MLC AM launches retail PE fund

Oksana Patron

5 October 2022

MLC Asset Management has announced the launch of its first retail private equity fund, the MLC Global Private Equity Fund, which will provide retail investors with exposure to PE investments.

The firm said it had 25 years of experience in investments in the private equity asset class on behalf of its institutional investors and with the new retail fund it would offer now this opportunity also to retail investors.

The new fund, which would offer retail investors a diversified portfolio including carefully selected private equity opportunities, with a minimum investment of $20,000, was designed for investors with a higher-risk appetite, wanting to diversify their portfolios and were comfortable with limited liquidity.

The fund would be also diversified across several private equity strategies, including growth and buy-out strategies and would provide exposure across geographic regions, strategies, and industry sectors, including healthcare, technology, and consumer focused industries, with investments in private equity funds and co-investments, including a listed private equity-related exchange traded fund (ETF) and cash to assist in managing liquidity.

“Private equity provides additional portfolio diversification as it allows investors to gain a different return and risk profile relative to traditional asset classes over the long term,” Kristian Zimmermann, co-head private equity (Australia) at MLC AM.

“Against the current macroeconomic backdrop and rising inflationary pressures, we continue to witness the resilience of private equity as an asset class and the creation of new opportunities for retail investors.

“This goes without saying investors need to be aware of the risks when investing in private equity, which, amongst other things include limited liquidity and the risk of a loss of capital.”

The MLC Global Private Equity Fund is available via its Product Disclosure Statement (PDS) and would become available on investment platforms in the future.

MLC Private Equity, a division of MLC Asset Management Pty Limited, has the team currently managing $4 billion in funds.