This is an edited transcript of the keynote speech GIC CEO Lim Chow Kiat gave at the Wealth Management Institute (WMI)’s Global-Asia Family Office (GFO) Summit 2025. 

WMI established the Global-Asia Family Office Circle (GFO Circle) in 2021, with the support of the Economic Development Board (EDB) and the Monetary Authority of Singapore (MAS), to build and nurture a strong community for family offices in Singapore. During this period, the number of single family offices has grown fivefold—from 400 in 2020 to more than 2,000 by the end of 2024. While this growth reflects many factors—from Singapore’s robust ecosystem to its global appeal— WMI’s GFO Circle has played a significant role in bringing families together, fostering learning, and strengthening connections across the industry.

This year, as Singapore marks its 60th year of independence, it is an opportune moment to reflect on the journey that brought us here. The foresight and discipline of our founding leaders laid the foundations for Singapore’s resilience and prosperity. Much like successful families, the country has also accumulated reserves along the way.

GIC has been entrusted with the stewardship of these reserves, investing not just for today, but for generations to come. As I have said before, GIC is like a family office for Singapore, with a similar mission: to steward capital, values and purpose across generations. Whether for a country or a family, the responsibility is the same—to prepare for the future, protect against uncertainty, and leave a legacy that endures.

This mission requires us to navigate through a world undergoing profound changes. These forces extend beyond typical business cycles and structural shifts like demographics. They strike at the very foundation of what we do and how we operate—be it geopolitics, AI, or climate change.

How do we move through this uncertainty? Let me share a few ideas.

Firstly, clarity of purpose is essential. We must know who we are—our values, goals, risk tolerance and preferences, liabilities, liquidity needs, time horizon, and strengths and weaknesses. Knowing ourselves well is as important as knowing the world well. Clear mandate parameters and organisational characteristics help to anchor our actions.

Secondly, asking what has not changed is as important as asking what has changed. Diversification still matters. It is the only free lunch in finance. Proper diversification enables us to achieve lower risk for the same return, or higher return for the same risk. Equally importantly, it ensures that we survive the journey, even if it means occasionally missing out on the best short-term gains from a concentrated bet.

Granularity is likewise critical—the dispersion of investment returns is already wide and is widening further with increased fragmentation. Broad themes no longer suffice. For example, simply saying we invest in AI is not enough. A targeted approach is needed—one that breaks down the value chain into its distinct components. At GIC, we segment the AI value chain into enablers, monetisers, and adopters, and examine each segment closely to identify where real value is created. It may even require an asset-by-asset focus given the importance of idiosyncratic factors.

We also need to be agile—ready to respond decisively as the landscape shifts. In the past, investors could build a diversified portfolio, purchase an index exposure, and wait patiently to harvest risk premiums or so-called beta returns. While this approach remains relevant, today’s environment demands greater caution as foundational cracks can lead to permanent impairment. For example, the Ukraine war changed the long-term trajectory of all Russian assets. Geopolitical conflicts and climate disasters are no longer automatic buying opportunities. Maintaining liquidity and flexibility is crucial to adapt and seize opportunities as they arise.

Finally, strong partnerships are invaluable—in a complex world, no one has all the answers. That’s why we are gathered here today: to learn from each other. Good partners offer new perspectives, challenge our assumptions, and open doors to new opportunities.

At today’s event, WMI also launched its latest research on succession planning among Asian families.¹ The study reveals that emotional and cultural barriers often delay succession planning, and why succession must be viewed as a journey rather than a one-time legacy or financial transaction.

Importantly, the research highlights the strategic role of philanthropy as a bridge across generations. Families who approach giving strategically often find it easier to have broader conversations about values, legacy, and stewardship which underpin successful business and wealth transitions.

WMI aims to position philanthropy as a strategic asset class, driving both impact and long-term value for individuals, families, and societies. To deepen this effort, WMI and MAS, in partnership with the Private Banking Industry Group (PBIG), are implementing two key initiatives: training client advisors to integrate philanthropy into holistic wealth advisory; and building an enabling ecosystem to solidify Singapore’s position as Asia’s leading philanthropic hub.