Temasek Holdings: Net Profit fell by 26%
July 8th, 2010 | 
Author: By Peter Stein, Costas Paris and P.R. Venkat from Wall Street Journal, 7 July 2010
Singapore’s state-owned investment firm Temasek Holdings Pte. Ltd. said Thursday it posted a 26% drop in net profit for the year ended March 31 on the back of weaker contributions from its portfolio companies, even as its portfolio rose 43% in value.
The divergence between profit and portfolio performance shows that the share price of many companies owned by Temasek did well as global capital chased returns in emerging markets, yet many had trouble making money in a tougher business environment that included higher fuel costs and weaker international trade.
Temasek owns controlling stakes in some of Singapore’s biggest corporations, including Singapore Airlines Ltd., shipping company Neptune Orient Lines Ltd. and PSA International Pte. Ltd., the world’s biggest operator of port facilities. It also owns significant chunks of other Asian companies that include two of China’s biggest banks, telecommunications conglomerate Shin Corp. and an Indian telecom operator. And it is the biggest shareholder in U.K.-based Standard Chartered PLC, with an 18% stake.
Chief Financial Officer Leong Wai Leng said some portfolio companies, including Neptune Orient and Singapore Airlines were “severely impacted” by the economic crisis.
Temasek said its net profit fell to 4.6 billion Singapore dollars (US$3.3 billion) from S$6.2 billion the year earlier. Its portfolio stood at S$186 billion as of March 31, nudging just above the S$185 billion it was valued at two years earlier after rebounding from huge losses in 2008 and early 2009. A sharp rise in global markets during the second quarter last year accounted for most of the recovery. Of the S$56 billion growth in the portfolio’s value last year, S$42 billion occurred in the four months to July 31, 2009.
Neptune Orient illustrates the split between profit and share price. The shipping firm, which is 66%-owned by Temasek, lost money for all of 2009 and in the quarter ended March due to a downturn in Asian exports. Yet in the 12 months to March 31, the company’s stock is up nearly 72% to S$2.01. Temasek invested in a rights issue the company conducted to boost its capital, giving it more upside exposure.
Over the year to March 31, Temasek made a net S$4 billion of new investments, much of it in energy and resources, where it continues to direct money. In May and June, it invested more than US$600 million in U.S. natural gas company Chesapeake Energy Corp. Energy and resources now account for about 7% of the companies investments, up from 5% a year earlier.
Other recent investments include US$200 million Temasek has invested in the initial public offering of Agricultural Bank of China. In May, Temasek also acquired a 5% stake in India’s National Stock Exchange for S$241 million.
Temasek warned that although the risks of a global economic meltdown have shrunk, “recovery remains fragile” and the European debt crisis is a reminder of structural imbalances that could threaten stability.
However, Temasek remains satisfied with its exposure to Asia, where about 80% of its investments are located.
“We continue to remain optimistic in Asia, and over the next 10 years we will likely increase our exposure,” said Jimmy Phoon, Temasek’s head of strategy. He said the state investor was also looking to increase its investments in Latin America in sectors like finance and agriculture.
Temasek sold off high-profile investments in Bank of America and Barclays PLC in late 2008 and early 2009 at a loss of nearly US$5.5 billion, according to people familiar with the situation.
“Some investments had not turned out as expected, while most other investments did well,” said Simon Israel, Temasek’s executive director. “Where we thought that risks were not acceptable, or when we had other better opportunities, we were ready to do what we thought was best for the long term despite any short-term pain, he added”
About 20% of Temasek’s investments are in developed economies, with Australian investments by Singapore-based companies accounting for much of that total.
Mr. Israel also said that Temasek was looking at Mongolia and that its rich mining resources provided opportunities. Temasek and private-equity firm Hopu Investment Management Co. invested US$300 million last year in a Mongolian iron-ore mining company.
People familiar with the state investor’s operations said the quest to find a successor to Ho Ching, the current chief executive and wife of Singapore Prime Minister Lee Hsien Loong, will begin in the fall. Temasek said in May that it will appoint former Singapore Exchange CEO Hsieh Fu Hua as its president starting in August. One of his main responsibilities will be to identify suitable candidates to replace Ms. Ho, according to those people. Mr. Israel said “every year our board looks at potential successor candidates,” and Mr. Hsieh’s “mandate is much broader” than that.
Ms. Ho didn’t attend the results briefing. Staff said she was traveling with the prime minister on official business in the U.S.
Historic plans for a foreigner to run Temasek it fell apart last year when the company, citing “strategic differences,” said Charles “Chip” W. Goodyear, formerly chief executive of mining giant BHP Billiton Ltd., would leave the company three months before he was scheduled to take the helm.
Temasek also offered an update about a new investment company it has set up with S$4 billion in start-up capital called Seatown Holdings. Mr. Israel said Seatown—which is being headed up by Charles Ong, Temasek’s former chief investment officer and chief strategist—would be “investing over a broader range of asset classes, with the ability to have a different geographic exposure” from the rest of Temasek.”
Temasek said it hopes to bring in sophisticated investors to co-invest with Seatown within three to five years, with a longer-term goal of bringing in retail investors after the company had gained more experience.
