Investment Holding Activity Companies in Malaysia

The Investment Holding Companies Act (IHC) was enacted in Malaysia in 1986. The act provides a regulatory framework for the incorporation and operation of investment holding companies in Malaysia. The act is administered by the Securities Commission of Malaysia (SC).

The IHC act requires that an investment holding company must have a minimum paid-up capital of RM20 million. The company must also have a board of directors consisting of a minimum of three directors. At least two of the directors must be independent directors.

The company must also appoint a company secretary who is a member of the Malaysian Institute of Accountants.

The IHC act provides for certain exemptions from the requirements of the act. These exemptions are available to companies that are listed on the Main Market of Bursa Malaysia and companies that are wholly-owned by the Malaysian government.