BIMB Investment has this year launched BEST “robo-intelligence” investment app. Gain insight on how this app works. Learn what is robo-intelligence, Shariah and sustainable investing all about. What are the risks in investing?
Contents
BIMB Investment App Background
BIMB Investment App is developed by BIMB Investment Sdn Bhd which is a subsidiary of Bank Islam Malaysia Bhd [stock_market_widget type=”inline” template=”generic” color=”default” assets=”5258.KL” markup=”({symbol} {price})” api=”yf”].
Shariah Investing: investing in halal investments that are free from elements of maisir (gambling), usury (riba) and gharar (ambiguity) based on a list issued by the Shariah Advisory Council (SAC) or SC.
What is BIMB Investment App
- “Robo-intelligence” assisted by technology to help investors build an investment portfolio by selecting suitable funds and how much to invest to achieve investment goals.
Note: “robo-intelligence” is NOT a robo advisory or digital wealth manager like StashAway or Wahed Invest. - Non-automated discretionary meaning the investment decisions are made by the portfolio manager
- Unit trust as the underlying investment on its online investing platform limited to BIMB investment funds
- Shariah-compliant: all funds on the app are Shariah-compliant
- Sustainable ESG (Environmental, Social and corporate Governance): focused on sustainable investments by ESG guidelines and the first regional bank-backed Islamic Asset Manager signatory of United Nations-supported Principles for Responsible Investment (UNPRI).
- Securities Commission of Malaysia (SC) approved
Sustainable Investing: investing while incorporating ESG (environmental, social and governance) considerations such as avoiding those that cause climate change, have poor working conditions, or linked to corruption while seeking out those that promote clean technology, have good employee diversity or serve underserved market segments.
Key Milestones
- Sep 14, 1993: BIMB Investment incorporated
- Jun 20, 1994: BIMB Investment started operations
- Apr 15, 2020: BIMB Investment App launched
- Jun 2, 2020: BIMB Shariah IncomePlus Fund (BSIF), a new wholesale Islamic fixed income, launched
(Source: BIMB Investment)
How Does BIMB Investment App Work
BIMB Investment app is a goal-based discretionary portfolio invested in Shariah and sustainable BIMB unit trust funds assisted by fintech.
- App download: FREE
- Account opening: FREE
- Min investment: RM10
- Sales charge: 0%
- Annual management fee:
- Money market funds: 0.5%
- Malaysia equity funds: 1.5%
- Global equity funds: 1.8%
- Sukuk funds: 1.2%
- Switching/transfer fee: none
- Lock-in period: none
Funds Available & Performance
| Fund Name | Fund Type | Returns 1Y | Returns 2Y | Returns 3Y | Returns 5Y | Fund Size (m) |
|---|---|---|---|---|---|---|
| BIMB-Arabesque i Global Dividend Fund 1 | Shariah-ESG Equity Global | 3.43% | 1.34% | 4.05% | - | 610 |
| BIMB-Arabesque Asia Pacific Shariah-ESG Equity Fund | Shariah-ESG Equity Asia Pacific | 10.39% | -0.96% | - | - | 16 |
| BIMB-Arabesque Malaysia Shariah-ESG Equity Fund | Shariah-ESG Equity Malaysia | 20.07% | 3.83% | 3.77% | - | 4 |
| BIMB ESG Sukuk Fund | Shariah-ESG Sukuk Global | 5.16% | - | - | - | 22 |
| BIMB Dana Al-Fakhim | Money Market | 2.84% | 3.07% | 3.08% | 3.11% | 405 |
Account Opening Requirements
- Malaysian age 18 above with MyKad or passport
- Online banking account with FPX
How to Invest
- Open account by downloading app
- Select “Do It For Me” or “Do It Yourself”
- Do It For Me:
- Create investment portfolio based on investment suitability profile and investment goals with timelines
- Select Smart Investment Plan (SIP) monthly investment every 5th / 28th OR Lump-sum investment
- Do It Yourself (DIY): Your own selection of unit trust funds
BIMB Robo-Intelligence Investment App Review
Pros
- Easy setup online and user-friendly interface for new investors to get started investing.
- No sales charges, no switching fees, you can withdraw anytime and very low minimum of RM10 to start investing.
- Good focus on Shariah and sustainable investing using a portfolio approach
Cons
- Annual management fee ranging from Sukuk at 1.2% to 1.5% for Malaysia funds and 1.8% for global equity funds slightly on high side.
- Limited to only a few selected unit trusts from BIMB Investment at time of launch.
- There has been some confusion by using the term robo-intelligence whether it is a robo advisory (no it is not).
BEST Invest is not a Robo-advisory platform as defined by Securities Commission’s Digital Investment Management License.
Robo-intelligence is using big data, analytics and algorithms to process large quantities or complex information or data systematically to help and assist users make well-informed decisions.
Overall
There are a number of aspects that we like about the BIMB Investment App including embracing sustainable investing, and fintech using a portfolio goal-based approach, lowered investment costs and easy to start out investing. Both sustainable investing and fintech are globally growing trends which will continue to shape the wealth management industry ahead especially for the retail investor market. The smaller universe (choices) of investments limited only from BIMB Investment unit trusts may reduce the competitiveness of being able to have access to best of breed investments if BIMB Investment happens at any time to not be a market leader with their funds available.
Disclaimer: We were invited to review the BIMB Investment App but the write-up and comments are our own without any undue influence from BIMB Investment.
Download the BIMB Investment App for Free on
You May Also Like
- StashAway Simple Money Market Launch
- 5 Questions People Ask About Investing
- Building a Financial Independence Portfolio
Leave A Comment