KENANGA INVESTMENT BANK BERHAD 16 INTEGRATED ANNUAL REPORT 2025 Strategic Collaborations and Asset Tokenisation Innovation through collaboration remains a defining feature of how Kenanga Group strengthens its capabilities and delivers differentiated solutions to clients. By working closely with established financial institutions, fintech partners and technology providers such as Rakuten Trade, Merchantrade and Ant Group, the Group continues to extend its reach, enhance offerings and develop forward-looking solutions in digital finance. In 2025, the Group helped shape industry thinking on digital assets through the publication of Project Juara: Malaysia’s Asset Tokenisation Opportunity, a white paper produced through its asset and wealth management arm, KIB, in collaboration with Saison Capital Pte Ltd, Helicap Labs Pte Ltd and Satori Research Ltd. The paper explored how asset tokenisation could reshape Malaysia’s capital markets by broadening access to previously less accessible investment opportunities, reducing minimum investment thresholds, and enhancing transparency, governance and investor protection. Its release garnered attention from industry participants, regulators, and investors alike, highlighting Kenanga Group’s role in shaping the national agenda and providing clients with more flexible, inclusive and transparent solutions that complement traditional investment channels. Further strengthening its capabilities, the Group expanded its digital asset footprint through a strategic investment in Halogen Capital Sdn Bhd, a licensed digital asset management firm, via our private equity arm, Kenanga Private Equity Sdn Bhd. Through this investment, Kenanga Group became the largest institutional shareholder with a 14.9% stake, enhancing our understanding of digital asset structures and operational models while creating a pathway to develop tokenised investment solutions aligned with regulatory expectations and client needs. At the time of this statement, Kenanga Group marked another significant milestone with the launch of Myrra, a dedicated token platform developed in collaboration with Stellar Development Foundation (“Stellar”), a leading global non-profit that supports the Stellar blockchain network. Leveraging Stellar’s proven, compliance‑forward infrastructure—adopted internationally for institutional‑grade asset issuance, cross‑border settlement and large‑scale financial inclusion initiatives—the platform houses the first tokenised unit trust funds in Malaysia, namely the Kenanga Money Market Fund and the Kenanga Islamic Money Market Fund managed by KIB. As the first tokenised funds to go live in the country, this initiative broadens investor accessibility while enhancing transparency, operational efficiency and future scalability. Together, these advances form a core building block of an integrated digital asset ecosystem that positions Kenanga Group at the forefront of Malaysia’s transition towards a more modern and digitally-enabled capital market. Scaling the Digital Ecosystem A key strategic priority for the Group is further refining its digital ecosystem that enhances client experience and complements our core capabilities. At the centre of this effort is KDi GO, the Group’s digital storefront that provides clients with a single, consolidated view of their financial relationships. By giving clients easier access to information and investment tools, the platform supports more informed decision-making and deeper engagement across the Group’s products and services. Throughout the year, enhancements were made to improve onboarding efficiency, platform stability and the overall user experience. These improvements reduce friction for clients and provide a seamless and reliable service as they navigate their wealth and investment options. KDi GO continues to broaden access to investing and wealth solutions, particularly among mass affluent clients. The platform recorded a 45% year-on-year increase in users, marking one of its strongest periods to date, underscoring a rising appeal for more sophisticated, transparent and self-directed wealth solutions. Adoption remains robust, as its user base continues to grow among individuals entering their peak earning and wealth-accumulating years, with more than 50% of its users above the age of 30, and the 30-40 year-old cohort accounting for 38% of the user population. This representation underscores the Group’s commitment to lowering barriers to entry and fostering earlier, more intentional participation in wealth creation among retail investors. In line with this, a blueprint has been developed to steer the expansion into more sophisticated offerings catering to the mass affluent segment and above. GROUP MANAGING DIRECTOR’S MANAGEMENT DISCUSSION AND ANALYSIS
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