Inovatif

Category: Investments

  • RAM: Malaysian banks on steady footing despite external pressures

    RAM Ratings maintains a stable outlook on the Malaysian banking sector in conjunction with the release of its latest sector commentary, Banking Insight 2025 – Maintaining Momentum.

    While uncertainties from US protectionist measures and ongoing geopolitical tensions could spill over to the domestic economy, it is still too early to assess the full extent of these effects. With the US and China being key trading partners of Malaysia (approximately 14% of Malaysia’s total value-added production), the retaliatory tariff contest may dampen the positive trade momentum and Malaysia’s growth trajectory.

    “Despite these external challenges, we anticipate banks’ credit profiles to hold steady. Banks are also entering the year in strong shape, with still-solid capital buffers and asset quality at its most robust ever,” said Wong Yin Ching, RAM’s Co-head of Financial Institution Ratings.

    Key expectations:

    • Loan growth to hold steady at 5.5% in 2025. Household loans may ease slightly but will likely be the main driver of loan growth, while business loans increase from infrastructure projects and investments.
    • Capital reverting to pre-pandemic levels. The industry’s common equity tier-1 capital ratio declined to 14.3% as at end-2024 (2020-2023 average: 15.3%; end-2019: 14.6%), although still robust. Banks are cautiously raising dividends, with most estimating the impact of new Basel III reforms to be manageable.
    • GIL ratio to remain stable at 1.4% this year. The system’s gross impaired loan (GIL) ratio hit a historic low of 1.44% as at end-2024. Prudent underwriting and potential write-offs will help sustain the GIL ratio amid new challenges.
    • Funding and liquidity profiles to stay sound. As loan growth outpaced deposit growth, the sector’s loans to deposits ratio surpassed 90%. Other metrics like the liquidity coverage ratio and net stable funding ratio were kept healthy.
    • Moderate earnings increase in 2025. While 2024’s non-interest income surge may not repeat, banks are on track for moderate profit growth from stable credit expansion and a low credit cost of around 20 bps.

    RAM’s GDP growth expectation of 4.0%-5.0% for 2025 (2024: 5.1%), though slower, will be driven by domestic demand given favourable labour market conditions and accommodative interest rates.

    Investment activity will gain from progress on multi-year infrastructure projects and greater realisation of record-high levels of approved investments last year, as well as the ongoing rollout of catalytic initiatives under the national master plans. These factors are likely to stimulate business lending. On the retail front, home financing will continue to be a major growth contributor while auto lending is anticipated to normalise in line with the lower total industry volume forecast for 2025. “Beyond these, the overall loan growth trajectory will also inevitably depend on how global external risks and domestic adjustments to fuel subsidies and electricity tariffs unfold,” Wong adds.

    On the asset quality front, the weighted average credit cost ratio of eight selected local banks rated by RAM eased further to 18 bps in 2024 (2023: 23 bps). Banks’ loan loss coverage (with regulatory reserves) is strong, with the average of the eight banks improving to 143% as at end-2024 (end-2023: 134%)
    “Malaysian digital banks are also making a nascent mark on the industry, with all three operational banks ramping up deposit gathering efforts over the past year, driven by high-interest savings accounts,” said Sophia Lee, RAM’s Co-head of Financial Institution Ratings. Digital banks have also recently expanded their services to include lending, strategically focusing on specific customer segments.

    Expectedly, all three digital banks are still far from breaking even, with quarterly trends indicating that losses have yet to peak in view of high set-up costs. “The key hurdle for these banks lies in retaining tech-savvy and price-sensitive customers in a competitive market while managing acquisition costs and scaling up without assuming significant risks. Shareholders have so far demonstrated strong financial support, with all three players receiving additional capital injections in 2024,” Lee adds.

    RAM’s Banking Insight is available for download at www.ram.com.my.

  • Malaysian capital market hits record RM4.2 Trillion in 2024

    The size of the Malaysian capital market hit an all-time high of RM4.2 trillion in 2024 (2023: RM3.8 trillion), driven by the growth in stock market capitalisation and bonds and sukuk outstanding.

    The assets under management (AUM) of the fund management industry reached a new high of RM1.1 trillion (2023: RM975.5 billion) – passing the RM1 trillion mark – on the back of strong global equity market performance, the Securities Commission Malaysia (SC) said in its Annual Report 2024 released today.

