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Investment Report

GIC’s mandate is to preserve and enhance the international purchasing power of the reserves placed under our management by delivering good long-term returns above global inflation.

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Managing the Portfolio

GIC’s investment strategy is to build a portfolio of asset classes and strategies that generates good long-term real returns, while adhering to the Client’s (the Government of Singapore) risk parameters.

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Investing Sustainably

Sustainability is integral to GIC’s mandate, which is to preserve and enhance the international purchasing power of the reserves under our management. GIC is committed to enabling the global transition to a net-zero economy through our investments and operations. To do this, we actively engage with portfolio companies on their climate transition plans and fund the adoption and scaling-up of green technologies.

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Governance

The Government, represented by the Ministry of Finance (MOF), sets the investment objective, risk parameters, and investment horizon for the portfolio. It also ensures a competent board of directors is in place.

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Our People, Culture, and Community

GIC employees are guided by our PRIME values: Prudence, Respect, Integrity, Merit, and Excellence. These serve as our organisational compass and GICians are expected to live up to them.

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2023/24 Report

Report

Highlights

Explore Report Highlights

Letter from the CEO

In a world where uncertainty has shaken the foundations of the investment environment,

our response is to be ever more sure of who we are and to abide by our core investment principles. We stand committed to our core purpose of safeguarding Singapore’s financial future.

INVESTMENT REPORT

Annualised Rolling 20-year Real Rate of Return of the GIC Portfolio Since 2001

3.9

%

Over 20 years up to 31 March 2024, the GIC Portfolio’s annualised US$ nominal and real (above global inflation) returns were 5.8% and 3.9% respectively per year.

INVESTMENT REPORT

Investing in a World of Uncertainty

The global investment environment remains challenging despite recent macroeconomic resilience. Return prospects are more divergent across markets and within asset classes. The current environment underscores the importance of active (alpha) over broad market (beta) performance in the overall delivery of returns.

Investing Sustainably

GIC’s Approach to Enabling the Global Transition

One of the key challenges in financing companies’ transition strategies is to understand their commitment to and the credibility of those efforts. We prioritise four key dimensions when assessing the transition strategies of emissions-intensive companies.

Carbon Intensive Sectors GIC's Approach Green Solution Providers Targets Alignment with business strategy Governance Reporting Manage risks from potential stranded assets Enable real world decarbonisation by supporting credible transition strategies from companies Direct capital to green solutions and enablers Transition strategy evaluation dimensions • • • • GIC's Approach Carbon Intensive Sectors Green Solution Providers Manage risks from potential stranded assets Enable real world decarbonisation by supporting credible transition strategies from companies Direct capital to green solutions and enablers T argets Alignment with business strategy Governance Reporting • • • • Transition strategy evaluation dimensions

FEATURE ARTICLE

Sharpening Our Edge Amidst Challenging Times

Investors are facing a world with growing geopolitical risks, higher inflation, and slower growth in emerging economies. In this environment, GIC must continue to leverage our unique advantages, including our long horizon, diversified portfolio, and alpha-generating capabilities.

Our People, Culture, and Community

How GIC Cultivates a Diverse Talent Pool

We continue to build on our initiatives to cultivate a diverse talent pool. Here is a selection of our programmes, with examples of our progress this year.

GIC INSPIRES – Women Mentorship Programme

Launched GIC INSPIRES – Women Mentorship Programme to strengthen our pipeline of female talent.

GIC-MENDAKI Scholarship

Awarded a GIC-MENDAKI Scholarship to improve Malay representation in finance.

GIC Enable Programme

Converted two interns under our GIC Enable Programme for students with disabilities to full-time status, facilitating the entry of persons with disabilities into the workforce

LEAP: GIC Early Careers Programme

Boosted the diversity of our investment teams with the LEAP: GIC Early Careers Programme, which hires professionals with work experience from outside the investing and asset management fields

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