By Peter Stein, Costas Paris and P.R. Venkat
Source: Wall Street Journal
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Posted in Editorial
Our great 154th reports record numbers 186billion and portfolio up 43%….
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The people of Singapore should be enlivened with the news that Temasek Holding is not in the red.
All the country’s money is still in one piece as it is well invested drifting in the positive arena. A drop in profit means we earn lesser when things get better we will surge once again.
Thanks to PAP who has not lost all our money but instead still profitable. Don’t they deserve your vote and adoration?
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It is not important if they made profits or lost, of which GLC did likewise, it is no more this question. It is the issue of accountability, of Ho Ching, LSL, LKY and Tharman to us ordinary Singaporeans who are making it harder to make ends meet. If one spouse is out of work, we’re dead. Vote these blokes out at the next election, really daff leaders.
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I thought her husband said sg economy fully recovered?
so was it lie or incompetency?
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Left out tiny rise in portfolio value in the latest high from previous high.
http://atans1.wordpress.com/2010/07/08/temasek-results/
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WHAT HAPPENED TO NEGATIVE WEALTH????????????????
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shitty times try to spin a story where TH’s asset increase to xxx amount.
With negative profit, th has done the increase with top ups.
Without top ups or subsidy from the govt, th is long died.
sad given that our govt adhor subsidy. except to itself.
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“Wu Yah Bo (Is it true)?” as HC found Singaporeans comments and outcry “laughable” yah! And she got Mr. Goodyear just to not even warm the seat as he never ascended since he was BOOTED as CEO-Designate.
And as for US to be thankful that TH is not in the “RED”? Mmmmm…. Do you others wonder WHAT “NEGATIVE” in Accounting ACTUALLY means hor? We do have a couple of “exiPERTS” with ignorance “try” lar to teach US Pros “dis and dat” hor!
Like I said before and again: “A closed mouth catches no flies”. And “A long tongue is a sign of short hand”.
So “A fool knows more in his own house, than a wise man in another’s”. Since “An empty sack cannot stand upright”. As Plutarch said: “Know how to listen and you will profit even from those who talk badly.” YES! I have!!!! And thus: “A blunt knife may be sharpened on a stone, but if a man is stupid, there is no help for his stupidity”.
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So, this is “Positive Wealth Subtracted”?
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Can TR retrieve from TH’s report and give us a simple summary. For example. Profit increased from $xxx to $xxx, by xxx%. I cannot understand their report.
This is the information I retrieved from Temasek website relating to the net portfolio value:
o At 31 Mar 10 : S$ 186 billion
o At 31 Mar 09 : S$ 130 billion
o At 31 Mar 08 : S$ 185 billion
In reality, TH has just returned to the Net Portfolio Value at 2008. That means we are not making any money for the last 2 years from Mar 2008 to Mar 2010? Is my interpretation correct? Can somebody help.
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@ numbersgame:
July 8, 2010 at 5:50 pm
WHOSH!! What an acclaimation of fool’s pride of chicken performance.
Your comment below needs a little bit of srutiny to tear is asunder.
“Our great 154th reports record numbers 186billion and portfolio up 43%….”
From a low of $130 billion, presumably near global market bottom of March 2009 – that is 15 months ago, their portfolio climbed 43%. ONLY 43% in 15 months.
Now if you take a look at “real man” in the big investment end of town compared to “little kids” play with sand castle on the beach, you can see that many portfolio managers achieved 250% to 450% in less than 3 months in June 2009. Here is the real evidence.
http://www.mineweb.com/mineweb/view/mineweb/en/page67?oid=85130&sn=Detail
And here is a sample of stocks from that list – how fast they rebounded
WORLD’S TOP 100 MINING STOCKS
Stock From From Value
price high* low* USD bn
NMDC 363.55 -25.7% 215.6% 29.87
Freeport-McMoRan
USD 50.48 -59.5% 221.5% 20.79
Shanxi Xishan
CNY 27.48 -7.0% 293.7% 9.75
Sterlite
USD 12.41 -34.6% 297.8% 8.79
Teck
USD 15.31 -69.1% 488.8% 7.31
Fresnillo
GBP 5.57 -24.8% 498.9% 6.49
Uralkali
USD 15.22 -81.2% 381.6% 6.47
Zhongjin Gold
CNY 52.02 -2.2% 401.9% 6.02
KGHM Polska Miedź
PLN 81.55 -21.5% 306.1% 5.01
Randgold Resources
USD 65.20 -12.1% 192.6% 5.01
Bumi Resources
USD 0.21 -77.3% 950.0% 4.07
Hebei Jinniu
CNY 35.30 -25.0% 233.6% 4.07
and I can go on. THESE SHARE PRICES HAVE MOVED UP A LOT SINCE.
lOOK AT THESE WONDERS
Aurelian Resources. It made the headline-grabbing Fruta del Norte gold discovery in Ecuador in 2006. Thanks to this high-grade 13.7-million-ounce deposit, the company’s share price skyrocketed from around $0.25 to over $40 – BY 160 TIMES OF CAPITAL OUTLAY.
http://www.mineweb.com/mineweb/view/mineweb/en/page103855?oid=105405&sn=Detail&pid=92730
Just 6 junior explorers shared discovery of over 100 million ozs of gold last year in South America, see what they do to their shares prices like Aurelian?
