Private Credit
MA Credit Income Fund
Curated access to MA Financial’s flagship private credit strategies. The Fund aims to provide investors with consistent monthly distributions, targeting a return of the RBA Cash Rate + 4.50% p.a. (current target return of 8.60%).¹ The Fund targets a return focused on capital preservation via exposure to a diversified portfolio of Australian, New Zealand and global credit investments.
Seeks to provide consistent monthly distributions targeting a return of the RBA Cash Rate + 4.50% p.a.1
MA Financial’s credit investment philosophy is based around ‘avoiding losers, not picking winners’, a mindset which informs our approach to investing and managing risk
Access to a large, diversified portfolio of MA Financial’s flagship private credit strategies, originated through proprietary channels and relationships
Fund overview
The Fund offers investors curated access to MA Financial’s flagship private credit strategies. These strategies have delivered consistent returns and outperformed traditional benchmarks for fixed income investments since inception.2
Actively managed by a team of over 35 professionals based in Australia and the US as part of an institutional-grade asset management platform of over 180 people, the Fund aims to provide investors with consistent monthly income and focuses on preserving capital.
The Fund’s investments span three core private credit market segments in which the Manager has a proven track record and specialist capabilities: direct asset lending, asset-backed lending and direct corporate lending.
Please refer to the Product Disclosure Statement (PDS) for further information on investment strategy and portfolio composition of the Fund.
MA Credit Income Trust (ASX:MA1)
MA1 offers investors ASX-listed access to a portfolio of MA Financial’s flagship private credit strategies, and targets a return of the RBA Cash Rate + 4.25% p.a.1 Visit the MA1 webpage for more information.
Investor profile
The Fund is intended to be used as part of a diversified portfolio, for an investor who is seeking income and capital preservation.
Prospective investors should ensure they have an informed understanding of the strategies and techniques employed by the Manager, the risks of the Fund and that the risk profile of the Fund is compatible with their own risk tolerance. The Fund is not suitable for investors who cannot tolerate any loss of capital.
The Fund’s Target Market Determination (TMD) is available at https://www.eqt.com.au/insto/.
Fund facts
Target return¹
RBA Cash Rate + 4.50% p.a.
Distribution frequency³
Monthly
Distribution Reinvestment Plan (DRP)
Available. Download the DRP booklet for more information.
Fees⁴
0.90% p.a. management fee on the NAV of credit investments it holds directly and independently of the MA Financial Group Credit Funds
Responsible Entity
EQT Responsible Entity Services Ltd ACN 101 103 011, AFSL 223271
ARSN
683 242 659
APIR
ETL9421AU
Investment Manager
MA Investment Management Pty Ltd
Risks
All investments carry risk. Different investments carry different levels of risk, depending on the investment strategy and the underlying assets. Generally, the higher the potential return of an investment, the greater the risk.
The risks of investing in this Fund include (this list is not exhaustive and you should refer to the PDS for further risks):
Asset class risks: as the Fund invests in private credit assets, it is subject to a variety of risks that uniquely apply to the private credit asset class. Such risks include (without limitation) credit and default risk, counterparty risk, credit margin risk, competition risks and dilution risks. The private credit asset class may also be impacted by regulatory developments that arise from time to time.
Investment risks: as the Fund will invest in the MA Credit Income Fund (Wholesale) which invests in a number of underlying MA Financial credit funds, the Fund will be exposed to the risks that apply to the MA Credit Income Fund (Wholesale) and each underlying MA Financial credit fund. This may include operational risks, distribution risks, valuation risks, property market risks, development risks, financing risks, liquidity risks and tax risks that are specific to the MA Credit Income Fund (Wholesale) and each underlying MA Financial credit fund. You should also refer to the PDS for further information on such risks.
Conflict and related party risks: The Responsible Entity, the Manager and third-party service providers of the Fund, may in the ordinary course of their business, have potential conflicts of interest which may not be managed effectively and may be detrimental to the Fund and its unitholders. The Manager and its affiliates are part of MA Financial Group. MA Financial Group conducts a broad range activities including corporate advisory, securities and asset management. As a result of the range of MA Financial Group’s activities, the Manager and its affiliates and personnel, may have multiple advisory, transactional, financial and other interests and relationships that conflict with the interests of the Fund. Whilst the Responsible Entity, Manager and affiliates have implemented policies and procedures to seek to identify and manage or avoid conflicts in a fair and equitable manner, there can be no guarantee that any such conflicts will be resolved in a manner that will not have an adverse effect on the Fund
General risks: The value of units in the Fund may fall for a number of reasons, including the risks set out in the PDS, which means that an investor may receive less than their original investment when they sell their units on market or may not otherwise achieve the targeted yield or overall return from their investment.
Redemption risks: in some circumstances limited redemption options apply to unitholders of the Fund. That is, if a unitholder no longer wishes to be invested in the Fund with respect to some or all of their units, they may not have the ability to simply redeem their units.
More information on the risks of investing in the Fund are contained in the PDS, which should be considered along with the TMD before deciding to invest in the Fund. You should read the whole of the PDS and TMD in order to fully appreciate the risks of an investment in the Fund before any decision is made. You are also strongly advised to consider obtaining financial advice to determine whether the Fund is suitable for you based on your personal investment objectives and financial circumstances.
Resources
Design and Distribution Obligations
Issuers and distributors of financial products must comply with the Design and Distribution Obligations (DDO) from 5 October 2021. Distributors are required to notify the product issuer of any significant dealing in a product that is not consistent with the Target Market Determination and any complaints received in relation to the Fund. For more information regarding distributors’ reporting obligations, please refer to the Fund’s Target Market Determination.
