Ares launches second credit fund
Ares Australia Management is launching a diversified credit fund later this year, its second following the US firm’s launch into Australia last year.
The fund would invest in a diversified portfolio of liquid and illiquid asset classes which were not readily accessible by Australian retail investors.
It would seek to provide a consistent yield premium over syndicated loans and high-yield bonds, downside protection by investing in floating rate, senior secured loans underwritten by Ares and an actively-managed portfolio which captured attractive relative value opportunities.
Ares was intending to undertake an initial offering from 16 November to seed the fund which would close on 4 December and seed investors would receive additional loyalty units equivalent to 1% of their initial investment.
The firm’s first credit fund, Ares Global Credit Income, was launched in May with a focus on capital preservation while lowering concentration risk and offering additional diversification from traditional investment.
The alternative asset manager launched in Australia last year via a strategic joint venture between Ares Management and Fidante Partners.
The firm’s parent company Ares Management Corporation, which had over $149 billion in assets under management, was currently in talks with AMP to acquire 100% of the shares in AMP by way of a scheme of arrangement.
AUTHOR
Laura Dew
Recommended for you
Ausbil is to expand its active ETF range with two ASX-listed launches, one focusing on global small caps and one on listed infrastructure.
Up to 20 per cent of wealth and asset managers globally are set to be acquired in the next five years, according to Morgan Stanley, with focus expected to move to ‘inter-sector’ deals between industries.
Fidelity International has appointed Thomas Taw to the newly created role of head of ETF distribution for APAC, joining from a decade at BlackRock.
GQG Partners’ year-to-date flows are 80 per cent lower than the same period a year ago as underperformance prompts three consecutive months of outflows.
