A board member's role includes flagging strategic risks, including geopolitical exposure that could drastically limit future acquirers or prevent an IPO. Advising a CEO to relocate teams from a high-risk country is not operational meddling, but a core governance duty.

Temasek evaluates global investments on two fronts: financial returns and the strategic insights they generate. This "network effect" allows them to transfer knowledge from one portfolio company to others, enhancing value across their entire ecosystem and justifying investments beyond pure financial metrics.

Anticipating that AI will automate baseline work of junior analysts, Temasek’s strategy is to push these employees to develop skills and perform at a level two grades above their current role. This preemptively adapts their talent development model for an AI-enabled world, focusing on higher-order thinking from day one.

Twenty years ago, globalization and open markets (geopolitical tailwinds) created new opportunities for businesses. Today, rising nationalism, trade barriers, and security concerns act as headwinds, creating obstacles and increasing the complexity of international operations.

Unlike typical sovereign funds that manage reserves, Temasek directly owns its assets. This structure necessitates actively selling assets ("recycling capital") to fund new investments, creating a disciplined trade-off between holding long-term winners and pursuing new opportunities.

Temasek's partnership philosophy is not about risk diversification. Instead, it prioritizes collaborating with partners who can augment its internal capabilities and provide specific skill sets it lacks for a given opportunity. This makes partnership a strategic tool for capability building, not just capital sharing.

BlackRock's Investment Institute, which steers its $10 trillion in assets, is chaired by Tom Donilon, Barack Obama's former National Security Advisor. This creates a powerful nexus between US foreign policy intelligence and global financial markets, influencing investments based on geopolitical strategy.

Industry specialists can become trapped in an "echo chamber," making them resistant to paradigm shifts. WCM found their generalist team structure was an advantage, as a lack of "scar tissue" and a broader perspective allowed them to identify changes that entrenched specialists dismissed as temporary noise.

Unlike Norway's model of direct government ownership, Singapore's Temasek acts as a holding company. This structure allows it to convene portfolio company leaders (e.g., in a Sustainability Council) to share insights and best practices, creating synergies that would be impossible with disparate ownership.