Temasek bullish on resources

After I just mentioned it in my earlier post, there was an article in the Business Times on how Temasek may be shifting their portfolio weightage towards resources. In relation to what I mentioned about Chesapeake, here is an extract:

‘Temasek’s move to resources is consistent with its goal of catering to Asia’s emerging middle class,’ said Melvyn Teo, director of the BNP Paribas Hedge Fund Centre at Singapore Management University.

‘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.’

The fund’s recent investments include convertible preferred stock in US natural gas firm Chesapeake Energy and India’s GMR Energy, and shares in Canadian platinum producer Platmin.

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