In the latest financial year ending March 31 2016, Singapore’s sovereign wealth fund company, Government Investment Corporation of Singapore (GIC), reported “a dip in its 20-year annualised real rate of return to 4 per cent”. There is no absolute figures given on the exact amount of losses but the estimated losses is at least US$20 billion (real estimate is $50 billion to cause a 0.9% drop in 20-year annual rate of return based on a US$135 billion 20 years ago). GIC’s 20-year annualised real rate of return was 4.9% last year, and it reportedly manage a US$344 billion portfolio.
The source of GIC’s fund is Singapore’s national reserves and CPF retirement funds. When GIC loses money, it direct translates to not having enough funds to return the CPF savings to Singaporeans, and hence require a delay in Withdrawal Age and a higher Minimum Sum limit. CPF Withdrawal Age has been delayed from 55 to 67, and the Minimum Sum doubled from S$80,000 to S$161,000 in the past two decades.
GIC’s chairman is Prime Minister Lee Hsien Loong, and he has no comment on the losses. His wife, Ho Ching, is CEO of the other sovereign wealth fund company, Temasek Holdings, who also recently reported a S$24 billion loss in the latest financial report.
The Singapore dictator will charge anyone who criticise him for defamation lawsuits in his own Singapore court. The latest victim is Roy Ngerng who lost the case without a trial and was ordered to pay S$150,000 to Lee Hsien Loong.
Temasek Holdings: We lost S$24 billion in a year