Malaysia is made up of many innovative businesses looking to contribute to the nation with their forward-thinking technology or ideas. If you own a business like this, you’ll need to register your intellectual property if you haven’t already.
Intellectual property (IP) refers to intangible creations of the human intellect – like logos, inventions, publications, designs, slogans, and more. It is a form of property, and they’re integral to your business.
Why Is IP Important?
As a business owner, protecting your business assets like designs and technology is essential to the core services of the business. When you have a great business idea going on, someone may want to duplicate it and profit without your consent. So how can you prevent this?
By registering your intellectual property, of course. Without IP protection, trying to chase up guilty party can be time-consuming, and maybe even fruitless. Registered owners have the exclusive right to use their IP in business. They may also take legal action for infringement, which is when another company or individual uses their IP for their own profit. As a business owner, it is your responsibility to ensure that no one else is mis-using your assets.
IP protection also serves companies with a competitive advantage in the market. For small-to-medium businesses, it is even more important to register your IP so competitors can’t duplicate your success to take away your market share.
Types Of IP
Intellectual Property Corporation Malaysia (MyIPO) is the official government agency that oversees intellectual property regulation in the country. The organization recognizes 6 types of IP. Businesses may register their intellectual property with MyIPO.
1. Patent – A patent is an exclusive right granted for an invention, which is a product or a process that offers a new technical solution to a problem.
2. Trademark – A trademark is any sign that may be represented graphically, capable of distinguishing goods or services of one business from another. Make sure your product qualifies to be within these 45 classes before applying for a trademark.
3. Industrial Design – An industrial design is the ornamental or aesthetic aspect of an entity that appeals to the eye.
4. Geographical Indication – A geographical indication is a sign used on products that have a specific geographical origin and possess qualities or a reputation due to that origin. Sarawak Pepper is an example of a Geographical Indication IP of a pepper-based product produced in Sarawak.
5. Copyright – Copyright is a protection given to authors, copyright owners and performers of their copyrighted work like literary works or broadcasts.
6. Layout-Design Of An Integrated Circuit (IC Design) – A layout design of an integrated circuit encompasses the particular logic and circuit design techniques required to design integrated circuits.
IP Protection Is Not An Option, It Is A Must
Although it is not mandatory, the ideas of business owners who did not register for IP protection are at risk of being plagiarised or worse – registered as someone else’s IP. Someone else may get the rights to use your ideas without permission.
Interested business owners may register for IP protection online or in person at MyIPO customer service counters. Plus, protecting your business assets can actually be quite affordable. For example, trademark registration only requires entrepreneurs to spend RM950 once for 10 years. This means that the trademark will be protected by law for 10 years. After that, business owners may renew their trademarks.
During the registration process, MyIPO will conduct examinations to ensure that the IP is new and not yet owned by any party. They will also take steps to make sure that it complies with the IP acts. The rightful owner of the IP will receive a certificate of proof. If anyone tries to copy your business ideas, you may choose to take legal action.
Protect Your Business Ideas & Assets Today
You’ve spent so much time, effort, and money trying to build your business from scratch. Why not invest just a bit of effort into getting your IP registered?
There are many advantages to having IP protection like officially calling an idea or a product your own. Plus, it helps your business stand out from its competitors. Whether you’re a small, medium, or large organization, IP protection can help your company claim its identity.
Don’t take IP protection for granted, register now with MyIPO at myipo.gov.my.
Global economies have faced a number of challenges in recent months, leading to depressed stock market returns. The ongoing Russia-Ukraine war continues to have ripple effects on the global economy. And although most countries have gone back to business as usual following the peak of the COVID-19 pandemic, the virus is probably not going to fully disappear.
In addition, China’s “Zero-COVID” policy has been weighing on economic activity there. Other well-known market challenges include rising inflation and interest rates, as well as the surging US dollar.
Despite these headwinds, emerging economies continue to prove their resilience. We believe it is now a compelling time to consider emerging markets equities, even as many investors are less focused on the asset class.
Conventional And Consistent Policies
Policies in emerging markets have generally been more conventional and consistent than those of developed markets, which we believe will ultimately lead to more robust economies relative to their own history and relative to developed markets. In contrast to developed markets in the post-global financial crisis period, emerging economies did not experiment with negative interest rates.
They have generally had upward-sloping, traditional yield curves over the past decade. During the recent pandemic, policymakers in emerging markets generally did not pursue very aggressive fiscal support plans, which means they did not blow up their sovereign balance sheets. Contrast this with developed markets like the United Kingdom, for example, which pursued aggressive fiscal expansions.
As inflation began to accelerate post-pandemic, emerging economies were also preemptive in tightening interest rates. Thus, while the United Kingdom, the eurozone and the United States are still trying to catch up with rising inflation, many emerging economies have largely completed their tightening cycles.
Brazil, for example, started tightening in March 2021, and has made 12 consecutive rate hikes. Inflation has been decelerating there in recent months, leading the central bank to pause its hiking cycle in September. The US Federal Reserve, meanwhile, did not start raising rates until March of 2022.
In addition, emerging economies are typically less leveraged at the sovereign, corporate and household levels. For example, in Mexico, the household debt-to-gross domestic product (GDP) ratio is only 16%, compared with the United Kingdom’s ratio of around 90%. 1
At the stock level, emerging markets offer investors opportunities in high-quality and high-growth companies. They are home to some of the most innovative, technology-oriented companies in the world—companies that are building the digital architecture around us. These include hardware and software suppliers as well as semiconductor manufacturers.
Some are even responsible for the transition to decarbonization. Many emerging market companies are global leaders in the production of electric vehicles and electric batteries, and in renewable energy such as in solar manufacturing.
Attractive Valuations
Emerging market equity valuations are trading at near historic discounts versus the developed world. In our analysis, the relative profitability between these two asset classes does not warrant the current 45% discount on a price-to-book basis.2
Also, relative to its own 15- to 20-year history, emerging markets as an asset class is one of the few that looks cheap to us. The MSCI Emerging Markets (EM) Index, a benchmark representing the asset class, is now trading at close to 10 times forward earnings, compared to around 18 times for the US S&P 500 Index (S&P 500).3
Increased Dividends And Buybacks
Emerging market companies have recently been increasing their dividends. They have been using their cash flows to distribute dividends to shareholders rather than deploying capital given uncertain growth outlooks. Company managements have also been seeing value in their equities, resulting in increased buyback activity.
In our opinion, these increases are temporary. In this volatile environment, these dividends and buybacks are appreciated, but we would prefer companies invest in their own businesses for secular growth opportunities.
While we believe the persistence of high dividend levels is unlikely to remain at the current 4% level, there has been a sea change in how emerging market companies think about capital optimization and balance sheet management.4
Over the past 20 years, approximately 2.5% of annualized total returns of 9% have come from dividends. 5 Thus, there has been dividend support to the asset class, which many investors may not realize.
Increasing Optimism
Over the long term, we are increasingly optimistic about emerging market economies. Despite the current environment of slowing growth, rising inflation and geopolitical issues globally, we have confidence in both the emerging markets asset class and our strategies.
We continue to seek high-quality business with solid balance sheets, competitive advantages and attractive valuations.
Sources
1. Sources: CEIC, “Mexico Household Debt: % of GDP,” June 2022. CEIC, “United Kingdom Household Debt: % of GDP,” June 2022.
2. Source: Factset. Price-to-book ratio is a financial ratio used to compare a company’s current market value to its book value.
3. Sources: MSCI, Nasdaq. The MSCI EM Index is a free float-adjusted, market capitalization-weighted index designed to measure the equity market performance of global emerging markets. The S&P 500 is a market capitalization-weighted index of 500 stocks designed to measure total U.S. equity market performance. Indexes are unmanaged and one cannot directly invest in them. They do not include fees, expenses or sales charges. Past performance is not an indicator of future results. See www.franklintempletondatasources.com for additional data provider information.
