Schroders RF Select Credit Fund
Schroders RF is a leading real estate fund manager providing investors with attractive fixed-income style returns and developers with flexible non-bank finance
Pick and choose which investments suit you. Schroders RF Select Credit Fund allows members to choose their own investment portfolios.
Here’s how it works
- Schroders RF will originate loan opportunities with borrowers and transactions that meet our stringent guidelines.
- We will then approach investors whose previously indicated investment preferences align with a new opportunity. You can change your preferences and profile at your discretion.
- Invitations to participate are based on investors’ previously indicated preferences for
- loan and project types,
- loan-to-value ratios (up to a maximum of 65%),
- location, investment time-frame,
- liquidity requirements and
- other key data that we will collect from you when you become a member of the Schroders RF Select Credit Fund (your Target Market Determination profile).
- Investors will be provided with detailed information to make a decision to invest in a discrete loan opportunity. If they choose to do so, they will be offered an allocation in the particular loan (a share of the loan), a process referred to as “syndication”.
- Interest rates are set by Schroders RF, based on prevailing market conditions, loan and security type (including location), and other deal specific factors.
- This fund may be suitable for retail investors seeking regular fixed-income style returns and do not require short-term liquidity in their investment as real estate debt is an illiquid asset class.
- The term of a loan may be between six to 36 months but the majority of loans are written for 12 to 18 months.
- Potential investors should read the Product Disclosure Statement and Target Market Determination and seek independent financial advice before making a decision to invest and give careful consideration to their risk appetite for different types of loans.
The Select Credit Fund is rated 4 stars (superior / high investment grade) by SQM.
Schroders RF aims to provide Select Credit Fund Members with stable and reliable income returns by investing in commercial real estate loans secured by registered mortgages over select types of real property.
The Fund’s investment philosophy centres on rigorous risk assessment, which includes a thorough examination of the transaction’s fundamentals, the proposed Security Property, the borrower’s profile, and prevailing market conditions.
Members can participate in one or more Mortgage Investments by accepting the terms in the Syndicate PDS. This structure enables members to tailor their Mortgage Investments to align with their individual risk appetites and financial goals.
Detailed information about each Mortgage Investment is provided in the Syndicate PDS. Members will be presented with loan opportunities that align with their investment preferences and have complete autonomy to choose any Mortgage Investment presented to them.
To participate in the Fund, an investor must:
- first apply to become a Member of the Fund; and
- then become a Syndicate Member.
Once a Member of the Fund, an investor can then choose to become a Syndicate Member of a specific mortgage investment by accepting the terms of a Syndicate PDS that are offered from time to time.
All application materials are available on our website - www.schrodersrf.com and we have an easy online application form.
An investor may request the return of any monies that are held in the fund account and have not been committed to a mortgage investment at any time. Schroders RF commits to returning such funds within 10 days of your request.
Upon accepting a Syndicate PDS, your funds are committed to that Mortgage Investment for 60 days from the issue date of the Syndicate PDS. There is no right to redeem the committed funds during this period. If after 60 days the Mortgage Investment has not settled, you may request your funds to:
– continue to be allocated to the Mortgage Investment;
– be allocated to another Mortgage Investment; or
– be withdrawn from the Fund.
Once your investment has been used to fund a Mortgage Investment, you may not withdraw your investment from that Syndicate until the Mortgage Investment has been repaid, the Syndicate terminated, and the proceeds distributed.
Loan sizes range from $500,000 to $30M, with the average loan size in the range of $5M to $8M. The term of a mortgage investment can be between 12 to 36 months, however this may be longer or shorter depending on the nature of the investment. The majority of our loans have terms between 6 and 18 months.
The maximum loan to valuation ratio (LVR) is 65.0% and, for construction loans, the maximum loan to cost ratio (LTC) for construction loans (LTC) is 80.0%.
The location of security properties can be in most Australian locations. However, the majority of our loans are secured by properties located in metropolitan areas of either a state capital or a major regional area in Australia.
