Maybank Islamic has become the first Islamic bank in Malaysia to launch a Shariah-compliant portfolio financing solution, enhancing its Islamic wealth management (IWM) offerings. The move aligns with the growing demand for ethical and purpose-driven investments, and Maybank Islamic aims for a 30 percent business growth by the end of the year with the introduction of this new solution.
24 January 2024 – Maybank Islamic Bhd has introduced a Shariah-compliant portfolio financing solution, marking a milestone as the first Islamic bank in Malaysia to offer this service. This addition to Maybank Islamic’s Islamic wealth management (IWM) solutions expands the array of offerings for wealth creation and accumulation, emphasizing ethics and value-creation at its core.
Maybank Islamic’s CEO, Datuk Mohamed Rafique Merican, highlighted that the Islamic wealth management solutions are aligned with the growing demand for alternative and purpose-driven investments, including sustainable investments. He emphasized the bank’s commitment to continuously developing new propositions to cater to customers’ needs for Shariah-compliant offerings, irrespective of their religious beliefs.
In response to the increasing demand for Islamic wealth management offerings, Maybank Group launched Shariah wealth management in Indonesia and a global Islamic wealth management hub in Singapore last year. The Islamic wealth management sector exhibited steady growth, with an annual growth rate for Islamic assets under management (AUM) increasing from 12 percent in 2021 to 22 percent in 2022. With the introduction of the new Shariah-compliant portfolio financing solution, Maybank Islamic aims to achieve a further 30 percent growth in its business by the end of the current year.
Maybank Group, managing a total AUM of RM184.7 billion, with 46 percent contributed from Islamic portfolios (RM84.2 billion), will continue assisting wealth management customers in crafting personalized, exclusive, and comprehensive investment strategies based on their financial goals and risk profiles.
The portfolio financing solution is available to both new and existing Maybank Premier customers, offering credit lines of up to RM10 million and competitive financing rates. Acceptable collaterals for this solution include cash, fixed deposits, unit trusts, and retail sukuk in both ringgit and foreign currencies. – ref: NST