Achieving 43% from a market deep low in 15 months, is very poor performance in comparison.
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i think it becoz GE lah , must deliver good news first mah … btw , who know whether TH still got $168 billion ? can show us or not ?
many months ago , HDB cliam they lost $2.1 billion leh ! anyone believe ? HDB , i haha you !
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I still think they should not have sold off Bank of America at rock bottom price. Normally at that level we go for broke and average down.
Earlier they had a chance of selling as they realised they were over-exposed to too many risky banks, and, that was when Merril Lynch was being absorbed by Bank of America. The strategy is to get back capital at least so that it won’t be too daunting with too many bad cards in the hand.
Arrogance doesn’t pay. Maybe that was why the new chap was responsible for the selling and therefore was not allowed to take over because he wanted to clear the table and start afresh. But the timing was wrong! Speculation only.
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Mr Israel: “Where we thought that risks were not acceptable, or when we had other better opportunities, we were ready to do what we thought was best for the long term despite any short-term pain, he added”
Sounds like buy low sell high! Beter left unsaid.
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Are You an idiot or what? Those figure that you list are Equity trading. They are more volatile and rebound much quicker and you have your 250% plus plus. Temasek Holdings own firms and companies, and they do not trade equity.
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Once in a while a great opportunity like the sub-prime surfaces. TH was too hungry and too eager to jump in. The rest is history.
They gave us a phone call and we were so swollen headed. It is hard to make good decisions with a a swollen head.
Back to square one, consider ourselves lucky! Hope they learn.
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I think this is a food set of results. Increase in portfolio as reported by the media. Dun you think so?
As in all investments, you win some you lose some. As long as our money is still there, there is nothing to hammer about. I hope this is gain through good investment returns and not from some so-called top-ups?
Be fair to them. Unless proven otherwise.
So there is more reasons why you should vote the current PAP govt in.
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Singaporeans need to appreciate the good work by our supervisory agencies like Govt and MAS.
Vote carefully.
If this govt is gone, you may not have one that can manage such sophisticated investment vehicle.
Singaporeans, think!
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SilenceIsGolden: – “Thanks to PAP who has not lost all our money but instead still profitable. Don’t they deserve your vote and adoration?”
Hello SilenceIsGolden, there is a proper place for you to lick the famiLEE’s arse. It is at Oxley place. Alternatively, you can try Desker Rd, heard that LHL frequent that place to satisfy his homo hunger pang for transvestites.
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why CEO missing from press conference? Does ho Ching deems sun Valley trip more important than the press conference or she doesn’t want to answer questions?
Regarding LHL upcoming speech at Sun Valley (which is a closed event to privileged few like Gates, Buffett, media moguls) ,wonder how much money is spent to lobby for this “honour”
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They make money….my bus fares and utility bills go up. They lose money…my bus fare and utility bills also go up.
I don’t give a shit whether Temasek makes a profit or not. Those Pigs can go rot in hell for all I care.
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@ Stupid Anonymous:
July 8, 2010 at 9:20 pm
Are you the biggest idiot living in this planet??. There are plenty of mining stocks which IF ONE BOUGHT AT THE SAME LOW POINT OF MARCH 2009 AND HOLD FOR INVESTMENT ( NOT EQUITY TRADING) would have given a gain of several hundred percentage. Talk to any fund manager specialising in resources sector.
If financial markets are beyond your little awareness, just accept it.
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@ Stupid Anonymous:
July 8, 2010 at 9:20 pm
You are a blind frog locked in the closet or what? Read why Temasek is ONLY NOW getting into resources sector. They missed the best part of the sexy journey to big money by the billion of miles right at the bottom.
http://af.reuters.com/article/metalsNews/idAFSGE6650AJ20100706?sp=true
Who is the idiot now – you or me ???
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@@ Stupid Anonymous:
July 8, 2010 at 9:20 pm
EVERYTHING WE EAT OR USE MUST BE GROWN OR MINED.
How come they took so long to realise this and not buying aggresively into resources sector that climbed several hundred percentage in a few months since March 2009 and much further since?
http://af.reuters.com/article/metalsNews/idAFSGE6650AJ20100706?sp=true
“Demand for resources will go up because of emerging economies like China but there is only so much supply, so prices will go up over time.”
I would love to hear them saying those in March 2009. Really.
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@Mobisco:- LOL… You have been voting PAP for all these wonderful years… Come on don’t be shy, do it again Mob, you know the in and the out of LHL for all the good days. What a jolly time he has given you. …. LOL….
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Siao liao. Temasek got profit.
Like that we are going to have Ang Pow before election.
Take the ang-pow then say bad about the govt. Ah Pa make profit and give ang-pow still complaint.
if we are like working in Chevolet US, all money saved and pension all ate by dogs.. worst right.
Huat AH! Govt not bad lah. what so much to complaint. Take money and sshh.
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How come now CEO not resigning? Because market up? No need to explain?