Schroders RF Limited (ACN 089 265 270) (Schroders RF) is the responsible entity of the Schroders RF Select Credit Fund ARSN 090 994 326 (Fund). Before making an investment in relation to the Fund, any potential investor should obtain and read a copy of the Product Disclosure Statement (PDS) available at www.schrodersrf.com or by calling (02) 9954 2211. Any potential investor can also refer to the target market determinations for the Fund on our website.
All investments carry risk.
Schroders RF is a leading commercial real estate lender targeting commercial, retail, industrial and residential property across Australia’s capitals and major regional hubs.
The company is proud of its 25-year history, operating continuously since its establishment in 1999. The joint venture between Schroders Group and the RF Group was established in 2021 and brings together two firms of significant specialist pedigree in asset management and real estate.
Schroders plc
Schroders plc is a global asset manager with more than 200 years experience. Schroders plc currently manages more than A$1402.3 billion as at 31 December 2023.
RF Group
RF Group is the family investment office of Andrew Roberts. Andrew’s family were previously the founders and major shareholders in the Multiplex Group, and Andrew was previously CEO of this international property, construction and funds management firm.
The RF Group invests across a global portfolio of funds and direct investments in various asset classes. It also is a major shareholder in fund management and property and construction business, including Schroders RF, RF Corval, and Roberts Co.
Nicole Kidd is the Managing Director of Schroders RF. She was appointed a Non-Executive Director of Schroders RF and became Managing Director in August 2023.
Nicole is also Head of Private Debt, APAC at Schroders Australia.
Nicole has worked in the finance industry since 1995, and prior to Schroders spent 13 years working at RBC Capital Markets (the investment banking division of Royal Bank of Canada) where most recently she held the position of Managing Director and Head of Corporate Broking Australia and Institutional Client Management Asia-Pacific at RBC Capital Markets. She previously held roles at AMP Capital Investors and National Australia Bank.
Nicole has deep experience originating real estate, infrastructure and corporate and acquisition finance, and managing successful teams doing the same.
Matthew joined Schroders RF in February 2024 and leads the origination team. He is an experienced real estate debt originator with strong capabilities across deal structuring, negotiation and execution.
Matthew commenced his career in 2006 with Westpac and in 2021 joined non-bank lender MaxCap where he was a key originator in the NSW / ACT business, spanning residential, hotel, commercial and industrial origination.
Simon joined Schroders RF in October 2023 as Head of Credit. He has over 20 years of experience across a broad range of lending products and industry sectors, with a significant focus on commercial real estate, including development financing. Simon combines extensive credit and risk management expertise with experience in restructuring and managing stressed and defaulting loans.
Most recently, Simon held the position of Senior Manager at Commonwealth Bank of Australia, leading the NSW and ACT property credit risk team for the Major Client Group and Corporate Banking, where he held a delegated authority for loans up to $250m. He has previously worked in the Institutional Bank at Commonwealth Bank, asset structuring and mid-market property at Westpac, and in Corporate Finance for GE Capital.
During the Global Financial Crisis, Simon specialised in real estate structuring at Lloyds International. There, he managed a real estate loan portfolio of $650m of performing and non-performing loans across the eastern seaboard of Australia.
Relevant Documents
You should read the PDS, TMD (if applicable) or any Investment Memorandum (or other offer documents) related to this product before making an investment decision. These documents (if available) can be found at https://www.schrodersrf.com/, or if this is a "wholesale investor only" investment, can be viewed by contacting the Product Issuer identified on the aforementioned website.
Statutory Statement
The issuer of this product is identified at the top of this page. The PDS and target market determination for the product are available in the Documents section of this listing. Prospective investors should consider the PDS before deciding to acquire the product. An investment in the product is not a bank deposit and investors risk losing some or all of their money. This product listing was vetted by and approved by the product issuer identified above before publishing. Investment Markets(Aust) Pty Ltd AFSL 527875 (IM) is not the issuer of the product.
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