Institutional Investors

Sydney-based Australian Future Fund raises alternative allocation to $14.7bn

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The giant Australian Future Fund has pushed further into alternatives in the first half of 2011.

The Sydney-based scheme, which has assets of $80.1 billion, raised its alternative allocation to $14.7 billion (18.6% of assets) from $12.7 billion (16.3%) at the end of March.

The scheme has moved swiftly to expand its alternatives programme, which at the start of the 2010 financial year was just $2.8 billion. It has used a fund of funds partner alongside its direct investing programme as it built up its portfolio.

Over the year, within the direct investment programme, it initially focused on