No reporters dare to ask?
Daddy and mummy go US visit children? Best jobs in the world .
Anytime can take off.
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All the previous action/talk about hiring a new CEO to replace Ho Ching is just a smokescreen. There was NEVER any intention to replace her. Just a wayang to appease the public’s anger.
Of course portfolio value increase lah…..MOF simply inject more money into Temasek!!!
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@anonymous:
July 8, 2010 at 10:33 pm
You make it sound like so easy. Then why are you still here? You can just pump in a few 100Ms into the stocks at their lowests and then sell them at their highests. After that, use your profit to help TR expand. Can or not?
Hey, hindsight is always 20/20. So, don’t blow trumpet here, Mr StockGod.
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TH have yet to account the losses in US, UK, and Australia. All these $186B dollars are money that is not transparent at all. Figures they can manipulate at will. They even raised funds if i did not recall wrongly. Raised funds to fill the gapping hole?
Ho Ching is having a good life…CEO dont attend press conference? Leave it to someone else? Is sun valley that important? There are priorities, first lady, Mother or CEO? Which is which? Is there no conflict of interests? See SON more important than SINGAPOREANS life savings?
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Temasek is the proud off-spring of our ever capable PAP and its leaders. Without PAP, there will not be Temasek and there certainly will not be this whopping 43% increase in profit.
To all YOU lesser mortals out there, dig this. PAP forever !!
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Dilemma Singaporean:
July 8, 2010 at 9:35 pm
Singaporeans need to appreciate the good work by our supervisory agencies like Govt and MAS.
Vote carefully.
If this govt is gone, you may not have one that can manage such sophisticated investment vehicle.
Singaporeans, think!
———–
If this govt is gone, we’ll throw a national-wide celebration and be ecstatic about it lor! We will get our hard-earned CPF money back in CASH. Those billions of dollars in TH and GIC funds are from the ‘extorted’ money (CPF) that PAP deducted from our salaries monthly.
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@SilenceIsGolden:- To my shameful imitator without the avatar. LOL….. No matter how hard you try you are still without the avatar. LOL…..
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I have long decided not to believe the statistics put out by the PAP. They are masters in the art of deception and guile. They bury the truths in a mountain of lies and have no qualms of lying through their teeth. What’s so great about this set of information? Even if the results are bad, are they going to accept responsibility? They will only accept responsibility when the results are good, so what is the value of this set of information? In any case, the holdings of GIC and TH doesn’t belong to Singaporeans. Haven’t they said it that it is owned by the Ministry of Finance? And it is for the long term. In the long term we will all be dead.
These holdings are nothing but paper money. They are used by the royal family so that they can swagger their way in international meetings. Singaporeans, doesn’t it sound strange that all the board and senior management are linked to the PAP and the family in one way or another. Where would you find this in other sovereign wealth funds? Singaporeans, wake up. GIC and TH is another example of how the LKY has so completely infused the PAP into every institution and organization in Singapore that it has become synonymous with Singapore. We are nothing but putty and a plaything in their hands, disposable and dispensable.
LKY, his goons and lackeys will not rest until each and every Singaporean becomes an unthinking slave, a disposable digit. We have only one final say, despite the gerrymandering, restraints on opposition and bullying and that is the election. Only when we have chucked out this megalomaniac then will we know the real truth about their rule in Singapore. And the truth will set you free.
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if the investment strategies work, why do they need to borrow monies.
just look at dbs.
they need to issue bonds and borrow monies.
because they didn’t even have the monies to pay for electrical bills that service the atm machines.
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43% increase. My ass.
Sg do you gain from of this. You die still your business.
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With an asset of S$186B to earn S$6.2B; that about 3% returns.
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@ If anonymous is so good..:
July 8, 2010 at 11:58 pm
You are like a little cockroach snifing from one crevices to another. First, my comparison is wrong of “equity trading” measure – a complete fiction, and then now 20/20 hindsight.
The simple truth is that 43% gain in 15 months from such a low base of March 2009 is PRETTY DISMAL PERFORMANCE when whole sectors like resources have shifted geared by 300% to 800% in the same interval. Temasek at least is beginning in a very small way – very late as it is – moving in the right direction.
Lets forget about big discoveries but just very ordinary Mainland Chinese mining entities. Our China-savvy TH missed the cream in that boat too. The signs are on the wall, Chinese mining investments have been buying aggressively abroad. Just follow them, and we prosper.
We bet BIG on China’s economy.
Who knows better than the Chinese of what they need to grow their hungry economy?
BLIND. I just watch WHAT CHINA IS DOING and tip-toe them. I am NO GENIUS, NO HINDSIGHT AND NO BIGGER FOOL, just a half-blind follower and very happy at that.
It is NOT EASY NOR DIFFICULT. Watch not what Chinese say BUT WHAT CHINESE DO!!! And no need to hurl your TBL (threatrics, bluffs and lies) here. We can see your bullshit of 43% little jump over a village longkang touted as outstanding achievement as a small joke for the uninformed minds.
