The $267 billion Future Fund extended its strong run in 2025, delivering a 12.4% return for the calendar year and marginally improving on the 12.2% recorded in 2024.
The performance added close to $30 billion in value, helped by resilient US economic conditions and a buoyant American share market, alongside a higher weighting to offshore equities and solid contributions from private credit.
Currency moves also played in the fund’s favour, with a weaker Australian dollar lifting the value of international assets.
Portfolio positioning shifted meaningfully over the year, with exposure to developed market equities rising to 29.3% from 24.7% — a $19.3 billion increase in allocation.
The Future Fund also directed additional capital toward infrastructure and alternative strategies including private equity and credit, while reducing cash holdings by $1.3 billion.
2025 was also the first full year operating under the fund’s updated investment mandate, which requires it to have regard to national priorities such as housing, infrastructure and the energy transition.