Temasek to allocate 30%-40% of portfolio in dynamic investments with higher expected returns

STATE investor Temasek will allocate between 30 per cent and 40 per cent of its portfolio into dynamic investments that are forward-looking and focused on growth.

The allocation – part of its T2030 strategy – comes as Temasek seeks to deliver returns that exceed its risk-adjusted cost of capital of around 9 per cent currently. The move also comes amid expectations of a more volatile and uncertain world.

Assets invested under the “dynamic” component are targeted to achieve higher returns than the rest of its portfolio, which would be invested in “resilient” assets that have a long-term value orientation.