‘Planned Shanghai office to help raise exposure to equity’

KUALA LUMPUR: Retirement Fund Inc (KWAP) has set its eyes on China as it looks to increase its exposure to equity and alternative assets.

KWAP may open a regional office in Shanghai by the end of the year, which will be its second regional office after London.

The London office oversees the European and United States markets.

KWAP chief executive officer Datuk Wan Kamaruzaman Wan Ahmad said China was key in the Asian region, especially in equity investments and technology space.

“We are looking to expand our reach in China by opening an office in Shanghai. It should materialise before the end of the year.

“China is the best fit for us in terms of asset classes. Not just technology, but also equity investments. Our priority is equity investments,” he told NST Business.

On another matter, Kamaruzaman said KWAP was a step closer to acquiring foreign-owned insurance firms this year.

It expects its deal with Prudential Plc to materialise first.

“We are talking to Prudential and Great Eastern Holdings Ltd. Most likely, the deal with Prudential will materialise,” he said.

Bloomberg reported last year that Prudential, Great Eastern and Japan’s Tokio Marine Holdings Inc were among companies pursuing plans to cut stakes in their Malaysian units.

Bank Negara Malaysia had given foreign insurers till end-June to reduce stakes in local units to 70 per cent, said the report.