Singapore’s sovereign wealth fund, GIC, has posted its highest rate of return in six years.
The traditionally cagey GIC reported an annualised 20-year real rate of return, its main performance metric, of 4.3% for the year until the end of March. It is the highest since 2015, when it posted returns of 4.9%.
The fund refuses to say how many assets it has under management or what the total value is, other than the low-ball estimation of “well over $100bn.
But GIC said it was more “cautious” in the longer term, pointing out that high valuations for assets including real estate and infrastructure were “in contrast with some uncertainty in the environment”.
The fund is still keen on investing in real estate as the relatively high yields will offset any drop in bond prices as inflation grows.
