Maybank Group launches Islamic asset management unit with an eye on the ASEAN region - IFN

Maybank Group launches Islamic asset management unit with an eye on the ASEAN region

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MALAYSIA: Malayan Banking (Maybank) has officially launched its Shariah compliant asset management unit, Maybank Islamic Asset Management (Maybank Islamic AM) during the World Islamic Economic Forum yesterday. Maybank Islamic AM was set up as a wholly-owned subsidiary through its asset management and private equity arm, Maybank Asset Management Group. The CEO of Maybank Asset Management Group, Nor’ Azamin Salleh said: “Collectively, a total of US$8 billion worth of Islamic assets under management (AUM) resides within Maybank. Maybank Islamic AM aims to become a key player and catalyst in the development of the global Islamic asset management landscape.” Presently, Maybank Asset Management Group offers a fixed priced Shariah real estate-backed fund known as the Amanah Hartanah Bumiputra fund which seeks to provide its unit holders with a regular and consistent income stream whilst preserving their investment capital. The fund has successfully delivered consistent payouts since its inception in 2010, recording a 7.5% return for the financial year ended the 30th September 2013. Azamin added: “We are managing direct equity portfolio mandates for Hajj funds as well as direct mandates investing in ASEAN countries. Our core expertise lies in our strong on-the-ground presence in Malaysia, Singapore, Thailand and Indonesia that focuses on Asian investments.” The asset management firm has also incorporated a strict and thorough Shariah screening process for its investments. The methodology adopts a two-tier approach on quantitative assessment which applies business activity benchmarks and updated financial ratio benchmarks, whilst simultaneously maintaining a qualitative assessment. Azamin further conveyed an optimistic outlook in terms of Islamic fund inflows in the region.