Temasek targets major increase in AI investments as portfolio value hits record high
Singapore's sovereign wealth giant plans to more than double its AI exposure to 15% by 2031, betting big on everything from semiconductors to foundation models
Temasek, Singapore’s state-owned investment powerhouse, just posted a net portfolio value of S$518 billion, roughly $400 billion. That’s a record. And the firm is using that momentum to place one of the largest institutional bets on artificial intelligence we’ve seen yet.
The plan: take AI exposure from 6% of the portfolio to 15% by 2031. In dollar terms, that’s potentially tens of billions flowing into a sector that’s already swimming in capital. For context, 15% of a $400 billion portfolio is $60 billion, which would make Temasek one of the most AI-heavy sovereign investors on the planet.
The numbers behind the record
For the fiscal year ending March 31, 2026, Temasek delivered a one-year total shareholder return of 10.5% in Singapore dollars. In US dollar terms, that’s 14.8%.
This marks the second consecutive year of record portfolio value. The firm invested S$51 billion during the period while divesting S$31 billion, netting out to S$20 billion in fresh capital deployment, aided by gains from existing Singapore holdings and strategic exits.
Temasek CEO Dilhan Pillay framed the moment as a turning point, noting that AI is entering a “pivotal phase” that presents vast new opportunities.
Where the AI money is going
Temasek isn’t just chasing chatbot companies. The firm’s AI investment thesis spans a surprisingly broad spectrum: energy and data centers, semiconductors, cloud services, foundation models, AI applications, and software infrastructure.
The company already holds stakes in two of the most prominent names in generative AI: Anthropic and OpenAI.
Beyond AI: private credit and infrastructure
AI isn’t the only area getting a capital infusion under Temasek’s T2030 strategy. The firm is also targeting a significant increase in private credit exposure, aiming to grow it from 2% to 5% of the portfolio by 2031.
Core-plus infrastructure is getting an even more dramatic expansion, from just 1% to 5%. That’s a fivefold increase in allocation to assets like toll roads, ports, and utilities.
What this means for crypto and tech investors
The crypto angle here is notable for what’s absent. Temasek, which famously wrote off its entire $275 million investment in FTX after the exchange collapsed in 2022, made no mention of digital assets in its forward strategy. The firm appears to be channeling its technology conviction entirely through AI rather than blockchain or crypto-adjacent investments.