Latest news with #RohitSipahimalani
Yahoo
10-07-2025
- Business
- Yahoo
Temasek's portfolio climbs 11% to $434 billion
By David Ramli and Low De Wei (Bloomberg) — Singapore state-owned investor Temasek Holdings Pte reported divestments worth S$42 billion (US$33 billion) for its last fiscal year – its largest annual disposal on record – while the firm's net portfolio value also hit a new high. Temasek's net portfolio value was S$434 billion as of 31 March, up S$45 billion from the year before, thanks in large part to higher share prices at some of its Singaporean holdings as well as assets in the US, India and China. The firm reported a one-year total shareholder return of 11.8 per cent, a large improvement from the 1.6 per cent return it posted previously. And for the first time in four years, Temasek's holdings in public securities made up more than half the value of its total portfolio. Its unlisted assets, which include stakes in private companies and investments in venture capital funds, comprised 49 per cent of its holdings. Temasek was also helped by fortunate timing: its March fiscal year end meant it closed the books shortly before US President Donald Trump triggered global market turmoil with his Liberation Day tariff announcements on 2 April. The state investor's divestments were 'pretty much across the board,' said Rohit Sipahimalani, Chief Investment Officer of Temasek International, in an interview on Bloomberg Television on Wednesday. They included the sale of LNG trading business Pavilion Energy to a Shell Plc unit, redemptions of convertible bonds by Singapore Airlines Ltd. and reductions of some stakes in listed companies. Temasek invested S$52 billion, resulting in net investments of S$10 billion – up from a net divestment of S$7 billion the previous year. It took a stake in French renewable energy company Neoen and upped its ownership in Chinese Internet giant Tencent Holdings Ltd. It later bought a minority stake in Indian snacks maker Haldiram Snacks Food. 'We have to be very disciplined in terms of divestments, in both the public as well as the private space, to create room for us to invest and reshape the portfolio,' said Temasek's chief financial officer Png Chin Yee. She said the change in percentage between listed and unlisted assets was mainly a result of higher public share prices, while the firm's private assets are marked at book value. Temasek's Singapore-listed companies were responsible for much of its gain. DBS Group Holdings Ltd. climbed 42 per cent during fiscal year 2025, Singapore Telecommunications Ltd. rose more than a third, and weapons maker ST Engineering Ltd. increased 69 per cent. The firm also disclosed investments in about 10 multi-strategy and macro hedge funds including Citadel, which Sipahimalani said he expects will generate 'fairly stable' double-digit returns. Despite China's stock market experiencing a rebound and Temasek's assets in the country growing in dollar terms, the firm's exposure to the world's second-largest economy shrank to 18 per cent of its portfolio. China had made up 29 per cent of the portfolio in March 2020. In contrast, its allocation to the Americas rose to 24 per cent, while India increased to 8 per cent. The US continues to be the largest foreign destination for Temasek's capital. A chunk of its China exposure is the country's beleaguered property sector, with Temasek subsidiary Mapletree Investments Pte managing over S$11 billion in assets there. That's in addition to malls, offices and other properties held by its other real estate firm, CapitaLand Group. 'I don't think we are out of the woods out there but the pace of decline has, I would say, stabilised to some extent,' said Sipahimalani about China's property market. Both companies are 'looking to see how to manage through this environment, including making investments elsewhere too,' he said. While tariff talks continue to roil some markets and economies, Temasek executives said global markets are becoming relatively inured to potentially bad news. Many global stock benchmarks are up this year after plunging in April. 'What's very clear is that there is a process of negotiation. It's also getting reasonably obvious that the peak levels of tariff that were talked about in early April – China at well over 100 per cent et cetera – that is not going to happen,' said Sipahimalani. 'We're not seeing any risk of a global recession.' Temasek remains bullish on artificial intelligence; it owns stakes in chip giants Nvidia Corp. and Broadcom Inc. and has bought into venture funds that invest in AI startups. It also sees opportunities to invest in Chinese companies that are adopting AI technology. Chia Song Hwee, Temasek's deputy chief executive officer, said the AI industry is at the beginning of a years-long boom, even though some companies have very high valuations. 'This is going to be a 15, 20-year tailwind,' he said. 'I think we are not even at the tip of the iceberg yet.' Temasek said it takes a long-term view of its investments and performance. Its total shareholder return over 20 years stood at 7 per cent at the end of fiscal 2025, while that return for a 10-year period edged down to 5 per cent. Asset sales have continued since, with the recent disposal of a seed supplier to Japanese auto-parts maker Denso Corp., while Temasek subsidiary Olam Group Ltd. is selling a controlling stake in its agri-business to a Saudi Arabian food trading firm. Temasek's reported headcount fell for the first time since March 2010, with a total of 959 staff working across its offices in nine countries, down from 1,001 employees the prior year. The investment company's returns, along with those from sovereign wealth fund GIC Pte and the Monetary Authority of Singapore, are one of the biggest sources of funding for the country's national budget. More stories like this are available on ©2025 Bloomberg L.P.
