GIC plans $30B hedge fund allocation

Singapore sovereign wealth fund GIC announced plans to deploy an additional $30 billion into hedge funds over three years, focusing on global macro, quantitative, and multi-strategy funds. The fund also reported a 20-year annualized real return of 3.4% for the period ended March 31, 2026, down from 3.8% a year earlier, its weakest since 2020. GIC is increasing investments in AI across infrastructure, products, and operational improvements, while acknowledging risks of overvaluation. The fund adopted a refreshed investment framework on April 1, grouping assets into equities, fixed income, and real assets. As of March 31, equities comprised 56% of the portfolio, up from 51%, with the Americas remaining the largest exposure at 53%. Temasek, another Singapore state investor, aims to raise AI exposure to 15% of its portfolio by 2031.