Foreword

Professor Robynne Quiggin AO introduces this research as a practical resource for investors to better understand the economic, social, and cultural context of First Nations communities. The paper adopts a strengths-based approach to describe how financial capital can be unlocked and aligned. It emphasizes the need for stronger representation of First Nations expertise within the investment sector and the development of genuine, peer-to-peer relationships between practitioners and industry counterparts.

Executive summary

Investors play a critical role in the economy by mitigating risk and creating shared value. First Nations rights and outcomes materially affect the financial performance of investee companies, and corporate operations can significantly impact these communities. While interest from institutional investors and philanthropies is growing, capital flows remain fragmented. This is largely due to systemic gaps in alignment, capability, and institutional design rather than a lack of opportunity. The solution requires coordinated action, including building credible practices, catalysing new managers, and deploying blended finance. Responsibility must rest with institutional structures to ensure cultural considerations are embedded systemically.

Introduction

The investment community is a key actor in shaping long-term solutions for better outcomes for First Nations peoples. Australia’s finance sector has historically been intertwined with policies that maintained control over First Nations lands and resources, sometimes leading to significant harm. However, First Nations economies continue to demonstrate resilience and growth despite being starved of capital. RIAA established the First Nations Peoples’ Rights Working Group in 2020 to promote leading practice standards and support economic self-determination. This paper explores how investment markets currently engage with these economies and outlines areas for action.

Some important context on…

First Nations rights are grounded in international instruments like the United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP), which centers on self-determination and free, prior and informed consent (FPIC). Beyond rights, there are significant strengths within the First Nations economy. First Nations peoples are custodians of nearly 70% of Australia’s land mass, which holds strategic value for clean energy and biodiversity. Approximately 13,693 businesses generate more than A$16 billion in annual revenue. Furthermore, First Nations Australians are the youngest and fastest-growing population, with a median age of 24 compared to 38 nationally. This demographic trend carries growing economic weight and influences labour markets.

A proposed theory of change

Shifting the behaviour of the financial system requires an overarching theory of change. The report identifies three interconnected pathways: representation, systems alignment, and capital flows. These areas are mutually reinforcing; capital will only flow equitably when institutional systems are capable, responsive, and accountable to First Nations rights and ambitions. Change must be embedded in durable processes and norms rather than relying on individual champions.

Analysis and recommendations

Representation remains disproportionately low, with First Nations professionals representing only 0.65% of the Australian financial and insurance services industry in 2016. At the board level, only 0.3% of ASX300 seats were held by First Nations people in 2024. Recommendations include building entry-level talent pipelines through internships and supporting pathways into senior decision-making roles. Additionally, First Nations-controlled capital vehicles, such as Native Title trusts, should be recognised as peers within the investment community.

Systems alignment involves transforming institutional norms and accountability. The report identifies three priority areas: governance, stewardship, and disclosures. It recommends embedding the Dhawura Ngilan Business and Investor Guides into core processes. Stewardship activities like proxy voting and engagement should be co-designed with First Nations priorities. Transparent disclosure is essential, and reporting frameworks like the Australian Sustainable Finance Taxonomy should incorporate First Nations and cultural heritage criteria.

Capital flows are currently constrained by structural barriers and misaligned expectations. To unlock capital at scale, the report suggests building a disciplined market that assesses opportunities on their commercial and cultural merits. Catalytic and blended finance structures are underused in Australia but offer a way to share risk and attract institutional co-investment. Global examples from Canada, such as the First Nations Finance Authority (FNFA) and Nations Royalty Corp, demonstrate the power of aggregation and fit-for-purpose institutions in accessing large-scale capital at low costs.

Conclusion

Unlocking the full potential of First Nations participation is both a moral and economic imperative. While the ecosystem is small, it is expanding through the leadership of Indigenous-led intermediaries. Moving forward, the focus must shift from transactional engagements to long-term relationships grounded in respect. Success will depend on the broader financial system reconsidering its role and investing in the infrastructure that makes meaningful participation possible. Tangible benchmarks, such as representation levels and the volume of capital deployed into First Nations-led strategies, should be used to measure progress over time.