GIC posts 3.4% 20-year real return after inflation

The fund also introduced a new investment framework.

GIC recorded an annualised real rate of return of 3.4% for the 20 years ended 31 March 2026, after adjusting for global inflation.

Its annualised nominal return over the same period was 5.6% in US dollar terms. The group uses a rolling 20-year return as its main measure of investment performance, it said in a press release.

In addition, the sovereign wealth fund introduced a new investment framework, centred on a strategic portfolio (SP) reflecting the Singapore Government’s risk appetite and long-term return expectations.

The portfolio comprises equities for growth, fixed income for income, and real assets for inflation resilience. 

“The GIC Portfolio will aim to outperform the SP over the long term within approved risk parameters through active investing to capture excess returns across market cycles,” the group added.

As at end-March, equities accounted for 56% of the portfolio, up from 51% a year earlier. Fixed income declined to 22% from 26%, whilst real assets slipped to 22% from 23%.

The Americas accounted for 53% of GIC’s geographic exposure, followed by Asia-Pacific at 22% and Europe, the Middle East and Africa at 19%. Global investments made up the remaining 6%.