The PDI Global Awards celebrate excellence in the private debt industry, recognising outstanding achievements across Asia-Pacific, Europe and the Americas. These awards consider both qualitative and quantitative criteria, including innovation, deal size, and strategic significance.

Andrew Lockhart, Managing Partner at Metrics Credit Partners, said, “Receiving this PDI Global Award is a testament to the efforts and commitment of our team, and we are honoured by this recognition.”

This win reinforces Metrics’ position as a leading Australian-based alternative asset manager. Metrics has an experienced team of over 160 investment professionals with current assets under management of approximately $23 billion.

Mr. Lockhart concluded, “Our significant investments in the commercial real estate sector, position us as a leading private credit investor across the Asia-Pacific region, providing unparalleled access to investment opportunities. At Metrics, we are entirely focused on providing a high level of service to our clients. We are a reliable and consistent partner providing access to non-bank finance for our borrower clients and ensuring we carefully manage risk and deliver great investment outcomes for our investors. We thank our clients for the opportunity to assist.”

The post Metrics Credit Partners named Real Estate Debt Manager of the Year appeared first on AdviserVoice.

Andrew Lockhart

Metrics Credit Partners (Metrics), a leading Australian asset manager with approximately $20 billion funds under management, has launched an initial public offer (IPO) for stapled units in the Metrics Real Estate Multi-Strategy Fund (ASX:MRE). The Fund provides investors with an opportunity to invest via a stapled security structure consisting of the Metrics Real Estate Multi-Strategy Passive Trust (Passive Trust) and Metrics Real Estate Multi-Strategy Active Trust (Active Trust) (Fund).

Both Trusts are registered with ASIC and are proposed to be jointly quoted on the ASX as stapled securities on 16 October 2024.  An interest in the Fund consists of one unit in the Active Trust and one unit in the Passive Trust (Unit Set).

Zenith Investment Partners^[1] and Lonsec Research^[2] have both initiated research coverage and given the Fund a ‘Recommended’ rating.

The Fund provides investors with the opportunity to obtain broad exposure to commercial real estate (CRE) investments. It targets a total return of 10.00%-12.00% p.a. net of all costs through the economic cycle (Total Target Return)[3].

The Fund’s investment objective[4] is to provide investors with exposure to a diversified portfolio of private markets CRE investments covering the entire capital structure from lower risk senior secured first registered mortgage debt through to higher risk and potentially higher returning equity investments and seeks to preserve investor capital, manage investment risks and deliver on the Target Total Return.

The IPO issue price for subscriptions is A$2.00 per Unit Set to raise a target amount of A$300 million with the ability to accept oversubscriptions. The minimum investment is $2,000 and the offer closes at 5:00pm on 25 September 2024.

Metrics Managing Partner, Andrew Lockhart said, “Metrics is pleased to launch the Metrics Real Estate Multi-Strategy Fund. This will be our third listed fund open to investors on the ASX. The Fund offers the opportunity to obtain broad exposure to both private CRE debt and private CRE equity investments which are not typically available to investors. The Fund offers immediate deployment of the funds raised from the Offer in existing investments portfolios managed by Metrics.

“Metrics manages funds which invest across all real estate asset classes with investment assets directly originated, negotiated, structured and executed through the extensive proprietary relationships and expertise of the Metrics team. As one of the largest private credit investors in the Australian real estate sector, Metrics leverages its market position to originate high quality investment opportunities covering all parts of the capital structure (senior, mezzanine debt, preferred equity and equity).

Mr Lockhart added, “The Metrics Real Estate Multi-Strategy Fund offers investors the potential to earn income from CRE debt investments and potential income and equity upside from CRE co-investment assets, which are not typically available to them.”

Metrics has an experienced team of over 150 investment professionals with current CRE debt assets under management of approximately $11 billion.

The post Metrics Credit Partners launches Metrics Real Estate Multi-Strategy Fund IPO (ASX:MRE) appeared first on AdviserVoice.

Kivanch Mehmet

Metrics Credit Partners (Metrics), Australia’s largest private debt provider and leading non-bank corporate lender, has appointed Kivanch Mehmet to the position of Director – External Relations, as investors’ interest in private debt continues to rise.