    2024 also saw much higher fund-raising activities, growing to RM138.9 billion (2023: RM127.7 billion). These include a record 55 IPOs (2023: 32 IPOs), which raised a total of RM7.42 billion (2023: RM3.6 billion).
    The SC Chairman Dato’ Mohammad Faiz Azmi said the sustained growth, helped by robust bond and sukuk issuances, showed that the capital market remained resilient, and it continued to facilitate capital formation and help support the national economy.

    Looking ahead, he said the SC is now drafting a new five-year capital market masterplan, focusing on key areas such as improving financial security for retirees and promoting sustainable financing.
    “Building on our market’s strengths, the SC remains committed to fostering an inclusive and vibrant capital market, while facilitating innovation and enhancing regulatory efficiency,” Dato’ Faiz said.

    Key Highlights from the SC Annual Report 2024:
    Market Growth & Fundraising

    • Total fund raising via the equity and corporate bond market grew by 8.7% to RM138.9 billion in 2024.
    • Record Initial Public Offerings (IPOs): 55 IPOs in 2024, raising RM7.4 billion (2023: 32 IPOs).
      ISSUED by the SECURITIES COMMISSION MALAYSIA at [2:30pm /20 March 2025]
    • Bond & Sukuk Issuances: RM124.2 billion raised, with sustainability-related issuances rising to RM13.3 billion (2023: RM8.7 billion).
    • Islamic capital market (ICM): Grew by 8.5% to RM2.6 trillion, supported by a 7.1% rise in sukuk outstanding and a 3.6% growth in market capitalisation of Shariah compliant equities.
    • Alternative financing for Micro, Small and Medium Enterprises (MSMEs): RM4.1 billion raised via peer-to-peer (P2P) financing, equity crowdfunding (ECF) and venture capital/private equity (VC/PE), reflecting growing interest in supporting small businesses.
      • Venture Capital/Private Equity (VC/PE) – RM1.5 billion
      • Equity crowdfunding (ECF) – RM97.6 million
      • Peer-to-peer financing (P2P) – RM2.5 billion

    Investor interest reflected in trading and investment growth

    • Strong trading activity, reflecting favourable investor sentiment. The average daily trading value rose to RM3.44 billion in 2024 from RM2.29 billion in the previous year.
    • Fund management growth: AUM surpassed the RM1 trillion mark driven by strong global equity market performance.
    • Private Retirement Scheme (PRS): Net asset value grew 18% year-on-year to RM7.61 billion.
    • Digital Investment Management (DIM) AUM reached RM1.9 billion, growing over 500 times since its inception in 2018.
    • Average daily trading value of the Digital Asset Exchanges (DAX) increased by 2.6 times in 2024, signaling growing interest in digital assets.

    Key Market Development Initiatives

    • Introduced the Single Family Office (SFO) Incentive Scheme in Forest City to position Malaysia as a premier wealth management hub for family offices.
    • Launched the National Sustainability Reporting Framework (NSRF) to propel corporate alignment with global sustainability disclosure standards.
    • Launched the “Catalysing MSME and MTC Access to the Capital Market: 5-Year Roadmap (2024-2028)” to enhance financing access to this key segment of the Malaysian economy.
    • Shortened time-to-market for IPO approval process to better serve companies and facilitate their access to the capital market.
    • Introduced the Focus Scope Assessment framework, reducing time-to-market from over six months to three months.
    • Enabled greater innovation through the Regulatory Sandbox, providing a controlled environment for experimenting with innovative products and services beyond current regulatory frameworks.

    Enhanced Market Integrity and Enforcement

    • Regulatory Actions:
      • One criminal conviction.
      • RM9.87 million civil penalties imposed.
      • 125 administrative sanctions imposed, resulting in 62 fines and penalties amounting to RM13.72 million.
    • Combatting scams and unlicensed activities:
      • 4,859 complaints and enquiries received, up 49% from 2023.
      • Additionally, identified 796 URLs (2023: 569 URLs) across various websites and social media platforms for potential breaches arising from proactive surveillance carried out.
      • Interventions, including 273 Alert List entries, 153 websites blocked and 261 social media blocking

    Four Special Feature articles were published in the SC Annual Report 2024:

    • Issues and Challenges of Ageing to Capital Market
    • Malaysian Co-Investment Fund (MyCIF) Spurring Growth and Enhancing Competitiveness of MSMEs
    • SCxSC Expansion: Driving Innovation for a Sustainable Capital Market
    • National Sustainability Reporting Framework

