Robo-advisor StashAway obtains Malaysian DIM licence

Robo-advisors provide financial advice and direct investment management with software instead of humans.

StashAway Malaysia Sdn. Bhd., has had its Capital Market Services Licence for Digital Investment Management in Malaysia (“DIM Licence”) approved by the Securities Commission (“SC”) in a significant first for the Singapore-based robo-advisor known for its digital wealth management platform.

The DIM Licence is the first of its kind in the country, marking a huge milestone for StashAway Malaysia who will start onboarding its 5,000+ waitlisted customers right away.

Robo-advisors, or “robos”, are growing in prevalence in Europe and North America. Currently, robos in Malaysia have yet to empower all investors. StashAway Malaysia will be the first in the country to offer highly sophisticated, goal-oriented investment services to everyone, regardless of net worth.

With no minimum balance, the ability to withdraw at any time, and low management fees that range from just 0.2% to only 0.8%, investors on StashAway Malaysia’s intuitive platform can finally invest on their terms and reach their financial goals sooner.

The technology behind the fully-digital platform creates personalised portfolios based on a customer’s salary, monthly savings capacity, risk preferences, and time horizon to reach a financial goal.

Whether it’s a long-term goal, such as retirement, or a short-term goal, such as a wedding, the system will design an intelligent portfolio of exchange-traded funds (ETFs) and a monthly investment strategy so that customers can achieve their personal financial objectives on their own terms.

The technology also automatically manages the portfolio by rebalancing and re-optimising as market and economic conditions demand.

StashAway Malaysia worked with local law firm Wong & Partners (a member firm of Baker McKenzie International) on the licence application process. The team was led by Sue Wan, who advised on the licence application and provided advice on other key operational documents.

“This was a great opportunity for us to work alongside the highly motivated and driven team at StashAway Malaysia, and we are proud to have been involved in this groundbreaking, innovative service which could potentially change the way Malaysians invest in the future,” said Sue Wan, a financial services regulation partner.

“StashAway coming to Malaysia is a key milestone for us and we believe we are unlocking untapped investment opportunities for Malaysians. We will be providing investors with highly sophisticated, unbiased investment advice for an incredibly low fee and no lock-in. Malaysia’s conducive regulatory framework and growing digital marketplace is a great place to grow a business,” said co-founder of StashAway, Michele Ferrario, about the company’s expansion into Malaysia.