4. Source: Factset.
5. Source: Factset, FTEME.
About the Author
Andrew Ness, Portfolio Manager, Franklin Templeton Emerging Markets Equity
When we are young, saving for retirement might not seem urgent. It feels like something that we can focus on later, especially since there are other more pressing and immediate financial commitments. However, we want to emphasise the hard truth: Retirement Is No Joke! That’s why we have the Private Retirement Scheme to help us all out.
Why Should You Save For Retirement?
We Malaysians are expected to live until we reach 75 years old. However, we retire at 60 years old. That means, we can expect to live at least 15 more years without receiving regular salaries.
Some of us may be fortunate enough to receive monthly pensions or be able to rely on our EPF savings. Nonetheless, research has shown that merely having pensions or EPF savings may not be enough.
Some of us may have children who are working and earning salaries. Although they can provide for us, do we really want to burden them, especially if they have children of their own to care for?
Growing Your Retirement Savings
We don’t just want to save our money. We want it to grow. The way to do that is by investing our savings. A viable option is to invest in Unit Trust Schemes (UTS) or Private Retirement Schemes (PRS).
Investing in UTS and PRS is one of the simplest forms of investing. It doesn’t require large amounts of money, time, or expertise.
All you need to do is approach a UTS/PRS Consultant or Distributor. They will assist you to invest your savings into a UTS/PRS fund that is suitable for you. That fund’s investment will then be managed by a licensed professional fund manager.
Remember that life is a marathon, not a sprint. If your retirement is still some time away, it will give you a lot more time to prepare for it. This means that your retirement fund can grow substantially simply by you putting aside some money consistently and invest them over a long period of time.
To maximise your savings, the key is to start early. Just like in a marathon, every now and then, you should keep track of your progress and ‘refresh’ yourself. As your salary increases, revisit your periodic contributions, and adjust accordingly.
After retirement, most of us will not have a fixed salary anymore. However, expenses remain. As such, your target savings should be one which can sustain your desired future lifestyle.
How much should you save?
You can refer to a retirement calculator. All you have to do is key in the requested details. Then, the retirement calculator will calculate for you the amount of savings you will need as well as the projected savings you will have based on your current savings amount.
From there, you can calculate the shortfall and determine how much you should be saving on a regular basis.
Consistency Is Key
Remember to pay yourself first! Most of the time, once people receive their salary, they will save whatever remains after paying their bills, taxes, loans, groceries, and other expenses. However, this practice can lead to inconsistent savings. It is best that you allocate a fixed amount for your retirement savings first, before spending on your other commitments.
Likewise, do NOT take ‘savings holidays’ or defer your savings contributions. You must be consistent!
It would be ideal if you can consider signing up for a regular savings plan when investing in a UTS/PRS. This plan will, on a regular basis, automatically deduct money from your bank account and channel them towards investing in UTS/PRS. Hence, you can ensure that you will be consistent in your savings.
Name A Nominee For Your Private Retirement Scheme
Essentially, a nominee is the person who will inherit your savings/investments in the event something happens to you. Hence, it is essential that you elect a nominee.
Even if you don’t name a nominee, your next-of-kin can still receive your monies from the Private Retirement Scheme. However, the process is a lot more difficult and expensive because he/she will need to prove his/her entitlement. By naming a nominee, the process is a lot easier and more cost effective.
If you have not yet named a nominee, you can contact your authorised UTS/PRS Consultant and he/she will help you with the process of smoothening out the process of taking out the money from your Private Retirement Scheme.
Retirement is no joke! We want to enjoy our retirement comfortably and without any financial worries. As such, we must start saving for retirement early and doing so in a safe and disciplined way. Now you know why the Private Retirement Scheme is necessary to supplement your retirement funds.
This article is in collaboration with The Federation of Investment Managers Malaysia (FIMM), a self-regulatory organization (SRO) that regulates the marketing and distribution of Unit Trust Schemes (UTS) and Private Retirement Schemes (PRS).
Visit www.fimm.com.my for more information on PRS, Unit Trusts, and UTS & PRS Consultants.
Experian Information Services (Malaysia) announced its Trade Bureau Industry Debts Turned Cash (i-DTC) study which measures credit repayment data between September 2020 to August 2022. In this analysis, Malaysian companies and small and medium-sized enterprises (SMEs) were examined across seven key industries including: Construction, and Hospitality/Food & Beverage.
Dawn Lai, Chief Executive Officer of Experian Information Services (Malaysia), says “Our i-DTC study examines the impact of the COVID-19 pandemic on Malaysian businesses, both large and small. This together with Experian’s extensive credit data provides valuable data and analysis for future events of a similar nature, giving business stakeholders more actionable insight into the broad measures, both at entity, economic and fiscal levels, to build a more resilient and sustainable economic ecosystem for Malaysia in the face of a more volatile global economy.”
Dawn Lai, Chief Executive Officer of Experian Information Services (Malaysia)
Overview: Malaysian companies and SMEs make broad cash flow recovery
Malaysia’s economy has gone through challenging times because of the pandemic and external factors like geopolitical tensions and the rise in global commodity prices leading to inflation. SME Bank’s inaugural SME Sentiment Index has shown a positive reading of 53.8, which indicates that SMEs are optimistic about the current economic recovery phase, however, many are still in need of financing aid to manage their working capital and struggle with rising operating costs due in part to supply chain disruptions, higher raw material prices and increased labour costs.
Figure 1: Experian i-DTC by months (September 2020 – August 2022)
The average Experian i-DTC on a rolling 12-month basis has reduced (74 days in July 2021 vs 68 days in June 2022). This indicates that there is a broad cash flow recovery for the last 12 months as compared to the same time last year. This is largely due to the opening of the economy in normalising trading activity and strengthening the economy towards recovery and growth.
Malaysia’s gross domestic product (GDP) growth in the second quarter of 2022 rose by 8.9%and this growth momentum is likely to continue in the second half of 2022. In addition, recent official estimates are still buoyant despite inflationary pressures, a weakening Ringgit and trading conditions influenced by geopolitical tensions around Asia and the conflict in Eastern Europe.
Corporations vs SMEs
Corporations have been able to weather liquidity pressures, and their ability to borrow remains stronger than their SME counterparts. Conversely, SMEs have seen a softening of cash flow stresses, but recovery is flat around 72-73 days from May to August 2022. Smaller enterprises remain cash vulnerable particularly with recent inflationary pressures, competition for labour, difficulty in securing loans and the rising cost of borrowing (interest rates).
Figure 2: Experian i-DTC Corporations vs SMEs (August 2021 – August 2022)
SMEs in the Hospitality / F&B sector recorded thebiggest recovery on a YOY (Year-On-Year) basis, with an i-DTC of 89 days over the same month last year (August 2021), improving by 28 days to 61 days in August 2022. The easing of travel restrictions in April 2022 has had a positive impact on both inbound and outbound tourism.
According to CBRE Asia Pacific’s latest report, Kuala Lumpur Hotel Market Outlook & Prospects 2022, more than 3,000 new hotel rooms and hotel suites are slated to open in Kuala Lumpur this year. Also, between 2023 and 2025, 1,260 new hotel rooms will be available. Restaurants, cafes, and those in the food business are also seeing increased foot traffic, improving their sales performance. Liquidity and access to capital remains key to SMEs in this sector as they seek near-term expansionary measures to scale their operations for growth.
On the other hand, corporations in this sector are demonstrating a reverse trend of slower payments in recent months since early 2022. With the country having entered an endemic phase of COVID-19, access to manpower continues to challenge hoteliers, travel agencies, restaurants and cafes in scaling their business to full capacity, despite growing domestic and international demands. Many in the sector have called for the government’s support to expedite foreign worker approvals to meet urgent manpower requirements to drive recovery.
