Metrics Credit Says It’s Unaware of Regulator ASIC Investigation | Company Business News

(Bloomberg) — Metrics Credit Partners Pty said it’s unaware of any investigation by the Australian Securities & Investments Commission into the company after Bloomberg News reported last week that the regulator was probing it.

The corporate watchdog is scrutinizing the private credit manager because of concerns over loan valuations and governance practices that have emerged as part of a broader industry probe, Bloomberg reported on Friday, citing people with knowledge of the matter.

“Metrics is not aware of any ASIC investigation related to specific practices or transactions in our business,” the firm’s representative said in an emailed statement on Sunday. The representative did not respond specifically to questions on whether Metrics was facing additional attention by ASIC because of its practices and in light of its large exposure to real estate.

The probe is part of a two-year review of private markets that ASIC is conducting across the industry. ASIC obtained over 3,000 documents from Metrics last year as it sought more clarity into the firm’s operations, said the people, who asked not to be identified discussing confidential communications.

A spokesperson for ASIC said last week that the commission is increasing its surveillance of private equity and private credit funds, but declined to comment on Metrics specifically.

ASIC has been particularly concerned about risks in the property sector, where private credit firms have expanded aggressively in recent years. Metrics has invested a large portion of its around A$30 billion ($19.5 billion) asset portfolio in residential and commercial property.

“We operate with robust governance standards – this includes disclosing industry exposures, and detailed performance and portfolio risk settings provided regularly” to the Australian Securities Exchange, Metrics said Sunday. “In relation to loan valuations, we use independent and highly experienced professionals to verify the market value and any potential impairment across our portfolio.”

More stories like this are available on bloomberg.com