SovereignWealthFunds.comFuture Fund (Australia)
Australia: what it invests in
Geography Domestic and global
Australia: how big it is, and on what basis
In US dollars: about USD 207.6B. Converted at about USD 0.717 per A$ (September 2026)
FY2026 return 14.8%
Australia: what it publishes
Published 8 · Partly 2 · Not published 0
Our 10 item score. It measures what is public, not how well a fund is run.
At a glance. The Future Fund is Australia's sovereign wealth fund, set up in 2006 to meet unfunded superannuation liabilities for Commonwealth public servants. It held A$289.7B (about USD 207.6B) at 30 June 2026 after a 14.8 percent annual return; its Board also runs six other public funds, for A$356B in total. It invests globally through a small set of external managers plus direct stakes in Australian infrastructure. S5 S6 S7
Key points
- Ten-year return of 9.0 percent a year to June 2026 against a mandated target of 7.1 percent. S8
- Investment returns have added A$229.2B since 2006, against A$60.5B of government credits. S5 S1
- Target return of CPI plus 4 to 5 percent a year over the long term. S3
- Since the November 2024 mandate, it must consider national priorities: housing, infrastructure and the energy transition. It had committed A$3.5B to such direct deals by June 2026. S9 S8
- No withdrawals will be made before 2032-33. S1
- Lists about 118 external manager firms by asset class, including KKR, Blackstone, Bridgewater and Sequoia. S7
- Holds about A$20B of Australian infrastructure, including 34.55 percent of Canberra Data Centres. S5 S10
Interesting facts
- The fund was seeded partly with shares: a 17 percent Telstra stake worth A$8.97B was moved in on 28 February 2007. S1
- Its CEO wrote in 2026 that the odds of picking the winning AI company, country or technology stack are very low, so it spreads AI exposure across asset classes. S11
- Its Board also runs the Medical Research Future Fund and four other public funds, worth about A$68B together at end 2025. S12
Mandate and goals
Strengthen the Commonwealth's long-term finances by meeting unfunded public service superannuation liabilities, investing at an acceptable but not excessive level of risk. S3 S1
- Earn at least CPI plus 4 to 5 percent a year over the long term. S3
- Pay for unfunded Commonwealth superannuation liabilities from 2032-33 at the earliest. S1
- Consider national priorities: housing, infrastructure and the energy transition. S9
- Build a portfolio resilient to deglobalisation, inflation, climate change and technology shifts. S11
- Return target: CPI plus 4 to 5 percent a year; 7.1 percent a year for the ten years to June 2026 S3 S8
- Spending rule: No drawdowns until at least 2032-33; none made to date S1
How it invests
| Industries | Technology, Infrastructure and utilities, Renewables and climate, Real estate, Financial services, Telecoms and media. Sector agnostic S11 S5 S3 |
|---|---|
| Asset classes | Public equities, Private equity, Venture capital, Real estate, Infrastructure, Private credit, Fixed income, Hedge funds and absolute return, Commodities and gold, Cash and money markets S15 |
| Stages | Public markets, Buyout, Venture, Growth, Infrastructure, Real estate, Credit S7 S11 |
| Geography | Domestic and global. Global portfolio; Australian equities about 10.5 percent and about A$20B of domestic infrastructure S11 S5 |
| Direct / through funds / co-invest | Yes / Yes / Yes S18 S7 S19 |
| Ticket size | No ticket size published S10 S3 |
| Deal sizes seen | A$2.8B consortium deal (Telstra towers, 2021); stakes of 9.995% (Transgrid) to 34.55% (CDC) |
| External managers | Uses a relatively small number of external managers, listed by asset class at 30 June 2026; mandate sizes not published S7 |
| Co-investment programme | Co-invests in consortia with institutions such as OMERS, Infratil and the Commonwealth Superannuation Corporation S19 S10 |
Asset mix: Developed market equities 29.1%, Alternatives 14.9%, Private equity 12.1%, Infrastructure and timberland 11.5%, Australian equities 10.5%, Credit 8.1%, Cash 5.4%, Emerging market equities 4.6%, Property 3.8% S15
Published criteria
- Avoids too much exposure to any single company, asset, model or sub-theme. S11
- Must consider housing, infrastructure and energy transition priorities under the 2024 mandate. S9
- Keeps bond exposure low and diversifies by geography and commodities. S6
Fund commitments
| Manager | Fund | Amount | Year |
|---|---|---|---|
| Blackbird Ventures | Funds III and V | Not published | Not published S3 |
Past investments
| Year | Investment | Type | Sector | Stage | Amount | Stake |
|---|---|---|---|---|---|---|
| 2026 | Macquarie Local build-to-rent. First named housing deal under the national priorities mandate. S12 | Co-investment | Real estate | Real estate | Not published | |
| 2025 | Transgrid. Bought 9.995 percent from OMERS, which manages the stake for the fund. S19 | Direct investment | Infrastructure and utilities | Infrastructure | Not published | 9.995% |
