Temasek Trust, the philanthropic arm of Singapore’s Temasek Holdings, has established ABC World Asia, a new private equity platform focusing on impact investing in Southeast Asia, South Asia, and China.
ABC World Asia will be headquartered in Singapore and will target investments in themes such as financial and digital inclusion, better health and education, climate and water solutions, sustainable food and agriculture, and smart and liveable cities.
Headquartered in Singapore, ABC World Asia’s investment strategy aligns with Temasek’s ABC Framework for an active economy, a beautiful society and a clean earth, building on the ideals of the 17 UN Sustainable Development Goals.
“There is scope for impact investing to help bridge the financing gap in support of the United Nations Sustainable Development Goals, which are at the core of the 2030 Agenda for Sustainable Development,” said Cheo Hock Kuan, CEO, Temasek Trust.
“Temasek Trust seeks to play an active role in impact investments through sustainable philanthropy, beyond our usual approach of grant-making. The establishment of ABC World Asia complements this vision,” Cheo added.
Impact investing encompasses the intention of generating positive, measurable social or environmental impact, alongside a compelling risk-adjusted return. With impact investment activity still evolving in Asia, a region with complex environmental and social challenges, Temasek’s bold move should bring a sharper focus to the nascent sector.
Responding to client interest and demand for impact investment solutions, in 2015 Swiss bank Credit Suisse partnered with UOB Venture Management to create the Asia Impact Investment Fund.
Marketed as the first institutional-grade managed impact product in the Asia-Pacific, the fund is available exclusively for Credit Suisse clients and covers the major developing economies of Southeast Asia and China. The fund, which made its initial investment in September 2016, is on its way to make its tenth investment.
Source The Asset