Figure 3: Experian i-DTC Hospitality/F&B Corporations vs SMEs (August 2021 – August 2022)
In the Construction sector, corporations and SMEs benefited from recovery in the sector across the last 12 months. The government has implemented various initiatives to support the construction sector to bounce back from the impact of the global economic crisis. This includes the plan to establish the Public Private Partnership (PPP) 3.0 model, a specialised mechanism to fund infrastructure projects in the 12th Malaysia Plan (12MP) between 2021 and 2025, as well as several incentives to improve employment rates and support businesses.
Compared to a year ago, Construction SMEs have managed to see a 21-day improvement from August 2021 to August 2022. Conversely, the large corporation construction sector has also seen a 34-day improvement over the same period as construction projects and activity resume.
Figure 4: Experian i-DTC Construction Corporations vs SMEs (August 2021 – August 2022)
Dawn Lai, Chief Executive Officer of Experian Information Services (Malaysia), explains: “With global inflationary pressures expected to persist, it is commendable that the government continues to provide support through the many subsidies put forward for Budget 2023 to help Malaysia weather the headwinds. From our observation, monitoring of suppliers, clients and cash flow continues to be important for Malaysian companies to be able to ride through the tides of uneven economic recovery.
Cash preservation will continue to be the focus for smaller Malaysian enterprises where they have less ability to demand preferential credit terms from their clients.”
As outlined by the government in Malaysia’s Digital Economy Blueprint (MyDIGITAL), companies will also need to understand the importance of big data and being data-driven. “This will help SMEs have tangible results and be able to predict their customers’ actions. SMEs can succeed by making a concerted effort to enhance their knowledge, digital capabilities, and managerial practices,” adds Lai.
About Experian
Experian is the world’s leading global information services company. During life’s big moments – from buying a home or a car to sending a child to college, to growing a business by connecting with new customers – we empower consumers and our clients to manage their data with confidence. We help individuals to take financial control and access financial services, businesses to make smarter decisions and thrive, lenders to lend more responsibly, and organisations to prevent identity fraud and crime.
We have 20,000 people operating across 44 countries and every day we’re investing in new technologies, talented people, and innovation to help all our clients maximise every opportunity. We are listed on the London Stock Exchange (EXPN) and are a constituent of the FTSE 100 Index.
Learn more atexperianplc.com or visit our global content hub at our global news blog for the latest news and insights from the Group.
The book title Selling with Consciousness itself spurs a sense of curiosity as the word consciousness is not often associated with selling. One might think the word, “consciousness” is superfluous. After all, isn’t selling a conscious effort?
This is where Olivia Lee’s book stands out from the many other books written about selling. Olivia Lee is not your normal sales lady thriving on pushing her products in the marketplace, instead she uses the Selling With Consciousness method.
The approach she used in Selling with Consciousness has won her a string of awards both for her company as well as for herself amongst which includes the following.
Industry Icon Award 2021 by IR Academy Asia Awards
McMillan Woods Global Awards 2019
The Star Outstanding Business Award (SOBA) 2019
ASEAN Outstanding Business Award 2019-RFID Security Excellence Award
Innovative Excellence Award 2019
Business Dynamism Award 2017
Selangor International Business Summit 2017 – Business Excellence and Innovation Award
The Start Outstanding Business Award(SOBA) 2016
The Brandlaureate SMEs BestBrands Award – 2016-2017 Signature Award
SIRM Quality Award 2013
FMM (Federation Malaysia Manufacturers) Excellence Award 2012 – Manufacturer of the Year
In her book, she explained that her sharing of these numerous awards is not to impress the readers but to impress upon them the effective principles of conscious selling that have enabled her to become a top salesperson in her industry – the casino industry where she sells software and security seals.
She hopes that her sharing of her many years of valuable sales experience can inspire those sales professionals to reach the top in their sales career too. She pointed out that even though the selling field is indeed very challenging, however, there is a better and more effective way to excel.
This is why she wrote this book to share her secrets. In the years of working with all kinds of people from the ground up to the level of founders and top leaders, she had accumulated vast experience and insights regarding the effectiveness of selling in different situations.
She had faced sales rejections and failures. She had come from the depths of despair to achieve top sales in her industry. She explained that she had personally seen salespeople, including professionals who were highly educated and qualified, yet failed to make the grade as top salespeople.
While there are many reasons, here are some of the more poignant ones:
They are not conscious of their weaknesses or flaws
They are task-driven instead of customer-oriented
Their approach is too product-oriented, losing the awareness of the importance of relationship selling
They are complacent and are not up to date on industry trends and their competitors’ strategies and their strengths
They are too inward-looking, focusing on internal issues rather than the industry
They carry too many worries and negativity, thus blocking their effectiveness in selling
Selling with consciousness is the awareness of whatever is happening during the entire selling process from prospecting, researching, preparation, strategizing, presentation, handling objections, closing, and the sales follow-up. The effectiveness of selling comes from moments of total presence, free from the clutter of the mind.
As recommended in her book for sales to be effective, there should be an integration of three critical components that can help achieve a greater sense of selling with consciousness to enable one to be totally present throughout the entire sales process.
The book shares a useful framework for tapping into selling with consciousness as shown below:
Selling With Consciousness Framework
Selling with consciousness framework
The book highlighted that one’s preoccupation with worries about the present as well as the future can affect one’s effectiveness in sales and hence the outcome. Some examples of distractive thoughts often go like these:
What if I said the wrong thing and mess up my presentation?
What if I lose this sale and it would be difficult to get another client with such big potential?
What if the potential client asked me some critical questions and I could not answer them?
Thus to stay on top of one’s field, what is needed is to disengage our thoughts from the distractions of our current worries or concerns about the past and focus on what is at the present moment.
Of course, there is no substitute for the solid fundamentals of the business or work if one is to do well in one’s field. One would need to acquire whatever knowledge and skills that are needed to excel and succeed. Olivia cited the example of one of her earlier jobs where she started as a remisier she had to familiarize herself with all the rules and regulations on all kinds of securities and learned every nitty-gritty of the trade and be updated on developments in specific companies and industries.
She developed her knowledge and skills as a dealer’s representative to the level where at one point she was buying and selling shares for prominent business clients with a portfolio of over RM100 million.
The final component that helps one to focus on the present is embracing positivity which is defined in the book as the engagement of positive thinking, feeling, and actions aligned to a positive outcome. As shared by Olivia, a sense of confidence, calmness, enthusiasm, energy, and aliveness are critical to ensure the best outcome. Such an atmosphere cannot come from a place of negativity. A salesperson must indeed embrace this positivity if he or she wants to succeed.
In essence through the three components of disengaging from the distraction of thoughts, unleashing knowledge and skills, and embracing positivity, one can become totally present and conscious of the whole selling process. One becomes conscious of customer needs, company products, competitors, the company, suppliers, the industries, and of course oneself.
The book also touches on the techniques of meditation in embracing consciousness to achieve inner peace and calm that enables one to tap into one’s inner source of “knowingness” and excel in whatever one does including sales presentation and closing sales.
It is through this experience of total consciousness; a salesperson becomes very focused and effective and hence successful in selling. Read this book and you too can rise up to achieve top sales in your industry, as you begin to understand the power of selling with consciousness.
Dr Victor SL Tan is the Managing Director of KL Strategic Change Consulting Group and the author of 14 books. His passion is in consulting, training and writing. For more information contact him at 0123903168 or email him at victorsltan@klscc.com
Quantitative and algorithmic trading is a field in finance that deals with high-frequency trading. A large number of people from all over the world are flocking to this field. It is a highly competitive field and requires an in-depth knowledge of the financial markets, advanced mathematics and coding skills.
