What is Real Estate Credit Investment?
Real estate credit investments work by offering exposure to diverse, secured loan portfolios, with payments derived from interest charged on real estate loans. Such investments provide potential property benefits without the risk of ownership, with the potential security of diversification.
How Does Our Fund Work?
MFEG real estate credit investment works by offering wholesale investors access to a pooled fund, with returns on the interest charged on real estate loans. The fund targets diversification across geographies, borrower profiles, asset classes and loan maturity, offering opportunities with outweighed returns for risk.
What Makes Us Different?
It’s the experienced credit team at MFEG that makes our real estate credit fund stand out from the rest. Our in-house experts consider all aspects of our fund to determine the potential of your investment, taking into account factors like security, development risk, servicing risk and saleability.
MFEG investment fund is also more accessible than many similar funds, offering access to more qualified wholesale investors than is typically the case, with investments starting at $100,000.
DRCF Strategy
Our investment philosophy for MFEG Diversified Real Estate Credit Fund (DRCF) is to identify opportunities with outweighed returns for risk and manage this risk through diversification.
We see such opportunity in the Australian and New Zealand Real Estate Credit market and have set up the DRFC to provide investors an opportunity to gain exposure to this market and benefit from MFEG’s proven ability to originate quality debt opportunities.
The Fund targets diversification across geographic areas, borrower profiles, loan purposes, asset class and loan maturity.
Sharing origination fees for directly sourced transactions with the Fund provides the opportunity to enhance returns further.
Who Can Invest in Our Real Estate Credit Investment Fund?
MFEG real estate credit investment fund is open to wholesale clients as per section 761G of the Corporations Act. Investment in our fund is accessible to any qualified investor with a minimum investment of $100,000.
Investing in MFEG Diversified Real Estate Credit Fund (DRCF)
STEPS TO GET STARTED
Step 1
Read the MFEG DRCF Fact Sheet
Learn about the MFEG DRFC by downloading our fact sheet. This document provides a summary of the crucial details you need to know to take the first step towards investing. Access our fact sheet by sharing your name and email so we can stay in touch
Step 2
Read the MFEG DRFC Information Memorandum (IM)
If you're thinking about investing your money, that's great! But it's super important to do it right. To help you make informed decisions and gain some valuable insights, you'll need to check out the MFEG Information Memorandum (IM). This comprehensive document explains the fund's objectives, investment strategy and more.
Step 3
Complete the MFEG DRCF Application Form
Looking to invest? The MFEG DRCF Investment Application Form can now be downloaded. We recommend reviewing steps one and two to familiarise yourself with our investment process.
If you need more information, don't hesitate to contact our dedicated team at MFEG Fund. You can reach us at 03 9101 8526.
FAQs
What is the minimum investment amount?
The minimum investment amount for MFEG real estate credit funds is $100,000, at the Trustee’s discretion. Please note that the investment is open to wholesale clients as detailed in the Corporations Act.
How are returns generated and distributed?
Our fund invests in mortgages with a focus on risk management through investment diversity. Returns are generated from repayment interest rates on investment debts, targeting annual returns of 6-6.5% above the 90 Day Bank Bill Swap Rate (BBSW). Returns are paid monthly.
What are the risks involved with real estate credit investments?
As with all investments, MFEG real estate credit investments carry certain risks, with distributions and capital returns unable to be guaranteed. For more specific information on investment risks in this credit investment fund, please see our Information Memorandum.
One Fund Services Ltd (ACN 615 523 003)(AFSL 493421) is the trustee of the MFEG Diversified Real Estate Credit Fund (OFML/OFSL). The information contained in this document was not prepared by OFML/OFSL but was prepared by other parties. While OFML/OFSL has no reason to believe that the information is inaccurate, the truth or accuracy of the information in this document cannot be warranted or guaranteed. Anyone reading this report must obtain and rely upon their own independent advice and inquiries. Investors should consider the Information Memorandum (IM) relevant to the Fund before making any decision to acquire, continue to hold or dispose of units in the Fund. You should also consult a licensed financial adviser before making an investment decision in relation to the Fund. A copy of the IM and related application form may be obtained from https://www.mfeg.com.au/investors/ One Registry Services Pty Ltd.
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