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Credit Opportunities Fund

A high-yield, open ended fund offering monthly distributions, quarterly redemptions and a highly diverse pool of credit loans which are secured by real assets and structural protections. Annualised return since inception of 14.29% p.a. (after fees).

Fund overview

Our Credit Opportunities Fund is suited to wholesale investors seeking exposure to Australia’s private credit market and looking to add a growth fund to their investment portfolio. Gain access to a high, risk-adjusted return on investment, consistent income through monthly distributions and the option to reinvest and build your wealth further.

* Target returns are not guaranteed. Past returns are not a reliable indicator of future performance. 

Capability
14.29%

Annualised return p.a (after fees)*

Capability
+16,710

Underlying credit contracts

Capability
100%

Principal & Interest returned

Performance of the Remara Credit Opportunities Fund

Month Absolute RBA Active Gain
March 1.24% 0.36% 0.87%
April 1.24% 0.36% 0.87%
May 1.16% 0.36% 0.80%
June 1.19% 0.36% 0.83%

Fund & performance documents

2024 Performance Documents

View current and historical fund performance documents including the Credit Opportunities Fund monthly update report.

Quarterly Market Updates

A comprehensive look at the markets & what may lie ahead.

Why choose our Credit Opportunities Fund?

The Remara Credit Opportunities fund caters to wholesale investors seeking portfolio diversification and growth through a medium to high risk/high return investment profile. Gain exposure to the private credit market through underlying investments in corporate loans, structured finance, real estate & project finance and tactical opportunities. Our aim is to provide investors with a reliable income stream whilst seeking to achieve long term capital growth. The Fund’s investment strategy prioritises capital preservation before assessing the income return to minimise any downside risk.

Fund details

Our Credit Opportunities Fund carries a medium to high risk rating and is open to Australian domiciled wholesale investors (as defined by the Corporations Act) only. The Fund aims to return in excess of 10% (after fees)* above the BBSW Rate per annum to investors. This fund is suited to investors who are looking for a high rate of return, monthly distributions and capital growth on their underlying investment. Investors can make withdrawals on a quarterly basis during the specified withdrawal window.

* Past returns are not a reliable indicator of future performance. Target returns are not guaranteed.

Full fund specifications

Fund Name
Remara Credit Opportunities Fund
Investment Manager
Remara Investment Management Pty Ltd
Trustee/Responsible Entity
AMAL Trustees Pty Ltd
Unit Registry
Remara Investment Management Pty Ltd
Custodian
Perpetual Coprorate Trustees Limited
Fund Auditor
Ernst & Young Australia
Return Profile
The fund seeks to return annual returns in-excess of 10% (post fees) above the floating BBSW Rate
Risk Level
Medium to High
Investment Horizon
Perpetual
Investor Eligibility
Australian domiciled wholesale investors (as defined by the Corporations Act), Family Units, SMSF provided they meet the requiements to be classified as a wholesale investor
Minimum Investment
A$25,000.00
Minimum Investment Balance
Investors must maintain a minimum balance of A$25,000.00
Distributions
Monthly – 15th Each Month
Management Fees
1.25% p.a.
Performance Fees
20% of performance above a hurdle of 10% + BBSW (subject to a rolling return high water mark)
Withdrawals
Quarterly. The Manager will use best endeavours to ensure full liquidity is available to investors as required, however, full liquidity may not be able to be provided within the requested quarterly window. In the event a Redemption Request is unable to be met in full, the Unitholder will be given the choice between a pro-rata withdrawal or a deferral of withdrawal to a future period where liquidity can be provided and managed.
Lock up Period
Investors are subject to an initial lock up period of 12 months. Redemption requests will not be accepted where units have not been held for 12 months

Australia's Private Credit Market

Worth $3.2 trillion dollars, Australia’s private credit market has experienced year-on-year growth over the past fifteen years. With regulatory changes forcing banks to tighten lending criteria, the demand for alternative sources of credit has increased exponentially. This has created significant demand with non-bank sourced credit now overtaking ADI (Australian Deposit Taking Institutions) funding for mid-market corporate entities and SME’s.

Investing in the private credit market offers wholesale investors access to superior risk-adjusted returns, lower volatility compared to traditional fixed-income investments, portfolio diversification and regular monthly income.

Frequently asked questions

Is the fund guaranteed to meet the target return of BBSW + 10% (after fees)

No, the Fund invests into a portfolio of underlying direct loans to borrowers across multiple product and asset classes. The return to investors is not guaranteed and is subject to underlying market conditions. The underlying return post fees to investors could be higher or lower than target return being RBA Cash Rate + 10%.*

* Past returns are not a reliable indicator of future performance. Target returns are not guaranteed.

When are distributions paid?

The Fund will pay monthly distributions on the 15th of each month.

Can I reinvest my distribution?

Yes, the fund offers a dividend reinvestment program.

Can I withdraw money from the fund?

Fund investors will have an open period Semi-Annually to request a redemption. Redemptions will be completed 15 days after the end of the redemption period. Investors should review the conditions around redemption in the Investment Memorandum.

Are the underlying loans secured?

Yes, the underlying loans are secured by real assets, cashflows and other structural protections including director/borrower guarantees, registered security interests and first loss support.

How does Remara manage credit risk?

Remara has established relationships with proven and profitable loan originators and servicers. Remara undertakes a review of the credit policy and sets stringent portfolio and credit parameters to ensure a tight credit structure is maintained. Remara, on a monthly basis, will monitor the ongoing credit of the investment portfolio. Each originator retains a ‘first loss’ position in the loan.

What is the 'first loss' position and how does it work?

Remara has structured its investments to require the loan originator to fund and retain a ‘first loss’ portion of the loan. This means in the event of a credit loss, the originators capital is paid last in the recovery scenario. This results in an improved credit enhanced position for fund investors as the originator is aligned to fund investors with their money at risk ahead of fund investors.

Is Remara a bank?

No, Remara is an investment manager regulated by the Australian Investment and Securities Commission via a Financial Services licence.

Is an Investment into the Private Credit fund covered by the Australian Government deposit guarantee?

No, as Remara is not an Australian deposit taking institution, the investment is not covered under the guarantee.

I am a retail investor. Can I invest into this Fund?

Unfortunately the Remara Credit Opportunities Fund is only open to Wholesale Investors (as defined by the Corporations Act).

Wholesale Investor

There are several criteria outlined in the Corporations Act, the most common include:

  1. You have net assets of at least $2.5m; or
  2. You have gross income for each of the last two financial years of at least $250k;
  3. You are willing to invest $500k or more into the fund.

To verify whether you satisfy the criteria referenced above, you must obtain an Accountant’s Certificate stating so.

Looking to invest?

Download our fund information pack containing our Product Disclosure Statement and Fund overviews docs, apply now or speak to one of our team.

  • Download Information Pack
  • Apply Now
  • Speak with our team
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