Categories of Sophisticated Investors
A. Accredited investors
1. A unit trust scheme, private retirement scheme or prescribed investment scheme.
2. Bank Negara.
3. A licensed person or a registered person.
4. An exchange holding company, a stock exchange, a derivatives exchange, an approved clearing house, a central depository or a recognized market operator.
5. A corporation that is licensed, registered or approved to carry on any regulated activity or capital market services by an authority in Labuan or outside Malaysia which exercises functions corresponding to the functions of the Commission.
6. A bank licensee or insurance licensee as defined under the Labuan Financial Services and Securities Act 704.
7. An Islamic bank licensee or takaful licensee as defined under the Labuan Islamic Financial Services and Securities Act 705.
8. A chief executive officer or a director of any person referred to in paragraphs 3, 4, 5, 6 and 7 above.
9. A closed-end fund approved by the Commission.
B. High-net worth entities (HNWE)
- A company that is registered as a trust company under the Trust Companies Act 1949 and has assets under its management exceeding ten million ringgit or its equivalent in foreign currencies.
- A corporation that:
(a) is a public company under the Companies Act 2016 which is approved by the SC to be a trustee under the CMSA and has assets under its management exceeding ten million ringgit or its equivalent in foreign currencies; or
(b) is carrying on the regulated activity of fund management solely for the benefit of its related corporations and has assets under its management exceeding ten million ringgit or its equivalent in foreign currencies. - A corporation with total net assets exceeding ten million ringgit or its equivalent in foreign currencies based on the last audited accounts.
- A partnership with total net assets exceeding ten million ringgit or its equivalent in foreign currencies.
- A statutory body established under any law whose function or mandate is investment in capital market products.
- A pension fund approved by the Director General of Inland Revenue under the Income Tax Act 1967.
C. High-net worth individuals (HNWI)
An individual
- whose total net personal assets exceeding three million ringgit or its equivalent in foreign currencies, provided that the net value of the primary residence of the individual contribute not more than one million ringgit of the total net assets;
- whose total net joint assets with—
(a) his or her spouse; or
(b) his or her child,
exceeding three million ringgit or its equivalent in foreign currencies, provided that the net value of the primary residence of the individual with his or her spouse or child contribute not more than one million ringgit of the total net assets; - who has a gross annual income exceeding three hundred thousand ringgit or its equivalent in foreign currencies in the preceding twelve months;
- who jointly with his or her spouse, has a gross annual income exceeding four hundred thousand ringgit or its equivalent in foreign currencies in the preceding twelve months; or
- whose total net personal investment portfolio or total net joint investment portfolio with his or her spouse, in any capital market products exceeding one million ringgit or its equivalent in foreign currencies.