difference between GIC and Temasek Holdings?

[teehee93]

Hi guys, I was wondering whats the difference between GIC and Temasek Holdings..both are sovereign wealth funds owned by the MAS, so what is the difference between what they do?

 

[naro]

I think Temasek invest primarily in Singapore companies while GIC focuses on foreign investments.

 

[keentolearn]

New here, let me give it a try

Some terminology:
GIC and Temasek manage reserves but are not under MAS. GIC is the official SWF and Temasek is just a private company the govt owns (Temasek manage SG Govt reserves like a SWF but they don't wanna call themselves that..)

Differences between GIC's and Temasek's portfolios:

1. Geographies
GIC: no mandate, but mostly USA and Europe. See Mar 2013 geographical distribution: www . gic. com . sg/en/report/report-on-2012-2013/investment-report/geographical-distribution#.UtU4BPQW2So
Temasek: mostly Asia . See Mar 2013 geographical distribution: www . temasek. com . sg/portfolio/portfolio_highlights/geography

2. Assets
GIC: Public Equities, Bonds and Alternatives like real estate, private equity..
See Mar 2013 Asset Mix: www . gic . com . sg/en/report/report-on-2012-2013/investment-report/asset-mix#.UtU4vvQW2So]
Temasek: Mostly equities, can be private or public.. See Mar 2013 Liquidity: www . temasek . com . sg/portfolio/portfolio_highlights/liquidity]Liquidity - Portfolio Highlights - Portfolio - Temasek

Temasek owns a number of subsidiaries, e.g. Fullerton Fund Management, that have different investment philosophies and focus.. Idk why I can't find a list of the subsidiaries online, but I saw it during one of their campus recruitment presentations..

(paiseh can't post live urls cos im new here.. don't know how many posts i need before can post links)

 

[lzydata]

Both GIC and Temasek are private companies owned by the Ministry of Finance. MAS is a statutory board on its own with its own regulatory and monetary functions.

GIC's mandate is to invest the government's reserves. Temasek was intended to be a holding company for the government's assets, like its stakes in GLCs such as Singtel. This is why GIC does not own local companies and Temasek does.

Mandates and intentions aside, more recently their strategies have started to overlap. A growing part of Temasek's portfolio is diversified overseas. GIC still does not invest in local companies, but it is becoming more adventurous and risk-taking overseas too.

Ministry of Finance - Section I: What comprises the reserves and who manages them?

 

[lolita_5]

sorry for bumping, would like to hear more views on the differences

did read up on them online but am interested to hear layman explanations as well, thanks!