Kenanga Investment Bank, led by group managing director Chay Wai Leong, had an exceptional 2021. Profits before tax hit a record RM148.2 million ($34 million), while profits after tax rose 16.2% to RM118.8 million. The performance was thanks to Kenanga IB’s stellar showing across equity broking, asset and wealth management, as well as private equity investment.
It wasn’t all easy going. After record trading volumes on Bursa Malaysia in 2020, sentiment was more subdued in 2021, especially in the second half of the year. But Kenanga IB’s franchise held up well, thanks to the management’s emphasis on a diverse revenue stream and client base.
The group’s focus on retail, as well as institutional and proprietary trading segments, benefitted during the turbulent period. Profits for the stockbroking arm in 2021 were in line with the previous year, while the division maintained its 12.5% market share.
Kenanga IB’s joint venture Rakuten Trade, which is Malaysia’s first fully online stockbroking platform, increased its market share from 6.6% to 7.14%, year on year, in 2021.
Kenanga IB was active in the primary capital markets side of the business, too.