MaxCap unveils USD-hedged property credit note

The Australian real estate credit market now offers a new entry point for global investors. MaxCap, a Sydney-based alternative investment manager, launched a USD-hedged currency note tied to its MaxCap Investment Trust (MIT), providing international capital with a simpler way to access the country’s private credit sector.

Designed for global demand

The note was created in response to direct investor requests, showing the growing international interest in Australian real estate credit as a high-quality asset. It arrives three years after MIT’s launch, during which its First Mortgage Fund exceeded expectations, delivering a net annualised return of 9.85% as of June 30, 2026.

MaxCap CEO Kylie Robb stated that investors worldwide are increasing their allocations to Australian private credit. They are attracted by the balance of risk and return, as well as the chance to diversify away from other regions. These investors usually look for first mortgage exposure, floating rate income, short loan terms, strong collateral, and active management—all features MIT provides.

“As allocations grow, choosing the right manager has become more important,” Robb said. “Institutional investors prefer platforms with a long history of managing large-scale capital in first mortgage real estate credit across market cycles, backed by strong governance and clear portfolio reporting.”

Stability and income in a volatile market

Bruce Wan, MaxCap’s head of research, called Australia a secure option for credit investors. He pointed to the country’s well-documented housing shortage, consistent regulations, and resilient credit market. Australia, he explained, offers the reliability of a developed economy alongside population growth rates seen in emerging markets.

“This product aligns with a global trend where investors shift from capital growth to stable, income-producing assets,” Wan said. “The housing shortage in Australia, along with its low correlation to US and European cycles, gives international investors both diversification and a strong income stream.”

The note grants access to MIT’s two funds: First Mortgage and High Yield. A defining feature of the trust is its weighted average portfolio maturity of under 12 months, allowing it to adjust to market changes while maintaining monthly liquidity in an otherwise illiquid asset class.

The note is currently open to institutional and wholesale investors only.