KUALA LUMPUR: Bursa Malaysia and AmInvest today launched the FTSE4Good Bursa Malaysia ETF, the country’s first and only Sustainable and Responsible Investment-qualified (SRI-qualified) exchange-traded fund (ETF), marking a major milestone in Malaysia’s ESG-driven capital market.
The fund, managed by AmFunds Management Bhd under the AmInvest brand, tracks the performance of the FTSE4Good Bursa Malaysia Index, which consists of 160 public-listed companies screened for environmental, social and governance (ESG) practices.
In his speech at the launch, Bursa Malaysia CEO Datuk Fad’l Mohamed (represented by chief regulatory officer Julian M. Hashim), said the new ETF demonstrates the exchange’s commitment to expanding sustainable investment options and diversifying Malaysia’s marketplace.
“This collaboration reflects our shared commitment to product innovation, investor empowerment and the advancement of sustainability in Malaysia’s capital market,” he said.
“Bursa Malaysia is building a marketplace that offers greater choice, deeper liquidity and more opportunities for investors to achieve their financial goals.”
Fad’l said Bursa currently lists 15 ETFs, comprising seven syariah-compliant and eight conventional ETFs, showing the growing diversity of products available.
He noted that retail participation in ETFs has grown steadily, with the number of retail accounts investing in ETFs rising from 4,700 in 2024 to over 6,100 by October this year, while average daily trading value climbed 53% year-on-year to RM1.41 million.
“ETFs have become an integral part of today’s investment landscape, offering transparency, cost efficiency and diversified exposure through a single instrument,” he said.
The FTSE4Good Bursa Malaysia Index was first introduced in 2014 as part of the exchange’s efforts to advance ESG standards among listed companies and promote responsible investing.
As at June 2025, the index had 160 constituents drawn from the FTSE Bursa Malaysia Emas Index, with an average ESG rating of 3.6 out of 5.0. Bursa has also expanded the availability of FTSE4Good ESG ratings to ACE Market PLCs since June this year to encourage more inclusivity and transparency.
“This strategic move reflects our commitment to creating a more attractive and inclusive capital market – one where sustainability is embraced across companies of all sizes,” said Fad’l.
“Today’s launch is a meaningful step forward in strengthening Malaysia’s position as a sustainable investment destination.”
AmFunds Management CEO Kevin Wong said the launch combines AmInvest’s two core strengths – being Malaysia’s leading ETF provider and the top SRI fund manager. “This is the first SRI-qualified ETF in Malaysia. It gives investors exposure to companies recognised for strong ESG practices while maintaining diversification across sectors.”
He added that investors can buy the ETF at an affordable entry level of around RM172 per unit, with a minimum investment of 100 units, making it accessible to retail participants.
The fund’s composition mirrors the FTSE4Good Bursa Malaysia Index, with 33% of its weight in financials, followed by consumer staples, healthcare, telecommunications and utilities, offering a diversified exposure to resilient sectors of the Malaysian economy.
Wong said the FTSE4Good Index has outperformed both the FBM KLCI and the FBM 100 by about 10 percentage points over the past five years, underscoring the financial strength of companies with strong ESG governance.
“With this ETF, investors can align their portfolios with responsible practices while encouraging listed companies to raise the bar on ESG performance. Financial returns and positive societal impact can, and should, go hand in hand,” he said.
AmInvest is Malaysia’s largest ETF provider, managing about RM1.8 billion in ETF assets and commanding 75.4% market share. It also leads as the foremost manager of SRI-qualified funds, with RM4.3 billion AUM and around 28% market share, overseeing nine SRI-qualified funds.
AmBank Group CEO Jamie Ling described the launch as a “meaningful milestone” that reflects the group’s long-standing commitment to embedding sustainability into its operations.
“This ETF not only broadens our suite of responsible investment solutions but also reinforces our ambition to lead the market in shaping a more sustainable financial ecosystem,” he said. “As investors increasingly seek purpose-driven opportunities, we believe capital can and must, be a catalyst for positive change.”
Meanwhile, AmBank Group Wealth Management managing director Goh Wee Peng said the new ETF was introduced in response to growing demand for ethical and sustainable investments.
“With a low initial investment of only 100 units, investors can easily access Malaysian companies that demonstrate strong ESG leadership,” she said. “It’s as simple as buying a stock on Bursa Malaysia.”
Both Bursa Malaysia and AmInvest view the launch as a significant step towards building a sustainable financial ecosystem that aligns with the nation’s aspirations for a lower-carbon economy.
“Together, we are shaping a marketplace that is inclusive, resilient, and future-ready—one that creates long-term value for investors, businesses, and the economy,” said Fad’l.
The FTSE4Good Bursa Malaysia ETF officially began trading on Bursa Malaysia Securities yesterday under the ticker “F4GBM-ETF”.
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