    AOB Annual Report 2024: Strengthening Audit Oversight

    • 42 audit firms and 393 individual auditors registered and recognised by the AOB.
    • Inspected 40 audit engagements audited by 40 individual auditors from 13 Audit Firms to ensure compliance with auditing and ethical standards.
    • The AOB took three enforcement actions against two audit firms and four individual partners for breaching auditing and ethical standards in 2024. The actions included reprimands, prohibitions and monetary penalties totalling RM275,000.
    • The AOB, in collaboration with MICPA, continues to strengthen capacity building for registered auditors through targeted workshops.
    • The AOB subsidised 100 accountants from AOB-registered firms for the GRI Professional Certification Programme, conducted by SIDC in October 2024. These initiatives, alongside ongoing engagements and technical sessions, demonstrate the AOB’s commitment to equipping auditors with the necessary knowledge and skills to uphold high professional standards in financial reporting and sustainability assurance.
    • Strengthened corporate governance in PLCs to increase investors’ confidence in the quality and reliability of audited financial statements through regular engagements with Audit Committees of PLCs.

    Capital Market Stability Review 2024: Market Resilience Amid Global Uncertainties

    • In 2024, amidst a buoyant performance, the Malaysian capital market was influenced by several external factors, including interest rate adjustments by major central banks, fluctuations in foreign exchange rates, and rising geopolitical risks. Despite global headwinds, the Malaysian capital market remained resilient and orderly without any observed systemic stability concerns.
    • Adequate Capital Buffers: Market intermediaries such as brokers and fund managers maintained robust risk management controls to manage their risk and liquidity positions. Stress tests on investment funds also affirmed the resilience of funds to redemption shocks even under extreme scenarios.
    • Improved PLC earnings: Strong earnings of PLCs, mainly contributed by the energy, property and construction sectors, lifted the index performance and contributed to positive revenue growth of stockbroking intermediaries.
    • Cybersecurity in focus: The thematic review highlighted the importance of cyber resilience and for capital market entities to be prepared for evolving technology and cyber risks, in order to maintain market stability

    In 2025, the SC will continue to strengthen key market segments while reinforcing market conduct, governance and financial sustainability. Major initiatives include:

    • ASEAN Capital Markets Forum (ACMF) initiatives under the SC’s chairmanship, including sustainability-related taxonomies and guidelines, and finalising the five-year ACMF Action Plan 2026-2030.
    • Develop the Capital Market Masterplan 4 (CMP4) to provide a long-term vision for the Malaysian capital market. CMP4 aims to ensure the Malaysian capital market remains competitive and resilient amid economic, social and technological changes.
    • Focus on reinforcing Malaysia’s leadership in Islamic finance. This will include developing specific indicators for each Maqasid al-Shariah principle, starting with the equity market. This is to encourage greater Islamic product innovation and boost Malaysia’s leadership in this space.
    • In 2025, Malaysia will undergo two key assessments. These are the Financial Action Task Force (FATF) Mutual Evaluation and the biennial Corporate Governance (CG) Watch for the Asia Pacific region.
      • Focus of supervisory and enforcement functions include strengthening risk assessment in higher-risk sectors, improving monitoring mechanisms, enhancing measures to detect and prevent money laundering (ML) & terrorism financing (TF) in ensuring compliance with FATF’s 40 Recommendations.
      • The CG Watch assessment is expected to be carried out in 4Q 2025 and published in 2026. Ahead of the assessment, the SC and relevant stakeholders will proactively implement necessary interventions to address identified gaps.
    • Reviewing fees to provide a sustainable regulatory and developmental environment that supports the capital market’s growth and scope. The review, which involves extensive consultations with various stakeholders, is targeted to be completed in 2025.

    To view these reports, please visit:
    1. SC Annual Report 2024: https://www.sc.com.my/annual-report-2024/
    2. AOB Annual Report 2024: https://www.sc.com.my/annual-report-2024/audit-oversight
    3. Capital Market Stability Review 2024: https://www.sc.com.my/resources/cmsr/cmsr2024

  • Halogen Capital and Affin Bank launch Shariah-compliant Bitcoin fund

    Halogen Capital, Malaysia’s first licensed digital asset fund manager, has signed with Affin Bank Berhad (“AFFIN BANK” or “the Bank”) to distribute their Halogen Shariah Defensive Bitcoin Fund with an integrated capital preservation strategy. This innovative fund aims to provide high net-worth individuals and institutional investors with a low-risk and secure pathway to harness the growth potential of Bitcoin.

