"When we invest, we are investing for 10, 15, 20 years. You may look as if you are making a big loss today, but you have not borrowed money to invest. You will ride the storm, the company recovers, your shares go up." - MM Lee Feb 2009 [Link]
Temasek has sold its entire stake in Bank of America[Link]. Bloomberg reports that Temasek might have lost close to US$4.6B in the investment. Temasek received Bank of America stock after Bank of America took over Merrill. Temasek spent US$5.9B on its Merrill investment. Temasek sold its stock in first quarter of 2009. Although Bank of America's stock has since recovered, it is unclear if this recovery is sustainable - I still believe US banks face numerous challenges going ahead. Tim Geithner's "wayang" show using "stress tests" to show that US banks are healthy was brilliant as a move to restore confidence and allow banks to raise money through bonds and secondary stock sales.