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@If anonymous is so good..:
July 8, 2010 at 11:58 pm
I would give you 10%, charity 40% and I still gets to keep 50% if I got a few 100Ms invested in those wonder sectors?. Do you know maths? Just leave us your banking details here. I will do that for you if and when I hit the mythical jackpot after getting some investment advice from the world famous “Paul the Octopus” forecaster extraordinaire.
Why am I forcibly reminded to tell deafs that you that I failed my kindergarten leaving examination?
TR is doing exceptionally well without even aware of my scary ghostly existence. It is fakes of truths like you farting diabolical deceptions around in the public domain giving them the god-send opportunity to shine some home truths at your expense. Stupid shit!
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Should we forget about the 2008-2009 loss of US$50 BILLION from Temasek’s portfolio due to its lack of foresight and reckless ‘gung-ho jinx’ adventurism ?
This amount is what was publicly declared – are there any that remains in ‘escrow accounts’ ?
With Temasek Holdings losing US$50 Billion in 2008, GIC was not to be outdone and had to lose also US$50 Billion over the same period.
The combined declared losses – from GIC and TH – had Singapore’s total loss of US$100 Billion in 2008 through 2009.
Despite the boasted long years of experience from GIC and TH – its a crying shame that China’s short experience in Sovereign Wealth Fund management had seen them netting US$10 Billion for the same crisis period.
For good comparison, we should wait for China’s SWF report for the same current period that Temasek Holdings had trumpeted their modest gain.
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something to crow about…
http://www.cnbc.com/id/38142250
our investments are 80% in asia, my my, what a waste….
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also notice they didn’t dare to reveal that the increase in value comes from additional top from govt and from bond issuance.
They are not taking HC out, for fear that it might confirms fears of incompetency of LHL. (which is evident anyway)
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the increase in value could have been a transfer from GIC to TH.
We don’t see any report on gic so it is an atm for th.
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@ atobe:
July 9, 2010 at 9:19 am
With Temasek Holdings losing US$50 Billion in 2008, GIC was not to be outdone and had to lose also US$50 Billion over the same period.
Wonder if father-in-law or daughter-in-law is the “smarter” one.
So if they had invested in Berkshire Hathaway in 2008, we could not only have saved the $100B but also made positive gains in 2010.
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@anonymous:
Oh just chill…I’ve had enough of blokes who believes basic intelligence is as good as fortune telling. See, you should know a lot of people out there are both blind, and deaf, and timid, so they like to follow herds and won’t touch anything they don’t know, given their little research on anything at all.
And China? I like how they’re passing the bomb, and hopefully when it explodes I’ll have fun laughing.
And for the comments these days on most parts, I’m getting the feeling there’s too many meaningless posts these days…I liked it when it’s rowdy, but when most of the discussions turns personal, it is just plain stupid.
To the people who’re testing out brainwashing methods on both sides, please refrain from being too obvious, even if you’re acting civil. It pains me to see this place wrecked by morons of kinds with their stupid way of convincing people.
And sometimes, I can’t tell if a certain someone, is being sarcastic at all. I’m too busy to be bothered…there’s lesser chance to reap benefits as the days go by. Don’t comment if you’re not interested, really.
As for Temasek, if they don’t come clean, there’s no reason to believe their 24% less Net Profit didn’t come from an overdose of injection last year and the continuous rising of Lego prices. Playing with numbers is a good thing, but as anonymous said, under performing is not something I’d want people to be proud about.
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like someone said before, you may have trillions in surplus, that’s your problem, as i can just default and its worth zero.
http://www.ft.com/cms/s/0/8c861c30-8a5d-11df-bd2e-00144feab49a.html?hpt=Sbin
japanese bonds are not going to save you either, just how tricky and im-moral the world has become.
trade surplus may save you donkey moons ago, when there’s no level playing field as the world’s biggest said,(were they on level playing field then) so now the world is going topsy turvy because of “level playing field”, obama is not buying, so is europe, can japan buy or india,,???
buying gold or silver may not save you either.
we need 3rd world war….to resume buying…..
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Sinkapore’s elites with morr “Negative Wealth Added” indeed.
UBS
GIC invested $11 billion Swiss francs in UBS at the initial revelation of the subprime crisis late 2007, taking on a 7.9% ownership. The loans were converted into equity in 2010, with estimated 70% loss of value.
Stuyvesant Town and Peter Cooper Village
GIC made a US$200 million investment in the equity of the largest apartment complex in Manhattan, and provided US$575 million in secondary loan at the height of the US real estate bubble in 2006. In 2010, the management of the complex, Tishman Speyer Properties and BlackRock Realty, defaulted on their loan, effectively wiping out all the investment by GIC.
Citigroup
GIC invested US$6.88bn in Citigroup in 2008 and pared its stake in Citigroup Inc. in 2009 from more than 9 percent to less than 5 percent, realizing a $1.6 billion profit, with another $1.6 billion paper profit on its remaining holding.
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A. Dear @Sun Tsu July 8, 2010 at 9:04 pm
- Please note that Mr. Goodyear was just a CEO-Designate. And so the City Bank sold at “rock-bottom” was with HC’s blessing! I note you did say “speculation only”.
