Last night’s Federal Budget was a timely reminder of why so many Australians choose certainty, care and real income for their savings. The Treasurer flagged changes that place higher taxes on capital gains from growth assets. The change in tax makes income-producing investments relatively more attractive.
That’s good news for La Trobe Financial investors. It means the income you receive from our credit funds is unaffected by the tax changes, because our funds produce income and not capital gains.
Beyond tax, the Budget also reflected a world that remains uncertain. Inflation risks are proving more persistent than many hoped, made worse by global instability and ongoing pressure on energy supply. These are not abstract issues. They affect household budgets, retirement plans and peace of mind.
In more good news for La Trobe Financial investors, there is reassurance in how your investments are structured. Your income is responsive to inflation. As interest rates rise to manage cost pressures across the economy, the income generated by your investments adjusts accordingly.
Your Investment Rates Will Increase Effective from 1 June 2026:
Equally important is how we manage risk. Periods of economic stress tend to expose weak balance sheets and poor underwriting. At La Trobe Financial, we take a deliberately conservative approach. Your money is invested in quality real assets, across highly diversified portfolios, with clear margins of safety built in. That discipline has supported investors in our La Trobe Australian Credit Fund pooled investment accounts. They have continued to receive income at advertised rates and to have their capital returned at maturity for decades, including through periods such as the Global Financial Crisis and COVID.
Our credit portfolios are designed to produce real income from real assets. They have been built to withstand stress. We never relax our standards, regardless of the economic weather.
I’m grateful for the trust you place in us. We do not take it lightly. We know many of you rely on your investments with La Trobe Financial to support your families, your futures and your retirement. In environments like the one outlined in the Budget last night, you can feel assured that you have chosen carefully and chosen well.
As always, our friendly Investor Centre is available on 1800 818 818 to answer any questions. Thank you for investing with La Trobe Financial.
Chris Paton
Chief Investment Officer
*The variable rates of return will be current at 1 June 2026. The rates of return are reviewed and determined monthly, are not guaranteed, and may be lower than expected. The rates of return are determined by the future revenue of the Credit Fund, and distributions for any given month are paid within 14 days after month end.
# We will make every endeavour to release your funds after receiving your withdrawal request: within 2 business days for the Classic Notice Account, 90 days for the 90 Day Notice Account, and 180 days for the 6 Month Notice Account. However, we have 12-months under the Fund’s Constitution to fulfill the request. When determining whether to honour your withdrawal request within the specified timeframes we have to have regard to the Fund’s ability to realise for value the relevant assets and the best interests of investors. While there is a risk of not honouring your withdrawal request within 2 business days, 90 days or 180 days, it’s important to note that there has never been a case in the history of the Fund when we have not honoured a withdrawal request on time due to a lack of liquidity.
An investment in the Credit Fund is not a bank deposit, and investors risk losing some or all of their principal investment. Past performance is not a reliable indicator of future performance. Withdrawal rights are subject to liquidity and may be delayed or suspended.
La Trobe Financial Asset Management Limited ACN 007 332 363 Australian Financial Services Licence 222213 Australian Credit Licence 222213 is the responsible entity of the La Trobe Australian Credit Fund ARSN 088 178 321, the La Trobe US Private Credit Fund ARSN 677 174 382 and the La Trobe Private Credit Fund ARSN 686 964 312 (ASX:LF1). It is important for you to consider the Product Disclosure Statements (PDSs) when deciding whether to invest, or continue investing, in the Credit Fund. You can read the PDS and the Target Market Determinations on our website.
Any Financial product advice is general only and has been prepared without considering your objectives, financial situation or needs. You should, before investing or continuing to invest in the La Trobe Australian Credit Fund, La Trobe US Private Credit Fund and La Trobe Private Credit Fund, consider the appropriateness of the advice having regard to your objectives, financial situation or needs and consider the Product Disclosure Statement for the fund.
