Malaysia’s securities regulator has launched a sustainability guide to help investment consultants integrate environmental, social and governance considerations into their client advisory processes.
It’s aimed at empowering consultants to engage investors more meaningfully by identifying their sustainability priorities and aligning investment recommendations with personal values, according to Sharifatul Hanizah Said Ali, executive director for Islamic capital market at Securities Commission Malaysia.
She announced the guide in her keynote speech at the Federation of Investment Managers Malaysia’s annual conference in Kuala Lumpur on October 9.
“As interest in sustainable investing grows, so too does the complexity of navigating its many dimensions. This guide brings clarity and cohesion by distilling key principles and best practices into one trusted reference,” she said.
The guide offers a structured approach for consultants to document investors’ sustainability preferences and match them with appropriate sustainable and responsible investment or SRI fund options.
Sharifatul said the net asset value of Malaysia’s SRI fund segment expanded almost ten-fold over the last four years, from 1.46 billion ringgit (US$345 million) in 2020 to 14.44 billion ringgit in 2024.
She said the momentum has continued into 2025, with net asset value surpassing 15 billion ringgit as of end-August.
According to Sharifatul, the sustainability guide will strengthen investor confidence and help consultants differentiate themselves by providing advice that reflects both financial goals and ethical considerations.
“By aligning purpose with performance, we can build a more sustainable and inclusive investment ecosystem,” she said.
