Channel Capital brings asset-backed strategy to | Australian Markets

Global options supervisor, Apollo Global Management, has entered the Australian market and launched a new credit trust for wholesale buyers with the backing of Channel Capital.

Leveraging the companies of Channel Capital as a devoted native asset supervisor companion, the Apollo Asset Backed Credit Trust (AUD) presents Australian wholesale buyers the chance to gain publicity to Apollo’s broader asset backed finance strategy targeting instantly originated, investment-grade property.

The open-ended Australian unit trust supplies buyers with entry to constant income generated from a numerous portfolio of high-quality property set throughout the capital construction, together with client finance, residential mortgage loans, business real estate, onerous property and financial property.

According to Apollo, the strategy additionally boasts “structural protections and low historical correlation to traditional corporate credit offerings”.

“We are pleased to work with the Channel Capital team to expand access to Apollo’s asset backed finance strategy in Australia, a priority market for Apollo where we are focused on meeting the evolving needs of Australian investors, corporates and retirees through creative capital solutions and customised products,” Edward Moon, Partner and Head of Asia Pacific Global Wealth Management at Apollo, stated.

“Secular changes in financial markets continue to position the asset backed finance market for future growth, and we believe the strategy offers an attractive value proposition, leveraging Apollo’s differentiated origination capabilities, structuring expertise and robust risk management framework.”

Channel Capital can be accountable for all “non-investment services” for the trust’s Australian presence, together with accountable entity companies, operations, shopper companies, and distribution and advertising.

“For investors seeking consistent returns with enhanced credit protection, asset backed finance can offer a valuable complement to traditional fixed income allocations,” Luke Mandekic, Co-Head of Distribution at Channel Capital, stated.

“These methods are identified for his or her defensive traits, usually structured with robust collateral safety to scale back default risk and improve recoveries.

“Asset backed finance can provide investment-grade equivalent risk with the potential for enhanced yields, and a lower volatility profile.”

Channel Capital stated the trust is predicted to be made out there throughout all main investment platforms.