Source: ausbiz
Date: 23 March 2026
Key points:
- During heightened volatility, investors naturally hide in cash or near-cash options which are typically low yield
- Investors look towards alternatives for yield
- Property‑backed private credit can offer investors more predictable income
- Structural housing shortage and strong immigration provide the structural tailwinds to support ongoing demand for property credit
- Regulatory stance and Div 296 tax changes seen as nudging investors to income assets
Alan Greenstein, CEO & Co-Founder of Zagga sets out a cautious view on traditional fixed income, pointing to heightened volatility in long‑dated bonds despite higher yields, such as the Australian 10‑year around 5.2%. Greenstein notes hybrids are effectively off the table, while cash deposits offer limited returns unless rates keep rising. In his view, investors are pushed to seek alternatives, with a particular focus on property‑backed private credit where he considers yields more predictable, consistent and reliable.
In this recent interview with Ausbiz, Alan Greenstein, Zagga CEO & Co-Founder argues Australia may experience stagflationary pressures, with inflation and interest rates rising while growth slows, yet he expects structural housing demand to underpin opportunities.
He highlights reported net immigration of around 600,000 people a year and a housing shortfall near one million dwellings, maintaining that the nation “still has to house the population”, which in his opinion supports ongoing construction and yield potential in property‑linked private credit.
On access, Greenstein says most retail investors currently use ASX‑listed LICs (Listed Investment Companies) and LITs (Listed Investment Trusts), while large institutions and super funds dominate “proper” private credit. He notes regulatory wariness about retail exposure to private credit, and views looming Div 296 superannuation tax changes as another driver towards income‑oriented, debt‑based assets such as property private credit.
Watch the full interview below.
