Sydney, Australia, May 28, 2026 (GLOBE NEWSWIRE) — For the trustees of Australia’s 663,867 self-managed super funds, the income side of the portfolio has come under closer scrutiny. The latest Australian Taxation Office data shows the SMSF sector held A$1.06 trillion in assets across roughly 1.22 million members as at December 2025. Cash and term allocations have fallen to 16.3% of the sector’s holdings, a record low, while exposure to other income-generating structures has continued to grow. With the Reserve Bank of Australia cash rate at 4.35% and Australian Bureau of Statistics data showing inflation at 4.6% in the year to March 2026, trustees are weighing income options designed to keep pace with the rising cost of living.
One product available to SMSF trustees in this segment is TermPlus, a high-yield fixed-term account powered by Pengana Capital Group. TermPlus is a registered managed investment scheme (ARSN 668 902 323) under Chapter 5C of the Corporations Act, issued by Pengana Capital Limited (AFSL 226 566) and managed by Pengana Credit Pty Ltd. Pengana Capital Group, the ASX-listed parent (ASX: PCG), was founded in 2003 and reported A$3,665.63 million in funds under management on 30 April 2026.
TermPlus accommodates a wide range of investor structures, including SMSFs, alongside personal, joint, child, company and trust accounts. The minimum balance to open a new account is A$2,000. There is no setup fee, no monthly account fee associated with the accounts, or transaction fee associated with the accounts, and all underlying management costs are factored into the Target Rate, which is quoted to customers net of fees.
Trustees can open one or more Term Accounts across three investment term lengths: one year, two years, or five years. Each has its own Target Rate, calculated as the Reserve Bank of Australia cash rate plus a fixed target. As at May 2026, with the RBA cash rate at 4.35%, the one-year Target Rate is 7.35%* per annum (plus a fixed 3.00%), the two-year is 8.00%* per annum (plus 3.65%), and the five-year is 8.50%* per annum (plus 4.15%). The fixed target stays the same for the duration of the chosen term, while the RBA component may move with each Reserve Bank decision.
Income is calculated daily and paid monthly. SMSF trustees can have those distributions paid directly into the fund’s nominated bank account or reinvested for compounding. Trustees access the account through a user-friendly dashboard that tracks applications, balances, earnings, and tax statements, with monthly email confirmations of income earned and distributed.
The TermPlus portfolio invests in the highly sought-after global private credit asset class through more than 4,500 individually negotiated loans. Global private credit is one of the fastest growing asset classes in the world over the last 15+ years. The portfolio is constructed with input from Mercer, a leading global investment consultant with more than 2,000 investment professionals and over US$16 trillion in assets under advice as at 30 June 2023. The underlying loans are made to mid-market companies, typically earning between US$50 million and US$250 million a year, primarily in the United States and Western Europe. Loans are contractual, and currency exposures are hedged back to Australian dollars.
For SMSF trustees, this positions TermPlus as one income component sitting alongside other asset classes within a broader investment strategy. Pengana reports that, since inception, TermPlus account holders have received 100% of their targeted monthly income payments**.
SMSF investors feature among the reviewers on the TermPlus reviews page. David C, 78, from South Australia, said he has opened four accounts across one-year and two-year terms to stagger maturity dates, choosing to reinvest the monthly payments, and considered the product “an excellent means of diversifying the investments held in my SMSF.” Another reviewer, Charles S, said TermPlus was “great for your SMSF,” citing the application process and monthly returns.
TermPlus has most recently been named a finalist in the Innovation Fund of the Year category at the 2026 Fund Manager of the Year Awards and a finalist in three categories at the 2026 Finnies Awards hosted by FinTech Australia: Excellence in Wealth Management, Most Innovative Fintech Product or Service, and Emerging Fintech Organisation of the Year. It also won the 2025 Finder People’s Choice awards in the innovation category. The product is rated Approved with a Stable Outlook by BondAdviser and is also covered by Lonsec research. To learn more visit https://termplus.com.au/insights-news/news/
*Any reference to a target rate is current as of today, and is a reference to the investment objective for the relevant account option in TermPlus, which may vary. Importantly, target rates are not guaranteed, and any investment is subject to investment risks. Any forecasted returns may not reflect actual performance and past performance is not a reliable indicator of future performance.
Mercer Consulting (Australia) Pty Limited (ABN 55 153 168 140, AFSL 411 770), which is a wholly owned subsidiary of Mercer (Australia) Pty Ltd (ABN 32 005 315 917) (Mercer Australia) collectively referred to as Mercer. References to Mercer shall be construed to include Mercer LLC and/or its associated companies. ‘MERCER’ is a registered trademark of Mercer Australia.
The issuer of units (Term Accounts) in TermPlus (ARSN 668 902 323) is Pengana Capital Limited (Pengana) (ABN 30 103 800 568, AFSL 226 566). Any advice provided is general in nature and does not take into account your particular objectives, financial situation or needs. Pengana is not a bank and is not regulated by the Australian Prudential Regulation Authority. Investing in TermPlus is not the same as depositing money with a bank. Before investing in TermPlus, consider the PDS, TMD and further details on our website at www.termplus.com.au/important-information/.
- TermPlus Fixed-Term Accounts