New Zealand’s
corporate debt
specialists

Our purpose

Aotea Asset Management is the first domestically owned and operated private credit manager in New Zealand focused on corporate lending.

Our vision is to make a meaningful contribution to New Zealand’s capital markets; to connect investor capital with great New Zealand businesses that require debt capital to support their growth aspirations.

The team

Aotea Asset Management’s Investment Committee has more than 90 years’ combined loan origination, structuring and credit risk management experience.

Each of AAM’s Investment Committee members has a long and successful track record of originating and structuring corporate and leveraged & acquisition finance transactions, through multiple economic and credit cycles. The team has deal experience across a broad range of industries and debt products. Rigorous, bottom-up due diligence and credit analysis informs our investment decisions, and capital protection is a priority.

Our long-standing and trusted personal and professional relationships with private equity sponsors, corporates, banks, advisors, and other intermediaries provides investors with access to a wide range of direct lending transactions. This best in market origination platform allows us to source and select the most attractive investment opportunities.

The strategy

AAM aims to maximise risk-adjusted returns for investors through active management of a diversified corporate loan portfolio.

Underpinning this strategy is a favourable macro dynamic – a retrenchment by traditional debt providers (banks) due to increasing regulatory and capital pressures, and a relatively low level of penetration by non-bank lenders in New Zealand’s corporate loan market. At the same time, financial sponsors and corporates are seeking more flexible financing solutions that meet their specific needs.

Private credit as an asset class has experienced significant global growth over the past decade and this dynamic is now evident in New Zealand. AAM is favourably positioned to be New Zealand’s preeminent private credit manager.

Our funding is used for a range of purposes; refinancing and recapitalisations, supporting growth initiatives and to enable mergers and acquisitions. The investment focus is senior secured corporate lending, complemented by select ABS, senior real estate and high yield opportunities where the risk/return equation is compelling.

AAM’s strategy is to optimise portfolio credit quality, investment returns and rate of deployment by targeting those lending segments that provide the most attractive market opportunity in New Zealand. As a domestically owned, operated and focused private credit manager, AAM is committed to developing and supporting New Zealand’s alternative finance market.

What we offer Investors

  • A stable, regular income stream
  • Defensive, secured investments prioritising capital protection
  • Attractive risk-adjusted returns delivered through best in market
    deal origination and active portfolio management
  • Inflation protection through floating base rate exposure
  • Diversification away from volatile public asset classes

What we offer Borrowers

  • Innovative funding solutions
  • A deep understanding of the
    industries in which they operate
  • A commitment to their long-term success
  • Local decision-making
  • Responsiveness and flexibility

Investment process

AAM’s approach to investment is defined initially by confirming the appropriate strategy to meet investors’ risk, return and deployment expectations. This involves developing and confirming investment parameters to ensure disciplined portfolio construction.

Once the investment strategy and associated investment parameters are confirmed, AAM develops its origination pipeline. This is achieved through a combination of proprietary deal generation and leveraging our extensive market networks.

Prospective opportunities are then refined and prioritised through a comprehensive due diligence process, with compelling transactions progressed for final Investment Committee sign off. Approved and funded portfolio assets are then subject to ongoing monitoring and a regular reporting cycle.

ESG
considerations

Environmental, Social and Governance (ESG) considerations form an integral component of our investment process. AAM acknowledges its fiduciary duty to act in the best long-term interests of not only its beneficiaries, but also the planet and humanity more broadly. Our ESG Investment Policy provides an operating blueprint to ensure we maintain a high standard of care and diligence as we conduct our business. This Policy is updated annually to make sure it remains relevant and impactful.

Our approach

We take our responsibility as custodians of investor capital seriously and capital protection informs all our investment decisions. We also value the relationships we have with our borrower clients, ensuring we are viewed as trusted long-term growth partners.

We pride ourselves on our pragmatic, commercial approach to investing. Business and market trajectories are rarely linear, and we are prepared to roll our sleeves up and work alongside parties to appropriately address and manage issues as they arise.

Our philosophy is simple – every transaction needs to create real value for all our stakeholders. And we need to deliver consistently high performance over the long term. We are committed to New Zealand and providing successful, enduring outcomes for investors and borrowers alike.

Our Approach

Contact us

Borrowers - if you are looking for flexible, fit for purpose lending to support your growth aspirations, please enquire here.

Investors – if you are seeking stable, attractive returns from a defensive corporate loan portfolio, please enquire here.

Contact Us

Important information

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Disclaimer

The material on this website has been prepared for informational purposes only without consideration of investment objectives, financial situation, or means, and we are not soliciting any action based upon it. This material is not to be construed as a recommendation; or an offer to buy or sell; or the solicitation of an offer to buy or sell any security, financial product, or instrument.