Temasek, Singapore's S$518bn sovereign wealth fund, plans a significant increase in AI-related exposure as part of its strategic asset allocation shift. The fund also aims to lift its exposure to core-plus infrastructure from 1 percent to 5 percent by 2031, marking a substantial portfolio rebalancing toward higher-return infrastructure segments.

This move reflects Temasek's broader strategy to capitalize on structural growth trends in artificial intelligence and digital infrastructure. The increased allocation to core-plus infrastructure suggests appetite for assets with stronger growth profiles than traditional core holdings, while maintaining moderate risk levels.

The pivot aligns with global institutional investor trends toward technology-enabled infrastructure and AI-driven productivity gains. Temasek's scale allows it to access large-scale opportunities in data centers, fiber networks, and AI compute infrastructure that smaller investors cannot.