SINGAPORE: A report in Bloomberg published on Thursday (15 Aug) revealed that Temasek Holdings Pte., which is owned by the government of Singapore,has invested US$3.3 billion (US$4.35 billion) in the second quarter of this year on major tech companies in the United States.
By July, however, the sector saw considerable losses.
Citing an analysis of Temasek’s two most recent 13F filings, Bloomberg said that the company poured billions into 11 big tech firms from April through June. Of this, US$3.2 billion (S$4.2 billion) went to Microsoft Corp., Apple Inc., Nvidia Corp., Alphabet Inc., Meta Platforms Inc. and Amazon.com Inc.
A 13F filing is a quarterly report to the United States Securities and Exchange Commission from “institutional investment managers” who have control over US$100 million (S$132 million) in assets.
The reports, which are made public as structured datasets by academic researchers, include all equity assets under management.
However, most of the companies where Temasek increased its investment saw a slide in their stocks in the midst of concerns over how far Artificial Intelligence (AI)-related gains will reach as well as recession-related fears, Bloomberg added.
Microsoft’s share prices have gone down by about 7 per cent since June 30, and Alphabet and Amazon’s share prices have decreased by around 12 per cent.
On the brighter side, several of Temasek’s shares held by began recovering this week.
The company’s investments since then are unknown, with Bloomberg adding, “The firm may have made gains depending on its purchase price, sold right before the fall or even snapped up more as they declined in an effort to buy the dip. With a net portfolio value of S$389 billion (US$295 billion) as of 31 March, the purchases would’ve represented around 1 per cent of its total holdings.”
Temasek said on July 9 that the bulk of its investment capital would keep going to the US, with a focus on AI’s early adopters in the tech sector. The company said at the time that America constituted 22 per cent of its portfolio.
As for the Chinese market, however, Temasek was staying cautious. Its Chinese assets make up 19 per cent of its portfolio, a decrease from 22 per cent in the 2023 financial year.
Temasek has 13 offices in 9 countries across the globe: Beijing, Hanoi, Mumbai, Shanghai, Shenzhen, Singapore, Brussels, London, Mexico City, New York, Paris, San Francisco, and Washington, DC. /TISG
Read also: Temasek-backed Sembcorp power plant in Myanmar shuts down amid escalating civil unrest