Singapore Defends GIC and Temasek Returns Amid Performance Criticism

Singapore has defended the performance of its sovereign wealth funds, saying Singapore sovereign wealth fund returns from GIC and Temasek are reasonable and within expectations despite criticism.

Senior Minister of State for Finance Jeffrey Siow told parliament that comparisons with global peers should account for different mandates and risk profiles, with Singapore prioritising long-term results over short-term swings.

He said GIC’s risk-moderation measures ahead of potential equity-market corrections resulted in some foregone returns as prices stayed high.

Siow cited GIC’s 20-year annualised real return of 3.8% and Temasek’s 20-year total shareholder return of 8.0% in US dollar terms as evidence that Singapore sovereign wealth fund returns remain resilient.