Singapore’s sovereign wealth fund is also broadening its AI exposure and adopting a more flexible portfolio framework as its 20-year real return fell to 3.4%, the weakest since 2020.
GIC plans to allocate an additional $30 billion to hedge funds over three years while spreading its AI investments across infrastructure, product developers and corporate users of the technology. Group Chief Investment Officer Bryan Yeo said the fund sees opportunities in global macro, quantitative and multi-strategy hedge funds, and added that GIC has tripled its hedge fund investments globally over the past decade. The push comes as GIC reported an annualised 20-year real rate of return of 3.4% for the period ended March 31, 2026, down from 3.8% a year earlier and its weakest long-run performance since 2020. Chief Executive Lim Chow Kiat said the outcome partly reflected GIC’s decision to take less risk in recent years and focus on diversification. GIC also said it began shifting to a refreshed investment framework on April 1 that groups the portfolio into equities, fixed income and real assets to give it more flexibility as markets become harder to predict. As of March 31, equities accounted for 56% of the portfolio, fixed income 22% and real assets 22%, with the Americas remaining the largest regional exposure at 53%.