| 2025 | Canberra Data Centres (CDC). Bought 10.46 percent from CSC, taking its stake to 34.55 percent at an A$17B valuation. S10 | Direct investment | Technology | Infrastructure | Not published | 34.55% |
| 2025 | Student housing and land-lease developments. New housing investments in FY2025. S18 | Direct investment | Real estate | Real estate | Not published | |
| 2021 | Telstra InfraCo Towers. Bought with CSC and Sunsuper. S3 | Co-investment | Telecoms and media | Infrastructure | A$2.8B (49 percent, consortium) | 49% |
| 2019 | Canberra Data Centres (CDC). First stake of 24.1 percent. S3 | Direct investment | Technology | Infrastructure | Not published | 24.1% |
| 2016 | Powering Australian Renewables Fund. Renewables platform with QIC and AGL. S3 | Co-investment | Renewables and climate | Infrastructure | Not published | |
| 2007 | Telstra shares. Government's remaining 17 percent Telstra stake moved into the fund. S1 | State asset transfer | Telecoms and media | Public markets | A$8.97B | 17% |
Case studies
Building a data centre position S3 S10
- What: Took 24.1 percent of Canberra Data Centres, then added 10.46 percent from CSC.
- When: 2019 to 2025
- Size: Stake of 34.55% at an A$17B valuation
- Why: Exposure to the AI and digital infrastructure value chain with long-term partners.
- Outcome: Co-owns CDC with Infratil and CSC.
Using a partner as manager S19
- What: Bought 9.995 percent of Transgrid from OMERS, which keeps an equal stake and manages the fund's interest.
- When: 2025
- Size: Terms not disclosed
- Why: Adds Australian grid exposure through a co-investment sleeve run by a trusted partner.
National priorities mandate S9 S8 S12
- What: A revised mandate asked the Board to consider housing, infrastructure and the energy transition.
- When: November 2024
- Size: A$3.5B committed by June 2026
- Why: Government direction under the 2024 Investment Mandate.
- Outcome: First named housing deal, Macquarie Local build-to-rent, in early 2026.
Investment process
The Board of Guardians, a chair and six part-time members named by the responsible Ministers for up to five years, decides investments independently of government within the Investment Mandate. The Future Fund Management Agency runs the portfolio day to day. S4
| Committee | Role |
|---|---|
| Board of Guardians | Sets investment policy and decides how each fund is invested S4 |
| Senior Leadership Team | CEO, CIO and executives running the Agency S20 |
- Government issues the Investment Mandate with return target and risk limits. S9
- Board sets investment policies and a whole-portfolio strategy. S4
- In-house teams pick external managers or deals; mandates span about 118 firms. S7
- Quarterly updates and an audited annual report go to Parliament. S15 S16
How to approach: No unsolicited pitch channel is stated. Managers and Australian project sponsors can follow the fund's published investment pages and national priorities. S21 S7
Size and returns
- Headline size: A$289.7B (Net assets or equity, as of 2026-09-08) S5
- In US dollars: about USD 207.6B. Converted at about USD 0.717 per A$ (September 2026)
- All seven funds under the Board: A$356B (about USD 255B) (Assets under management, as of 2026-08-26) S6
- Return, Year to 30 June 2026: 14.8 percent S8
- Return, 10 years to June 2026: 9.0 percent a year (target 7.1 percent) S8
- Return, Since inception to March 2026: 8.0 percent a year S1
- Staff: Average staffing level of 349 in 2025-26; 362 estimated for 2026-27 S13
- Size over time (AUD billion): 2006 18.163, 2010 67.346, 2015 117.222, 2019 162.621, 2020 161.112, 2021 196.825, 2022 194.379, 2023 206.136, 2024 224.912, 2025 252.328, 2026 289.7 S1 S5
Leadership
| Name | Title | Since |
|---|---|---|
| Greg Combet AO | Chair, Board of Guardians S17 | 2024-06-01 |
| Raphael Arndt | Chief Executive Officer (leaving end 2026) S20 | 2020-07-01 |
| Richard Brandweiner | Chief Investment Officer S22 | 2026-07-01 |
| James Craig | Guardian S17 | 2025-04-03 |
| Fiona Trafford-Walker | Guardian S17 | 2026-05-12 |
| Adam Tindall | Guardian S17 | 2026-09-15 |
| Rosemary Vilgan | Guardian S17 | 2024-02-04 |
| Nicola Wakefield Evans AM | Guardian S17 | 2024-03-01 |
| Mary Reemst AM | Guardian S17 | 2023-10-06 |
Governance and transparency
- Legal basis: Future Fund Act 2006; Investment Mandate Direction 2024 S4 S9
- Oversight: Board of Guardians reports to the Treasurer and Finance Minister; appears at Senate Estimates S4 S12
- Auditor: Australian National Audit Office, assisted by EY; internal audit by Deloitte S16
- Santiago Principles: Full IFSWF member S2
- Guardians need substantial experience in investing, financial asset management or corporate governance. S4
- The Board holds assets in its own name while the Commonwealth keeps ownership. S4
Transparency score: 9.0 of 10 (band 5 of 5). Our own 10-item rubric; see the methodology page.
