Cradling Investments: The Childcare Sector's Untapped Potential

"Childcare is essentially a government service delivered privately with government money.", Patrick Bell, Director at Finexia Financial Group

In today's investment landscape, diversification and stability are paramount. As a former equities and derivatives trader, I am intimately familiar with the risks involved with investing in equity markets, and as of late, I have seen a number of our savvy investors turning to alternative assets to safeguard their investment income.

The recent Federal government budget allocation of $55.3 billion in childcare subsidies over the next four years has injected fresh optimism into the already growing market of alternative investments. These subsidies aim to make childcare more affordable, benefitting families across the spectrum. The increase in subsidies has sparked the interest of seasoned investors and industry experts alike.

With the recent boost in subsidies, the demand for childcare services is skyrocketing. As more parents, especially women, join the workforce, reliable and affordable childcare options have become a top priority, leading to potential growth.

At Finexia we have already seen a massive inflow of operators seeking finance to open new centres to meet this demand. At Finexia, our Childcare Income Fund and Childcare Loan products are well-positioned to support this growth. In uncertain times, childcare stands out as a recession-resistant because of its inelasticity demand curve. As demographics shift and workforce participation continues to increase, the demand for reliable childcare services remains strong. Childcare centres will always be a necessity.

If you are either a childcare operator looking for funding to grow your business or an investor seeking an excellent 9.75% p.a. return paid monthly. Please don't hesitate to give me a call on 0476 436 908 or email me at [email protected]