Mr Mehmet brings over 20 years’ experience working in financial services with much of this time dedicated to real estate investing across Europe, Asia and Australia.

Prior to joining Metrics, Mr Mehmet was Head of Institutional Capital at Qualitas Group, managing its institutional business development. Before that, he was Head of Wholesale Investor Relations at Charter Hall for nearly four years, where he was responsible for the Group’s unlisted institutional real estate fund offerings.

Metrics Managing Partner, Andrew Lockhart, said “Kivanch has a deep understanding of private debt and institutional capital, which will allow Metrics to originate and deepen further relationships, particularly in the real estate space and cater for an increased demand both in Australia and globally.

“With interest rates and inflation continuing to rise, investors are increasingly leaning towards private market investment opportunities. Metrics currently has in excess of A$14bn in AUM, of which real estate debt and equity investments are a significant component. As a leading non-bank corporate lender, Metrics is well positioned to support borrowers across a range of industries.

“Kivanch’s expertise will assist Metrics meet the demands of retail and institutional investors who want to take advantage of the attractive risk/return profile of private debt and look to hedge their portfolios from the current economic pressures impacting other asset classes.”

Mr Mehmet commenced on 1 February and is based in Sydney.

The post Metrics hires Kivanch Mehmet as demand for private debt rises appeared first on AdviserVoice.

Metrics Managing Partner, Andrew Lockhart, has welcomed the ratings, “The A-band ratings are endorsement of our strong credit processes,” he said.

S&P Global Ratings affirmed the A- rating for DASLF, saying it has very strong risk-adjusted leverage and a low underlying credit risk profile relative to its peers. DASLF holds a unique position as the only fund offering investors exposure to Australian corporate debt across the credit spectrum and provides a distinctive investment option for those seeking higher yields, S&P said.

The A- rating for REDF was also affirmed. S&P said it expects REDF to maintain its strong risk-adjusted leverage and that the Metrics underwriting practices supported the fund’s overall performance:

“Metrics has been investing in real estate debt through DASLF and other funds since 2013, deploying the same investment committee, trustee, and governance structure as REDF. Metrics’ consistent investment performance and governance structure demonstrate sound risk-management practices, in our view.”

Metrics manages more than $11 billion across 10 funds providing institutional and retail investors access to highly attractive Australian and New Zealand private debt.

The post S&P confirms A- ratings for two Metrics Credit Partners funds appeared first on AdviserVoice.

Alison Chan

Metrics Credit Partners has announced new appointments within its Investments and Corporate teams, as the business continues to grow and intensify its focus on sustainability, further cementing its position as Australia’s leading non-bank corporate lender.

Alison Chan has been appointed as Investment Director – Sustainable Finance, based in Sydney, responsible for developing innovative sustainable finance strategies to support the global transition to a low carbon economy. Ms Chan joins from National Australia Bank where she was Director, Sustainable Finance. Prior to that she was a Senior Advisor to Climate Bonds Initiative, based in London.

In 2018 Ms Chan was named Governance Professional of the Year by ICSA: The Governance Institute, for her commitment to good governance and her innovative and effective approaches to lasting improvements to governance.

Metrics Managing Partner, Andrew Lockhart, said: “We are thrilled Alison has joined our team to help enhance and deliver our sustainability vision. Her experience working with infrastructure owners in Sydney and London with their transition to a low carbon economy will be key as we continue to evolve our approach to ESG integration.”

Lalit Barhate and Luke Adams have recently been appointed to the corporate office as Director, Internal Audit and Group Treasurer, Finance & Fund Accounting, respectively.

“All three bring extensive industry experience and position us well for continued growth,” Mr Lockhart said.

Metrics also announced seven additional appointments – four analysts and three associates to support its investment team across Australia and New Zealand, taking the total team to more than 90.

Heightened environmental, social and governance (ESG) focus

Mr Lockhart said Metrics’ approach to responsible investment and ESG issues is growing in importance as regulation, climate change and societal expectations evolve.

