INVESTOR FAQs

Many Australians are familiar with real-estate investing through home ownership or buying a rental property. But what about investing in real estate debt? Investing in private credit funds can be an attractive option for many investors seeking income and diversification to their portfolio. These FAQs provide an overview for investors considering private credit funds.

Each investor should perform thorough due diligence and consult with financial advisers to align such investments with their financial goals and risk appetite. Here are some common FAQs that potential investors might have:

General Questions

Investment Structure and Returns

Risks and Due Diligence

Fees and Costs

Liquidity and Redemption

Fund Management and Operations

Legal and Regulatory

Investment Process

GENERAL QUESTIONS

What is private credit?

Private credit refers to loans and debt financing provided by non-bank financial institutions. Unlike shares, these loans are not issued or traded on public markets.

How do private credit funds work?

Private credit funds pool capital from investors to lend to companies or projects. The returns generally come from interest payments.

Who typically invests in private credit funds?

Institutional investors like super funds, insurance companies, as well as high-net-worth individuals and family offices, are typical investors.