Because of their capability to rapidly process huge volumes of information and forecast future market trends, quant traders have seen an increase in development in recent years.
Algorithmic trading is a type of automated trading that uses mathematical models to execute trades. Algorithmic trading is a form of automated trading that uses algorithmic techniques to generate, monitor and execute financial trades.
Most aspects of finance have been automated, and securities trading is not any different. Algorithms are intended to help with trading automation, and stock exchanges rely on them. Because of the speed of execution and reduced operating costs, institutional investors as well as big finance companies prefer algorithmic trading.
In these kinds of trades, there is no human intervention. Rather, these trades are carried out in accordance with pre-written guidelines.
Algorithmic trading reduces intermediaries, aids in increasing order execution speed and gives traders a sense of security and reliability. As can be seen, the market for Algorithmic Trading is steadily developing and playing a crucial role for traders.
Because of its vast use of statistical equations in strategy development, it aids in making fact-based decisions. It assists in achieving optimal results by quickly and accurately calculating and analysing trade orders. Furthermore, it reduces the reliance on emotions as well as other judgements by making decisions based on data.
It investigates various market indicators and market conditions that influence trading strategies. As a result, it continuously monitors and tracks trading activities in the event of market changes. Algorithms are programming languages that carry out different orders and directions.
It aids in the reduction of manual mistakes that could happen in trading due to a variety of aspects. As a result, it develops and executes strategies based on both historical and real-time data.
It also minimises issues and mistakes that could lead to risks. It accelerates trading activities and facilitates different stages in order to execute strategies on time.
It also facilitates decision-making by employing high-frequency systems which help address intricate math equations.
Even an experienced trader would also require a few seconds to place a trading order. That’s a lot of time for the price to move significantly in this age of high-frequency trading. In that time frame, the algorithm will already have placed and secured thousands of orders.
Human precision and efficiency limitations can cost endless possibilities.
Accuracy
In algorithmic trading, the strategies are accurate most of the time when it comes to dealing with operational aspects of trading. For example, while filling in the order details, humans can commit errors due to loss of concentration or other factors like emotions.
Back-testing
Automation is widely used not only for trade execution but also for strategy validation. To evaluate the performance of any strategy used in live markets, it is tested and tried on historical data. This is referred to as backtesting the strategy.
Backtesting provides critical information about the strategy’s past performance.
Why Algorithmic Trading Is Growing Rapidly?
Algorithmic trading has risen to prominence over the last few years. It is credited with the accomplishment of some of the best functioning and efficient hedge funds. Algorithmic trading, untainted by the emotional state of people and inhibiting response time, executes trading commands rapidly and accurately.
Some of the most crucial reasons why people want to learn algorithmic trading:
Placing jobs in the field of Financial Technology
Developing a data-driven approach to trading
Setting up one’s own algo trading desk
Reducing manual-related risks in trading
Risk management
Trading is happening in microseconds and even nanoseconds. A single millisecond accounts for millions of dollars in net sales annually from market trades. Aside from ease of use and customization, some of the many beneficial characteristics of Algorithmic trading include confidentiality, speed, and accuracy.
Conclusion
Algorithmic trading provides traders with numerous opportunities. It broadens horizons in order to achieve the best possible results for trading activities. Furthermore, the use of algorithms results in the systematic execution of trade orders. It also helps to eliminate any psychological or emotional preconceived ideas.
It offers viable alternatives by streamlining tasks as well as executing trades adequately. By undergoing an algorithmic trading course, you can enhance your skills and abilities in trading.
Algorithmic trading is a trading revolution. Furthermore, as a result of Algorithmic trading, traders and their techniques are emerging. Traders use mathematical and statistical methods to devise a strategy for expanding their purview.
As a result of trading breakthroughs, traders must consistently learn and acclimate to a changing market. In consideration of the diverse advancements that drive the industry, it is essential to build skill sets. Traders must also be aware of the advanced technology and variables that influence their financial activities.
Dive into the wonderful world of Algorithmic Trading today!
The following story is based on an actual series of events with some names and circumstances fictionalised and any similarity to the name, character or history of any person is entirely coincidental and unintentional. Hopefully by following this decluttering tips, you will be able to safeguard your wills so much better.
Mama Lucy is so into Marie Kondo to the extent that she has been increasingly NOT sparking joy in her family members.
Her obsession with decluttering tips has been annoying for her family members after she came to know of Marie Kondo who gained world fame for her Japanese art of decluttering and organising.
This was especially so in the run up to her move from the family’s 3-storey house to a two-room condominium unit. A day did not go by before her daughter and son receive calls telling them that she is getting rid of their this and that as they no longer spark joy!
Decluttering Tips: Don’t Overdo It
Daughter Jane and son Jay, who have started families on their own and moved out, will then have to make trips that very day to their family home to take the items that they wanted, otherwise those would end up in the garbage bag.
“Her OCD behaviour is eating me up,” Jay would gripe to Jane, whose tolerance of Mama Lucy’s obsessive-compulsive disorder too had reached her limit. Mama Lucy had even coined her own mantra, Mati Kosong, in an adaptation of the Marie Kondo acronym for her decluttering mission!
The siblings hoped their worries about her Mati Kosong obsession would dissipate after their mum finally moved to her new condo. They were right until a week later after the move…
Decluttering Tips: Safekeeping Of Wills
Photo by Scott Graham on Unsplash
Jane received a frantic call one evening. Her mum at the other end went like a runaway train… “I can’t find my Will. I took it out from the Will Custody Centre. I wanted to make changes to the Will. I just remembered it and have been looking for it the whole afternoon…
“I have looked into the boxes and everywhere. What should I do…?” her voice trailed off.
It should be worrying. A Will that cannot be located is like not having a Will. Luckily for Mama Lucy the discovery of her loss of the Will was not after her demise which would put her children through a lengthy and arduous process of getting a Letter of Administration before the distribution of her assets could take place.
Mama Lucy had been prudent in keeping her Will in a Will Custody Centre prior to taking it out for review. Now, having lost it, she needed to go through the process of writing a new Will and making sure that it is safely kept and easily retrieved at the crucial time.
A professional Will custody company like Rockwills Corporation Sdn Bhd which specialises in providing custody and protection of Wills ensures that Wills are kept confidential, free from any tampering and safe from any accidental or deliberate destruction.
A strong room with fire resistant walls and doors, motion and smoke detectors, non-explosive lightings, and humidity control safeguard such important documents from accidental damage or destruction as in fire or flood.
Biometrics security features allowing access only through card and fingerprint and 24-hour security are part of the secure system that include tight security processes of regular audit to ensure Wills are kept secure at all times.
The additional feature of security stamp embossing in each page of the Will also ensures Will in custody are tamper-proof.
Easy location is another merit of a Custody Centre. Legal representatives of the testator simply needs to provide the custodian with the death certificate and proof of identity, for the Will to be released to execute the process of the distribution of the estate.
Hope you enjoyed the decluttering tips, just make sure that you don’t overdo it.
Rockwills International Group, now in its 27th year, pioneered professional will writing in 1995 and has since evolved into the leading estate planning specialist in the country. It is today the largest provider of solutions and support services in the areas of trusts, succession, management and distribution of wealth. It has shareholders’ funds exceeding RM50 million. It has done over 280,000 wills and 15,000 trusts and hold more than RM25 billion in assets under trust.
The Securities Commission Malaysia (SC) and key agriculture agencies have discussed ways to address financing gaps faced by Micro, Small and Medium-sized enterprises (MSMEs) involved in the agriculture sector in a bid to boost the country’s food security.
Some 40 representatives from agencies and industry players this week attended a workshop called GROW® – a new collaborative programme under SC’s fintech flagship initiative, SCxSC.
