For the second year running, Zagga Investment Lending Trust has received a ‘Superior’ rating from SQM.
“We are delighted to again receive this ‘superior’ rating by SQM Research. To receive it two years running is a testament to the dedication, knowledge and expertise of our team. To have the rating confirmed across a period of tremendous upheaval caused by COVID and related issues says much about our ability to select, assess, fund and manage loan investment opportunities and to deliver value for our investors, borrowers and stakeholders,” said Alan Greenstein, CEO and founder of Zagga.
Zagga, an Australian boutique investment manager and non-bank lender, has originated over $800 million in Commercial Real Estate Debt (CRED) across more than 160 transaction since inception in 2017. It has experienced significant growth in the past 12 months, with new business increasing by more than 50 per cent, off the back of increased funding and larger deal sizes.
Zagga’s transaction structure is centred on ZILT, a non-unitised fixed trust where each investment is fractional and each investor secured for their fractional interest in the underlying security via a dedicated investment lending sub-trust. SQM considers ZILT to be of a high investment grade, with an appreciable potential to outperform over the medium-to-long term and suitable for inclusion on most approved product lists.
The SQM rating recognises and reaffirms the deep experience and cross-functional expertise across the team based in Sydney. Additionally, the practice of constant communication and the broad-based inclusion of team members in decision-making has been cited as a vital ingredient to the success of Zagga’s credit decisioning and investment management process.
When assessing the Zagga Investments Lending Trust, SQM said “The Lending Trust targets net returns in excess of those typically achieved from traditional commingled fixed interest, term deposits, enhanced cash or credit managed funds.”
