SINGAPORE: The largest lender in Malaysia, Maybank, launches its first Islamic Wealth Management Hub in Singapore on Nov 20, The Edge Singapore reports. This milestone, effective from Nov 20, positions Maybank Singapore as the inaugural bank in the country to offer comprehensive Islamic wealth solutions. These solutions aim to address customers’ various life stages, focusing on planning to transfer wealth to the next generation.
Aligned with the five pillars of Islamic Wealth Management – wealth creation, accumulation, preservation, purification, and distribution – Maybank’s solutions aim to provide a holistic approach to the Islamic finance domain. This strategic expansion beyond the bank’s strongholds in Malaysia and Indonesia reflects Maybank’s dedication to its M25+ Strategy, a commitment directed towards achieving global leadership in Islamic finance.
Maybank’s Islamic banking arm, Maybank Islamic Berhad, holds a formidable position as the world’s fifth-largest Islamic bank, boasting assets exceeding US$67 billion (S$89.8 billion) in 2022. In Singapore, Maybank stands out by offering the largest array of Shariah-compliant unit trust funds, totalling 13 funds.
Singapore acknowledged as a well-established financial hub for wealth management, has been chosen as the Maybank Group’s IWM regional offshore hub. In a press release, Maybank mentioned, ” As IWM solutions are values-based and sustainable at its core, an increasing demand in alternative and purpose-driven investments such as sustainable investments and Islamic wealth make these offerings attractive to customers of all backgrounds.”
Anurag Mathur, Maybank’s head of group IWM, draws attention to the global trend towards Islamic banking, stating, ” The Asia Pacific region accounts for 30% of global high net worth individuals’ wealth, and roughly a quarter of all Islamic finance assets are concentrated in Southeast Asia. Affluent individuals in the region are seeking more sophisticated wealth solutions, including Islamic investments, protection and financing.”
Maybank Group President and CEO Khairussaleh Ramli underscores the institution’s dedication to advising customers in realising their investment goals through suitable Islamic banking solutions. The growing demand for these solutions is propelled by continuous innovation in the Islamic banking sector, offering an expanding range of Shariah-compliant products coupled with a rising interest in sustainable investing.
Maybank points out that Islamic finance is gaining traction globally, extending beyond Islamic jurisdictions. According to data from the International Monetary Fund (IMF), global Islamic financial assets have grown by over US$2 trillion in the past decade alone. Recognizing this trend, Maybank views offshore Islamic wealth business as a lucrative opportunity for financial players in Southeast Asia.
As John Chong, Maybank’s Group CEO of Community Financial Services, said at the launch, reported by Reuters, “We have chosen Singapore as our offshore hub for our Islamic wealth management given the position of Singapore as a wealth management player not just in the region but also globally.”/TISG