KUALA LUMPUR: Kuwait Finance House (Malaysia) Bhd (KFH) is using the country as the testbed for its Islamic wealth management solutions, or private banking, with a view to adopting it in other markets.
The introduction of the solutions was timely as there was a growing demand for wealth management in the country with more people becoming more affluent, KFH country head for commercial, retail and consumer banking division Ab Jabar Ab Rahman said.
“This is a good market with more wealth coming in. We believe this is an area where there are not many players, so we would like to capture a share from this target group,” he said, adding KFH was considering individuals with RM5 million in liquid assets for its private banking business.
Ab Jabar said KFH’s parent company in Kuwait might adopt the solution if it was successful in Malaysia.
KFH is developing the solution in collaboration with Firium Solutions (M) Sdn Bhd and Amanie Business Solutions Sdn Bhd.
The Shariah-compliant wealth management solutions include modules for the distribution of unit trust, bancatakaful, structured products, will writing and an integrated Islamic financial planning.
Ab Jabar said the solutions would be introduced in three phases, beginning with the implementation of the unit trust and bancatakaful modules on Feb 29, followed by structured products and will-writing, and later Islamic financial planning services.
KFH’s managing director Datuk K Salman Younis said the wealth management solutions were initiated in line with its retail banking expansion plans. KFH, which currently operates three branches in the Klang Valley would be expanding its reach to Johor in April and Penang at a later date.
“The addition of (wealth management solutions) system further enhances our existing suite of product offerings under the corporate, investment and commercial banking sectors.
“Continuing our strategy to target all customer segments, the retail and consumer banking division is gradually rolling out new Shariah-compliant products and services for consumers,” he said.