Halogen Capital, Malaysia’s first licensed digital asset fund manager, is officially introduced today, offering the world’s first Shariah-compliant cryptocurrency funds. This introduction empowers sophisticated investors, such as high-net-worth individuals and institutional investors seeking custom strategies, to tap into the burgeoning digital asset market, which now boasts an approximately RM11 trillion market cap, through the familiar structure of unit trusts.
Holding a full Capital Markets Services License (CMSL) for fund management from the Securities Commission Malaysia (“SC”) since 2023, Halogen currently offers individual, corporate and institutional investors access to digital assets such as Bitcoin and Ethereum but with the convenience, tax clarity and security of a unit trust fund. Like all unit SC-registered unit trusts in Malaysia, all client assets in Halogen Funds are segregated from the Fund Manager, held by an independent SC-registered Trustee.
“In our first year, through our four funds and private mandates, Halogen Capital has surpassed RM100 million in assets under management (AUM) from over 800 clients, marking a remarkable milestone and reflecting the robust growth in our industry. Looking ahead, our goal is to build on this momentum and achieve RM1 billion AUM within the next two years and be the global leader for Shariah-compliant digital assets.” said Liew Ooi Hann, Founder and Chief Executive Officer of Halogen Capital.
Halogen Capital’s Shariah-compliant funds, supervised by leading Shariah advisors such as Amanie Advisors and Tawafuq Consultancy, represent a pioneering effort in the digital asset investment landscape, offering products that adhere to Islamic financial principles. Since July 2023, the firm has launched the following flagship funds:
- Halogen Shariah Bitcoin Fund (HSBTCF) – The world’s first Shariah-compliant cryptocurrency fund (endorsed by Amanie Advisors) that provides institutional-quality exposure to physical spot Bitcoin (BTC). The Fund provides quick and trustee-secured access to BTC while removing the burden of buying and safekeeping bitcoins.
- Halogen Shariah Ethereum Fund (HSETHF) – The world’s first Shariah-compliant Ethereum (ETH) fund (endorsed by Amanie Advisors) that provides institutional-quality exposure to physical spot and staked ETH. The Fund offers investors the benefits of investing in ETH in a familiar unit trust structure without the hassle of managing the coins yourself, or managing your own validator to earn 3.0-3.2% p.a. staking rewardsd on your ETH.
- Halogen Shariah Crypto Titans Fund (HSCTF) – The Fund primarily invests in up to a dozen large-cap, Shariah-compliant crypto assets such as BTC, ETH, Solana (SOL), Ripple (XRP) and more. The Fund employs an active rebalancing strategy to optimise asset allocation, consistently reinvesting profits into other digital assets within the portfolio.
- Halogen Shariah Ringgit Income Fund (HSRIF) – A MYR-denominated fixed income wholesale fund that aims to exceed fixed deposit (FD) returns and provide T+1 liquidity. This Fund achieves this through strategic investments in Islamic Deposits and short-term Sukuk.
In another first for Malaysia, through its unit trust funds and private mandates, Halogen Capital has now made cryptocurrency investment products available for distribution via institutional unit trust advisors (IUTA), financial advisers and financial planners, and currently has over 20 such distribution partnerships signed giving nationwide coverage.
“It has been encouraging to see the increasing institutional demand and trust in our flagship funds, particularly through our distribution partners such as Kenanga Investors, AHAM Capital, UOB Kay Hian, Phillip Mutual Berhad, Wealth Vantage Advisory, Bill Morrisons Wealth Management, Yes Financial Berhad, Alpine Advisory and others,” says Lucas Ooi, Founder and Chief Business Officer of Halogen Capital.
“That being said, we recognise the knowledge gap concerning digital assets among many Malaysians, which is why we conduct regular webinars and host educational talks to ensure our clients and partners stay informed about this rapidly evolving asset class,” adds Ooi.
In addition to its flagship funds, Halogen Capital offers private mandates featuring a range of investment strategies. These include active and passive management, thematic investments in emerging areas, such as blockchain and fintech, and also risk-managed approaches designed to safeguard capital.
Headquartered in Kuala Lumpur, Halogen Capital is led by a highly experienced leadership team. The firm has successfully raised USD1.25 million from notable investors, such as 500 Global, DCG Expeditions, Khazanah Nasional via Penjana Kapital, and The Hive Southeast Asia.
For more information about Halogen Capital and its funds, please visit https://halogen.my.
