KUALA LUMPUR, MALAYSIA - Media OutReach - 2 February 2021 - KenangaInvestment Bank Berhad today announced its acquisition of i-VCAP Management SdnBhd ("i-VCAP") via Kenanga Investors Bhd ("KIB"), its fully owned subsidiary, followingapproval by the Securities Commission of Malaysia. i-VCAP is an award-winning,Shariah-compliant investment management services provider primarily focused on Islamicexchange-traded funds ("ETFs").

Datuk Chay Wai Leong, Group Managing Director of Kenanga Investment Bank.

"We areconstantly exploring ways to deliver new investment solutions for our clients.This is a natural step in our strategy to develop products for a wideraudience. The ETFs market is one of the fastest growing segments in assetmanagement. A number of long-term macro trends, including the increasing use ofpassive vehicles and the driving force of digitalisation will lead to a growingdemand for ETF products," says Datuk Chay Wai Leong, Group Managing Director ofKenanga Investment Bank. "The acquisition further expands our ability to build better,more diversified portfolios through our product capabilities across the Group,and enhances the range of solutions available. This addition strengthens ourcompetitive edge in addressing client needs, which will further accelerate thegrowth of our business."

The deal represents the financial group's second bolt-onpurchase of an asset management business within the last 14 months, followingthe acquisition of Libra Invest Berhad at end 2019. In recent months and years,the group has been actively participating in joint ventures, acquisition exercisesas well as strategic stakes within synergistic businesses. These are expectedto complement its various business lines with recent results positively reflectedin the group's strong financial performance in 2020.

Theacquisition represents swift progression one year after Kenanga Group's firstforay into the ETF space where OneETF by Kenanga, Malaysia's first KLCI-linkedleveraged and inverse ETFs was introduced together with its strategic partnerYuanta Securities, the largest ETFs provider in Taiwan and a leading ETFsprovider in Asia. The Chief Executive Officer of KIB, Ismitz Matthew De Alwissays, "i-VCAP's ETFs business is highly complementary to OneETF by Kenanga aswe foresee that it will broaden our geographical reach, product suite and investmentexpertise, enabling us to provide more solutions to help clients achieve theirinvestment objectives. The exercise adds depth to the company's ETFs andIslamic product offerings as well as accessibility to the US market.Simultaneously, KIB is set to leverage upon this opportunity to further buildon its existing ETFs business with a higher degree of economic scale for a morediverse range of ETFs by working with its partners, regulators and other service providers to drive the ETFs and Islamic capital market.

As theasset and wealth management arm of Kenanga Investment Bank, Kenanga Investorsprovides investment solutions ranging from collective investment schemes,portfolio management services, ETFs, financial planning and alternativeinvestments for retail, high net worth, corporate and institutional clients. Itis a repeat recipient of distinguished industry accolades such as RefinitivLipper, Morningstar, FSMOne Recommended Unit Trusts Awards and Asia AssetManagement's Best of the Best Awards.  

For more information about Kenanga InvestmentBank Berhad and Kenanga Investors Berhad, please visit both www.kenanga.com.my& www.kenangainvestors.com.my.

About Kenanga Investors Berhad 199501024358 (353563-P)

We provide investmentsolutions ranging from collective investment schemes, portfolio managementservices and alternative investments for retail, corporate, institutional andhigh net worth clients via a multi-distribution network.

Most recently, theHong Kong-based Asia Asset Management's 2021 Best of the Best Awards awardedKIB under the following categories, Malaysia - Best Equity Manager, MalaysiaCIO of the Year, Malaysia -- Best Islamic Fund (Equity) and Malaysia Best Housefor Alternatives.

The Kenanga GrowthFund ("KGF") won Core Equity -- Malaysia while the Kenanga Syariah Growth Fund("KSGF") won Core Equity -- Malaysia (Islamic) at the FSMOne Recommended UnitTrusts Awards 2020/2021. The Kenanga Balanced Fund was recognised under theBalanced -- Malaysia category.

At the RefinitivLipper Fund Awards 2020, KIB won the "Best Mixed Asset Award -- MalaysiaPension" and "Best Equity Award -- Malaysia Islamic" titles. KSGF was awarded"Equity Malaysia -- Malaysia Islamic" for 10-years while the Kenanga DiversifiedFund was named "Mixed Asset MYR Flexible -- Malaysia Pension" for 3-years and5-years. KSGF was also named "Malaysia Best Equity over 10-years" at theRefinitiv Lipper Fund Awards 2020 for Global Islamic Markets.

For the fourthconsecutive year, KIB was affirmed an investment manager rating of IMR-2 byMalaysian Rating Corporation Berhad since first rated in 2017. The IMR ratingreflects the fund management company's well-established investment processesand sound risk management practices. For 2020, the average one-year, three-yearand five-year annualised returns for its top 20 largest unit trust fundsoutperformed its benchmarks. 

About Kenanga InvestmentBank Berhad 197301002193 (15678-H)

Established for morethan 45 years, Kenanga Investment Bank Berhad is a financial group in Malaysiawith extensive experience in equity broking, investment banking, treasury,Islamic banking, listed derivatives, investment management, wealth management, structuredlending, and trade financing.

The Group hasgarnered a host of awards and accolades reflecting its strong market position.It was awarded under the categories of Best Overall Equities ParticipatingOrganisation by Bursa Malaysia, Best Retail Equities ParticipatingOrganisation, Best Institutional Equities Participating Organisation; alongwith Best Trading Participant Equity and Financial Derivatives for 17consecutive years. The Group was also accorded the title of Best InstitutionalDerivatives Trading category by Bursa Malaysia.

The Group continuesto be a regular and repeat recipient of distinguished industry accolades, suchas the Lipper, Fundsupermart and Morningstar awards. For its continued effortstowards community outreach and employee volunteerism, the Group was awarded thecoveted company of the year award for environmental awareness andsustainability at the Sustainability & CSR Malaysia Awards 2020.

Today, KenangaInvestment Bank Berhad is an award-winning leading independent investment bankin the country with a continuous commitment towards driving collaboration,innovation, and digitalisation in the marketplace.

This Press Releasewas issued by Kenanga Group's Marketing & Communications department.