Temasek to raise AI share to 15% of portfolio by 2031

Singapore's state-owned investment firm Temasek Holdings has announced a major strategic shift to significantly increase its investments in artificial intelligence, alongside infrastructure and private credit, following a year of strong portfolio growth. The firm's net portfolio value reached a record S$518 billion ($401 billion) for the financial year ending March 31, 2026, marking its second consecutive annual record.

The firm reported total shareholder returns of 10.5% in Singapore dollar terms for the year. Under a new mark-to-market valuation methodology for unlisted investments, which is now its standard, the portfolio value stood at S$518 billion. On a book value basis, the net portfolio value would have been S$486 billion.

A key driver of Temasek's future strategy is a plan to more than double its exposure to AI assets. The firm aims to increase AI's share of its total portfolio from about 6% currently to as much as 15% by 2031. This expansion will involve deploying capital across the AI value chain, including energy infrastructure for data centers, semiconductor chips, cloud services, foundation models, and software applications. Temasek already holds stakes in...