gold-house-coins-feature
Significant increases in land and construction investment was present in the latest statistics. Image – Canva.
  • Total value of mortgages fell $2.7B
  • Super funds invested $7.3B more on buildings and construction
  • Public trusts invested $1.8B more on buildings and construction

Since this year kicked off, umpteen different companies embarked on raising efforts, many of which were extremely successful.

Earlier in the year, Primewest (ASX: PWG) started the year with an extra $55 million going through company coffers, Centuria Capital Group (ASX: CNI) also welcomed $100 million into the company account.

It is a list of companies that stretches on, Ultima United went for $20 million, Qualitas in April for $45 million. HomeCo (ASX: HMC) announced in April in was seeking $1 billion to start a health focussed arm, aptly named HealthCo. In mid-May the company announced it was well on its way to the target.

HomeCo Daily Needs REIT (ASX: HDN) also completed a raise to fund seven acquisitions.

Other companies, in a not-exhaustive list, includes Charter Hall Long WALE REIT (ASX: CLW) with a $169 million raise, and Peet (ASX: PPC), raising $75 million in less than 24 hours.

Today

It goes without saying several billion has been exchanged on an incredibly hot real estate market, residential or commercial.

The above list was not exhaustive. but what does the Australian Bureau of Statistics (ABS) say?

More broadly, the ABS said “The total managed funds industry rose $111.3b (2.8%) to $4,111.7b funds under management.”

“Total unconsolidated assets of superannuation funds rose $97.3b (3.1%) to $3,188.0b during the March quarter,” where there was a $7.3 billion increase (4.0%) in land, buildings, and equiupment investment by super funds.

The same category also saw a $1.8 billion (1.2%) increase in investment by public offer (retail) unit trusts.

Securitised residential mortgages, according to the ABS, for the March quarter fell by $2.7 billion (2.2%) to a total of $118.5 billion.

abs-mortgage-table-data
Key statistics for Assets and Liabilities of Australian Securitisers. Source- Australian Bureau of Statistics.

The ABS also reported that total assets of securitisers and residential mortgage assets peaked in June 2007 at $273 billion. It sharply dropped before gradually regaining steam just before the pandemic hit. The figures now sit at $149.5 million in mortgages.

Total assets of securitisers and residential mortgage assets
Source – ABS.


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