Future Fund Gets Hit by Coronavirus
Posted on 09/02/2020
Australia’s Future Fund stands at A$ 161 billion, but posted a -0.9% fiscal year 2020 return. In a press release, Dr Raphael Arndt, Chief Executive Officer of the Future Fund, said, “We remain sharply focused on our long-term objective. Everything we do, every decision we make is focused on investing for the benefit of future generations of Australians. Now, more than ever, we are conscious of our obligation to avoid ‘excessive risk’. The changes in the global economy and financial markets are momentous and we are positioned cautiously with risk levels just below neutral.”
The Future Fund rejigged its private equity portfolio in recent times, reducing exposure to international growth and buyout managers. The sovereign investor disclosed that it sold roughly A$ 6 billion of private equity assets through secondaries in the second quarter. Future Fund also finalized the sale of other unlisted assets including Gatwick Airport in the United Kingdom.