differences.
New to the Paulick Report? Click here to sign up for our daily email newsletter to keep up on this and other stories happening in the Thoroughbred industry.
Copyright © 2020 Paulick Report.