This review considers the potential role of multispecies swards in de-risking Australian dairy systems that currently rely heavily on monocultures of perennial ryegrass and high rates of inorganic nitrogen application to be productive. Recent trends in increasing inorganic nitrogen fertiliser prices, societal pressure for increased environmental sustainability of farming practices, coupled with variable and extreme weather events have renewed interest for functionally diverse pasture mixtures. Evidence from the latest international studies either for or against the purported benefits of multispecies swards (e.g. productive, resilient, and environmentally positive) is examined. There is an ever-growing body of evidence confirming that species richness can promote high levels of productivity at low or zero rates of nitrogen fertiliser application, often with increasingly positive effects as species richness increases. However, results within and between different levels of species richness are not always consistent, suggesting that not all multispecies swards will perform alike, even at a constant level of functional diversity. A multitude of other factors is presented that interact to determine the success of one multispecies sward over another. These include soil type and fertility, species choice, functional group proportions, sward management under either grazing or cutting, fertiliser regimes, and grazing management practices. It was concluded that this complexity gives rise to a need for further research into the biological mechanisms behind multispecies mixtures to determine the factors, other than simply species richness, that will guarantee success as more farmers inevitably search for alternatives to perennial ryegrass pasture in the Australian dairy farming industry.