GROW® is a collaborative effort by the SC and ecosystem partners to harness the potential of alternative fund-raising digital platforms to meet the needs of underserved players in strategic sectors, such as agriculture.
Equity crowdfunding (ECF) and peer-to-peer (P2P) financing were among the alternative financing mechanisms that were addressed during the workshop as potential ways to help fund the sector.
The SC Chairman Dato’ Seri Dr. Awang Adek Hussin stressed the importance of broadening access to the capital market for local businesses.
“We have seen how technology has democratised financing via digital platforms such as ECF and P2P financing,” he told the workshop. “We believe these alternative financing avenues have the potential to address some of the funding needs of the MSMEs in the agriculture sector as well.”
Senior officials from relevant ministries, agencies and key players in the agriculture ecosystem attended the one-day workshop. They include the Ministry of Agriculture and Food Industry, Federal Agricultural Marketing Authority (FAMA) and Agrobank.
At the workshop, participants called for greater ecosystem coordination to move the agriculture sector forward and strengthen the country’s food security.
They also emphasised the need for greater awareness on the role of alternative financing for the agriculture sector. They welcomed the development of more innovative financing instruments to cater to the diverse agro-business needs.
Following the workshop, the SC plans to have greater industry engagements with key stakeholders next year including organising a GROW® Fintech Conference. This will be followed by a nationwide GROW® roadshow to raise awareness on ECF and P2P financing as viable funding options for agro-based MSMEs to grow their businesses.
These programmes will complement ongoing efforts by the government to support alternative fundraising by agriculture businesses such as the Malaysia Co-investment Fund (MyCIF).
MyCIF, a public-private co-investment vehicle administered by the SC on behalf of the Ministry of Finance, has observed a greater uptake of ECF campaigns in the agriculture sector after implementing a special ratio of 1:2 in 2022 for this sector. MyCIF invests RM1 for every RM2 raised from private investors on the participating platforms by eligible issuers.
It has co-invested in a range of agriculture projects in upstream and downstream activities, including firms applying technology to improve agriculture yields and aquaculture production.
About the Securities Commission Malaysia
The Securities Commission Malaysia (SC), a statutory body reporting to the Minister of Finance, was established under the Securities Commission Malaysia Act 1993. It is the sole regulatory agency for the regulation and development of capital markets. The SC has direct responsibility for supervising and monitoring the activities of market institutions, including the exchanges and clearing houses, and regulating all persons licensed under the Capital Markets and Services Act 2007. More information about the SC is available on its website at www.sc.com.my. Follow the SC on twitter at @SecComMy for more updates.
It has been reported that RM5.2 billion were lost to frauds in just two years. The amount is just staggering, and the rise of internet and social media have somehow made the problem even bigger.
Smart Investor spoke with Maheswari G Kanniah, Group Chief Regulatory and Compliance Officer at Kenanga Group answer to find out more about fraud, its impact on investment and the upcoming Kenanga Fraud Awareness Week 2022.
Maheswari G Kanniah, Group Chief Regulatory and Compliance Officer at Kenanga Group
Smart Investor: In comparison to last year’s Fraud Awareness Week, what is Kenanga doing this time around? Anything different for Fraud Awareness Week 2022?
Maheswari G Kanniah: Since its inception in 2017, Kenanga’s FAW has always been about raising fraud awareness and highlighting the importance of fraud detection and prevention.
This year’s 6th FAW continues with the same objectives and in light of the current situation that we are in and noting the risks for fraud increases, the 6th FAW’s theme is Reaffirming Ethical and Moral Resilience for Good Governance. With this, Kenanga seeks to reaffirms our belief that high ethics and moral are the cornerstone for good governance, which is undoubtedly an important factor in the anti-fraud agenda. It is our aim that, by gathering a larger audience from various different industries and sectors, we could further amplify the message on fraud prevention and detection to the general public.
Similar to the last 2 years, all programs for the FAW, including the Opening Ceremony, FAW Games and Talk Series, are undertaken virtually or online. While we have a whistleblower speaking at our Opening Ceremony and Talk Series in 2021, this year, we not only have a whistleblower but also an investigative reporter who will share his experience in exposing a major fraud case. This will further shed some lights on the importance of speaking up culture as a mean to protect interest of all, an organisation and people alike.
Additionally, for the FAW Games, we have also introduced new format of games with educational elements remaining as the key factor. We hope to challenge minds of the participants and further broader their thinking into various different areas of fraud and anti-fraud.
SI: Post-pandemic, multi-level fraud cases have been on the rise. Could you render some opinions/thoughts on this current situation?
MGK: As the pandemic unfolded in 2020, many Malaysians saw their lives swiftly reshaped by stay-at-home orders, school closures and the onset of remote work. Amidst slowing economic activities, pandemic has led to a surge in e-commerce and accelerated digital transformation. As lockdowns became the new normal, businesses and consumers increasingly “went digital”, providing and purchasing more goods and services online.
Post pandemic, this is no longer a new normal but many people are already accustomed to the changes by relying on technology to carry out their day to daily activities, from banking to even groceries shopping. This has unfortunately led to the rise of fraud cases, notably involving online and digital fraud.
Although the benefits of technology are many, I strongly feel that there is a need to create awareness and educate people on the danger that also comes with it. In this respect, not only the regulators have a role to play, the financial institutions (FIs) should also play their part to reach out to their clients and public on the importance of fraud prevention and detection.
At the same time, while the regulators and FIs continue to do their part, the public should also take responsibility to exercise good judgment and extra caution when going online or digital. This includes being vigilant of signs of scams and unlicensed activities so as to avoid falling victim to such unscrupulous parties.
SI: How is fraud affecting the way people invest today? Has it caused an increase in hesitance to invest?
MGK: The increase in fraud cases has to a certain degree affect investors’ decision. Investors are seen more careful to place trust on FIs to manage their monies. Before attempting or indulging themselves into any financial investment(s), investors are more cautious and some even carry out thorough research to verify the authenticity of the investment opportunity. This is, to a certain extent, a good sign as it provides a layer of protection to the investors.
From the FIs perspective, this could mean less opportunities for business due to overly careful considerations by the investors. Some hesitant investors would think twice about the value of the investment and may want to experience the opportunity loss to convince themselves of the authenticity of the investment.
We also see that the with the efforts taken by the regulators and FIs to educate and raise awareness, investors are also being more cautious and warier of any scams. However, fraudsters are also continuously adapting their modus operandi and using new technological tools in their attempts to perpetrate fraud.
SI: What are the most prevalent types of fraud that Malaysians should be cognizant of?
MGK: Online or digital fraud which involved scams, phishing and identity theft are on the rise. This increase was in fact driven by COVID-19 pandemic where more transactions have since moved online.
As more people embrace digital transactions, more opportunities are created for fraudsters and this has further increased the risk of digital fraud. Fraudsters have made use of technology to scale up the complexities and scope of their operations. Through technology, fraudsters are able to undertake globally universal scams with shocking ease and constantly shift their approach to find new vulnerabilities.
In this regard, although FIs are expected to update and upgrade their security measures, this is simply not enough to prevent all financial fraud. There is also a paramount need to educate public on new and emerging threats of fraud. Reminders and greater awareness will not only reinforce the need for constant vigilance from all parties, but also create an environment where everyone is risk conscious and responsible in protecting the interests of each other.
SI: It is reported that RM5.2 billion were lost to frauds in just two years, why do you think people still fall for fraudsters? And what can be done to reduce the number of victims?
MGK: Fraud risk is constantly evolving as scammers continue to devise more sophisticated means of defrauding the public. Nowadays, we could hear new different approaches of tricking the public into revealing their confidential details or installing malware on their devices. Fraudsters are also taking advantage of fear and anxiety of the people, which lead them to make poor decisions and hand over security information to malicious actors.
