BIX ARTICLE
SC Looking At 'Providing Flexibility' On High Net Worth Individual Thresholds
Jun 16, 2023
|
3 min read
Featured Posts
SRI Sukuk: The Journey Towards Sustainable and Responsible Investment
Jul 23, 2020
|
5 min read
Securities Commission's Capital Market Masterplan 3 (CMP3)
Sep 21, 2021
|
2 min read
What If We Allowed Retail Investors to Directly Invest in Malaysia’s Government Bond?
Aug 24, 2021
|
8 min read
Islamic Bonds Come Under Microscope After Garuda Indonesia Default
Aug 19, 2021
|
8 min read
KUALA LUMPUR (June 15): The Securities Commission Malaysia (SC) is looking at providing flexibility for the calculation of high net worth individual thresholds, and expanding the qualification criteria.
The expansion of the qualification criteria of sophisticated investors “will take into account their knowledge and experience” as part of efforts to widen the sophisticated investor base, said the SC managing director Kamarudin Hashim.
Concurrently, the regulator is also looking at expanding angel investor participation beyond the private market and micro, small and medium enterprise (MSME) space, Kamarudin said in his keynote address at the International Institutional Investor Series 2023 (IIIS 2023) here.
“[All] this ensures the basis of investor categorisation serves as the most effective means to categorise investors, which in turn would enable them to be accorded the appropriate level of regulatory protection and at the same time facilitate capital formation,” Kamarudin said.
According to current guidelines, a high net worth individual is defined as someone who has RM3 million of net assets, with gross annual income of RM300,000. Meanwhile, high net worth entities are required to have RM10 million in assets under management for public companies, or net assets for corporations and partnerships.
Meanwhile, Kamarudin said the SC is set to introduce a framework to allow licensed fund managers to launch foreign funds through related corporations, with initial focus on high net worth entities and institutional investors.
The framework, to be launched by the end of this year, will “add greater diversity to the ocean of fund options in the domestic capital markets”, Kamarudin said.
“While the first phase of this framework is targeted to institutional investors and high net worth entities, the SC is also reviewing the next phase of liberalisation to potentially include high net worth individuals,” Kamarudin said.
The review will ensure “controls are in pace for parity between domestic and foreign fund managers”, he said.
Close consultation and engagement with stakeholders for the future phase of the implementation will take place in 2024, he added.
Disclaimer
The information provided in this report is of a general nature and has been prepared for information purposes only. It is not intended to constitute research or as advice for any investor. The information in this report is not and should not be construed or considered as an offer, recommendation or solicitation for investments. Investors are advised to make their own independent evaluation of the information contained in this report, consider their own individual investment objectives, financial situation and particular needs and should seek appropriate personalised financial advice from a qualified professional to suit individual circumstances and risk profile.
The information contained in this report is prepared from data believed to be correct and reliable at the time of issuance of this report. While every effort is made to ensure the information is up-to-date and correct, Bond and Sukuk Information Platform Sdn Bhd (“the Company”) does not make any guarantee, representation or warranty, express or implied, as to the adequacy, accuracy, completeness, reliability or fairness of any such information contained in this report and accordingly, neither the Company nor any of its affiliates nor its related persons shall not be liable in any manner whatsoever for any consequences (including but not limited to any direct, indirect or consequential losses, loss of profits and damages) of any reliance thereon or usage thereof.
YOU MAY ALSO LIKE
ARTICLE
Feb 06, 2024
|
3 min read
ARTICLE
Dec 26, 2023
|
5 min read
ARTICLE
Dec 26, 2023
|
4 min read
ARTICLE
Dec 06, 2023
|
5 min read