    The Fund will employ a buy-and-hold strategy that is a combination of low-risk Islamic deposits and high-growth active asset, Bitcoin. This approach ensures the portfolio value is safeguarded from significant market volatility, providing investors with both stability and potential upside.

    “The Halogen Shariah Defensive Bitcoin Fund is redefining how high net worth and institutional investors approach digital asset investments in Malaysia,” said Hann Liew, Founder and CEO of Halogen Capital. “By combining Bitcoin’s high-growth potential with a capital preservation strategy, we are providing a solution that is both innovative and practical.”

    He added: “In volatile markets, this fund acts accordingly, ensuring investors can confidently navigate downturns without compromising on long-term returns, in which we recognise the need for investors to access high-growth opportunities in the digital asset market without experiencing significant capital loss and maintaining Shariah compliance.”

    Through its distribution of the Fund on behalf of Halogen Capital, AFFIN BANK is looking to introduce a risk-managed alternative for investors, bridging the gap between traditional financial principles and the dynamic digital asset market. This Fund serves as an ideal solution for investors looking to diversify their portfolios with innovative yet secure investment options.

    Encik Mohammad Fairuz Mohd Radi, Executive Director of Group Community Banking, Affin Bank Berhad said, “We are delighted to introduce an innovative investment strategy that synergises Bitcoin with Islamic deposits, offering our customers a secure gateway to the digital asset landscape. This initiative underscores our unwavering commitment to delivering cutting-edge solutions while aligning seamlessly with the strategic pillars of the AFFIN Axelerate 2028 (AX28) Plan – Unrivalled Customer Service, Digital Leadership, and Responsible Banking With Impact.”

    The Fund is a close-ended Wholesale Fund open to sophisticated investors only. Investors are expected to have a short-medium term horizon of two years.

    The Fund’s initial minimum investment is RM 10,000 with an initial sales charge of up to 2% and annual management fee of 1%.

  • CGS Malaysia offers country’s first publicly available CME Crypto futures

    CGS Malaysia offers country’s first publicly available CME Crypto futures

    CGS International Futures Malaysia (“CGS MYF”), the futures broking division of leading integrated financial services company, CGS International Securities Malaysia (“CGS MY”) announces the launch of the first publicly available CME Crypto Futures contracts in Malaysia for the two largest cryptocurrencies by market capitalisation, Bitcoin (“BTC”) and Ethereum (“Ether”). With this, CGS MY also becomes the first licensed derivatives broker in Malaysia to offer local traders and investors access to the potential of crypto futures via global derivatives exchange, CME Group – the world’s leading and most diverse future and options marketplace.

    Alan Inn Wei Loon, Deputy Chief Executive Officer of CGS MY said, “We are proud to bring this market first as we continue to enhance our product offerings and provide Malaysian traders and investors with access to internationally diverse and globally recognised financial instruments. The introduction of CME Crypto Futures contracts is a natural progression in our efforts to offer access to more complex instruments via a trusted platform such that our audience can capitalise on rapidly evolving market opportunities.

    Through our network, CGS MY has access to the capabilities, infrastructure, and expertise to support sophisticated traders and investors looking for exposure to the explosive potential of digital assets but without taking on the full risk or exposure of buying and holding the crypto. The price discovery process adds to the benefits of trading these crypto future contracts within a regulated and trusted environment and at much lower trading fees.”

    CGS MY continues to expand its suite of trading and investment products, providing a regulated avenue for corporates, institutions, businesses, and retail clients to trade cryptocurrency futures. The launch also comes at a time as institutional interest in digital assets grows, with cryptocurrencies playing an increasing role in diversified investment portfolios despite the current bearish global sentiment.

    Through CGS MYF investors can trade Bitcoin, Micro Bitcoin, Ethereum, and Micro Ethereum futures contracts in a regulated, cash-settled environment. This approach is an alternative to direct ownership of digital assets. Other benefits are that the contracts allow for greater risk management and portfolio diversification while mitigating the volatility and security concerns associated with spot crypto trading.

