Khazanah’s Commercial Fund Continues to Lower Allocation to Malaysian Equities

Posted on 06/25/2021


Khazanah Nasional Berhad is divided into a Commercial Fund and a Strategic Fund. The Commercial Fund seeks to generate positive risk-adjusted returns on a long-term basis, to grow its financial assets. In 2020, the Commercial Fund generated a time-weighted rate of return of 1.5% with a Realizable Asset Value (RAV) of RM95.3 billion. The Fund has the flexibility to invest across multi-asset classes in different geographies in accordance to its Long-Term Strategic Asset Allocation (SAA) with a mix of active & direct investment strategies, and external fund managers.

At December 31, 2018, the Commercial Fund had a 58% allocation to Malaysian equities and a 12% allocation to global public equities. At December 31, 2020, the Commercial Fund had a 50% allocation to Malaysian equities and a 17% allocation to global public equities.

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