- To sell at rock or near rock bottom is a knee jerk and desperado action action. But by CEO of TH is she then qualified? Many here DON’T know that engineers mostly have logical and mathematical minds. She is a graduate in electrical engineering right!
- Perhaps she’s “an exception”????? As “Woody Goh” and Danabalan too praised her with known background of her dismal BIG losses first at SemCorp, then ST Technologies & Chartered. So, are both Woody Goh and Danabalam HONOURABLE “leaders”? And one holds a bible or used too in parliament anyway!
- And I’ve shared that Pedemco Land a subsidiary of URA then with some billions in profits in REALTY was then absorbed in ST Tech to “equalize” those HC loses there! Then Pedemco+DBS+smaller one became “CapitaLand”! It is in local lingo “Chiapa chek chui” – meaning after “makan” (as in complicity) and then wipe outh”! And the last one was included as it couldn’t possibly compete commercially WITH the USUALLY “PAP govt style” advantages right!
So SIG with avatar – how that for PAP’s and HC’s honesty and size? Don’t give US any implicitly derelict non-dogma dichotomy kind of partisan analysis of PAP’s greatness. Facts and not selective with lopsided comparative and questionable “issues” you are well-known for. SUM UP! And refrain from responding mostly to non-logical and non-sensible emotional comments and you will be respected! IF you make proper and good common sense that is!
B. Dear @Dilemma Singaporean: July 8, 2010 at 9:35 pm
- This govt won’t be gone in “one or two strokes”. As, given the PAP’s advantage GRC system, with super high incomes of PAP MPs first in preparation, then hefty increases in GE Deposits and Fines, etc restrictions like at last GE’s limit of $60K campaigning limit per candidate and Bankrupting Lawsuits too, it will take several GE for transition!
- And we’ve been NOT unaware of the govt material developments. But we’ve all been here up against their:
1. Shredded in total secrecy where it is clear there’s no real need.
2. Explaining issues away in selective and even divisive NON-humble gentlemen terms that not only self-glorify but also demeaning US with their usual doses of “telling another story to confuse the one(s) We ARE questioning”!
3. Such is NOT the “honest and trustworthy” kind of ministers that PAP patriarch Lee Kuan Yew *& company said of themselves. And all dressed in white but only at yearly NDR to portray.
4. So, is PAP = People’s Action Party? OR is it a “Party Action People” as confirmed by LKY himself in 1956 about “Repression…” as an opposition?
So SIG the forever LKY & PAP faithful lover, you may wish to enlighten US by “weighing” each good and not good/wrong like I normally do for our respect. If you do not need this, just let us know. But then please know that:
- “A good man terminates a friendship without rancour”.
- And so too “A good man can do no more harm than a sheep”.
- “A blind man cannot judge colours” and so to “A blind man will not thank you for a looking-glass”.
- And as “A shy or timid cat will make a proud mouse”, so WE are here in TR to “catch mouse” THAT gnaws AT OUR human VITAL VALUES!
C. And Dear @Crap: July 8, 2010 at 11:55 pm
I agree with you as the whole scenario was shrouded in secrecy with not only mysterious but even “mystical” getaway reasons by Woody, Dan and ALSO apa-in-law! Who a material greed person would give up a $10M job served not only on a silver-platter but is also guaranteed from failures BIG and “laughable”!
Lastly:
- “Vehement allegiance without honourable cause is a blind alley”.
- “The blind leading the blind only happens in the land of the blind”.
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randomnessinmind:
July 9, 2010 at 10:22 am
@anonymous:
As for Temasek, if they don’t come clean, there’s no reason to believe their 24% less Net Profit didn’t come from an overdose of injection last year and the continuous rising of Lego prices. Playing with numbers is a good thing, but as anonymous said, under performing is not something I’d want people to be proud about.
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
I concur.
MSM should publish the segregations of ‘DOMESTIC CONTENT’ vs INTERNATIONAL CONTENT of the gain.
domestic content can be juggled as TH has so many listed comapanies in its stable.Besides,what has been previously lost in foreign forays should be accounted for wholly by foreign nett gains.
net of everything,i would agree with both of you that underperformance vis-a-vis international standards for the same industries is not some thing to harp upon.
in fact,if i were a fund manager of repute,i would be ashamed and worried.
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This is like telling u I have a 500k house and I bought a new house for 400k and my ‘friend’ boasted that my wealth climbed 46% to 730k (after factoring some ‘unavoidable’ shrink of 170k). While the rental I collected has fallen 26%, from 3k/mth to 2.2k/mth (despite having more ‘properties’). I tell my friend that the valuation of my properties is a “number obviously that we are pleased with”…
That’s the kinda picture they’re trying to paint me…
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what a pathetic performance – the gain cannot even much the gain of most major indices – my feeling is that if TH did nothing over the last 15 months (fired everyone and saves hundreds of millions in operating expenses) – the recovery of assets prices could have been better.
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2008 – 185 BILLION
2009 – 130 BILLION
2O10 – 186 BILLION
2009 LOSS OF 55 BILLION NO COUNT?
OH I FORGOT, IT’S COUNTED UNDER ”NEGATIVE WEALTH”.
So we did make 56billion in 2010.
