Family offices—private wealth management entities catering to ultra-high-net-worth individuals (UHNWIs) and families—have become increasingly active in the startup and venture capital (VC) space.

Traditionally focused on wealth preservation and legacy planning, many family offices now seek higher returns and diversification by investing in early-stage companies and VC funds.

This shift is particularly evident in Southeast Asia, where rapid economic growth, digital transformation, and a thriving startup ecosystem present compelling investment opportunities. Family offices in the region often have deep-rooted business expertise, strong industry networks, and a long-term investment horizon, making them well-positioned to support entrepreneurs beyond just capital.

Unlike institutional VC firms, family offices tend to have more flexible investment mandates, allowing them to take a patient approach to funding, participate in direct investments, co-invest with VC firms, or back emerging fund managers. Their ability to move quickly and commit significant capital also makes them attractive partners for startups seeking strategic investors who bring more than just financial backing.

Southeast Asia’s startup landscape—particularly in fintech, e-commerce, healthtech, and sustainability—has drawn interest from family offices looking to invest in high-growth sectors. Many are also keen on impact investing, supporting businesses that align with their values in areas such as ESG (Environmental, Social, and Governance), climate tech, and financial inclusion.

As family offices play a more prominent role in the region’s venture ecosystem, their influence is shaping how startups are funded, scaled, and governed.

Also Read: From SoftBank to UOB: A guide to Southeast Asia’s corporate VC leaders

In this listicle, we highlight some of the most active family offices in Southeast Asia investing in startups, offering insights into their investment strategies and notable portfolio companies.

Verlinvest

Verlinvest is an international, family-backed evergreen consumer investment company. It focuses on growth-stage companies in FMCG, healthcare, and digital retail, who are restless to accelerate growth.

Headquarters: Belgium, Singapore, the United States, the United Kingdom, and India
Founding year: 1995
Overall portfolio count: 66
Notable portfolio firms: The Hosteller, Blue Tokai Coffee Roasters, Creme Castle, K1Speed, Cible Skin, Numa, Go Zero, Wakefit, BYJU’S, Lahori Zeera, Clone, KatKin, Eka Care, Pattern Brands, Revea, Kuku FM, and Pedego Electric Bike.

Octava

Octava is an investment holding company that invests in real estate, prioritising sustainable growth and strategic partnerships.

Headquarters: Singapore
Founding year: 2016
Overall portfolio count: 19
Notable portfolio firms: iAsk AI, BondbloX, Pilon, Prestige Biologics, TEAM, Fwen.io, PIF Nation, Animoca Brands, Tier One Entertainment, ACKTEC Technologies, RDC, Team Flash, BoxGreen, Rely, and TRENDSOCIO.

LionRock Capital

LionRock Capital is a private equity firm with an investment focus on the global consumer lifestyle sector, providing strategic, financial, and corporate governance support for growth-stage companies.

Headquarters: Singapore
Founding year: 2009
Overall portfolio count: 29
Notable portfolio firms: Hopscotch, Flickstree, AgniKul, HungerBox, Capillary Technologies, Canopy, Jualo, HipVan, Avagmah, RedMart, Bigbasket, and Milaap

Triputra Group

Triputra Group is an Indonesian holding company with extensive expertise in various industries, including agribusiness, manufacturing, energy, trading, and services. It is backed by 17 subsidiary holding companies and 60,000 employees.

Headquarters: Indonesia
Founding year: 1998
Overall portfolio count: 12
Notable portfolio firms: Praktis, Coldspace, Gokomodo, Aria, FishLog, Kedai Sayur, Warung Pintar, Wagely, eFishery, and Waresix.

Silverstrand Capital

Silverstrand is an impact investor focusing on biodiversity. Through impact investments and philanthropic capital, it aims to catalyse systems change for the restoration and conservation of nature and to transform existing extractive, ecologically destructive practices into regenerative ones.

Also Read: Meet the new Biodiversity Accelerator+ startups set to champion conservation and sustainability

Headquarters: Singapore
Founding year: 2018
Overall portfolio count: 18
Notable portfolio firms: Good Carbon, Planboo, Porifera, Natrx, Koltiva, Sea6 Energy, and Agros.

Junson Capital

Junson Capital is a prominent global investment management company.

Headquarters: Singapore and the US
Founding year: 2010
Overall portfolio count: 8
Notable portfolio firms: Full-Life Technologies|Home, Allotex, Corsair Phama, Worg, BridGene Biosciences, WiBotic, and MultiVu.

Kunlun Capital

A single-family office focused on multiple sectors.

Headquarters: Singapore
Founding year: 2008
Overall portfolio count: 9
Notable portfolio firms: MiQro Era, TCab Tech, Prothentic, Full-Life Technologies|Home, Shanshan, NUTSHELL, Beijing Shihui Technology, Inmagene

Blauwpark Partners

A ‘single-family office for multiple families’, with a focus on private equity, venture capital and other alternatives.

Headquarters: Singapore
Founding year: 2019
Overall portfolio count: 3
Notable portfolio firms: Gimo, Wagely, and TONIK.

Baksh Capital

A family office focused on global investments in public and private markets.