    Maxwell Ong Wai Boon, Head, Securities and Leveraged Products at CGS MYF, added, “The cryptocurrency market is evolving rapidly, and institutional-grade products like CME Crypto Futures provide traders with a structured, transparent, and efficient way to gain exposure to digital assets. These contracts are ideal for experienced traders and investors seeking to hedge risks, capitalise on market movements and volatility, to enhance their portfolios – with a regulated instrument. Together, our robust trading infrastructure and deep market expertise presents an attractive proposition for traders and investors who are looking for the appropriate platform to start trading cryptocurrency-related instruments.”

    The launch reinforces CGS MYF’s position as a leading derivatives brokerage in Malaysia, providing clients with access to globally competitive trading opportunities.

    Investors interested in trading CME Crypto Futures with CGS MYF can contact their Futures Broker Representative or visit www.cgsi.com.my for more information.

  • Kenanga Investors celebrates multiple wins at the 2025 LSEG Lipper Fund Awards

    Kenanga Investors celebrates multiple wins at the 2025 LSEG Lipper Fund Awards

    Kenanga Investors Berhad (“Kenanga Investors”) was presented with a total of five awards at the LSEG Lipper Fund Awards 2025, surpassing previous successes by earning recognition across multiple categories,.

    The firm was recognised for the performance of the following funds:

    1. Kenanga DividendEXTRA Fund (“KDEF”) – Best Equity Malaysia Diversified – Malaysia Funds Over 3 Years
    2. Kenanga Malaysian Inc Fund (“KMIF”) – Best Equity Malaysia Diversified – Malaysia Provident Funds Over 10 Years
    3. Kenanga Balanced Fund (“KBF”) – Best Mixed Asset MYR Balanced – Malaysia Provident Funds Over 10 Years
    4. Kenanga Managed Growth Fund (“KMGF”) – Best Mixed Asset MYR Flexible – Malaysia Provident Funds Over 10 Years
    5. Kenanga SyariahEXTRA Fund (“KSEF”) – Best Mixed Asset MYR Balanced – Malaysia Islamic Funds Awards Over 10 Years

    Datuk Wira Ismitz Matthew De Alwis, Executive Director and Chief Executive Officer, expressed pride in the firm’s performance, stating, “These awards highlight our ongoing commitment to excellence and consistency, especially in delivering strong returns year after year, even in tough market conditions. Our success comes from a disciplined, bottom-up stock-picking approach, which helps us identify high-quality companies and spot opportunities others may miss. We dig deep into industry dynamics, company business models, and the key factors driving return on equity. Through thorough channel checks, we assess competitive advantages and growth drivers, focusing on management quality, sustainability, industry trends, and balance sheet strength. As such, we are glad to see our expertise demonstrated by our success in both conventional and Shariah categories”.

    Lee Sook Yee, Chief Investment Officer, shared the firm’s outlook for 2025, stating, “We will continue to emphasise stock picking, while maintaining a higher-than-usual cash allocation to ensure flexibility amidst ongoing external uncertainties. We will focus on sectors tied to Malaysia’s domestic growth story, such as financials, construction, and healthcare, while complementing these with increased defensive holding. Selected small-cap stocks could present an opportunity, especially after their underperformance compared to large-cap stocks in 2024. By staying consistent with our investment philosophy, I am confident we can manage our portfolios effectively to capitalise on market opportunities, even with volatility”.

    The performance1 of KMIF2 for the 2024 calendar year, which has received recognition for four consecutive times at the Awards, stands at 24.14%, significantly outperforming its benchmark of 16.98%. KDEF2 recorded returns of 21.31%, surpassing its benchmark of 16.98%, while KMGF3 delivered 19.24%, exceeding its benchmark of 10.39%. KBF4 posted a return of 18.53%, also outperforming its benchmark of 12.52%, and KSEF5 achieved 15.39%, outpacing its benchmark of 10.23%.

    The LSEG Lipper Fund Awards, granted annually, highlight funds and fund companies that have excelled in delivering consistently strong risk-adjusted performance relative to their peers. The Awards are based on the Lipper Leader for Consistent Return rating, which is a risk-adjusted performance measure calculated over 36, 60 and 120 months.

    With this year’s multiple wins, Kenanga Investors strengthens its position as a leading fund house in Malaysia, committed to delivering value and growth for its investors over the long term.

