What is a Mortgage Fund?
In today’s ever-changing economic environment, many Australians find it difficult to strike a balance between generating regular income and preserving the savings they’ve accumulated. At TPT Wealth, we recognise that not everyone has the capacity, let alone the time, to actively focus on their funds.
For that reason, we have a highly skilled investment management team who are managing the funds our clients are investing in. Leverage the expertise and financial insights of professionals who will work towards clearly determined investment objectives.
Get started by reading through the details we’ve compiled about mortgage funds. It’s easily accessible to most of our clients, and it’s written in plain language to allow you to better understand this type of investment.
This information is meant to be general in nature, and it does not consider the financial circumstances, investment goals, or specific requirements someone might have. As such, before making a final decision about an Australian mortgage fund or other investment funds, it’s always good practice to seek independent advice to understand what product works for you.
Always read the relevant Product Disclosure Statements (PDS) and other disclosure documents including Target Market Determinations before making any decisions.
Now, let’s get right into it.
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Cash & Income Funds
Aiming for capital stability and consistent investment returns.
Investment Growth Funds
Potential for higher average investment returns over the long term.
All investments involve various elements of risk. Whilst TPT Wealth cannot eliminate all risks associated with an investment in the TPT At Call Fund, Growth Funds and TPT Wealth Income Funds (including the risk of loss of income and capital invested), as Responsible Entity and Investment Manager we employ a range of strategies that seek to actively identify, assess, manage, and reduce risk. Neither TPT Wealth, nor MyState Limited or MyState Bank Limited guarantee the repayment of capital or the performance of the TPT At Call Fund, Growth Funds and TPT Wealth Income Funds. For important information about Funds and their risks, please refer to the Fund’s PDS and TMD.
ASIC Benchmark Disclosures:
ASIC has developed a range of benchmarks for unlisted mortgage schemes (such as the Income Funds) the enable investors to understand the risks and assess the suitability of the investments. This information is updated on a quarterly basis and made available on this website.
Why invest with TPT Wealth?

Short, medium to long term investments

Over 30 years experience

Invest in assets generally not available to retail investors

24/7 access to your investments via our online investor portal
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Are mortgage funds considered to be secure investments?
No. It’s important to note that all investments have risks, which means, ultimately, mortgage funds are not a 100% secure investment. You could have more confidence in this kind of managed fund once you understand what it is and how it works.
A mortgage fund is a form of managed funds. It allows you to make personal investments where your money is pooled with other investor’s money to be lent out to those who want to take out a real property mortgage loan.
This would be a specific group of borrowers who are keen on purchasing or constructing property for residential or business use. However, in some cases, the money being lent out could also go towards other investments the borrower might want to make.
With this, you can consider mortgage investment funds as conservative investments since they are secured and heavily tied to physical assets like real estate. Because a mortgage fund and property go hand in hand, if a borrower defaults on the loan, part or all of the money could still be recovered through what is called “foreclosure”. This is the act of taking back property that was mortgaged to secure the borrowed money because the loan was not being paid back as agreed.
Before committing to any type of managed investment, always read the relevant Product Disclosure Statements (PDS) and other disclosure documents, including the Target Market Determinations (TMD). Ensure that you know exactly what’s on offer and understand the potential risks and returns before deciding.
Are mortgage funds good for new investors?
Investors will each have different goals and risk tolerances. Only an individual investor can decide whether a mortgage fund is a suitable investment for them. As such, investors should review the disclosure documents before committing to mortgage funds or other types of investments.
In general, beginners who invest in mortgage funds could benefit from consistency, diversification, and quick returns.
- Consistency. The majority of people in Australia would want to receive “passive income” (having their money work for them), and that is possible with an investment in a mortgage fund. Unlike other forms of investment that can drastically fluctuate (such as traditional shares or cryptocurrency), a relatively steady return could be achieved here, although capital is not guaranteed with mortgage funds.
- Diversification. When it comes to finances, ‘Don’t put all your eggs in one basket’ is a common saying. Investing in mortgage funds, on top of other forms of investments, may allow you to spread your risk.
- Quick returns. Finally, you could earn income from your investment relatively quickly, compared to long-term investments like term deposits. Returns on term deposits are generally paid at the expiration of the term deposit, whereas returns on interests in mortgage funds (at TPT Wealth anyway) are paid monthly.
Given this, asset management and wealth management allow you to benefit from the experience and know-how of the investment management team. You could leverage our mortgage fund service at TPT Wealth and gain additional advantages:
For instance, managed funds in general allow you to combine your funds with those of other investors. This means that you can get into investing even if you don’t have much capital.
You can leave direct investment decisions to us. Let our expertise give you a chance to place your attention on other important matters in your life, while a skilled professional does the investing for you.
Contact us today at info@tptwealth.com.au to learn more about our pooled mortgage funds or our other income funds.
How do I earn an income from mortgage funds?
Whether you’re a seasoned investor or someone who’s new to the scene, TPT Wealth could potentially help you earn income from a mortgage fund. The process is simple and straightforward; you just have to start by completing our TPT Wealth account application after reading and understanding our reports and disclosures.
Should your investment application be approved, you can invest an amount you’re comfortable with, starting from the minimum required investment amount.
Then we will pool your funds with other investors’ funds and lend to borrowers who want a real property mortgage loan.
Income is accrued daily, and distributions are paid monthly.
Additionally, throughout your term, you can have 24/7 oversight of your investments via our online investor portal. During this time, you can also view some of our other income fund offers and diversify your investments if you’re interested.
The fund’s Product Disclosure Statement outlines rules around redemption of your money. When you’re ready to redeem your funds, you can give a redemption notice according to the terms of the fund you’re investing into.
TPT Wealth’s Mortgage Funds invest in real estate mortgages as well as a selection of asset classes, including money market, fixed income, and commercial mortgages, to offer diversified portfolios with varying risk/return profiles to suit different investor appetites. Always compare investments and study the necessary documents before committing.
When you’re ready to start your journey with TPT Wealth, contact us at 1300 138 044 and apply now.