Leadership Change at Future Generation: What Risks Lie Ahead for Its Social Impact Model?

Leadership Transition at Future Generation

Future Generation Australia Limited (ASX, FGX) and Future Generation Global Limited (ASX, FGG), known for their unique philanthropic investment model, have announced that their CEO Caroline Gurney will step down in early 2026. Gurney, who has led the group since 2021, will continue to contribute as a member of the Future Generation Women Advisory Committee, ensuring her ongoing influence on the group’s social initiatives.

A Legacy of Growth and Impact

Under Gurney’s leadership, Future Generation has not only delivered solid investment returns and fully franked dividends to its more than 14,000 shareholders but also significantly expanded its social impact. The group manages over $1.4 billion in funds and has donated a milestone $100 million to Australian non-profits focused on youth at risk, mental health, and gender equality. This dual focus on financial performance and social contribution sets Future Generation apart in the investment landscape.

Innovating with Future Generation Women

One of Gurney’s notable achievements was the launch of Future Generation Women in December 2024, Australia’s first philanthropic personal women’s investment fund managed entirely by women. This unlisted trust aims to deliver strong investment returns while advancing gender equality, reflecting the group’s commitment to creating tangible social change alongside financial growth.

Interim Leadership and Next Steps

With Gurney’s departure, an executive search is underway to find a permanent CEO. In the interim, Chief Investment Officer Lee Hopperton, supported by the Wilson Asset Management executive team, will lead the group. Wilson Asset Management, the founder and lead supporter of Future Generation, continues to play a pivotal role in the group’s operations and strategic direction.

A Model of Fee Waivers and Social Commitment

Future Generation’s model is distinctive in that its fund managers waive all management and performance fees, allowing 1% of the group’s monthly net assets to be donated annually to social impact partners. This approach maximizes the funds available for charitable causes while maintaining competitive investment returns for shareholders.

As the group prepares for this leadership transition, the challenge will be to sustain its momentum in both financial performance and social impact, continuing to balance shareholder interests with philanthropic goals.