MALAYSIA’S INSTITUTIONAL INVESTORS PRIORITISE SUSTAINABLE INVESTMENT AGENDA

KUALA LUMPUR, April 20 -- Capital Markets Malaysia (CMM) and the Institutional Investors Council Malaysia (IIC) have jointly launched the Sustainable Investment Platform (SIP) to support institutional investors and fund managers build depth in sustainable and responsible investment (SRI) strategies.

In a joint statement, they said the SIP will carry out capacity building for data collection, tools and methodologies that will support innovation in sustainable investment strategies.

“Its activities will also include advocating sustainable investing practices among Malaysia’s institutional investors and fund managers, facilitating the exchange of international best practices and positioning Malaysia’s sustainable capital market leadership,” they said.

CMM, an affiliate of the Securities Commission Malaysia (SC), will provide strategic support and funding for the SIP as part of its initiative to position Malaysia as a regional centre for sustainable and responsible investment.

SC chairman Datuk Syed Zaid Albar said the SC is wholly supportive of this collaboration to build private sector awareness and commitment towards sustainable and green practices which closely align with the commission’s Sustainable and Responsible Investment Roadmap for the Capital Market.

Meanwhile, IIC chairman Rohaya Mohammad Yusof said the IIC, which represents the common interest of institutional investors in Malaysia, now plays a more proactive stewardship role to steer the development towards building a sustainable future by advocating investee companies to embrace best sustainability practices in addition to financial return.

“The SIP will build on the foundations laid by the IIC to support Malaysia’s transition to an inclusive and climate-resilient economy by championing the sustainable investment agenda,” she said.

Three of Malaysia’s largest institutional investors, the Employees Provident Fund, Khazanah Nasional and Kumpulan Wang Persaraan (Diperbadankan) have signed the Principles of Responsible Investment (PRI).

A total of 37 institutional investors have become signatories to the Malaysian Code for Institutional investors (MCII) to reflect their commitment in observing the six principles of effective stewardship as espoused in the MCII.

The PRI, the world’s leading proponent of responsible investment, will be knowledge partner for the SIP, providing select resources and expert speakers on sustainable investment to the platform.

-- BERNAMA