Key Highlights

  • CRED tracks the Solactive Australian Investment Grade Corporate Bond Select index and held a fund size of approximately $1.86 billion.
  • The fund's September distribution rose to $0.114 per unit, up from $0.108 in August and $0.096 in July.
  • Nearly 99% of the portfolio is allocated to bonds, with Australia representing close to 70% of geographic exposure.
  • Top holdings include exposure to Emirates NBD, Aroundtown SA and Stockland Trust Management Debt instruments.

Fund Overview and Objective

CRED, managed by Betashares and listed since 4 June 2018, seeks to track the performance of the Solactive Australian Investment Grade Corporate Bond Select Index before fees. The ETF employs a passive strategy, aiming to hold constituent securities in proportions that mirror the underlying benchmark rather than actively selecting credits.

As of the latest available data, the fund carried a management fee of 0.25% per annum and reported a fund size close to $1.86 billion, positioning it as one of the larger diversified Credit exposures on the ASX.

Portfolio Composition

CRED's asset allocation skewed heavily toward fixed income, with bonds comprising 98.74% of the portfolio and a small cash buffer of 1.26%. The fund held 62 underlying companies, with the top 10 holdings collectively representing 22.71% of the portfolio, leaving the majority of exposure spread across the remaining 77.28% of holdings.

Turnover ratio stood at 43.22%, indicating a moderate degree of portfolio Rebalancing activity over the measurement period. Notable individual holdings included Emirates NBD (2.78%), Aroundtown SA 6.65% notes (2.31%) and Stockland Trust Management 5.346% notes (2.28%).

Geographic Exposure

Australia represented the dominant geographic weighting at 69.67%, followed by Germany at 13.35% and New Zealand at 5.20%. The fund also carried smaller allocations to the United Arab Emirates (3.87%), France (3.11%) and Spain (2.39%), reflecting a degree of Diversification beyond purely domestic issuers within the investment-grade credit space.

Distribution and Yield Profile

CRED distributed income on an interim basis, with the reported annual yield at 5.33%. Monthly distributions showed an upward trajectory across the period reviewed, moving from $0.050 in May to $0.099 in June, $0.096 in July, $0.108 in August and $0.114 in September.

The most recent ex-date, Record Date and payment date were set for 1 September, 2 September and 16 September 2026 respectively.

Conclusion

Taken together, CRED's data points to a passively managed, large-scale exposure to Australian and select international investment-grade corporate debt, characterised by a rising distribution trend over the months reviewed and a portfolio concentrated in but not limited to domestic issuers. Its combination of fund size, moderate turnover and diversified top-10 holdings positions it as one of the more established diversified credit ETFs listed on the ASX, though its yield and distribution figures will continue to move with underlying credit market conditions.