Future Fund defends itself over staff exits

Australia's sovereign wealth fund has released a statement after reports alleging chief executive Raphael Arndt's leadership style may be forcing staff out the door.

A report in the Australian Financial Review suggested some employees have described Arndt as "controlling" and "micromanaging", which may be the reason for several staff departures.

In response, Future Fund acknowledged three members of the investment team left last month, but said the departures were not irregular, particularly in a competitive environment.

"Staff engagement stands at 82% and is the eighth highest among the 107 Agencies in the Australian Public Service. Staff turnover is normal at 11.8% to 12.8% in each of the last three years. Staff turnover at senior levels in the investment team over the year to 31 March is 6.8%," it said.

"The organisation competes in a global market for talent. It grows and develops staff who drive investment success, but who are also attractive to other employers. When staff leave to take up other opportunities, the organisation has a strong pool of talent who step up to provide new leadership and capabilities."

Future Fund said the roles have already been filled from talent within the organisation.

"Current members of the Investment Committee have an average of 10 years' experience at the Future Fund, on top of extensive experience in previous roles elsewhere," it said.

"The departure of three members of the investment team in the last month has seen existing staff members, with five, 10 and 15 years' experience at the Future Fund respectively, step up to take on new responsibilities."

The story in the AFR also alleged Future Fund's former chief investment officer Ben Samild - who had been with Future Fund since 2013 - stepped down from the role after two years due to tension between himself and Arndt.

Future Fund did not comment on the allegations but did say the global search for a new chief investment officer is "well advanced".

Samild left the fund to take on the chief strategist role at Abu Dhabi Investment Council. Following his footsteps were former deputy chief investment officer David George, who joined also joined the Abu Dhabi sovereign wealth fund as deputy chief strategist, and former investment professional Pradheesh Salvarajah, who took on a role as investment manager at Abu Dhabi Investment Authority.

Future Fund chair Greg Combet said the board and Arndt are "firmly committed" to working together, with the wider organisation, to deliver strong returns while managing risk.

"This commitment is particularly important as we navigate the impact on global markets of the US-Israel-Iran war and significant long-term shifts in the investment environment," he said.

In the five years to 31 December 2025, Future Fund generated a return of 9.4% per annum adding over $96 billion to the value of the portfolio. In 2024-25 alone the fund's return of 12.4% added nearly $30 billion to the value of the portfolio.

"The organisation's success is founded on a strong and collaborative culture and deep investment and operational expertise," Future Fund said.

"Since the inception of the Future Fund the chief executive has been a member of the Investment Committee to ensure the whole organisation is focused on investment performance."