KUALA LUMPUR: Touch 'n Go Group subsidiary TNG Digital Sdn Bhd (TNG Digital) has been granted conditional approval to operate as a recognised market operator (RMO) by the Securities Commission (SC).
TNG said the conditional approval would enable it to directly distribute capital market products, including money market unit trust funds, through the Touch 'n Go eWallet platform, without having to be directed to third-party applications.
Group chief executive officer Effendy Shahul Hamid said this was a landmark development and an industry first as the teams had been working tirelessly together with regulators and partners to get to this stage.
"The RMO status will allow us to bring a string of innovative digital offerings to our users. Aimed at disrupting the status quo, we will be launching a financially inclusive investment product in the first quarter of the year, allowing our users to access basic investment services for as low as RM10," he said in a statement today.
He said the offering would add significant value to TNG large payments and transportation user base and continue its evolution into financial services.
"We aim to make this an extremely seamless and frictionless offer to Touch 'n Go eWallet users. With the approvals behind us, we will now focus on ensuring the user-experience is best-in-class as we move towards a launch," added Effendy.
The proposition is made possible through TNG's collaboration with Principal Asset Management, one of Malaysia's largest fund management companies.
The partnership combines platform development, technology and data expertise of Touch 'n Go eWallet and Principal's expertise in investment strategy and fund management.
Using Touch 'n Go eWallet as a delivery platform also supports the nation's digital and cashless agenda as well as support financial inclusion.