Australia’s sovereign wealth posts 13.7% yearly return on stocks, alternatives

[Australian flag]
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Australia’s sovereign wealth fund delivered a 13.7% gain for the year ended Sept. 30, driven by healthy performance in global equities, infrastructure and alternative assets.

Total assets under management at the Future Fund rose to A$261 billion ($171 billion), according to a statement [https://content.futurefund.gov.au/FFMA%202024-25%20Annual%20Report.pdf]. That compares with an initial endowment of just over A$200 billion when the fund was established in 2006.

Chief Executive Raphael Arndt said the portfolio remains positioned to weather shifting geopolitical and economic conditions. “We are operating in a more multipolar world characterized by strategic competition, national capability building, and rapid technological change,” Arndt said. These factors, he added, point to “higher nominal growth and inflation” alongside uneven returns across sectors and regions, with artificial intelligence likely to drive long-term productivity gains.

The fund’s leadership has also undergone change. Ben Samild, the former chief investment officer, departed in September to become chief strategist at the Abu Dhabi Investment Council.

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