Invest in a Credit-Linked Security linked to MA Loan Investments Pty Ltd (ACN: 664 131 800), returning 8.25% p.a.
The information below is a summary of this investment opportunity. Investors must obtain and read the ‘Product Disclosure Document’ for this security dated 15 February 2024 (PDS), along with the ‘C2 Accumulator – Deferred Purchase Agreement – Master PDS’ dated 21 October 2022 (Master PDS) before investing in this opportunity.
Overview
MA Loan Investments Pty Ltd (MA Financial) is a 100% owned subsidiary of MA Financial Group. MA Financial Group is a global alternative asset manager specialising in private credit, real estate and hospitality. MA Financial Group is an ASX-listed (ASX:MAF). This security provides investors with exposures to a diversified portfolio of loans (Credit Portfolio) made by MA Financial via exposure to a Secured Medium Term Note Programme issued by MA Financial and due 28 February 2027 (Bond). Loans in the Credit Portfolio include loans in the following segments:- real estate (including, residential home loans, residential mortgage-backed securities and commercial mortgage-backed securities);
- commercial (including, accounts receivable, supply chain finance, automotive fleet finance, corporate and commercial loans, and other private credit);
- consumer (including, car loans, strata loans, and other consumer and personal loans); and
- other diversified portfolios of loans or credit assets, in which a member of the MA Financial Group has made a junior) investment.
Note Disclosure Documents
- C2 Accumulator – Deferred Purchase Agreement – Master PDS (October 2022);
- C2 Market Linked Products Series 2024/2 – MA Financial PDS
Marketing Documentation
Key Terms
| Issuer | C2 Specialist Investment Pty Ltd ACN 622 433 032 |
|---|---|
| Custodian | C2 Nominees Pty Ltd (ACN 624 366 981 |
| Arranger | C2 Financial Services Pty Ltd ACN 621 428 635 AFSL 502171 |
| Coupon | 8.25%pa (fixed), paid quarterly |
| Maturity Date | 28 February 2027 |
| Issue Price | $100 |
| Minimum Investment | $10,000 |
| ABE Code | C2MF082527 |
Risks
This is an overview of the main risks associated with this investment. Further (and more complete) details of the main risks associated with this security are set out in the PDS.
- Capital invested is at risk –There is no capital protection or guarantee by the Australian government or any other party (including the Issuer). Therefore, if the Issuer or MA Financial default, you may not receive the amount you have invested on maturity.
- Credit exposures to MA Financial – This return on this security references the Bonds and therefore, the securities include a risk of capital loss in part or in whole, as the result of MA Financial; failing to meet its obligations under the Bonds. Such an occurrence is likely to cause an Early Maturity Event and the final value of your investment and/or the coupons you receive will depend on whether an Early Maturity Event has occurred.
- Credit Exposure to Issuer and ‘Hedge Counterparty’ – In addition to the credit risks associated with MA Financial (as outlined above), investors also bear credit risk with respect to the Issuer and, indirectly, to any entity to MA Financial, the entity with whom the Issuer has entered into a contract to hedge its obligations under the security (Hedge Counterparty).
- Historical Performance – Historical performance of MA Financial or the Issuer are not an indication of their future performance.
- Liquidity risk – If you want to sell your securities before the Maturity Date, there may be a delay, or you may not be able to do so, or may not be able to do so within your desired timeframe.
- Early Maturity -In certain circumstances the Issuer may elect to redeem these securities early (eg the Issuer reasonably determines that it may not be able to rely on the hedging contracts it has entered into with the Hedge Counterparty, you become bankrupt or insolvent etc);
- Volatility Risk – -The market price and or performance of this security may be volatile and will be affected by, amongst other things, the time remaining to the Maturity Date, prevailing credit spreads and the creditworthiness of MA Financial, which in turn may be affected by the economic, financial and political events in one or more jurisdictions.
- Custodian risk. The Custodian is a related party of the Issuer. There is a risk that the Custodian may be unable to perform its obligations under the Custody Deed and investors may not receive certain money when such amounts become due to them. However, the Custodian is a special purpose vehicle set up to act as Custodian for these types of securities and other structured products and has no other obligations.
Disclaimer: This webpage has been prepared by ABE Distribution Pty. Ltd ACN 673 177 912 (“ABE”). ABE is a Corporate Authorised Representative number 1307088 of Novus Capital Limited ACN 006 711 995 AFSL 238168. The information contained in it is of a general nature only. It was prepared without considering your financial needs, circumstances and objectives. Before investing in a fixed-interest product with ABE, you should consider whether it is appropriate for your circumstances and review the relevant terms and conditions. This document may contain links to other third-party websites, some of which require a subscription to read. Such links are for your convenience only, and ABE does not recommend or endorse these third-party sites.. No representation or warranty is made as to the accuracy, completeness or reliability of any estimates, opinions, conclusions, or other information contained in the content. The content may contain certain forward-looking statements. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, and other factors, many of which are beyond our control. To the maximum extent permitted by law ABE disclaims all liability and responsibility for any direct or indirect loss or damage that you may suffer as a result of relying on anything in this content. Past performance is not an indication of future performance