The Securities Commission of Malaysia (SC) has granted conditional approval for Touch ‘n Go (TNG) Group’s subsidiary, TNG Digital Sdn Bhd (TNGD) as a Recognised Market Operator (RMO).
The conditional approval would allow the company to distribute capital market products directly via the Touch ‘n Go eWallet platform, including money market unit trust funds, without having to be directed to third-party applications.
“This truly is a landmark development and an industry first. Our teams have been working tirelessly together with regulators and partners to get to this stage. The RMO status will allow us to bring a string of innovative digital offerings to our users.
Aimed at disrupting the status quo, we will be launching a financially inclusive investment product in the first quarter of the year, allowing our users to access basic investment services for as low as RM10,” Effendy Shahul Hamid, Group Chief Executive Officer of TNG Group said.
“We feel that this offering will add significant value to our large payments and transportation user base and continue our evolution into financial services. We aim to make this an extremely seamless and frictionless offer to Touch ‘n Go eWallet users.
With the approvals behind us, we will now focus on ensuring the user-experience is best-in-class as we move towards a launch,” Effendy added.
Notably, this innovative proposition is made possible through TNG’s collaboration with Principal Asset Management (Principal), one of Malaysia’s largest fund management companies. This win-win partnership combines platform development, technology and data expertise of Touch ‘n Go eWallet and Principal’s expertise in investment strategy and fund management.
Using Touch ‘n Go eWallet as a delivery platform also supports the nation’s digital and cashless agenda; as well as supporting financial inclusion.