Singapore's state-owned investment firm Temasek Holdings reported a record fiscal year 2025 portfolio increase of approximately $36 billion year-over-year, reaching an all-time high in assets under management. Despite divestments totaling $33 billion, the firm maintained its investment strategy amid ongoing global trade uncertainties, including US tariff threats under the Trump administration. Temasek is focusing on market leaders, core infrastructure, alternative assets, and the artificial intelligence value chain. India has emerged as a key growth driver, with Temasek increasing its exposure to over $50 billion as of March 2025, up from $37 billion the previous year. The firm is concentrating on scalable and specialized healthcare platforms in India to improve accessibility and quality in underserved markets, targeting profitable growth and strategic acquisitions. Additionally, Temasek is expanding its European investments, particularly in the Italian fashion sector, where it is acquiring a 10% stake in luxury brand Zegna valued at approximately $220 million. The firm is also rethinking defense investments as part of its strategic environmental, social, and governance (ESG) considerations. Temasek's approach reflects a balance between divestments and targeted, high-conviction bets in key sectors and regions amid a shifting global economic landscape.