DATA & STATISTICS

Statistics for Fund Management Industry as at 31 December 2007

Industry Perfomance

The investment management industry in Malaysia continued to expand in 2007. As at 31 December 2007, total asset under management by licensed fund management companies in Malaysia increased by 44.13% to RM236.98 billion as compared to 2006. Unit trust funds continued to be the main source of assets under management, reaching RM169.41 billion as at end-2007 as compared to RM121.77 billion as at end-2006. Other types of assets under management included funds from charitable bodies, corporate bodies, EPF and EPF contributors, government bodies/agencies, individuals, insurance companies and private pension funds (Table 1).

As at end-2007, there are 79 holders of the Capital Market Services Licence for fund management, and the five largest fund management companies’ account for 72.53% of total assets under management, which is an increase by 2.1% compared to end-2006 (Chart 1). The amount of onshore investment also increased from RM150.39 billion as at end-2006 to RM204.91 billion as at end-2007 (Chart 2). Fund management companies in Malaysia relied more on equities for their asset allocation strategies, with the allocation in equities increasing from 57.0% 2006 to 59.50% as at end-2007. Lesser investments into the fixed income were made in 2007, evidenced by the decrease in asset allocation in the fixed income market (Chart 3).

Table 1

Funds Managed by Licensed Fund Management Companies – By Source