Macquarie MQSD ETF (ASX:MQSD)

Macquarie Subordinated Debt Active ETF

About the MQSD ETF

MQSD provides investors with the potential to benefit from attractive yields, generated from a diversified portfolio of subordinated debt that is expected to have significant exposure to Australian major banks and other Australian financial institutions.

MQSD ETF Performance Review

6.36

6.44

5.6

5.4

Data Current To: 28/02/2026

Our review of MQSD ETF

Higher risk profile with potentially 90% exposure to high yield securities

Active fund

Can invest in major Australian bonk subordinated debt in foreign currencies

Hedged

Uses derivatives

What we like about the MQSD ETF

Can offer higher yields compared to cash and senior bonds

Things to be aware of about the MQSD ETF

Seeks to make monthly payments but the PDS states each distribution may vary and no payment may be made in a distribution period

Not a pure subordinated debt fund as it can invest up to 15% in hybrids

No credit rating breakdown or average credit rating details

No average credit rating but likely to be investment grade with the top 5 issuers, the major Australian Banks and Macquarie, accounting for circa 51% of the portfolio

MQSD ETF Investment Strategy

MQSD provides exposure to a diversified portfolio of subordinated bonds, which may offer higher levels of yield than cash or other investment grade bonds. Subordinated bonds are typically unsecured debt securities that rank higher than equity but below senior debt securities with respect to a repayment in the event of a default.

What does the MQSD ETF Invest In?

MQSD is a ETF.

The Fund will primarily invest in subordinated bonds issued by Australian entities or denominated in Australian dollars, with significant exposure expected to be to those issued by Australian major banks and other financial institutions.

MQSD ETF Credit Quality

The average credit quality of the MQSD ETF is BBB+.

MQSD Frequently Asked Questions

What index does the MQSD ETF aim to replicate?

The MQSD ETF aims to replicate the Bloomberg AusBond Bank Bill Index.

How often does MQSD ETF pay distributions?

The distribution frequency of MQSD is Monthly.

When did the MQSD ETF start?

The inception date of the MQSD ETF was 14/02/2025.

What are the net assets of the MQSD ETF?

MQSD has net assets of $440.9m (AUD) as of 28/02/2026.

What are the management fees for the MQSD ETF?

The annual management fees for the MQSD ETF are 0.29% p.a. Learn more about ETF fees in this article.

How can I invest in the MQSD ETF?

MQSD is an Exchange Traded Fund, and units may be bought or sold on the ASX like shares. Learn how to buy and sell ETFs in this article.

Does the MQSD ETF have a minimum investment amount?

No, there is no minimum to invest in the Macquarie MQSD ETF. Exchange Traded Funds in general do not have a minimum investment amount required by the issuer. However, if you choose to invest through a broker, they may choose to set their own minimum investment amount.

Are there any performance fees associated with the MQSD ETF?

No, MQSD has no performance fee. This is one of the advantages of Exchange Traded Funds, as they are traded like shares, you’ll generally only pay a commission to buy or sell units and an ongoing management fee.

MQSD ETF News

Top 10 Fixed Income ETFs for Millennial Investors (November 11th, 2025)
Macquarie Adds New Active Fixed Income ETFs (February 19th, 2025)

About The Issuer Of The MQSD ETF: Macquarie

We are a global financial services group operating in asset management, retail and business banking, wealth management, leasing and asset financing, market access, commodity trading, renewables development, specialist advice, access to capital and principal investment.