Investment And Property Holdings Companies in Malaysia

Investment and property holdings companies in Malaysia are required to comply with the Companies Act 1965, the Companies Commission of Malaysia (CCM) Guidelines on Real Estate Investment Trusts (REITs) and the Malaysian Code on Corporate Governance.

The Companies Act 1965 requires that a company must have a minimum paid-up capital of RM2 million before it can carry on business as an investment holding company. The company must also appoint at least two directors who are resident in Malaysia.

The CCM Guidelines on REITs were issued in 2007 and they provide guidance on the establishment and operation of REITs in Malaysia. The Guidelines require that a REIT must have a minimum paid-up capital of RM50 million and must invest a minimum of 70% of its assets in income-producing real estate.

The Malaysian Code on Corporate Governance was first issued in 2000 and was revised in 2007. The Code sets out principles and guidelines on good corporate governance for all listed companies in Malaysia, including investment and property holdings companies.