22nd September 2023 - 2 min read
Kumpulan Wang Persaraan (Diperbadankan) (KWAP) has launched a new fund called Dana Perintis, which will be used to boost Malaysia’s venture and startup ecosystem. The fund – which has a total allocation of RM500 million – will be utilised equally for two purposes, namely investing into selected venture capital (VC) funds with exposure focusing on Malaysia, as well as direct investments into early-stage companies.
Specifically, the move to invest in VC funds is in line with KWAP’s endeavour to support a self-sustaining venture ecosystem in Malaysia, where the VC funds will become catalysts that go on to nurture innovative startups with essential capital and guidance. The RM250 million allocated for this purpose will span the spectrum of the startup journey, ranging from accelerators to growth managers.
Meanwhile, the remaining RM250 million will be set aside for direct investments into early-stage companies that show promise. This aligns with KWAP’s commitment to nurture startups through growth and expansion stages.
“We are proud to introduce Dana Perintis, an initiative that also serves as a testament to our commitment to enhance the growth of Malaysia’s startup industry. With Dana Perintis, we are not just investing financial capital, but also putting in our expertise, resources, and commitment to seeing these Malaysian startups succeed on a global stage, especially with the ones we are directly involved in,” said the chief investment officer of KWAP, Hazman Hilmi Sallahuddin, who added that Dana Perintis will also support KWAP’s sustainability commitment as a signatory of the UN Principles for Responsible Investment (PRI).
Hazman further noted that KWAP has already identified several potential startups to invest in, which currently employ more than 1,000 Malaysians from different backgrounds.
Finally, KWAP reassured that even as it proceeds with the implementation of this initiative, it will remain faithful to its role and commitment to the pensioners who are its primary stakeholders, and strive to spur the growth of the pension fund responsibly.
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