“Sustainability is at the heart of the Metrics business and has always been a core part of our investment philosophy. We have a responsibility to act in the best long-term interests of investors in our funds, and we believe ESG issues present both risk and opportunity – affecting the performance of our funds and the long-term, risk-adjusted returns we ultimately deliver to our investors.”

Mr Lockhart also recognised the potential for the funds management industry to have an impact on creating a better world: “As a fund manager, the main channel through which we can influence the real world is through the companies in which we invest. We have a responsibility as a fund manager to accelerate and mainstream sustainability across the real economy.”

Metrics recently detailed its approach to sustainability in a new ESG policy. Environmental policy aims integrated into Metrics’ investment decisions include support of the Paris Agreement goal of limiting global warming to below 2ºC, preferably to 1.5 ºC, and actively supporting the adoption of renewable or lower-carbon fuels and energy sources.

Metrics believes certain activities and industry sectors represent outsize risk to the firm and its investors and therefore has several negative investment screens including on the development of new oil and gas fields and entities that operate in the coal industry.

Further reinforcing its commitment, Metrics recently became a Partner to the Climate Bonds Initiative and a member of the APLMA Green & Sustainable Loan Committee. This adds to existing commitments as:

• signatory to the UN-supported Principles for Responsible Investment
• founding Member of the Australian Sustainable Finance Institute, which was established to drive and coordinate the delivery of the Australian Sustainable Finance Roadmap, and
• supporter of the Transition Pathways Initiative.

“While the focus of ESG started in listed equities, investors want to know that ESG factors are integrated into the broad range of asset classes including private debt and private equity,” Mr Lockhart concluded.

The post Metrics strengthens sustainability focus with new hires appeared first on AdviserVoice.

Mathew Fulton and Marc Hurwitz have been appointed as Investment Directors based in Sydney covering corporate origination. Both join from Investec Australia’s Corporate and Acquisition Finance (CAF) team, following Metrics’ successful acquisition of Investec’s CAF loan portfolio in March this year^[1].

Charles Tandy has also been appointed as an Investment Director, focusing on commercial real estate (CRE) asset origination.

Metrics Managing Partner, Andrew Lockhart, said: “We are very pleased to have Mathew, Marc and Charles on board. All three bring extensive industry experience and position us well for continued growth.”

“The Investec portfolio acquisition has been a great outcome for investors, as it has added to the diversity and liquidity across our funds, and expanded our relationship with Australian corporate borrowers,” Mr Lockhart said.

Mr Hurwitz has over 20 years of diversified experience in banking and funds management in both the Australian and European markets. Mr Hurwitz was part of Investec’s Corporate and Acquisition Finance team for over 11 years. Prior to this, he held roles at Ellerston Capital, EIM and Goldman Sachs. Mr Hurwitz joins Metrics today.

Mr Fulton has 18 years’ experience across the Australian and European debt markets. Prior to joining Investec, he worked at Commonwealth Bank of Australia as Head of Middle Market Private Equity Lending, and as Vice President – Credit Analyst, Proprietary Credit Trading at Deutsche Bank in London. Mr Fulton joined Metrics in mid-April.

Mr Tandy brings over 13 years’ experience and was previously at ANZ, as an Associate Director and Relationship Manager within the Institutional Property Group. Mr Tandy joined Metrics in mid-April.

The latest appointments build on several appointments announced in March.

——–

[1] Investec Australia’s corporate loan book sold to Metrics Credit Partners 

The post Metrics solidifies market position with new appointments appeared first on AdviserVoice.

Andrew Lockhart

Metrics Credit Partners’ MCP Master Income Trust (ASX:MXT) raised in excess of $190 million via a wholesale investor placement to further diversity its loan portfolio.

MXT issued more than 95 million units in the trust at $2 each in a placement to institutional and wholesale investors.

Andrew Lockhart, Managing Partner of Metrics Credit Partners, welcomed the outcome of the capital raising, which was oversubscribed.

“We are very pleased to continue to see strong investor interest in our funds and we thank investors that participated in the placement. The positive response to the offer reflects robust demand from investors for sources of attractive and stable income and is a great endorsement of the quality of our investment team and the strong track record of the fund.

