Izzy Jensen is the founder and portfolio manager at Kakariki Capital, a specialist environmental and carbon commodities asset manager. After completing a Bachelor of Commerce at the Victoria University of Wellington, Izzy returned to Sydney to begin at the leading infrastructure manager, Morrison & Co, where she worked for seven years and was responsible for research and origination in carbon and environmental markets.

Throughout the episode, Izzy and David discuss the founding of Kakariki Capital and more specifically, the Kakariki Carbon Fund 1.0. Izzy explains the unique value proposition of the fund, aiming to help decarbonise the planet while also delivering exceptional returns by investing in carbon credits. She highlights the recent switch that has occurred in the last 18 months, which has seen corporates get on the front foot regarding emissions reductions. Izzy and David also analyse and outline their outlook for the carbon space, comparing the markets for compliance and voluntary offsets. Izzy then responds to potential risks associated with the strategy and how the fund plans to combat these if they arise.

Adrian again joins the podcast to the discuss the current economic environment and in particular, how it is impacting private debt and Merricks’ Partners Fund. Adrian is the CEO and CIO of Merricks Capital, responsible for the overall running of the business, acting as a group director and Chairman of the Investment Committee. Merricks has an impressive track record and has solidified itself as a leader in the private debt space in Australia.

During the episode, Adrian discusses the current impact on and outlook for the private debt market in an environment of inflation, higher interest rates and a potential recession. He highlights the current valuation issue that exists in Australia, whilst explaining why there is not a simultaneous supply issue. Adrian and David also compare the private debt market in Australia to markets overseas and discuss the advantages that private debt lenders possess in relation to banks. Adrian then gives his outlook for the current development and building industry and how it is likely to play out given rising costs, fixed contracts and a consequent difficulty to deliver profits.