Future Generation, the philanthropy-driven investment firm established by Geoff Wilson, has introduced Future Generation Women, an unlisted trust initially managed by a team of 12 female portfolio managers.
A first of its kind in Australia, Future Generation said the new fund seeks to progressively bring a “gender lens into investment decision”, with the aim of driving strong gender equity practices.
According to the group, it will direct 1 per cent of its assets annually to not-for-profit organisations that advance economic equality and opportunity for women, and their children in Australia.
Non-profit organisation Minderoo Foundation on Thursday committed $100 million to the fund, with Minister for women and Minister for finance Katy Gallagher joining Minderoo and Future Generation in Sydney to formally launch Future Generation Women.
“Future Generation Women represents the next frontier in investing for impact,” Caroline Gurney, chief executive of Future Generation, said.
“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,” Gurney added.
“Our goal is to see Australia unlock its full potential and become the fair, productive and competitive economy it can be.”
Expounding on the features of the fund, Future Generation said it will provide unit holders with a combination of income and capital growth over the medium to long-term through investments in Australian and global equities, without charging any management or performance fees.
Moreover, it aims to invest in companies with a strong track record of gender equity, including gender-diverse leadership, equitable pay, and policies that support work-life balance and the advancement of women.
Set up for success
According to Future Generation, Thursday’s announcement follows investment research which has indicated that women’s investment strategies tend to be more diversified, long-term and risk conscious.
Despite this, only 19 per cent of portfolio managers in Australia are women and more than two-thirds (67 per cent) of all industry promotions go to men, the group underscored.
“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,” it said.
“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.”
