KUALA LUMPUR: The Retirement Fund Inc (KWAP) is set to invest RM500 million over the next 18 to 24 months under its newly-launched Dana Perintis.
KWAP, via Dana Perintis, wants to accelerate growth within the Malaysian entrepreneurial landscape in line with its sustainability commitment as a signatory of the UN Principles for Responsible Investment (PRI).
"Dana Perintis also serves as a testament to our commitment to enhance the growth of Malaysia's startup industry.
"With Dana Perintis, we are not just investing financial capital, but also putting in our expertise, resources and commitment to seeing these Malaysian startups succeed on a global stage, especially with the ones we are directly involved in," said KWAP chief investment officer Hazman Hilmi Sallahuddin.
Hazman said KWAP is dedicated to empowering startups and small and medium enterprises (SMEs), supporting employment and nurturing innovation.
"In realising these visions, KWAP has already identified several potential startups to invest in, which currently employ more than 1,000 Malaysians from different backgrounds," he said.
Aimed at injecting vitality into Malaysia's venture and startup ecosystem, Dana Perintis encompasses two strategic pillars: investments into selected Malaysia-focused venture capital (VC) funds and direct investments into early-stage companies.
A substantial portion of up to RM250 million will be directed towards investing in VC funds with exposure focusing on Malaysia.
The approach aligns with KWAP's endeavour to support the development of a self-sustaining venture ecosystem.
The VC funds serve as dynamic catalysts, nurturing innovative startups by providing essential capital and guidance.
According to KWAP, its strategic investments will span the spectrum of the startup journey - ranging from accelerators to growth managers - contributing to the maturation of the overall Malaysian venture space.
In parallel to the fund investments, another RM250 million will be committed towards direct investments into promising early-stage companies.
"This commitment echoes KWAP's intention to nurture startups through growth and expansion stages," it said.
