The non-bank division of global alternative asset management firm MA Financial revealed a set of achievements Thursday, including surpassing $3 billion in loans under management, completing its largest-ever residential mortgage-backed securities (RMBS) transaction at $1 billion, and settling a record $300 million in loans during the month of May.
The momentum highlights two significant shifts in Australia's loans market: specialty lending is soaring — and brokers are at the center of the surge.
"Brokers are driving this milestone by diversifying," Tim Lemon, national sales manager at MA Money, told Australian Broker. The executive noted that the need for solutions, such as alt docs for self-employed borrowers, or "credit-challenged clients," have been particularly strong, highlighting the pivotal role brokers continue to play in meeting the evolving needs of the market.
"We’re proud that brokers have trusted MA Money and our BDM team to support these borrowers," Lemon explained. "We’ve built a broker-first model with fast turnaround times, a broad product range and hands-on credit support.
"Despite the sharp increase in volumes, we’ve maintained 48-hour conditional approvals and introduced a credit development manager to give brokers clear yes-or-no answers before submission," he added.
Chris Wyke, co-founder and co-chief executive officer of MA Financial, added that the recent achievements are a "testament to the work our team has done to build a responsive, broker-first business.
“This momentum reflects a market that values tailored solutions, transparent partnerships and certainty of execution," added Wyke (pictured above.)
Strong demand from both new and existing investors led to an upsized RMBS issuance, bringing the total value to $1 billion, and emphasizing the growing demand in MA Money's funding strategy, the company confirmed.
These milestones also cap off a string of recent developments at MA Financial. Earlier this month, the firm scooped up Melbourne-based real estate investment manager IP Generation (IPG) for more than $90 million. Also in May, MA Financial joined forces with US-based middle market lender Monroe Capital and Japanese financial services giant Sumitomo Mitsui Banking Corporation (SMBC) to form a $1.7 billion USD joint venture. The trio plans to offer senior secured loans to US-based middle market companies by way of the venture.
In addition to MA Money, which works in both residential and commercial loans, Sydney-headquartered MA Financial's portfolio of companies also includes Middle, an online home loan application platform; and aggregator Finsure, which Wyke said "touches one in every 12 home loans in Australia."
Beyond MA Financial, the news signals a major shift for brokers and the Australian loan markets as demand for non-bank solutions surges. With traditional banks facing increased regulatory scrutiny, non-banks like MA Money have moved swiftly to fill the gap — and capture market share.
MA Money's Lemon said growth of alt doc and specialist lending channels in particular have created new opportunities for brokers to diversify and expand their businesses.
"It’s all about helping brokers say yes to more deals," he said. "And they've absolutely delivered."
