Australian Pension Fund Ditches USD for Yen Amid Rate Divergence

Australia's largest superannuation fund, Australian Retirement Trust (ART), has made significant changes to its portfolio in response to market conditions. The ART manages around A$375 billion for 2.4 million members and recently built its largest Japanese yen overweight in years by increasing yen exposure as the exchange rate moved toward 160 per dollar.

The fund trimmed U.S. dollar positions across its portfolio, citing rate divergence and yen undervaluation to justify the trade. Senior portfolio manager Jimmy Louca said ART financed part of the trade by reducing greenback exposure.

Bitcoin remains an optional allocation for the fund, prioritizing macro asset stability over crypto adoption and potential flows into CEX/DEX markets and token fundraising.