Templates
You can use the Financial Services Council (FSC) reporting templates, or the templates provided below to report significant dealings and complaints to the Responsible Entity.
Significant Dealings Report
Complaints Report
Any significant dealings or complaints can be reported to:
Private credit insights
Why debt restructuring experience is crucial in private credit investing
In this insight, Managing Director and private credit Portfolio Manager Elliott Etheridge explains why private credit managers with debt restructuring experience have a significant advantage across all areas of credit investing.
Video series: unlocking private credit at MA
In this video series two of our senior leaders – Joint CEO Chris Wyke and Head of Global Credit Solutions Frank Danieli – provide transparency into our detailed and diligent approach to private credit investing explaining how and why it sets us apart.
Private Credit Investment Series
Through a series of four insights our Head of Global Credit Solutions, Frank Danieli, introduces private credit, exploring the wide range of opportunities now available for Australian investors.
For more information and to arrange a discussion, please contact us.
- Target return is over a rolling 12-month period and is pre-tax and net of Management Fees and costs. Refer to the Fund’s Product Disclosure Statement for further information on target returns and Fund details. Current target return as at 1 March 2025.
- Traditional benchmarks refer to the Bloomberg AusBond Credit 0+ Yr Index (BACR0), a benchmark used to measure performance of the Australian traded debt market. While the Manager recognises there is not a widely used index for Australian private credit, the Manager considers the AusBond benchmark, representative of the performance of a diversified portfolio of publicly traded debt, to be an appropriate basis for comparison of the performance of the diversified portfolio of private debt represented by MA Financial’s flagship private credit strategies. Fund returns are based on FSC re-investing distributions as at October 2024 for the underlying MA Financial credit funds. The performance for the MA Master Credit Trust – Class C, which incepted in November 2024, is calculated based on the performance of the aggregate portfolio of the existing Class A & Class B of the Master Credit Trust, adjusted for differences in fees, costs and structure. The performance for the MA Specialty Credit Income Fund, which incepted in July 2024, is calculated based on the historical performance of associated funds that held the seed portfolio of the MA Specialty Credit Income Fund before the latter was incepted and which shared the same underlying strategy (in particular, the MA USD Master Credit Trust incepted in September 2021 and the MA Global Private Credit Fund incepted in July 2023), adjusted for fees, costs, structure and hedging. The MA Credit Income Fund (Wholesale) return is based on current target allocation percentages of the underlying MA Financial credit funds that the Fund obtains its investment exposure, being: MA Master Credit Trust – Class C (57%), MA Secured Loan Series Fund – Class A (20%), MA Secured Loan Series Fund – Class B (20%) and MA Specialty Credit Income Fund (3%) based on the earliest available data following the inception of all underlying MA Financial credit funds. Past performance is not a reliable indicator of future performance.
- Subject to liquidity.
- Refer to the Product Disclosure Statement for details of all fees and costs associated with this product.
DISCLAIMER
EQT Responsible Entity Services Ltd (“EQT Responsible Entity Services”) (ABN 94 101 103 011), AFSL 223271, is the Responsible Entity for the MA Credit Income Fund ARSN 683 242 659 (“the Fund”). EQT Responsible Entity Services is a subsidiary of EQT Holdings Limited (ABN 22 607 797 615), a publicly listed company on the Australian Securities Exchange (ASX: EQT).
This webpage has been prepared by MA Investment Management Pty Ltd (“MA”) as a representative of MAAM RE Ltd AFSL 335783 (“MAAM RE”) to provide you with general information only. In preparing this webpage, we did not take into account the investment objectives, financial situation or particular needs of any particular person. Because of that, before making an investment decision you should consider the appropriateness of this information having regard to those objectives, situation or needs. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. Neither MA, EQT Responsible Entity Services nor any of their related parties, their employees or directors, provide any warranty of accuracy or reliability in relation to such information or accepts any liability to any person who relies on it. Past performance should not be taken as an indicator of future performance. You should obtain a copy of the Product Disclosure Statement (“PDS”) available at https://mafinancial.com/invest/private-credit/ma-credit-income-fund and Target Market Determination (“TMD”) available at https://www.eqt.com.au/insto/ and consider the PDS and TMD before making a decision about whether to invest in this product.
Neither the Responsible Entity nor any MA Financial group entity guarantees repayment of capital or any particular rate of return from the Fund. All opinions and estimates included in this document constitute judgements of MA as at the date of this webpage and are subject to change without notice. Statements contained in this webpage that are not historical facts are based on expectations, estimates, projections, opinions and beliefs of MA as at the date of this webpage. Such statements involve known and unknown risks, uncertainties and other factors, and should not be relied upon in making an investment decision. Any reference in this webpage to targeted or projected returns of the Fund are targets only and may not be achieved. Investment in the Fund is subject to risk including possible delays in payment or loss of income and principal invested. This information is intended for recipients in Australia only.
The address and telephone details for MA and MAAM RE are Level 27, Brookfield Place, 10 Carrington Street, Sydney NSW 2000 and +61 2 8288 5594. The Responsible Entity’s address and telephone details are Level 1, 575 Bourke Street, Melbourne VIC 3000 and +61 3 8623 5000. MA’s directors and employees and associates of each may receive remuneration in respect of advice and other financial services provided by the Responsible Entity in relation to the Fund. The Responsible Entity has entered into various arrangments with MA in connection with the management of the Fund. In connection with these arrangements MA may receive renumeration or other benefits in respect of the financial services it provides, including a management fee of 0.90% per annum of the portfolio value of the Fund attributable to direct credit investments. MA Financial group entities also receive management and performance fees of up to 1.35% per annum from managing the underlying investment vehicles indirectly invested into by the Fund.