“MXT continued to deliver reliable monthly income throughout 2020 even as many equity investors experienced reduced income as companies cut their dividend payments to repair their balance sheets – and this proven performance is underpinning ongoing investor appetite to invest in MXT,” Mr Lockhart said.

“Metrics will use the proceeds of this capital raise to further diversify the trust’s portfolio in order to reduce risk, enhance returns and further reduce costs over time.”

After initially planning to issue up to 95 million new units, Metrics issued 95,924,161 new units, in response to strong demand.

As Australia’s first ASX-listed corporate loan fund and the country’s largest credit LIT, MXT recently celebrated a three-year track record of successful performance. Launched in October 2017, MXT opened up a sector of the fixed income market that was previously only available to institutional investors and banks.

Since inception (through to the period ending 31 March 2021), MXT has delivered a net return of 5.30%, a spread of 4.30% p.a. above the RBA cash rate, and well above its target of 3.25% over the RBA cash rate. MXT is positively rated by all the major ratings agencies, including a ‘Superior’ investment rating by Australia Rating Analytics (Australia Ratings) and a ‘Highly Recommended’ by Zenith Investment Partners.

MXT’s current portfolio encompasses 154 corporate loans (as at March 31) diversified across industries and the credit spectrum.

Corporate loans offer stable cash yields with low risk of capital loss. They are also an inflation hedge and add diversity to an investment portfolio because of their low correlation to public equities and bonds.

Metrics is Australia’s largest non-bank lender in private debt and credit and has in excess of $7 billion in assets under management across its strategies.

Mr Lockhart said the successful capital raising will assist Metrics to continue to provide a source of nonbank funding to corporate Australia as businesses seek to pursue growth opportunities in the rebounding economy.

“As Australia’s economy shows its resilience yet again and recovers apace from the pandemic-led downturn, business confidence is rising and we are experiencing strong demand for credit from corporate borrowers across industries,” he said.

Joint lead managers on the offer were Taylor Collison, Morgans Financial, Ord Minnett and Wilsons Corporate Finance. Pinnacle Investment Management was appointed as distribution partner to Metrics. Minter Ellison acted as legal adviser to MXT.

The post MCP Master Income Trust successfully raises $191.8 million in oversubscribed wholesale placement appeared first on AdviserVoice.

Andrew Lockhart

After a volatile year for financial markets that has raised concerns about credit quality, two of Metrics’ loan funds have secured ratings in the coveted A band.

S&P Global Ratings announced it has assigned an A- rating to the MCP Real Estate Debt Fund (REDF), with stable outlook.

The ratings agency also assigned an A-2 short term credit rating to REDF, noting the fund has low leverage, significant permanent capital, and fund terms that support liquidity.

“We view REDF’s low leverage as a key credit strength,” S&P said, adding that Metrics’ sound underwriting practices support the fund’s performance.

S&P noted that the fund has not experienced any impairments in its portfolio since its inception in 2017: “Metrics’ consistent investment performance and governance structure demonstrate sound risk management practises, in our view.”

S&P also affirmed its A- long term and A-2 short term credit ratings on Metrics Credit Partners Diversified Australian Senior Loan Fund (DASLF), with stable outlook, citing the fund’s “very strong risk-adjusted leverage and low underlying credit risk profile relative to peers.”

DASLF invests in a diversified portfolio of corporate loans, including loans to public and private companies, commercial real estate; project and infrastructure; and leveraged and acquisition finance. As of Dec. 31, 2020, the fund had about $3.3 billion in assets under management (AUM), with exposures diversified by industry, tenor and credit quality.

“In our view, DASLF holds a unique position as the only fund offering investors exposure to Australian corporate debt across the credit spectrum and providing a distinctive investment option for those seeking higher yields,” S&P said.

Andrew Lockhart, Managing Partner of Metrics Credit Partners, welcomed the new and affirmed ratings: “The ratings underscore the quality of the funds’ portfolios and are also testament to the stringent origination and risk management processes that Metrics carries out across all of its funds.”

Mr Lockhart said that through the COVID-19 pandemic, Metrics funds have continued to deliver stable income for investors – even as fluctuating prices of listed equities saw many companies cancel or pause dividends and embark on equity diluting capital raisings to repair balance sheets.

