KUALA LUMPUR: Maybank Islamic Bhd is targeting returns of 4.25% per annum for a three-year placement for its Multi-Asset Investment Account-i (MAIA) which was launched on Wednesday.
The closed-ended investment account aims to maximise investment returns by investing equally in a diversified portfolio of the Bank’s stable financing assets and Islamic marketable securities, it said in a statement.
Maybank Islamic’s profitable and stable financing assets comprise mortgages, hire purchase and unit trust financing.
It said the appointed external investment manager, Maybank Islamic Asset Management (MIAM) will invest the remaining 50% in Islamic marketable securities, such as equities and real estate investment trusts (REITs).
It said the returns of 4.25% per annum made it an attractive investment given the current low interest rate environment.
The investment product is the first of its kind to be offered by a bank in Malaysia and aims to reach RM250mil in investments.
Maybank Islamic CEO Datuk Mohamed Rafique said MAIA will be able to meet the needs of investors who are seeking for Shariah investment options which aims to preserve capital whilst generating stable and relatively higher returns.
“The launch of MAIA is another milestone for us as we are the first Islamic bank to establish an investment product that offer investors the opportunity to invest in not just our stable financing assets but also in Islamic marketable securities, ” he said.
Due to the current economic uncertainty arising from the Covid-19 pandemic, he said Maybank Islamic aims to assist clients to navigate and grow their investments.
He said the clients are looking to potentially achieve income and capital growth by investing primarily in the financing portfolio of the largest Islamic bank in Malaysia as well as a portfolio of Shariah compliant securities.
Under the Islamic Financial Services Act (IFSA) 2013, Islamic financial institutions are allowed to become investment intermediaries, and Maybank Islamic was the first to embrace this with the launch of its Investment Account (IA) product back in 2015.
MAIA is open to individuals and institutional investors with a minimum investment of RM10,000.