Further, as I have stated before, as more people embrace digital transactions, more opportunities are created for fraudsters and this has further increased the risk of digital fraud. In this respect, we all have a role to play by being vigilant of emerging scam typologies and ensuring that response measures remain effective against new threats.
As mentioned earlier, regulators such as Bank Negara Malaysia and Securities Commission Malaysia have undertaken numerous on-going campaigns highlighting the matters that investors should look out for when investing and also publishes the Financial Fraud Alert List or the Investor Alert List as a guide to enhance the awareness on entities or schemes which may have been wrongly perceived or represented as being licensed or regulated by the regulators.
In the end, I strongly believe that the public should take charge to educate and keep themselves updated of new and emerging threats of fraud. The FIs can only do as much to carry out their responsibilities and the key responsibility to protecting public from falling into any fraudulent scheme is the public themselves.
SI: What does Kenanga hope to achieve in this year’s FAW campaign?
MGK: In line with our theme this year, we aim to continue spreading the message of anti-fraud and to highlight the grave impact that comes from failure to protect oneself from fraud and scams. From within, we will continue to strengthen Kenanga’s core by equipping our employees with the necessary knowledge and realisation of the importance of anti-fraud. The employees are our first line of defence and main safeguards against the threat of fraud.
As far as for educating our clients, we have various targeted campaigns to highlight the steps they should take to protect themselves from fraud when investing with Kenanga. For example, we have from time-to-time issued explainer videos through Kenanga’s website which highlights important dos-and-don’t that clients should practice when depositing money for investments. Kenanga also constantly reminds the clients to be alert on fraudulent schemes through emails and online trading portals.
As for the larger public audience, through social media pages, Kenanga issue out immediate alert if there is any attempt to defraud using Kenanga’s name and reminds the public to prevent being victims and only contact the authorised personnel in Kenanga for correct information. We are pleased that the adoption rate or success of these campaigns are best measured by the fact that we have successfully thwarted a few frauds attempt and prevented losses to both the clients and Kenanga.
SI: Are there any prominent partners that Kenanga is working with for this year’s FAW? Does Kenanga have any future partnership in plans? If yes, what/who are they?
MGK: For clarity, Kenanga does not partner with any specific organisation for FAW. It is only that the FAW is organised in conjunction with the International Fraud Awareness Week of the Association of Certified Fraud Examiners based in Austin, Texas.
As per previous years, Kenanga’s Fraud Awareness Week 2022 welcomes participation from any industries and sectors in the different programmes we organise. This includes Securities Commission Malaysia, Bursa Malaysia Berhad, Malaysian Anti-Corruption Commission, Kumpulan Wang Simpanan Pekerja, Nestlé Malaysia, Lembaga Tabung Haji, Petronas, Sime Darby Plantation Berhad and many more.
It is our aim that, by gathering a larger audience from various different industries and sectors, we could further amplify the message on fraud prevention and detection to the general public.
SI: Any events that you hope for the public to participate in during the FAW?
MGK: We have always welcomed the public to participate in our programmes. For your information, each year, apart from inviting the various organisations to participate in our FAW Games, we have also advertised the same through social media. In addition to that, since we started organising the Opening Ceremony online three (3) year ago, anyone can access the live broadcast or reply of the programme.
And each year, it is our hope that we are able to reach out to a bigger audience so that all take cognisant of the fight against fraud that is happening globally and continue to be vigilant of such threat. The awareness of the public is the ultimate yardstick of success to our Fraud Awareness Week 2022 initiative.
About Fraud Awareness Week 2022
Theme: Reaffirming Ethical and Morale Resilience For Good Governance
The FAW Games are part of the activities of Kenanga’s 6th FAW, which will be organised from 14 November 2022 to 18 November 2022 in conjunction with the International FAW of the Association of Certified Fraud Examiners (ACFE). As part of Kenanga’s efforts to engage with parties in the network of persons and entities it works with, the FAW Games is an opportunity for parties to raise awareness on fraud detection and prevention. Participation in the FAW Games also reflects Kenanga’s vendors commitment to the anti-fraud agenda.
The FAW Games, will also be held virtually by leveraging on technology. Nevertheless, be assured that the FAW Games will still feature fun filled activities containing educational elements, which emphasises on the importance of anti-fraud, compliance, ethics and integrity.
To know more about Fraud as part of Kenanga’s involvement with the International Fraud Awareness Week 2022: https://www.fraudweek.com/resources
Malaysian Research Accelerator for Technology & Innovation (MRANTI) is the new entity as a result of the merger of two agencies under Ministry of Science, Technology and Innovation (MOSTI), Technology Park Malaysia Corporation (TPM) and Malaysian Global Innovation and Creativity Centre (MaGIC). Inspired by the yellow Meranti tree which is the world’s tallest tropical tree found only in Malaysia – MRANTI strives to become the strongest and tallest among the world’s best.
What Is MRANTI?
MRANTI is the one-stop research commercialisation agency with the resources to accelerate the commercialisation of innovative ideas that will drive impact. As a connector, collaborator and catalyst, MRANTI will connect problem statements (demand) with solutions (supply), bridging collaboration between public and private sectors (transition); increase private sector participation, either through market access, investment, advisory or consultation and facilities for testing and prototyping.
Smart Investor recently interviewed Dzuleira Abu Bakar, CEO MRANTI to find out more about them and their plans.
Dzuleira Abu Bakar, CEO MRANTI
Smart Investor: Why was MRANTI formed?
Dzuleira Abu Bakar: MOSTI with Akademi Sains Negara: examined the landscape:
○ To increase the number of commercialised entities in Malaysia ○ To accelerate technology & innovation
And some gaps were found:
1. R&Ds remain where they are with the Research Institutes (RI) and the universities 80% of in IHL, Corporates 15%, balance 5% government or NGOs.
2. Low GERD to GDP, which is at 1.04%. Other countries; Israel – 4.95%, South Korea – 4.81%, Japan – 3.26%
3. Commercialisation rate is low between 5% to 10% China’s commercialization rate target: 34.7% in 2020 Korea in 2010: 38.9% (they considered: unsatisfactory) Japan and the USA: as high as 60%
● To rise in the ranks as a high-economy, innovation driven nation, we need to ensure our security of R&D supply translates into successful commercialisation.
● As such, the Ministry then decided to streamline its resources – which led to the merger of the 2 agencies, and the formation of MRANTI about a year ago.
● There are 3 important approaches (3Ps) we are taking to position ourselves to support the progress of the ecosystem:
1) MRANTI PARK provides integrated facilities and infrastructure for innovators and entrepreneurs that are 4IR ready, even as we bring together 2) Targeted PROGRAMMES & interventions; and 3) A large portfolio of PARTNERS
SI: What does MRANTI want to achieve by 2030, and which stage are you at now? What are your priorities?
DAB: My goal is to put Malaysia on the Top 20 most innovative countries in the world. This will have amazing spillover effects i.e. higher income, more jobs, and overall better livelihood for Malaysians.
For the immediate, I will focus on rolling out our programmes and partnerships, as well as sprucing up the park. Today, various programmes and facilities are available at the Park.
To have 2,000 sqft MakersLab for designers wanting to prototype their ideas – from computer design or sketches into “things” or small scale models. Various materials and machines are available.
A Centre of Excellence for DroneTech, Living Labs for Autonomous Vehicles (AV) and Agritech
As an example, the Drone Industry Insights report, the world market value of drones is USD26.3 billion, and is targeted to reach USD41.3 billion by 2026. In the Drone Tech sector, Malaysia has the potential to be a world leader in this sector. We are proud that Aerodyne Group, a local company, is emerging as the best drone remote-sensing service provider in the world. There are many other drone companies based here, including Poladrone, Terradrone, VStream, Elsa Energy, DJI, NRA Technology and Allied Aeronautics.