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Please tell us clearly in the report as follows:-
1 Amount in Hand as at 2010
2 Amount invested in 2008
3 Amount loss in 2008
4 Amount invested in 2009
5 Amount loss in 2009
Repeat this for 2010. We will then be able to provide an accurate answer to the fund position so that all SINGAPOREANS know exactly what they have. I believe all SINGAPOREANS need to know how much money is in thier fund.
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There is another demonstration of a stupid, meaningless and insignificant record that the shitty times has announced about TH.
with LHL, it is all about meaningless and insignificant records.
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Wow, front page shit times anouncement!!We Singaporeans are SO PROUD!!
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Temasek is just gambling with our money. If they are lucky, they make some money. If they are unlucky they lose. The biggest winnere are the management and the employees. They have a golden ricebowl and win all the time. The Norwegian SWF which manages about $700 billion only has a staff strength of 300. I wonder how many people Temasek employs….
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The message that was sent across is very CLEAR – Temasek make money and our wealth increase.
Full stop. Accept the fact pls.
We have already recoup our losses. The management has redeem themselves.
Let’s move on. Dun keep barking on old tales.
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As someone said,
“Those funds don’t need to lead to accomplishments; they are the accomplishments”
below links reminds you or me of something, some place or someone..
http://www.washingtonmonthly.com/features/2010/1007.verini.html
and please read the coments for below link…
http://krugman.blogs.nytimes.com/2010/07/07/why-isnt-investment-higher/
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@ @ Dilemma Singaporean:
July 9, 2010 at 2:57 pm
Who stay invested didn’t show paper gain from the low market bottom of March 2009 – the definition of bottom is that it has risen. Only the perverse of intelligence and ability beat the rising market on the achieved downside instead. Sub-par market performance is sub-par performance, you can’t paint an illusion of reality in pretense – no matter how hard you try.
Out in the market-place there are a lot of fund management outfit doing much better and those steep in resources sector are oustanding of achievement.
Had Chip Goodyear stayed and helped, I can see that we would most likely than not, do far far far better. Just look at how resources stock performed in this market cycle from the bottom, you know what I meant. Cip Goodyear forte must be mining and resources investment -that is his proven career background and stellar performance with BHP-Billiton. He knows this business like learning and applying “abc” for a PHD graduate scholar. Had we laden our national coffers with huge harvest, this global recovery would have give us money in search of new opportunities PREVIOUSLY UNIMAGINABLE.
IT IS A BIG BIG TRAGIC LOSS OF WASTED OPPORTUNITY GONE FOREVER when Chip Goodyear left. If there is one truly foreign talent indispensable to our country in this crisis recovery, it is HIM. I have no doubt about it.
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Profit also wrong.
Loss also wrong.
How erh TR?
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As one Singaporean said in his post, Temasek made money and OUR wealth increases.
We have to accept his fact, the losses were recouped, the management has redeemed themselves, we must move on,and we are not to ‘bark’at this old tale!!
Ha ha, sounds familiar right?? especially ‘let’s move on’
Btw, how do the ordinary citizens ‘benefitted’ when OUR wealth have increased?? Is locking up our CPF and extending the withdraw ages time and again and increasing the minimum sum in the CPF a/c one of those benefits??
We are not barking, unlike those doggies, who only know to wag their tails!!
We have every right to vent our displeasure in this issue (tale) cos’ our money is involved, the taxpayers’ money!!
It’s already bad enough that no transparency and accountability were displayed, and we have to keep our mouth shut at the same time!!
The message which the postings here send out is also very clear,WE WANT
TRANSPARENCY & ACCOUNTABILITY !!
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Have you noticed that the Singapore money reserves are never referred to as the people’s money?
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Does anyone know how much this time Temasek spent on
‘ADMINISTRATIVE COSTS’?
Does anyone know how much this time Temasek spent on
‘ADMINISTRATIVE COSTS’?
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@ DML:
July 8, 2010 at 6:17 pm
I suggest you learn the dollar and cents about investment before you refer people to your blog.
I read an earlier post of yours on TR regarding Temasek’s holding of Standard Chartered shares in which you sing TH’s holding of StanChart shares because it was being listed in rapidly developing India.
At the time of your post, TH barely broke even………you should calculate how much TH paid Khoo Teck Puat’s estate for the strategic 12.5% stake and subsequent purchase in Sing $ and its market value at the time of your writing.
Just because TH is holding SC shares & that SC was being listed in India does NOT reveal how wise TH investment in SC was.
It is just like saying that Microsoft Window 7 is selling well and therefore it was a correct decision to have bought into Microsoft’s share…………without mentioning that the person could have bought Microsoft shares at its peak in March 2001 at US$50, whereas it is now only about US$25.
Pathetic
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Temasek’s performance is well below the leading stock indices of the advance countries and some of its substantial investments are not marked to market.
China’s Shanghai Composite index is now hovering at its low for the last 18 months period; so whatever listed investments in China have suffered a drop
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And then what?
Assuming that the statistics are well audited, which is very hard to come by if we look back in history. I mean, what do the average Singaporeans get? Brunei found oil, and the kingdom and its people benefit from the revenue. Despite the fact that the reserves will run dry, the sultan is definitely smarter in sharing some of the wealth with his people. Of course, he gets most of it…. So no complaints.
