Bursa Malaysia Berhad has onboarded Maybank Investment Bank Berhad (Maybank IB) Approved Supplier and User under the Islamic Securities Selling and Buying – Negotiated Transaction (“ISSBNT”) Framework.
ISSBNT is the world’s first Shariah-compliant alternative to Securities Borrowing and Lending, which was launched by the Exchange in December 2017. The platform was developed as a mechanism to provide a facilitative trading environment and improve trading liquidity and velocity of Shariah-compliant securities.
As Approved Supplier and User, Maybank IB will facilitate the buying and selling of Shariah compliant securities, as well as enable hedging and risk management activities for market participants while adhering to Shariah principles.
“We are delighted to have Maybank IB joining us to facilitate trading of Shariah assets under the ISSBNT Framework,” said Bursa Malaysia CEO Datuk Muhamad Umar Swift, adding, the addition of more Participating Organisations under the ISSBNT Framework demonstrates our commitment to growing the Islamic equity market in response to increased demand for Shariah-compliant assets.”
“We look forward to the increased participation and continued support from our brokers to spur the growth and vibrancy of our marketplace, upholding Malaysia’s position as the world’s leading Islamic Shariah-compliant equities market.”
Dato’ Fad’l Mohamed, Chief Executive Officer, Maybank IB commented, “We are excited to be an Approved Supplier and User under the ISSBNT Framework which will enable us to support our clients’ investment management strategies as we see strong demand for Shariah-compliant assets among investors. With Shariah-compliant securities making up 79% of Bursa Malaysia listed securities, there is potential to further develop our Islamic capital markets and Maybank IB will continue to play an active role in making Malaysia a leader in this space.”
Maybank IB’s inclusion follows the recent announcement of CGS-CIMB Securities Sdn Bhd and Kenanga Investment Bank Berhad as Approved Supplier and User Representatives under the ISSBNT Framework. To date, there are 179 Shariah-compliant securities eligible for ISSBNT transactions, as reviewed and approved by the Securities Commission Malaysia’s Shariah Advisory Council.
