Singapore’s government-owned investment firm Temasek announced Wednesday that it plans to dramatically scale up its exposure to artificial intelligence companies, with a goal of raising its AI holdings from the current 6% to as much as 15% of its total portfolio over the next five years.
The announcement came alongside news that Temasek’s net portfolio value reached S$518 billion — roughly $400 billion U.S. — during the last financial year, marking the second straight year the firm has set a record high. That figure represents growth of 10.5% measured in Singapore dollars, or 14.8% in U.S. dollar terms.
For comparison, MSCI’s global stock market index rose 17% over the same period, though Temasek’s holdings differ from standard public market benchmarks in how they are structured and what types of assets they include.
Temasek currently holds ownership stakes in AI firms Anthropic and OpenAI. The company declined to reveal the size of those stakes or how they may have influenced overall performance.
Chief Executive Dilhan Pillay addressed reporters at a briefing, saying that the rapid pace of AI development represented “a pivotal phase that will create vast new opportunities.”
Pillay outlined five key areas where Temasek plans to direct investment: energy infrastructure and data centers, semiconductors, cloud service providers, foundational AI models, and AI applications and software systems.
He also emphasized that the firm’s entire existing portfolio would be evaluated through the lens of AI adoption. “The rubber hits the road in AI adoption,” Pillay said. “The remaining 85% of our portfolio must be focused on AI adoption for competitiveness. That is where the rest of our portfolio will see value capture.”
Temasek credited last year’s strong results in part to profits from selling off certain assets and the solid performance of local companies within its holdings.