  • Kenanga Group posts all-time-high RM1 Billion revenue and RM155.5 million operating profit in FY2024

    Kenanga Investment Bank Berhad (“Kenanga Group” or “The Group”) delivers one of its strongest financial results to date for the financial year ended 31 December 2024 (“FY2024”). The Group posted an all-time-high revenue of RM1.0 billion, up 22.3% year-on-year, while operating profit surged 88.7% to RM155.5 million, also its highest yet. PBT rose 33.1% to RM117.2 million, while net profit climbed 31.6% to RM95.8 million.

    Kenanga Group’s strong results were driven by a significant revaluation gain on strategic investments through its Private Equity arm, alongside higher trading and investment income, net brokerage income, and management and performance fees. Increased contributions from associates further bolstered its bottom line, partially offset by credit loss expenses.

    Reflecting this performance, the Board of Directors has declared an interim single-tier dividend of 8.00 sen per ordinary share for FY2024.

    “2024 was another landmark year for Kenanga Group, delivering one of our strongest financial performances to date, despite market headwinds. This milestone underscores the resilience of our diversified business model and our disciplined approach in capitalising on growth opportunities across all our key business segments,” said Datuk Chay Wai Leong, Group Managing Director, Kenanga Investment Bank Berhad.

    Kenanga Group’s Stockbroking division recorded RM363.6 million in revenue, a 17.9% increase from the previous year. PBT eased to RM15.4 million from RM16.1 million in FY2023, reflecting the impact of credit loss expense incurred during the year as opposed to a writeback in the previous year. Amid heightened market volatility and an evolving competitive landscape, the division successfully maintained its retail market share of 25.3%. The structured warrants business remained a key contributor, reinforcing the Group’s position as Malaysia’s leading issuer, with the highest market share in warrants trading volume.
    Its Asset and Wealth Management division posted revenue of RM303.9 million, an increase of 14.9% year-on-year. The revenue was primarily driven from its institutional and retail segments. Despite higher overhead cost, which led to a PBT of RM47.0 million relative to RM58.7 million in 2023, the division’s AUA saw strong growth, closing at RM23.5 billion, an increase of RM1.8 billion year-on-year.

    The Group’s Investment Banking division registered a jump in both revenue and PBT for FY2024, with a 10.0% increase in revenue to RM246.4 million, and an 8.4% increase in PBT to RM6.2 million. This was driven by higher investment income from treasury and fee income, buoyed by a vibrant bond market and capital market.

    Kenanga Group’s Listed Derivatives business continued its growth streak, delivering yet another year of record performance. Revenue climbed 15.3% to RM27.6 million, while PBT surged 24.1% to RM7.8 million, its highest in over a decade. This sustained upward trajectory was fueled by higher trading commissions and interest income, supported by a surge in trading activity across the listed derivatives market.

    “As we enter 2025, our focus remains on growing our core businesses while accelerating digital transformation. By strengthening recurring income streams, optimising cost efficiencies, and expanding product offerings, we are positioning Kenanga Group for sustainable, long-term growth,” added Datuk Chay.

    “With a legacy that spans over five decades, we continue to leverage our vast experience from navigating market cycles, and create synergies across our ecosystem to drive innovation, expand market reach, and create greater value for our stakeholders,” concluded Datuk Chay.

    Beyond financial performance, Kenanga Group remains committed to responsible and sustainable growth. In 2024, this commitment was reaffirmed with the Group’s continued inclusion on the FTSE4Good Bursa Malaysia Index, ranking among the Top 8% of Malaysian public-listed companies.

     

  • UOB launches Green Lane with Invest Johor to fast-track investments into JS-SEZ

    UOB launches Green Lane with Invest Johor to fast-track investments into JS-SEZ

    UOB announces the launch of the Green Lane with Invest Johor which will fast-track investments into the Johor-Singapore Special Economic Zone (JS-SEZ). This is one of the outcomes arising from the Memorandum of Understanding (MoU) signed with Invest Johor at the 2024 ASEAN Conference last August.

    Under the agreement with Invest Johor, UOB will undertake the pre-qualification assessment for customers’ applications for Johor’s Super Lane approval, according to the criteria set out by Invest Johor. This will further accelerate the processing turnaround time.

    To further streamline the process, UOB has introduced a Fast Lane Account Opening service for its Singapore customers looking to expand into the JS-SEZ, ensuring a fast and hassle-free experience. The Bank has also established dedicated JS-SEZ Desks in Johor and Singapore to provide swift support on financial solutions, account opening, and market entry to its customers.

