Wassiyah Shoppe's new unit eyes US$700mil of assets under management

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KUALA LUMPUR: Wasiyyah Shoppe Bhd, the biggest Shariah-compliant trust company in Malaysia, has targeted managing US$700 million of assets for global Muslim ultra high net worth clients by 2023.

The target is set under its newly-launched subsidiary Wassiyah Family Office Sdn Bhd (WFO), which Wassiyah Shoppe claimed to the first full-fledged Islamic family office services in the world.

Through its strategic partnerships with licensed professionals worldwide, WFO offered a holistic services for its global Muslim ultra high net worth clients, Wassiyah Shoppe chief executive officer Ariffin Sabirin said at the launch on Saturday.

The services include strategising and execution of corporate governance and corporate restructuring, family governance, next generation talent development, trust management, portfolio management, family protection, legacy management, taxation and accounting services, philanthropic activities and other family wealth management needs.

Ariffin said WFO had targeted markets in Southeast Asia namely Malaysia, Singapore, Indonesia, Thailand and Brunei in its first year of operation.

It plans to expand its services to the ultra high net worth in Europe, Middle Eastern countries and Central Asia region in the second year of operation.

“Yes we admit that introducing a Shariah family office model will be very challenging as it is a new service, but Wasiyyah Shoppe does have its fair share of experience as pioneer in introducing a full-fledged Islamic estate planning services to the Malaysian public since 2004.

“So we have the right strategies and stamina to make this venture successful,” he added.

Ariffin expects WFO contribute up to 15 per cent to the group income by 2023. Wassiyah Shoppe boasts an annual turnover of about RM110 million.

Although there were Islamic private wealth management services offered by financial institutions, he pointed out that there were no full-fledged Islamic family office services in the world currently.

“Most industry players are only offering conventional family office services.”

Ariffin highlighted that the main difference between a full-fledged Shariah-compliant family office services offered by WFO compared to its conventional counterparts lies in its objective.

“While a conventional family office model focuses on fulfilling the wishes of the client and achieving sustainable profit for the assets management, the Islamic family office model offered by WFO emphasises on the Shariah-compliant aspects of the asset management on top of covering both objectives offered by its conventional counterpart.

“We observed that there is an increasing demand for family office services around the globe especially from the Muslim ultra high net worth individuals.”

He added that although the world’s economic growth was dampened by the Covid-19 pandemic, for the ultra rich, the demand was still increasing.

“The positioning and reputation of Malaysia as the Islamic financial hub will definitely give us the advantage in introducing these unique services.” Ariffin said.

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