PETALING JAYA: The ambitious MY Value Up programme by the Securities Commission and Bursa Malaysia risks failing without proper execution by the respective listed companies in Malaysia.
RHB Research said the programme’s success hinges upon the willingness of companies’ management teams to implement meaningful changes, rather than treating the exercise as a disclosure requirement,
MY Value Up targets the 88 largest public listed companies, which collectively account for 80% of the market capitalisation of listed companies on Bursa Malaysia
While the framework outlines a comprehensive roadmap across capital allocation, governance, operational excellence and stakeholder engagement, participation from the top 88 companies remains voluntary.
No formal incentives or penalties have been introduced.
“We expect the benefits to materialise gradually, as investors will require a clear track record of the Value Up Plans translating into tangible improvements in return on equity (ROE), capital efficiency, and shareholder returns.
“We think the MY Value Up programme is a positive, regulator-driven initiative that can serve as a catalyst to spur the long-term re-rating of the domestic capital market.
“Widespread adoption of programme initiatives will set Bursa Malaysia apart from its regional emerging market peers by strengthening its overall investability and market appeal,” RHB Research pointed out.
The MY Value Up programme was first introduced at the launch of the Capital Market Masterplan 2026 to 2030 in April.
This was followed by the publication of the programme’s guidebook last week, with the aim of improving long-term shareholder value creation.
Taking cues from regional success stories, the framework forces a paradigm shift towards ROE enhancement and shareholder accountability.
Strategic assessments, enhanced governance, efficient resource allocation and effective communication will act as catalysts to narrow the structural valuation discounts that plague some fundamentally sound companies.
According to RHB Research, these improvements should buffer confidence, improve sentiment, and drive sustainable capital inflows.
