Future Generation launches women’s investment fund to drive gender equality

In an Australian first, Future Generation has launched an investment fund that aims to deliver both financial returns and progress towards gender equality in Australia. Managed by women portfolio managers, Future Generation Women will bring a gender lens into investment decisions, while directing 1% of its assets annually to not-for-profit organisations working to advance economic equity and opportunities for women and their children.

Future Generation Women will be an unlisted trust in the Future Generation group, which includes listed investment companies Future Generation Australia (ASX: FGX) and Future Generation Global (ASX: FGG). The group has more than $1 billion under management and has donated more than $87 million to Australian non-profits since launching 10 years ago.

Minderoo Foundation has kickstarted the fund with $100 million. The fund was officially launched in Sydney on 4 December by Senator the Hon. Katy Gallagher, Minister for Women and Minister for Finance.

Future Generation Women’s portfolio managers, who will provide their investment management expertise on a pro bono basis, were selected by a first-class investment committee. They aim to drive change by progressively bringing a gender-lens into investment decisions at a portfolio level to further demonstrate how gender-conscious action benefits financial outcomes, as well as business and society.

Nicola Forrest AO, Founder of Minderoo Foundation, said: “Future Generation Women is an important and welcomed spotlight on women and their potential in Australia – particularly those in the funds management industry.

“Every year, gender inequality continues to cost Australia $128 billion. To truly shift the dial and overcome the outdated norms that hold our entire country back, we need changemakers that are ready to speak up, act and embrace collaboration. This is why we’re proud to be standing alongside Future Generation as it champions investment in women.”

Today’s news follows investment research that consistently shows women outperform their male counterparts over the long-term, with studies indicating that women’s investment strategies tend to be more diversified, long-term and risk conscious. Despite this, only 19% of portfolio managers in Australia are women and more than two-thirds (67%) of all industry promotions go to men.

Caroline Gurney, Chief Executive of Future Generation, said: “Future Generation Women represents the next frontier in investing for impact. By investing in fund managers, companies and non-profits that are striving for gender equity, we’re helping to shape a world where women have the opportunities and resources they need to thrive. Our goal is to see Australia unlock its full potential and become the fair, productive and competitive economy it can be.”

Future Generation Women is now open for investment, with a minimum investment of $250,000. Wholesale investors who apply before 31 March 2025 will be named as founding investors of Future Generation Women.

Carol Schwartz, AO, Chair of Equity Trustees, said: “We are delighted to have been selected as the responsible entity for Future Generation Women. We look forward to working collaboratively with the team and broader stakeholders on this important fund that focuses on both investment and social returns.”

All major service providers to Future Generation Women – including Citigroup, Equity Trustees and Boardroom – have also waived their usual fees. Future Generation Women’s bench of Australian equity fund managers includes WaveStone Capital portfolio manager Catherine Allfrey, Yarra Capital Management portfolio manager Katie Hudson and First Sentier Investors head of small and mid-cap companies Dawn Kanelleas.

Geoff Wilson AO, Founder of Future Generation, said: “We are excited to be launching Australia’s first philanthropic women’s investment fund, utilising the Future Generation model which has proven that investors can do well while doing good.

“The waiving of all fees by our fund managers and service providers ensures that investor capital is put to work – both in growing wealth for our investors and in advancing the cause of gender equity.”