KPMG Audit Delay Hits Metrics’ $3B Private Credit Funds
Synopsis
Three Metrics Credit Partners funds worth about $3 billion are facing delayed KPMG audits, putting renewed focus on valuations, financial reporting and risks across Australia’s private credit industry.
Financial advisory firm Metrics Credit Partners (MCP) is having to wait for KPMG to finish the annual audits of three private credit funds (ASX-listed) that have a combined lending portfolio of over $3 billion.
The funds involved include the Metrics Master Income Fund, Metrics Opportunities Fund and Metrics Real Estate Fund. Preliminary unaudited annual financial statements, called Appendix 4Es, have been lodged with the ASX.
The outstanding audits are due to be completed later in September 2026 ahead of the statutory deadline on September 30, 2026, Metrics Credit Partners reported.
The fund manager also said there was no sign it was a problem or worry with the accounts, it was merely a delay.
Private credit faces closer regulatory checks
The audit delay follows a period of greater scrutiny by Australian regulators of private credit, including private credit valuations, reporting and stressed loans.
In November 2025, ASIC released its Report 820, Private credit surveillance: retail and wholesale funds, which included an examination of 28 private credit funds, and found inconsistent practices relating to valuation, governance and disclosure, among other areas.
Following that review, ASIC undertook an 8 week surveillance exercise of 22 managers, 52 funds and approximately A$76 billion in assets under management (AUM) from March 26 – May 14, 2026.
The regulator said it identified pockets of increased defaults, impairments and adjustments to loans and that managers must be alert to asset valuations for the June 30 reporting date.
Metrics maintains A$40 billion platform
The latest fund documents say that Metrics Credit Partners hold assets in excess of A$40 billion.
It has a net asset value of approximately A$2.47 billion on its listed Metrics Master Income Trust - ASX: MXT. At the same time, the trust's market capitalization was approximately A$2.40 billion.
For the 12 months ended July 31, 2026, the net return of the trust was 8.30%, and the distribution from it was 1.44 cents per unit, or 0.72%.
ASIC estimates that Australia's private credit market is approximately AUD$200 billion. The sector is also gaining focus after the financial troubles of property developer Bathla, which continues to be a big challenge for lenders and investors in private credit in Australia.
The next major reporting challenge is the completion of the KPMG audits prior to the statutory deadline of September 30 for the three Metrics funds.
Source: AFR
Pooja Malik is a business journalist with over six years of experience covering startups, entrepreneurship, and emerging trends. She has previously worked with leading media platforms such as YourStory Media and BW BusinessWorld, where she reported on business, policy, and market developments. Currently, she serves as Editor at The Inspirepreneur Magazine, where she writes and edits stories across business, lifestyle, and travel, with a focus on clarity, accuracy, and reader relevance.
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