Metrics Direct Income Fund ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏
Does your investment portfolio benefit from rising rates? | When the Reserve Bank of Australia raises the Official Cash Rate, we often see increased volatility in equities and fixed income markets. For an income-seeking investor, this is problematic. Fortunately, there is an asset class that seeks to provide low capital volatility and higher investment income in a rising rate environment – Private Debt. The Metrics Direct Income Fund (Fund) targets a return of 3.25% p.a.1 (net of fees) above the RBA Cash Rate2 (currently 5.85% p.a.). So, if interest rates rise, investment returns from the Fund should also rise. RBA Cash Rate 2 October 2002 – 4 October 2022 | |
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Metrics Direct Income Fund | The Fund provides investors with monthly income from the interest and fees charged to borrowers from its holding of corporate loans. | Features: | Target return of 3.25% p.a1 above the RBA Cash Rate2 (currently 5.85%) Diversified portfolio of ~290 loans across a range of industries Experienced and active management team Monthly liquidity (where the Fund is liquid)3 Management fee c. 0.58% p.a.4 Minimum initial investment $1,0005 | | | Target return is a target only and may not be achieved. RBA Cash Rate currently 260bps p.a. as at 4 October 2022. Neither the Investment Manager or the Responsible Entity guarantees the performance of the Fund or the return of investor's capital. Where the Fund is liquid, the Responsible Entity will typically accept redemption requests monthly, at the end of each month, with 10 business days prior written notice. In certain circumstances redemptions may be restricted. Please refer to the PDS for more information. Excluding impact of performance fees. Direct Investors only. Minimum investment via platform may vary, refer to IDPS operator requirements. |
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| Key Risks | | Credit risk is one of the risks within a portfolio of private loan assets. We address this risk by: | | Undertaking a detailed and thorough risk assessment of all borrowers we lend to and complete rigorous due diligence prior to committing capital. Ensuring there is a sufficient equity buffer within the loan agreements to absorb any decline in the financial performance and valuation of a company. Employing highly skilled investment professionals with experience in corporate restructuring that can act swiftly to preserve value for our investors should a workout or corporate restructure be required. |
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