Yahoo
09-07-2025
- Business
- Yahoo
Temasek Just Dumped $33B -- Here's Where That Money Is Headed Next
Temasek isn't tiptoeing around portfolio shifts. The Singaporean state investor just posted its biggest annual sell-off ever divesting S$42 billion ($33 billion) worth of assets in the fiscal year ending March. At the same time, net portfolio value climbed to a record S$434 billion, boosted by strong performances from key local names like DBS Group (up 42%) and ST Engineering (up 69%). Listed equities now make up more than half its holdings the first time that's happened in four years as public market gains outpaced its private book. Temasek logged an 11.8% one-year return, a sharp rebound from the previous year's 1.6%, with net new investments totaling S$10 billion, including fresh positions in French renewable player Neoen and India's Haldiram Snacks. Warning! GuruFocus has detected 4 Warning Signs with NVDA. But this wasn't just some spring cleaning. We have to be very disciplined in divestments, said CFO Png Chin Yee, pointing to exits ranging from Singapore Airlines bonds to Pavilion Energy (sold to Shell). CIO Rohit Sipahimalani added that the sales were pretty much across the board. China's weighting in the portfolio dropped again now at 18%, down from 29% in 2020 with Mapletree and CapitaLand still managing over S$11 billion in mainland property exposure. Despite some stability, Sipahimalani cautioned that China's property sector is not out of the woods. Meanwhile, the U.S. and India are getting more attention: Temasek's allocation to the Americas rose to 24%, and India climbed to 8%, marking a pivot toward regions with stronger near-term momentum. Temasek is also leaning hard into AI. Stakes in Nvidia (NASDAQ:NVDA), Broadcom (NASDAQ:AVGO), and several AI-focused venture funds anchor a long-term bet that's just getting started. We're not even at the tip of the iceberg yet, said Deputy CEO Chia Song Hwee, who sees a 15- to 20-year runway ahead. Despite April's tariff headlines and political noise, management doesn't expect a global recession, with markets showing more resilience to macro shocks. The strategy now? Exit aging bets, reinvest in secular tailwinds like artificial intelligence and clean energy, and keep reshaping the portfolio with discipline. In Temasek's world, agility isn't optional it's the core playbook. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-07-2025
- Business
- Yahoo
Temasek CIO: China Has Significant Opportunities
With trade wars and tariffs driving unprecedented volatility, Rohit Sipahimalani, Chief Investment Officer at Temasek Singapore's sovereign wealth fund, speaks to Bloomberg's Avril Hong. He says China is a very important market with 'significant opportunities' for Temasek. Sign in to access your portfolio
Yahoo
09-07-2025
- Business
- Yahoo
Temasek CIO Sees Low Risk of a Global Recession
Singapore state-owned investor Temasek Holdings' CIO Rohit Sipahimalani shares that the company's divestments are "pretty much across the board". He speaks with Bloomberg TV's Avril Hong.
AsiaOne
09-07-2025
- Business
- AsiaOne
Temasek sees $45b rise in net portfolio value to record high of $434b amid global uncertainties, Money News
Despite global uncertainties, Singapore investment company Temasek's net portfolio value saw an increase of $45 billion for the financial year ending March 31, 2025 compared to a year ago. It came in at a record high of $434 billion, mainly due to the strong performance of listed Singapore-based Temasek portfolio companies and direct investments in China, the United States and India, the company said on Wednesday (July 9). Net portfolio value is the total market value of listed assets and the book value of unlisted assets in an investment portfolio excluding any liabilities — a clear indicator of the actual worth of the portfolio at a given point in time. Temasek's 20-year total shareholder return (TSR) — a measure of its long-term portfolio performance — stayed at seven per cent for two years straight. But the one-year TSR came in at 11.8 per cent — up from 1.6 per cent in the previous financial year. This was also driven by the performance of Singapore-based portfolio companies and strong returns in the US, China and India, said Temasek. Singapore remains biggest market Singapore remains its biggest market, accounting for 27 per cent of its underlying assets in financial year 2025. Additionally, 52 per cent of Temasek's portfolio companies are also headquartered here. Temasek's deputy chief executive Chia Song Hwee said the strong performance of its Singapore-based portfolio companies shows its progress in executing strategies aligned with their "stated targets". "It affirms our ongoing active engagements with them to strengthen their business foundations, pivot and de-risk where necessary, and drive value creation," he said. "We have been sharpening our investment discipline through more active portfolio management and will maintain this rigorous approach to enhance our returns over the long term." Forty-one per cent of Temasek's portfolio is in Singapore-based companies, including household names like DBS Bank, Singapore Airlines and Singtel. Another 36 per cent is in global direct investments into established or emerging market leaders such as Shopee parent Sea and investment giant BlackRock, which align with the four structural trends of digitisation, sustainable living, the future of consumption and longer lifespans. The remaining 23 per cent of the portfolio is held in partnerships, funds and asset management firms. After Singapore, the Americas are Temasek's second-biggest market at 24 per cent, followed by China at 18 per cent, Europe, the Middle East and Africa at 12 per cent, and India at eight per cent. Temasek chief investment officer Rohit Sipahimalani said the firm's direct investments in markets like China, the US and India contributed to raise its net portfolio value over the year. "The growth reflects both the impact of shifting macroeconomic conditions on asset prices and the long-term prospects of our investments aligned with structural tailwinds in these markets," he said. Geopolitical tensions will affect growth It said geopolitical tensions are a key risk and will likely dampen global growth. But it continues to hold a "constructive outlook" on investment opportunities, despite heightened trade and geopolitical uncertainties. Temasek noted that the US remains a key investment destination while it continues to diversify through its investments primarily in Europe, China and India. Singapore's economy may come under pressure this year, the company said, but the Republic "ample fiscal and monetary policy levers that can be pulled" in the event of a more challenging growth backdrop. [[nid:718805]]
