PETALING JAYA: Affin Hwang Asset Management Bhd has rebranded as AHAM Asset Management Bhd (AHAM Capital) and targets to grow its total assets under administration (AUA) to RM100 billion from RM75 billion (as of October 2022) over the next three years.
It is eyeing expansion within Asean and looking to partner with digital platforms and recently licensed digital banks.
AHAM Capital managing director Datuk Teng Chee Wai said as AHAM is a name that is already widely used and familiar among clients and business partners, the simplified brand name builds upon the brand equity of the company’s asset management capabilities.
“With a new name and logo, the company is charting the next phase of its journey with three strategic growth pillars that is wealth management, innovation, and regionalisation,” he told a press conference at the rebranding event today.
Looking ahead, Teng said it is confident of achieving the AUA target of RM100 billion in the next three years as it strengthens wealth management capabilities including alternatives and private market offerings.
Led by the same team, AHAM Capital is devising a plan for regional expansion into key markets across Asean.
“We are looking at markets with sizeable populations such as Indonesia, the Philippines, Vietnam and Thailand,” Teng said.
AHAM Capital will also harness innovation and spearhead digitalisation to democratise access to investment products for all client segments.
Teng indicated that AHAM Capital has spent over RM50 million or an average of 5% of revenue on digitalisation over the last five years and that it is an ongoing spending.
“We have spent a fair bit and we are still investing in digitalisation. Our digitalisation journey involves digitalising the back-end system that we have been embarking since 2018.
“And about 70% of our transactions are done digitally which means increased volume with no need to increase staff strength,” he said.
For the front end of its system, AHAM Capital is hoping to partner with more digital platforms and eventually the recently licensed digital banks when they come online.
“We hope they will choose AHAM Capital as their preferred partner to provide solutions in their respective platforms,” said Teng.
The company’s syariah investment solutions will continue to be managed and made available through its wholly owned subsidiary and Islamic investment arm, AIIMAN Asset Management Sdn Bhd.
On Jan 28, 2022, Affin Bank announced that funds advised by CVC Capital Partners, a global private equity and investment advisory firm, agreed to acquire 68% of the equity interest in AHAM Capital.
The acquisition was approved by the Securities Commissions Malaysia on July 1, 2022, and upon completion of the acquisition on July 29, 2022, AHAM Capital ceased to be a subsidiary of Affin Hwang Investment Bank.
AHAM Capital is also 27% owned by Nikko Asset Management International Ltd, a wholly owned subsidiary of Tokyo-based Nikko Asset Management Co Ltd, an Asian investment management franchise. The remaining 4.65% IS held by key management personnel of AHAM Capital.