    UOB also introduced its first client under the Green Lane, Gold Peak Technology Group (Gold Peak). Mr Michael Lam, Executive Director and Managing Director of Gold Peak officially presented a Letter of Intent (LOI) to Tuan Haji Natazha Hariss, Chief Executive Officer of Invest Johor.

    Present at the ceremony, YAB Dato’ Onn Hafiz said, “Since the signing of the Johor-Singapore Special Economic Zone (JS-SEZ), we have witnessed remarkable progress in strengthening cross-border trade and investment opportunities. Our partnership with UOB has gained strong momentum, reinforcing our shared vision of creating a seamless and thriving investment ecosystem within the JS-SEZ. This collaboration is a testament to our commitment to turning vision into action.

    “We are also pleased to welcome Gold Peak Technology Group’s investment, which brings advanced manufacturing capabilities, high-quality job opportunities, and sustainable economic growth to Johor. This is yet another milestone that aligns with our commitment to realizing the Maju Johor 2030 vision – transforming Johor into a globally competitive and sustainable economic powerhouse. As we move forward, we remain dedicated to attracting more high-value, future-ready investments that will further cement JS-SEZ’s position as a premier destination for innovation, industry, and sustainable development.”

    UOB will facilitate Gold Peak’s entry into the JS-SEZ, providing market entry advisory, cross-border banking services and financial solutions, as Gold Peak expands in the region. Gold Peak is a global leader in battery technology and energy storage solutions and is listed on the main board of Hong Kong Stock Exchange. Gold Peak’s proposed investment in the JS-SEZ is estimated to be RM670 million (US$150 million), involving the establishment of a state-of-the-art manufacturing and a research and development facility producing batteries with next-generation technologies.

    Gold Peak’s future facility will focus on producing next-generation battery technologies and is expected to play a pivotal role in advancing sustainable energy storage solutions, mainly for data centres, across Southeast Asia. The company’s proposed investment is expected to create approximately 150 to 180 employment opportunities, contributing to the region’s socio-economic development, driving innovation and providing new prospects for local talent. The investment also falls within one of the 11 key sectors the SEZ is promoting.

  • Maybank Asset Management launches first in-house Shariah Global Tech Fund to tap AI megatrends

    Maybank Asset Management launches first in-house Shariah Global Tech Fund to tap AI megatrends

    Maybank Asset Management Sdn Bhd (“MAM Malaysia”) is proud to introduce the Maybank Global Technology-I Fund (“the Fund”), its second in-house global fund and a key addition to its suite of Shariah-compliant investment solutions. Designed for investors seeking long-term capital growth, the Fund aims to offer investors access to high-growth technology companies that are shaping the future of the global economy while adhering to Shariah principles.

    Hisham Hamzah, CEO of MAM commented, “The launch of the Fund comes at a pivotal time as financial markets navigate heightened volatility. Following President Donald Trump’s return to office, the U.S. has imposed significant tariffs on key trading partners, including Canada, Mexico, and China, introducing renewed uncertainty in the global economy. Amid these challenges, investors seek resilient investment solutions, and the Fund is designed to meet this need.”

    He added, “Concurrently, China’s technological advancements are reshaping the competitive landscape. Notably, a Chinese startup has released a low-cost, high-performance AI model, R1, which has garnered significant attention and is seen as a major development in the AI industry. Keeping up with these rapidly evolving market developments can be complex for investors, requiring the expertise of professional fund managers to identify opportunities and mitigate risks. the Fund offers a unique opportunity to participate in the future of innovation while benefiting from professional investment management.”

    As an equity fund, the Maybank Global Technology-I Fund invests primarily in a diversified portfolio of Shariah-compliant equities and equity-related securities of technology-driven companies worldwide. By maintaining at least 75% of its net asset value (NAV) in global Shariah-compliant technology-related equities, the Fund aims to provide investors with meaningful exposure to cutting-edge innovations in artificial intelligence, cybersecurity, digital payments, and cloud computing.

    Denominated in Malaysian Ringgit (MYR) as the base currency, the Fund is available in both retail (MYR Class) and institutional (MYR Institutional Class) offerings, with a minimum investment of RM1,000 and RM250,000, respectively.

    Investors are advised to read and understand the contents of the Fund’s Product Highlights Sheet and Prospectus, dated 6 February 2025, before making any investment decisions.

