Tim Wilson says he has sold an investment that bet against the Australian share market and claimed to have made a modest profit from the trade, which he says has been donated to a charity supporting LGBTQ refugees.
Wilson told parliament he had exited the position in the Betashares Australian Equities Strong Bear Complex ETF, a financial product designed to profit when the benchmark S&P/ASX 200 declines.
“While I did make a modest profit at sale, it has mostly been outstripped by the treasurer’s active inflation agenda,” Wilson told MPs.
He said the proceeds had been donated to the International Railroad for Queer Refugees, an advocacy organisation that assists LGBTQ people fleeing persecution, including from the government of Iran.
The investment drew scrutiny after it was revealed Wilson held the product while serving as a senior economic spokesman for the Liberal Party.
The exchange-traded fund takes a short position on Australian equities, meaning it generates returns when the share market falls. It also uses leverage to amplify potential gains and losses.
Because of that structure, the product is commonly used by traders as a short-term hedge against market downturns rather than a long-term investment.
Financial advisers previously described Wilson’s position as unusual for a politician given the product profits when the Australian share market declines – an outcome often associated with broader economic weakness.
A Sydney-based adviser said the product was “not common nor widely held” and had proved a “terrible” investment.
Public disclosures suggested the ETF had lost about 75% of its value between early 2020 and early 2026, raising questions about how the shadow treasurer ultimately recorded a profit.
Wilson purchased the investment in early 2020 during the early months of the COVID-19 pandemic.
He said at the time the position was intended to protect his portfolio against a potential “black swan” event – a term used in financial markets to describe rare and unpredictable shocks with severe economic consequences.
Although global share markets plunged in the early stages of the pandemic, they subsequently recovered strongly.
Wilson held the investment for several years before selling it after being appointed shadow treasurer.
The Liberal MP has not disclosed the size of the investment.
The sale and donation of the proceeds follow criticism from government figures who argued the investment was politically awkward for a senior opposition figure responsible for commenting on economic performance.
