MA Financial's North American Credit Fund: High Yield, Low Risk

MA Financial, a leading Australian investment management firm, is set to launch a specialty credit fund targeting the North American market. The fund aims to provide investors with exposure to high-yielding private credit investments, generating monthly income and a target total return of 10%-12% p.a.¹. By leveraging strong industry relationships and deep sector expertise, MA Financial seeks to originate and build a portfolio of high-yield credit investments, focusing on corporate debt, structured finance, and real estate loans.

MA Financial's approach to the North American credit market emphasizes asset-backed lending and capital protection. The fund will prioritize investments with robust fundamentals and clear downside protection, ensuring attractive risk-adjusted returns. By targeting investments with outstanding returns for the controlled or limited level of associated risk, the fund seeks to balance potential gains with capital preservation.

The fund's focus on downside protection differentiates it from other high yield credit funds in North America. Unlike many competitors, MA Financial prioritizes asset-backed lending and capital protection, ensuring a balanced risk-reward profile. This strategy aligns with MA Financial's commitment to delivering institutional-grade credit opportunities to wholesale investors, setting it apart in the North American market.

MA Financial's upcoming specialty credit fund will focus on three primary sectors: corporate debt, structured finance, and real estate loans. Within these sectors, the fund will invest in a diversified portfolio of asset-backed lending, prioritizing capital protection and attractive risk-adjusted returns. By targeting investments with robust fundamentals and clear downside protection, the fund seeks to capitalize on opportunities for high yield returns while safeguarding investor capital.

MA Financial's 5% co-investment in the fund aligns interests with investors, demonstrating a commitment to risk management and robust fundamentals. By leveraging strong industry relationships and deep sector expertise, the fund will originate, conduct due diligence, and build a diversified portfolio across investment types, obligors, and characteristics. This approach ensures that the fund is well-positioned to deliver attractive risk-adjusted returns in the North American market.

In conclusion, MA Financial's upcoming specialty credit fund for the North American market offers investors an attractive opportunity to gain exposure to high-yielding private credit investments. By focusing on asset-backed lending, capital protection, and downside protection, the fund aims to generate monthly income and a target total return of 10%-12% p.a.¹. With a commitment to risk management and robust fundamentals, MA Financial's fund is well-positioned to succeed in the North American credit market.

¹ Includes monthly distributions, movement in unit price, and after all fees and costs. Refer to the Fund's Information Memorandum for further information on target returns and Fund details.