NEWS


LA TROBE FINANCIAL ASSET MANAGEMENT LTD’S ‘VERY STRONG’ OPERATIONAL CAPABILITY RANKING AFFIRMED
Friday, January 19, 2018


Melbourne, 19 January 2018 – Australia Ratings has affirmed La Trobe Financial Asset Management’s (LFAM’s) ‘Very Strong’ operational capability assessment (OCA).

LFAM’s ‘Very Strong’ ranking reflects its sound governance, risk management and compliance frameworks, and its experienced and focussed staff. The affirmation also points to LFAM’s prudent management to protect investor capital and interest, and the continued solid support from its parent and related entities within the La Trobe Financial Group including the Blackstone Group, following its recent acquisition of an 80% in La Trobe Financial.

Australia Ratings analyst, Natasha Hall said “the affirmation is underpinned by LFAM’s continued focus to prudently manage the Fund and foster its growth and performance to current levels, whilst preserving investor capital. Whilst arrears on loans remains a key risk, LFAM’s policy and practice of managing asset quality and performance has led to arrear levels that are comparable to industry performance”.

Ms Hall added “global company Blackstone Group’s recent acquisition of an 80% stake in La Trobe Financial Group adds further support to the Fund’s ‘Very Strong’ ranking”.

LFAM is the Responsible Entity for The La Trobe Australian Credit Fund; is wholly owned by La Trobe Financial Pty Limited and forms part of the La Trobe Financial Group of companies. The La Trobe Financial Group’s key business as a credit specialist is to originate mortgages and offer investors (institutional and retail) an opportunity to invest in mortgages and other credit assets, including mortgage-backed securities. In December 2017 the US$400 billion Blackstone Group acquired a majority interest in the La Trobe Financial Group.

Australia Ratings’ assessment of ‘Very Strong’ reflects the very strong capacity of an operating party to perform its operational role and assist the issuer or fund to meet financial obligations in a timely manner.

A full rating report is available from www.australiaratings.com.  

Find out more about Australia Ratings’ Operational Capability Assessments by visiting www.australiaratings.com/analytical-services

For more information contact:

Chris Dalton, Managing Director
chris.dalton@australiaratings.com
03 8080 6684

Natasha Hall, Analyst
natasha_hall@australiaratings.com
03 8080 6684

About Australia Ratings

Australia Ratings is Australia’s local credit rating agency with over 60 years’ experience in assessing and rating credit risk. Australia Ratings was formed in 2010 following regulatory reforms to the operation of credit rating agencies in Australia. Australia Ratings Pty Limited holds Australia Financial Services License No. 346138. 

Opinions of Australia Ratings are determined by its analytical team in accordance with its rating methodology. The Board of Australia Ratings, whose members include Jarrod Brown, Chris Dalton and Mike Dontschuk, oversee the application of Australia Ratings rating methodology and the integrity of the rating process.

What an Australia Ratings Operational Capability Assessment (OCA) means

An Operational Capability Assessment is Australia Ratings’ opinion on anoperating party’s capacity in effectively managing the operational risks associated with a pool of financial assets. It focuses on the operating party’s (an operating entity, special-purpose vehicle, or asset) ability to perform its role adequately and limit exposure to loss arising from operational risk.

Find out more about Operational Capability Assessment - visit www.australiaratings.com/analytical-services

 


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