First SFSF Investment
27 March 2020
The AOFM has today purchased $189.14 million across six tranches of the Firstmac Series 1-2020 Transaction.
In five of the six tranches, the AOFM invested alongside other third party investors and was a price taker. One tranche, the AAA rated A2 note, in which the AOFM was the sole third party investor, priced significantly tighter than initial price guidance. This was done to provide a buffer to the transaction that will benefit other investors and ultimately the sponsor, Firstmac, in light of the likely difficult credit conditions in the months ahead.
This action has not crowded out other investors and is consistent with Directions for the program, which can be found at https://www.aofm.gov.au/securitisation-investments/background-legislation.