CGS launches Malaysia's first Islamic equity-linked structured investment products

The Sun

6 days ago

PETALING JAYA: CGS International Securities Pte Ltd, through subsidiary CGS International Securities Malaysia Sdn Bhd, has introduced its latest Islamic structured investment offerings specifically designed for sophisticated investors in Malaysia.
The newly launched products – the Islamic Equity Linked Investment Notes and the Islamic Autocallable Equity Structured Investment Notes – mark a significant milestone for CGS Malaysia, making it the first broker in the country to introduce Islamic equity-linked structured products.
The move underscores the firm's commitment to developing innovative and market-relevant financial instruments.
The launch comes at a strategic time, as CGS Malaysia deepens collaboration with policymakers and leverages its strong regional and China network to further position Malaysia as a competitive business and investment destination.
According to CGS Malaysia deputy CEO Khairi Shahrin Arief Baki, the firm remains focused on delivering investment solutions that align with evolving market demands, particularly as more investors seek alternatives to conventional assets.
'Sophisticated investors are increasingly looking to diversify their portfolios at manageable risk levels while ensuring alignment with their personal values,' he said in a statement.
'With most of our capital market assets already syariah-compliant and expanding, we see tremendous opportunity to innovate and offer a wider range of investment products for sophisticated investors, regardless of individual beliefs.'
He added that Malaysia's globally recognised leadership in Islamic finance – bolstered by a robust regulatory framework and decades of industry development – sets the stage for these new instruments to serve as trusted avenues for investors looking to enhance portfolio yields.
The launch follows CGS Malaysia's introduction of its single-family office solution, aimed at high- and ultra-high-net-worth individuals seeking to establish a presence in the Johor-Singapore Special Economic Zone.
This momentum reflects a growing investor preference for stability and values-driven investing within Asean, including syariah-compliant products and those aligned with environmental, social and governance principles.
Both the Islamic Equity and the Islamic Autocallable Equity products offer structured exposure to syariah-compliant equities, tailored for sophisticated investors, including accredited investors, high-net-worth individuals, and corporate entities.
These instruments offer the potential for regular, fixed profit payouts, with profit rates typically higher than those of traditional Islamic fixed deposits, alongside tailored payoff structures to suit various risk appetites and market outlooks.
The Islamic Equity is a non-principal-protected, short-term product that delivers returns based on the price performance of a syariah-compliant reference instrument.
The Islamic Autocallable Equity features a knock-in and knock-out structure, offering monthly profit payouts and a defined maturity of up to 12 months.