Malaysia also has the potential to grow rapidly in the robotics and drone industries. We will establish the Academy of Talent Development In Robotics (Robotic Talent Development Academy), and are targeted to increase the ratio of robots to humans by 195 robots per human by 2030. Today, the ratio of robots to humans is 55 to 10,000 people.
Therefore, we established Area 57 in MRANTI Park as a centre of excellence for the development of the drone industry. The 5-acre area will provide drone runway services, a 300 square metre drone net area, drone testing mock-up sites, hangars, laboratories, manufacturing equipment, training facilities and prototype testing areas, operational offices as well as drone service and maintenance workshops for drone operators to use.
Revitalising Lab testing facilities for food and herbal products and other manufacturing services at MRANTI Nexus.
5G infrastructure-ready
Commercial entities and researchers face several challenges today which could be addressed with 5G Technology. These include communication efficiency (higher data rates, lower latency), connection density (reliability, availability and coverage) and position accuracy (higher user mobility). To deliver the full value of 5G, we are bringing together more partners to collaborate, innovate and incubate ideas to nurture a thriving ecosystem.
We have lined up 26 key programmes to seed, sustain and scale impact-driven innovations in a structured and systematic manner -linking both domestic and international markets for entrepreneurs, startups and the innovation ecosystem. i. IP & commercialisation initiatives ii. impact and thematic accelerators, bootcamps and iii. Digital Business Academy programmes iv. social impact initiatives this year to jump start the innovation engine.
Examples of these are as follows:
Academy + International Innovation Hub programmes
For anyone looking to upskill and reskill, we offer a host of digital courses, webinars, workshops, bootcamps, custom content/programmes, custom and industry-focused coaching and mentoring, post-grants management and advisory, business acceleration, access to corporate and industry partners, alumni, investors and academia.
Impact Innovation
For innovators to access funding and test their products in the market with corporate partners and large organisations, in order to achieve Sustainable Development Goals (SDGs) and linked to Environmental, Social and Governance (ESG) outcomes.
Global Innovation Exchange (GIX)
For innovators looking to scale and / or global startups looking to set up innovation hubs in ASEAN, with Malaysia as a launchpad. Programmes include:
● National Technology & Innovation Sandbox (NTIS) ● Global Market Fit Programme (GMP) ● MyStartUp Hub (MSH) ● Global Accelerator Programme (GAP)
Rapid IP Commercialisation is another focus. Through a structured review process, we are evaluating how some IPs – in MOSTI’s stable, for example, can be brought to market.
Volume alone is not sufficient. MRANTI will play a key role in enhancing the quality, variety and value of innovations.
This is a big task and MRANTI and I cannot achieve this alone. We are here to collaborate, collaborate, collaborate.
It isn’t a single entity’s show. We aren’t in a sprint. It is a long game, and realistically, one year is just the start to drive deep transformation. Altogether, these will place Malaysia and our people on the right trajectory to becoming a high-tech producer nation.
SI: How many talents are currently working under MRANTI?
DAB: We are 345 strong. More than 55% are under 40 years old – a large number of whom have solid technical background in areas of biotech, engineering, legal, commercialisation, Intellectual Property servicing and a range of industry experts.
MRANTI Park, however, has a community of about 20,000 people – ranging from university students, knowledge workers, academicians, researchers, scientists, entrepreneurs, management staff and more.
SI: How many startups/ enterprises have MRANTI engaged with? Will you be able to name a few and share about their journey with MRANTI?
DAB: Since its inception in 2014, the Malaysian Global Innovation and Creativity Centre (MaGIC) has nurtured, encouraged and developed the Malaysian spirit for discovery, and in the years that followed, we’ve grown from strength to strength.During this time, we have also won the regard of many regional and international industry players – cultivating and producing some of the world’s best startups and social enterprises.
Since we started, we have reached out to 4,503 startups, 145,477 individuals, 48 accredited social enterprises and created RM3.9 billion in economic value. In 2021, in spite of challenges presented by the pandemic, we conducted more than 100 programmes and impacted approximately 11,200 entrepreneurs from more than 700 start-ups and social enterprises who went on to garner close to RM150 mil in investment and generated more than RM400 million in revenue.
Five new sandboxes were launched through the National Technology and Innovation Sandbox (NTIS) in 2021 with more underway to strengthen the security of innovation supply. Since its launch, the NTIS has received 546 complete applications, 148 of which have received funding, regulatory, commercial and technical support, with RM53 million funding approved for these projects.
The returns are notable – at about 10X, as we recorded value creation (investment and revenue, as well as job creation from our programmes and by our alumni) of more than RM570 million.
Testament to the value of initiatives we are rolling out, almost 12 companies have signed on as tenants at MRANTI Park since January 2022 – bringing it to a total of 157 tenants. These include companies in ICT, Biotechnology, Engineering, Green Technology, Consulting, Support Services and more.
We are expecting 15 more local and multinational companies to take up tenancy here by the end of the year, bringing the total occupancy rate at MRANTI Park to nearly 80% or an equivablent of 645,000sqft.
Case study: Through the NTIS, MRANTI facilitated Biogenes Technologies’ discussions on regulatory procedures with the Malaysian Medical Device Authority (MDA), and coordinated approval with the Ministry of Health for a live test site to collect samples, which then allowed them to validate the market readiness. As a result, their test-kits have now undergone preclinical and clinical trials at Pusat Perubatan Universiti Malaya. What would have ordinarily taken at least a year, was accomplished in several months. Biogenes also received funding through the NTIS within six months to enable their operations to expand.
Additionally, through the NTIS, there are sandboxes testing the use of drones to deliver medical supplies to hard-to-reach areas, and to deliver essential goods and services particularly to remote and rural areas. However, we still aren’t moving quickly enough in some areas. Attracting more international players is one area that could do with improvement. The IMD World Competitive Ranking 2020 still ranks Malaysia 52nd in ease of starting business, with an increase in “startup days” from 13.5 days in 2019 to 17.5 days 2020 to set up business in Malaysia.
Today, many startups still find it difficult to know which agencies to approach, as some have overlapping functions. Having multiple sources of information and numerous agencies impedes Malaysia’s potential as a preferred destination for startups.
To ensure that we do not get left behind, moving with speed is absolutely essential. To do this, we need to streamline our processes, get rid of any overlap or ‘legacy’ inefficiencies and utilise technology to digitalise or automate for efficiency.
And in this regard, MRANTI aims to be the one-stop centre for technology and innovation acceleration, regardless of which stage the innovation or solution is at – as we take ideas to impact.
SI: What has MRANTI clocked in since you helmed MRANTI a year ago, though the agency was only formalised in January this year? What have been some of the challenges?
DAB: Merging TPM, a 26-year-old entity, and then seven-year-old MaGIC, comes with its own set of operational and external challenges.
Core challenge: culture integration, added with pressures of managing the bottomline. Thankfully, the merger was completed in record time – under a year.
Much of my time in the last 12 months: spent on onboarding stakeholders and key players to see this transformation of TPM to MRANTI Park.
My immediate goal: capital investments, policy, incentives to raise MRANTI Park’s relevance and profile.
I’m pleased to say, we are now on the cusp of profitability. With a formidable team, we have put in place a strategy to transform TPM’s Profit & Loss and achieve its technology development mandate for the country. My team and I are focused on improving the infrastructure for the 686 acres MRANTI Park (10x larger than KL Sentral) located in Bukit Jalil, to attract global players. The park is now the only fully 5G-enabled innovation park facility in Malaysia, giving it the edge in ultra-fast and stable connectivity.
Speed is the name of the game, and MRANTI Park will be the fast track for innovators.
SI: What are your targets?
