Preheat oven to 325 degrees F (165 degrees C). Grease and flour a 10-inch fluted tube pan (such as Bundt ®).

Mix pecans, butterscotch chips, and 2 tablespoons flour in a bowl until coated.

Beat sugar, cream cheese, butter, shortening, and vanilla extract together in a large bowl with an electric mixer until light and fluffy.

Alternate mixing 1 egg and 1/2 cup of remaining flour at a time into the butter mixture, beating well after each addition to form a smooth batter. Fold in coated butterscotch chips and pecans to incorporate. Pour batter into tube pan.

Bake in preheated oven until a toothpick inserted into the center comes out clean, about 1 1/2 hours.

Cool in the pan for 20 minutes before removing to cool on a wire rack. Cool completely before slicing.