MAS unveils US$5 billion investment

The move is aimed at capturing some of the value that is increasingly being generated by companies operating in the private sphere as opposed to publicly listed firms.
The move is aimed at capturing some of the value that is increasingly being generated by companies operating in the private sphere as opposed to publicly listed firms.PHOTO: ST FILE

The funds management sector here is set for a boost with a Monetary Authority of Singapore (MAS) investment of US$5 billion (S$7 billion).

The move announced yesterday involves the central bank placing the capital with locally based fund managers who invest in private enterprises or infrastructure projects.

These are fast-growing areas in South-east Asia and Asia, and MAS wants to capture some of the value. The programme will bolster the funds management sector here as the money will be placed only with top global managers who commit to increasing their operations here or those that undertake to set up a significant presence here.

An earlier MAS fund centred on public markets has reaped benefits, as board member Peter Ong noted yesterday. The initiative "has anchored global asset managers in Singapore and catalysed the growth of our asset management industry".

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A version of this article appeared in the print edition of The Straits Times on November 14, 2018, with the headline 'MAS unveils US$5 billion investment'. Print Edition | Subscribe