Singapore’s state-owned investment company Temasek is set to invest up to US$30 billion into the U.S. economy over the next five years, according to Reuters.
The investment will focus on sectors such as financial services, technology, and healthcare, according to Jane Atherton, Temasek’s Head of North America.
In contrast, China recently reported weaker economic growth and took steps to stimulate its economy by cutting major interest rates.
Temasek’s investment portfolio has shown a shift, with 22% now allocated to the Americas, amounting to US$ 63 billion, compared to 19% in China.
This marks the first time in a decade that Temasek’s U.S. investments have exceeded those in China.
Atherton highlighted Temasek’s keen interest in AI-related fields within the U.S., including data centers, semiconductors, and battery storage technologies.
The investment strategy is part of Temasek’s broader focus on long-term themes like digitisation and sustainability, as the firm manages a US$288 billion portfolio.
Temasek’s recent financial performance has been bolstered by profits from U.S. and Indian markets, which have helped offset weaker returns from China.
The company remains cautious about its exposure to China, given ongoing trade tensions and recent underperformance relative to global markets.
Temasek’s investment strategy includes exploring opportunities in both public and private markets, particularly as private equity firms look to divest their holdings.
