Message From Fund Managers:
Dear Valued Investors,
We are pleased to announce that the fund has once again ended the financial year 2024 on a high note, exceeding expectations and delivering outstanding results. This year, we have seen a remarkable increase in the number of new investors, doubling our digits compared to the previous financial year, highlighting the significant growth of our offerings.
The fund has consistently provided attractive returns to our valued investors. We are immensely grateful for the trust and support of our investors, which has been crucial to our success. As we move forward, we remain confident in our ability to deliver strong performance and value, while staying true to our customer-centric principles. We invite you to continue growing with us as we take our fund to the next level.
Regards, Investment Team
PERFORMANCE SUMMARY
Fund Name: Maxiron Monthly Income Trust | Fund Type: Pooled Mortgage Fund
Please note that past performance is no guarantee as to the certainty of future performance.
FUND INSIGHTS
^Return is based on our advertised rate of return during the period.
^Return is based on reinvestment of monthly distribution with no withdrawals.
Please note that past performance is no guarantee as to the certainty of future performance.
MORTAGE PORTFOLIO SUMMARY
Note: All the Figures are based on unaudited figures as of 01/07/2024 and may be subject to change. The data is based on the loan amount within the loan portfolio.
PROPERTY MARKET
Over the past year, Australian property prices have continued to rise despite significant interest rate hikes. This trend is driven by several factors:
- Supply and Demand: The housing market has experienced a low supply of homes for sale, while demand has remained This dynamic is particularly evident outside of Victoria and Tasmania. Population growth, especially net overseas migration, has further strained the housing supply, leading to low rental vacancy rates and higher prices. Despite building approvals running at low levels, the demand for housing continues to outpace supply.
- Affluent Buyers: A significant number of affluent buyers, including baby boomers, are purchasing properties without Many baby boomers, who have seen substantial equity growth in their homes and have access to their superannuation, are making cash transactions. This demographic is active in downsizing, relocating, and investing, which stimulates the market. The prestige property sector, with homes priced above $5 million, has also seen notable growth, driven by high salaries and foreign investors.
- Interest Rates and Affordability: While rising interest rates typically reduce property values, the market has shown High interest rates have made it challenging for average buyers to secure financing, but affluent buyers and investors continue to drive demand. Economists are divided on the timing and extent of future rate cuts, with some predicting multiple cuts in 2024, while others anticipate none. Stabilised interest rates since late last year have encouraged investors to seek quality assets before potential rate decreases.
- Rental Yields: Rental yields have increased substantially in many markets, sometimes outpacing property value High rents are prompting renters to consider buying homes, while investors are attracted to the potential long-term returns on quality assets.
- Consumer Confidence: Consumer confidence, which was low in 2023 due to economic and socio- political issues, is expected to improve as inflation is controlled, and interest rates stabilize. Increased consumer confidence will likely boost the housing market as people feel more secure in making significant financial
- Economic Climate: The overall health of the economy, indicated by factors such as GDP, employment rates, and manufacturing activity, plays a crucial role in property Australia’s strong job market supports the housing market, even if the economy faces minor challenges.
In summary, Australian property prices are influenced by a combination of low supply, high demand, affluent buyers, resilient market dynamics despite high interest rates, rising rental yields, improving consumer confidence, and a strong economic climate. Understanding these factors provides a comprehensive view of the current and future state of the Australian property market.