    The Maybank Global Technology-I Fund is now available on Maybank2U and Maybank branches nationwide. To learn more about the Fund, investors can visit www.maybank-am.com.my.

  • SC launches SARANA to widen financing options for MSMEs and small contractors

    The Securities Commission Malaysia (SC) today announced SARANA, an alternative financing scheme offered by nine SC-registered peer-to-peer financing (P2P) platform operators under the Government e-procurement system.

    Effective immediately, this alternative financing option aims to address the working capital needs of Micro, Small and Medium Enterprises (MSMEs), and small contractors, participating in Government contracts under the scope of supplies, services or works.

    SARANA offers two primary financing options, namely:

    • Invoice financing, which supports cash flow post-contract delivery; and
    • Financing for contract implementation (pre-financing), to bridge contractors’ initial working capital needs before a project is executed.

    The participating P2P platform operators are as follows:

    1. Bay Smart Capital Ventures Sdn Bhd*
    2. B2B Finpal Sdn Bhd
    3. Capsphere Services Sdn Bhd*
    4. Crowd Sense Sdn Bhd*
    5. P2P Nusa Kapital Sdn Bhd*
    6. FBM Crowdtech Sdn Bhd
    7. MicroLEAP PLT*
    8. Modalku Ventures Sdn Bhd*
    9. Moneysave (M) Sdn Bhd*

    *Offers Shariah financing 

    With the Government’s support for P2P financing as announced at the Budget 2025 tabling, SARANA provides a viable alternative to bridge critical funding gaps, particularly for companies facing challenges in assessing traditional financing.

    This initiative of enabling access to the capital market through P2P platform operators is also in line with the SC’s Catalysing MSME And MTC Access to the Capital Market: 5-Year Roadmap (2024-2028).

    Since the introduction of the P2P regulatory framework by the SC in 2016, registered P2P platform operators have played a pivotal role in addressing the financing needs of locally incorporated companies. As of 30 September 2024, P2P financing has raised a total of RM7.9 billion.

    For more information on SARANA, visit www.sc.com.my/sarana.

  • AHAM Capital declares income distribution of RM1.11 billion

    AHAM Capital declares income distribution of RM1.11 billion

    AHAM Asset Management Berhad (“AHAM Capital” or “the Company”) has declared a total income distribution of RM1.11 billion for the financial year 2024, spanning across a total of 89 wholesale and retail funds managed by the Company. These Funds encompass a diverse set of strategies and asset classes including equities, bonds, and mixed assets.

    Anton Tan, Chief Officer of Product Solutions of AHAM Capital said, “We are delighted to reaffirm our commitment to delivering consistent income to investors with average distribution yield ranging between 4.0% – 8.0% across our funds. In 2024, our strategic positioning in Malaysian equities paid off, supported by strong market performance driven by policy reforms and a surge in foreign direct investments. Additionally, easing inflationary trends and interest rate cuts by the US Federal Reserve created a supportive backdrop for fixed income markets, contributing to the overall stability of our income strategies.”

    Looking ahead to 2025, Anton adds, “As the global stage shifts under Trump’s new administration, alongside heightened geopolitical tensions and persistent currency volatility, the need for diversification is more critical than ever. Income strategies help provide a cornerstone for portfolio resilience by offering stability and capital preservation in an uncertain environment.

    “While the pace of rate cuts may slow, and interest rates could remain higher-for-longer, the current environment still offers a rare window for income-seeking investors to lock-in higher yields today. We remain steadfast in our commitment to providing globally diversified solutions spanning different strategies, assets and currency classes to help our clients recalibrate and position for the year ahead.”

    The Company’s Select and World Series funds delivered strong income distribution yields ranging from 4.0% to 8.0% across various asset classes and strategies. Notable highlights include the AHAM World Series – Income Fund, which achieved an impressive yield of 8.3% by capitalising on global income opportunities, while the AHAM Select SGD Income Fund and AHAM Select AUD Income Fund each recorded yield of 4.50%, offering investors the advantages of currency diversification. In the Shariah-compliant segment, the AHAM Aiiman Income Plus Fund and AHAM Aiiman Quantum Fund delivered competitive yields of 4.50% and 4.60%, respectively.

    As at 31 December 2024, AHAM Capital’s total Assets Under Administration (AUA) stood at approximately RM89.0 billion, encompassing assets under management, investment advisory, and those under distribution.