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@ anonymous:
July 9, 2010 at 9:09 am
Don’t make us laugh with your 20-20 hindsight.
Putting a few millions or in your case a few thousands into resource equity is chicken feet. Try moving hundreds of millions or billions into resource companies via the stock markets. Haha.
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@ If anonymous is so good..:
July 11, 2010 at 4:40 pm
WHY DID TEMASEK HOLDING DID THIS RECENTLY?
http://af.reuters.com/article/metalsNews/idAFSGE6650AJ20100706?sp=true
Is it 20/20 hindsight too? I AM ONLY TALKING ABOUT REAL COMPARATIVE PERFORMANCE MEASURE – NOTHING MORE AND NOTHING LESS.
Your argument is silly – more than a dumb wall. What I did or didn’t do is irrelevant to TH’s actual performance. If you run out of logic-filled and support argument, then just accept it. Nothing to rant about “if anonymous is so good” when anonymous NEVER CLAIMS TO BE GOOD in anything – why am i needing to remind you that I actually failed by kindergarten leaving examination. I am sure that is more laughable than your fiction of “trading equity”, then 20-20 hindsight of irrelevant rants.
Hope you did have a nice weekend though.
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Aiya guys! We hammered them for their investment lost in Stocks portfolios AND losses on stocks sold at great loss. So now stock portfolios up to $186B MUST BLOW TRUMPET MA! cover the ass for coming GE so we forgot all the other cock-ups in safety and security what right! Just politicians politicking and no big deal for excitement lah!
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@ If anonymous is so good..:
July 11, 2010 at 4:40 pm
Just to refresh your informed knowledge and fallacies logic. Take a look at this article from Asia1.com.sg
http://www.asiaone.com/Business/News/Story/A1Story20100709-226131.html
you will noticed that the portfolio valuation of $186 billion was in April 2010 and stock markets have seen a sustained sell-off since then albeit a small relief rally last week. So the $186 billion valuation could be significantly lower as of now.
“What else can be keeping the Temasek folks awake at night?” asked Asiaone.co,.sg. Plenty of those – especially their China investment troubled by an overheating economy, accounting for 20% to 25% TH exposures.
And if you llok at Straits Times article front page news and graph, it would show that much of TH valuation over book costs are mainly Singtel and other GLC stables. Read the comments there….
“Temasek watchers also point to Temasek-linked companies (TLCs) such as DBS, SingTel, Keppel Corp, CapitaLand and Singapore Airlines – which have helped lift its performance. But these TLCs are legacy investments”.
Without these, TH could really be performing NEGATIVELY even though the global market indices were positive. Taking its investment in Bank of America shares – some pundits will note “that Bank of America shares have rebounded more than five times – based on Wednesday’s close – from the lows in first-quarter 2009, when Temasek bailed out.”
So you can see that TH actually performed very poorly relative to market.
And one more point of your fallacious argument is this….
” Putting a few millions or in your case a few thousands into resource equity is chicken feet. Try moving hundreds of millions or billions into resource companies via the stock markets. Haha.”
This is COMPLETE NONSENSE. What is TH’s a few billions of dollars of investment in resource equity even if all the purchases were to be completed within a day. IT IS PEANUT MONEY compared to the dollar amount of market capitalisation for mining stocks. Try take a look at the market capitalisation of X-strata PLC, the fourth largest mining stock in the world in 2007, I recalled its market capitalisation is US$40 billion plus. Just buying 10% of this stock would eat up $4 billion of TH investment buying in resources equity. Remember Chinalco bought 9% of Rio Tinto in less than an hour through London Stock Exchange. And there are much bigger mining shares like BHP-Billiton, CVRD, Rio Tinto, and other big mining houses like Teck Cominco, Anglo-American, Barrick Gold etc etc.
From your comments wrote, one can only conclude you don’t really know much about this resource sector.
@ RDB:
July 11, 2010 at 9:40 pm
Just remember that $186 billion valuation was at April – near market peak for 2010 till now.IT IS NOT REFLECTIVE OF THE SITUATION NOW. Markets globally have tumbled in May and June, so that the valuation is more like to be below $170 billion or even lower now.
All that needs to happen to lift the performance of TH portfolio is the price of local “LEGOS” like Singtel, DBS Bank, SIA, Capital Land to go up.
But their biggest risks now is China. Straits Times recently reported China got 65 million empty homes bought for speculation. PRETTY SCARRY STUFF. When that bubble bursts, you can safely conclude another big write-off of TH investment in China which now equates to at least 20% of its investment portfolio i.e. roughly around $35 billion risks exposure. That could be anytime now. Maybe that is why Asiaone.com.sg is hinting that the folks at TH is being kept awake at night.
Quite rightly I would agree.
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Perhaps Temasek Holdings should publish a book entitled “The Idiots’ Guide to Negative Wealth Creation”. For free distribution to prospective investment targets.
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Hi. I read a few of your other posts and wanted to know if you would be interested in exchanging blogroll links?
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