Temasek tops 200 sovereign, pension funds in governance, sustainability and resilience practices
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Temasek joined four other global investors at the top of the ranking, with all of them scoring full marks.
PHOTO: ST FILE
Yong Hui Ting
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SINGAPORE - Singapore’s investment company Temasek has emerged top on a governance, sustainability and resilience (GSR) scoreboard published by Global SWF, a data platform focused on pension and sovereign funds.
It joined three other global investors at the top, with all of them scoring full marks based on the GSR scoreboard.
Temasek had the most assets under management among the four, at US$298 billion (S$404 billion).
Coming in next was CDPQ, one of the largest pension funds in Canada, followed by New Zealand’s sovereign wealth fund NZ Super, and the Nigeria Sovereign Investment Authority, which manages Nigeria’s sovereign wealth fund.
Regionally, Thailand’s Government Pension Fund was close behind Temasek’s perfect grade, with a 96 per cent on the GSR scorecard.
Japan’s Government Pension Investment Fund came in next for Asia, tying with the Korea Investment Corporation and National Pension Service of South Korea; all three received a 92 per cent score.
Asian investors’ average score based on the GSR metrics rose to 55 per cent in 2023, from 47 per cent in 2020.
Global SWF said the change was more noticeable in the governance aspect, where some Asian funds had become more transparent and engaging.
Some Asian funds tracked by the company also showed improvement in the sustainability aspect, having published their first annual environmental, social and governance reports.
Global SWF said it has observed a significant increase in GSR scores across the board since its launch in 2020.
The improvement is most apparent among sovereign wealth funds, which are catching up quickly with pension funds.
Global SWF added that there has also been an improvement around sustainability, as funds intensify their impact activities and reporting.
“We expect the scores to keep increasing in the years to come, as funds mature and recognise the importance of aligning with best practices around governance, sustainability and resilience,” it said.
The scorecard is published annually by Global SWF as a market reference for the GSR efforts undertaken by state-owned investors.
It surveys the world’s top 100 sovereign wealth funds and 100 public pension funds. The scores derived are based on 10 governance elements, 10 sustainability elements and five resilience-related indicators. THE BUSINESS TIMES