DAB: My aim is to make MRANTI Park a global name. My team and I have been relentless in developing the prioritised tech clusters as announced under Budget 2022 at MRANTI Park to make it the foremost innovation hub in Malaysia.
Our integrated facilities are being enhanced for higher capacity and higher value services. RM30 million funding allocated for MRANTI in the Budget 2022, we are kicking into high gear.
2022 Targets : MRANTI, as a 4IR Innovation Hub aspires to
○ Impact 5,000 aspiring entrepreneurs exposed to 4IR technology ie Dronetech, ○ Assist 50 companies to successfully build proofs of concept (POC), prototypes and products, ○ Enable 1,250 business owner to benefit through various facilities and programmes, and ○ Foster RM500 million in Value creation.
Our longer term targets:
The 12th Malaysia Plan (2021-2025) has set several R&D related targets by 2025;
2.5% of GERD to GDP (from 1.04% in 2018)
70% of R&D expenditure by the private sector (BERD) to GERD (we are about 43.9% in 2018)
500 products and solutions commercialised through the National Technology and Innovation Sandbox (NTIS) and Malaysia Commercial Year (MCY) by 2025
Top 20 ranking in the Global Innovation Index in the same period (from 36th in 2021)
SI: What is MRANTI’s Masterplan?
DAB: In shaping MRANTI, benchmarked against:
○ Thai Digital Park, Singapore’s A*Star, and Innovate UK, are all a result of strong policy, investment, talent pool and market environment.
To attain a Top 20 position in the Global Innovation Index (GII) by 2030, from where we have been in the last 5 years – in the 30-somethingth position, we have much to do. This includes upgrading our Engineering, IT, Biotech and other building infrastructure in order to meet the changing demands of industries and the start-up ecosystem. Under the 4IR Hub Initiative, we aim to support prototyping and tech immersion programmes through our maker space and innovation centres.
Ultimately, MRANTI Park will be redesigned to make high potential research and development and early technology products economically viable through holistic and comprehensive commercialisation support.
Our MasterPlan involves the development of 4IR solutions in areas of
○ Computer vision, speech recognition, natural language and human/robot, folding in the development of technology and talent, data management, R&D and a commercial ecosystem across 5 clusters – greentech, biotech, smart manufacturing, agritech and smart city.
Today, 5G coverage is now available within our campus. The recent collaboration involving DNB and Ericsson entails the deployment of 5G coverage and capabilities at MRANTI Park, the creation of MRANTI’s on-campus “5G Experience Centre” with support from DNB, as well as comprehensive knowledge sharing and education efforts for enterprises and the community in MRANTI’s innovation clusters.
Among other components and functions of the centre include:
⇢ Research and insight library – MRANTI Park will be a place for researcher and innovators to conduct case studies on 5G technology ⇢ Testing and development function – for developers to conduct 5G application assessment and improvement ⇢ Showcase, awareness, training and advisory function – It will be a venue to develop prospective digital transformation actors and become a centre for technological innovation, development, and application of ICT in the future 5G era.
● MRANTI Park Phase 2 & 3: includes a Masterplan for land, leasing and property development that will cultivate Malaysia’s capabilities in 4IR – from IoT systems, end-to-end IP services and laboratory to contract manufacturing facilities with advanced technologies.
○ 5-acre Area 57 Centre of Excellence for UAV is the first and only park of its kind in Kuala Lumpur intended to help Malaysia achieve its goal to become one of the leading players in the drone technology industry in the global drone market which is forecasted to achieve US$41.3 billion in 2026. ○ Commercial zones: will infuse the elements of lifestyle, learning and business.
A Hyperscale Data Centre (HDC) will also be a core service that will support a host of technologies that will take flight in the coming years. HDCs would be one of the many tech sectors MRANTI will look to grow and cultivate within the AI Park. It is not just about housing HDCs but looking at the entire incubation of research and development players from academia and industry.
In essence, this is what MRANTI is about – bringing IDEAS TO IMPACT. Our goal is to create impact – so these can be recognised, appreciated and celebrated the world over.
SI: What partnerships are you looking to build, specifically what kinds of investments and investors are you looking to attract?
DAB: Past 12 months, partnerships with Huawei, Ericsson, Digital Nasional Bhd, SUKE TV and Telekom Malaysia – for 5G services, eServices, content and more in the pipeline.
Also inked MOUs with Malaysia’s premier public universities for research including Universiti Malaya, Universiti Teknologi Petronas, Universiti Sains Malaysia, Universiti Teknologi MARA and Multimedia University.
More updates are in the pipeline as we knock on more Technology Transition Office (TTO) doors to bring more research out of the lab into real life.
Through the NTIS, and within just a year, we have amassed a strong network of 35 Innovation Acceleration companies – leading technology multinationals, legal firms, financing partners, and various experts on board in 12 Sandboxes. And this list is fast growing! Synergy will be key for us to progress.
SI: What sets MRANTI apart from other government agencies?
DAB: MRANTI is the “glue” that brings together solution providers, such as researchers, startups and solutions seekers such as corporates. MRANTI enables a conducive environment for impactful discourse, exchange of ideas and a matching platform.
A key differentiator for MRANTI: the speed at which we connect Government with Industry, Academia and Civil Society – the ‘quadruple helix’ for an innovation ecosystem to thrive.
SI: What are some of Malaysia’s innovations – commercialisation chasms that MRANTI is looking to address?
DAB: SUPPLY. We need to build a strong pipeline, as we have the talent and good inventions that have yet to find a clear pathway to market and eventual profitability.
TRANSITION: getting past the “valley of death” ie TRL4 to TRL6 – where a lot of drop-outs happen
OUTPUT: It is important to support commercialisation, including providing the correct infrastructure and development programmes in Malaysia’s journey towards becoming a tech producer.
SI: Are there specific industry sectors that you will focus on? Why these?
DAB: We are guided by MOSTI’s Dasar Sains & Teknologi Negara (DSTIN) or MySTIE 10×10 (10 high technology areas for x10 socio economic clusters). These are deemed high-impact areas with multiplier effects e.g strengthening local innovators; creating a high-skilled talent pool and quality employment opportunities; leveraging advanced technologies; and addressing pressing national and global issues.
MRANTI will also prioritise 4IR technologies involving blockchain, robotics, sensor tech, advanced materials and drones, among others. For example, in terms of Medtech, we will be developing a MRANTI Healthcare Cluster that will accelerate the exploration and development of work in healthcare and medical technology, offering capacity building programmes, laboratories and incubator facilities to conduct stress tests on ideas, prototypes, applications and various related innovations.
MRANTI Park will also feature a Sustainable Food and Agritech cluster which will feature:
i. a bioscience R&D lab with state of the art equipment and facilities ii. an incubation garage to host commercialisation efforts of high potential food/agritech innovators iii. a vertical farm infrastructure including IoT fertigation for urban farming systems
SI: What are living labs, maker labs, 4IR, etc which will be featured at MRANTI Park – and how does this fit into the end to end “R&D&C&I” scheme of things?
DAB: Early Stage: Ideation & Applied Research. Aimed for innovators at all ages, it is ideal for sandboxing smaller scale ideas, as well as tinkering of hardware and software in a dedicated space. It fosters a culture of learning by-doing, innovation, hands-on exploration.
Example: MakersLab – a 4IR-themed playground featuring a spectrum of IR4.0 focused tools, technologies and technology immersion programmes.
Mid Stage: Prototyping & Viability Testing. Getting past the labs into controlled environments for testing, validation, reiteration, etc. Example: Living Labs and Centers of Excellence: ie Drone, UAV.
Market-Ready Stage: Scaling Up & Commercialisation. This would encourage communities to gather for experiments and collaboration in order to increase local inventions . There’s also NTIS, GAP, GMP Programmes.
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