Perpetual is raising about $100 million from investors for its sharemarket-traded credit fund, but unlike the surfeit of private credit on offer, it is steering clear of one of the asset class’ most beloved sectors – real estate-focused lending.

Much of the hype around credit markets has revolved around private debt strategies embedded within commercial real estate. However, the Perpetual Credit Income Trust puts investor money in more staid areas such as investment-grade and high-yield bonds issued by the likes of Santos and Arnotts, and asset-backed securities.