Talking Private Credit: How advisers can help clients understand the asset class

This month, Damian Casey steps into the host chair and he puts the questions straight to James O'Reilly, financial adviser, founder of Northeast Wealth and co-host of the Australian Retirement Podcast. It's the conversation happening across dinner tables and adviser meetings alike: what is private credit, where do the returns come from, and what are the risks? James makes the case for keeping it simple: private credit is direct lending without a bank, and the returns come from the premium a borrower pays for capital that's faster, more flexible, or outside a bank's appetite. From there the pair get into why risk should come before return, how first mortgage security and LVRs work, why the valuation inside an LVR matters, and why an independent external trustee is a non-negotiable in an unregulated asset class Everything from this conversation lives on Woodbridge Learning. Explore here: woodbridgecapital.com.au/learning. **Disclaimer** This information has been prepared for general information only by Woodbridge Capital Pty Ltd (Woodbridge) (ABN 82 656 985 572). Woodbridge Capital Pty Ltd (ABN 82 656 985 572), Authorised Representative of Woodbridge Funds Management Pty Limited (AFSL 550122). Woodbridge is the investment manager for the Woodbridge Private Credit Fund and the Woodbridge Secured Income Fund (together the Funds).  This information is given in summary form and does not purport to be complete. This information may have been derived from publicly available sources that have not been independently verified. This information should not be considered as advice or a recommendation to investors and/or advisors in relation to holding, purchasing or selling securities or other financial products or instruments and does not consider your particular investment objectives, financial situation or needs. Before acting on any of this information you should consider the appropriateness of the information having regard to these matters, any relevant offer document and you should seek independent financial advice. No representation or warranty is made as to the accuracy, completeness or reliability of this information. All securities and financial product or instrument transactions involve risks, which include (among others) liquidity, operational, strategic and governance risks. This information does not constitute an offer to sell or a solicitation of an offer to subscribe or purchase or a recommendation of any securities and may not be distributed in any jurisdiction except in accordance with the legal requirements applicable in such jurisdiction.  This information may contain forward looking statements – that is, statements related to future, not past, events or other matters – including, without limitation, statements regarding our intent, belief or current expectations with respect to Woodbridge business operations, market conditions, financial condition, capital adequacy, provisions for impairments and risk management practices. Investors and/or advisors are cautioned not to place undue reliance on these forward-looking statements. Woodbridge does not undertake any obligation to publicly release the result of any revisions to these forward-looking statements or to otherwise update any forward-looking statements, whether because of new information, future events or otherwise, after the date of this information. Actual results may vary in a materially positive or negative manner. Forward looking statements and hypothetical examples are subject to uncertainty and contingencies outside Woodbridge’s control. Past performance is not a reliable indication of future performance. This information is proprietary and confidential and is intended only for the person or persons to whom it is provided to. If you have received this information in error, you are hereby notified that the information remains confidential and you may not use, disseminate, distribute or copy this information and may not disclose its contents to anyone.