History
| Date | Event |
|---|---|
| 2004-09-11 | Treasurer announces the fund. S3 |
| 2006-05-05 | A$18B first credit. S1 |
| 2007-02-28 | Remaining Telstra stake transferred. S1 |
| 2016 | Powering Australian Renewables Fund formed. S3 |
| 2019-12 | First stake in Canberra Data Centres. S3 |
| 2020-07-01 | Raphael Arndt becomes CEO. S20 |
| 2021-06 | Telstra towers stake with CSC and Sunsuper. S3 |
| 2024-06-01 | Greg Combet becomes chair. S17 |
| 2024-11-21 | Revised Investment Mandate; drawdowns deferred to 2032-33. S9 |
| 2025-02 | CDC stake raised to 34.55 percent. S10 |
| 2026-04-23 | Richard Brandweiner named CIO. S22 |
| 2026-08-26 | Record A$289.7B; CEO to leave at end 2026. S5 S6 |
For family offices
The Future Fund has no programme for private capital. It partners with institutions in consortia, and its published manager list shows which firms a large sovereign investor backs. S7 S19
Reports
- FFMA Annual Report 2024-25: https://content.futurefund.gov.au/FFMA%202024-25%20Annual%20Report.pdf S16
- Quarterly portfolio updates: https://www.futurefund.gov.au/en/investment/investment-performance/portfolio-updates S15
- Investment managers list, 30 June 2026: https://www.futurefund.gov.au/en/investment/how-we-invest/investment-managers S7
Common questions
How big is the Future Fund?
A$289.7B, about USD 207.6B, at 30 June 2026. Including the six other funds its Board runs, A$356B. S5 S6
What return did the Future Fund earn?
14.8 percent in the year to 30 June 2026 and 9.0 percent a year over ten years, against a 7.1 percent target. S8
Who runs the Future Fund?
Greg Combet chairs the Board of Guardians. Raphael Arndt is CEO until the end of 2026 and Richard Brandweiner became CIO on 1 July 2026. S17 S22 S6
When can the government draw on it?
Not before 2032-33. No withdrawals have been made so far. S1
Where can I see its external managers?
The fund publishes its manager list by asset class on its investment managers page, as at 30 June 2026. S7
Who audits the Future Fund?
The Australian National Audit Office, with EY assisting. S16
Related profiles
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- NSW Treasury Corporation (TCorp) Australia (New South Wales) · A$118.6B
- Victorian Funds Management Corporation (VFMC) Australia (Victoria) · AUD 95.3B
- Timor-Leste Petroleum Fund Timor-Leste · USD 18.61B
- NSW Generations Fund Australia (New South Wales) · A$18.921B
All sovereign wealth funds in Australia and Pacific · All pension reserve funds · All funds in Australia
Sources
- S1Department of Finance, Future Fund page and credit record
- S2IFSWF, member page for Australia
- S3Wikipedia, Future Fund
- S4Department of Finance, Future Fund Board of Guardians register
- S5AsiaAsset, Future Fund posts 14.8 percent return, 8 September 2026
- S6Reuters, Future Fund CEO to step down, 26 August 2026
- S7Future Fund, investment managers list
- S8Treasurer and Finance Minister, joint media release, 26 August 2026
- S9Future Fund Investment Mandate Direction 2024 (F2024L01477)
- S10Future Fund, acquires further shares in CDC, February 2025
- S11Future Fund, CEO op-ed: Resilience in the age of AI, 10 August 2026
- S12Future Fund, Senate Estimates opening statement, 10 February 2026
- S13Department of Finance, Portfolio Budget Statements, FFMA, May 2026
- S14Future Fund, portfolio update 30 June 2025
- S15Future Fund, portfolio updates
- S16Future Fund Management Agency, Annual Report 2024-25
- S17Future Fund, Board of Guardians
- S18Future Fund, Year in Review 2024-25
- S19Future Fund, media release on Transgrid stake, 2025
- S20Future Fund, senior leadership team
- S21Future Fund, our funds
- S22Future Fund, appointment of Chief Investment Officer, 23 April 2026
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