“Metrics has demonstrated a proven track record of delivering both capital stability and attractive returns, even when markets are at their most volatile,” he said. “These ratings highlight the benefits of investing in the market through well-managed and diversified funds.”

Metrics has been providing institutional and wholesale investors access to the corporate loan market since 2013. In recent years, Metrics has also focused on providing retail investors with greater access to the market.

Mr Lockhart noted that 80% of capital invested in the ASX-listed MCP Master Income Trust (ASX:MXT) is invested into DASLF and REDF. “The strong rating of DASLF and REDF by S&P indicates the quality of the underlying loans within MXT,” Mr Lockhart concluded.

The post Two Metrics Credit Partners loan funds secure ‘A’ band S&P ratings appeared first on AdviserVoice.

The appointments in the Investments Team include Ben Evans, former Director of Debt Advisory at JLL, who joins Metrics as Investment Directors based in Sydney. Mr Evans, who joined yesterday, will focus on commercial real estate transactions.

Mr Evans has over 16 years’ experience, with specialist property expertise spanning a decade. Prior to his role at JLL, Mr Evans has held a number of senior roles at Pepper Financial Services Group, BNW Group and National Australia Bank.

Metrics Managing Partner, Andrew Lockhart, said: “We are pleased to welcome Ben to the team, who brings a wealth of experience that will help us further strengthen our offering to investors and borrowers.

“The appointments are timely as we continue to see demand for funding from a range of corporates and commercial real estate borrowers as the economy reboots from the COVID-19 related downturn. The opportunity for non-bank lenders continues to grow in the Australian and New Zealand markets.”

Further appointments in the Investments Team include David Owen and Edra Tong, who’ve joined as Investment Analysts, and Harrison Murdoch and Anthony Helman, who’ve joined as Investment Associates.

Additional senior hires to support business growth trajectory

Other senior hires across the business include Stephen Nash, who joined on March 22 as Director Market Strategy and Felicity Cornforth, who joined on March 15 as Legal Counsel. Both are based in the Sydney office.

Mr Nash joins from Vision Super where he was in the role of Senior Market Strategist. With 20 years’ experience spanning the Asia Pacific region, he previously held Chief Investment Officer roles at Nambawan Super and PacWealth Capital, and Head of Fixed Income and Cash at State Street Global Investors.

Ms Cornforth brings over 15 years’ experience and joins from Pepper Group. She held previous senior roles at Minter Ellison and DLA Piper.

Mr Lockhart said Stephen and Felicity were a further two strong additions to the Metrics team.

“Stephen brings extensive asset allocation and macroeconomic expertise which will further bolster our ability to provide investment options in this exciting asset class. Felicity brings addition weight and depth of expertise to our growing legal team.

“The latest string of appointments reiterates the growth in the sector and increased demand from investors. With reliable income highly sought after, Australian corporate loans are proving to be one of the few asset classes that offer both capital preservation and attractive risk-adjusted returns,” Mr Lockhart concluded.

The post Metrics Credit Partners announces several new hires as business expands appeared first on AdviserVoice.

Andrew Lockhart

Metrics Credit Partners has been crowned Australia’s Best Alternative Investment Manager at the 2020 Hedge Funds Rock + Australian Alternative Investment Awards.

The award is decided based on a combination of quantitative and qualitative factors agreed by a panel of expert judges.

Metrics Credit Partners Managing Partner, Andrew Lockhart commented: “We are pleased to receive this prestigious award which recognises our hard-working team and its diligent processes which have enabled Metrics to grow since launching our first fund in 2013.

“As an agile and independent non-bank lender, our philosophy is to work collaboratively with companies and deliver debt solutions to help them realise their business goals, this in-turn enables us to deliver great outcomes for our investors.

“In today’s low-yield world, Private Debt is a highly attractive asset class for strong and regular income, and we’re thrilled to be able to provide investors a range of options to gain a high-quality exposure.

The 2020 Hedge Funds Rock + Australian Alternative Investment Awards ceremony was broadcast on Thursday, September 10, 2020.

The post Metrics wins Best Alternative Investment Manager of the Year at Hedge Funds Rock appeared first on AdviserVoice.