Headquarters: Singapore
Founding year: 2019
Overall portfolio count: 9
Notable portfolio firms: Growfitter, reitio, InvestaX, Fraxtor, and Float Foods.

Treis

A family-led investment group, Treïs offers investors asset management and advisory services, as well as direct investment opportunities.

Headquarters: Singapore
Founding year: 2019
Overall portfolio count: 6
Notable portfolio firms: GetGo, Sarbacane, RubberGreen, GlamCorner, and Agrinos.

Black Kite Capital

Black Kite Capital is a single-family investment office that invests across all asset classes with a particular focus on early-stage (angel, pre-seed, and seed) direct venture investments.

Headquarters: Singapore
Founding year: 2019
Overall portfolio count: 5
Notable portfolio firms: Mushroom Material, Pi-xcels, Shikho, and Bounty Media.

M&L Healthcare Investments

M&L Healthcare Investments is a wholly-owned subsidiary of the Singapore-based Kum family.

Headquarters: Singapore
Founding year: 2019
Overall portfolio count: 11
Notable portfolio firms: FastWave Medical, Corflow, HEPTA Medical, Pedra, and TISSIUM

Malacca Ventures

A family office for VC/growth-stage technology investments in Southeast Asia and India.

Headquarters: Singapore
Founding year: 2019
Overall portfolio count: 4
Notable portfolio firms: Finverv, Binocs, CUSMAT, and Early Steps Academy.

Brama One Ventures

Brama One Ventures is a family office investing across a variety of industries from Seed Stage and beyond.

Also Read: Rise of the machines: 20 robotics startups shaping Southeast Asia’s future

Headquarters: Indonesia
Founding year: 2019
Overall portfolio count: 10
Notable portfolio firms: ALVA, Borong, and Gotrade.

Amaya Ventures

A single-family office and private equity firm focused on multiple sectors

Headquarters: Singapore
Founding year: 2021
Overall portfolio count: 21
Notable portfolio firms: LXME, Everest Fleet, Bira 91, and HONO.

AJ Capital

A multi-strategy asset manager and provider of financial and investment management services

Headquarters: Singapore
Founding year: 2012
Overall portfolio count: 3
Notable portfolio firms: Jugyah, Graas, and NirogStreet.

Nuri Group

Nuri Group invests in early-stage companies within the banking, financial services, and fintech industries, focusing on the central region of Singapore.

Headquarters: Indonesia
Founding year:
Overall portfolio count: 1
Notable portfolio firms: TONIK.

Hatton Capital

Hatton Capital is a family office (SFO) focusing primarily on direct investments throughout the Asia Pacific region preferring companies in the consumer and food space.

Headquarters: Hong Kong and Thailand
Founding year: 2006
Overall portfolio count: 1
Notable portfolio firms: Vordel.

Phoenix Holdings

Phoenix Holdings is a family investment office. It applies “Built-to-Last” thinking, based on its observations that the most successful VC-PE investments are in companies built on the quality of endurance.

Headquarters: Vietnam
Founding year: 2017
Overall portfolio count: 2
Notable portfolio firms: Advance and Interloan.

Dart Family Office

Dart Family Office is a private company limited by shares. It provides management consultancy services.

Headquarters: Singapore
Founding year: 2019
Overall portfolio count: 1
Notable portfolio firms: Zero-Error Systems

Aglaia Family Office

It provides comprehensive and bespoke family office services to ultra high net-worth families, trusts foundations and investors around the world.

Headquarters: Singapore
Founding year: 2006
Overall portfolio count: 2
Notable portfolio firms: Silent Eight and Proof & Company

Sebrina Hodings

A diversified, multi-asset investment holdings company.

Headquarters: Singapore
Founding year: 1995
Overall portfolio count: 2
Notable portfolio firms: Paktor and WearYouWant.

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Green finance has become a cornerstone of global economic strategy, aligning the need for environmental sustainability with the pursuit of financial growth. In 2025, the field will be defined by its maturity and momentum, driven by regulatory frameworks, investor priorities, and innovative technologies. As a venture builder with over two decades of experience, I’ve witnessed the evolution of this sector from a niche interest to a vital instrument for addressing climate change and fostering sustainable development.

This article explores green finance in 2025, highlighting the key trends, opportunities, challenges, and pathways for sustainable economic growth and focusing on successful case studies from Asia.

Understanding green finance: A 2025 perspective

At its core, green finance refers to investments and financial instruments that deliver measurable environmental benefits while supporting economic development. This includes funding renewable energy projects, climate resilience initiatives, sustainable agriculture, and more.

Over the past decade, green finance has shifted from being a moral imperative to a financial opportunity, aligning long-term profitability with ESG (Environmental, Social, and Governance) considerations.

In 2025, green finance is no longer an optional strategy. It has become a global imperative, supported by advances in regulatory clarity, investor demand, and technological capabilities.

Key trends shaping sustainable finance in 2025

• ESG investing goes mainstream

ESG investing has transitioned from an emerging trend to a dominant force in global markets. Institutional investors are actively integrating ESG criteria into their decision-making processes, and trillions of dollars in assets are now dedicated to sustainability-focused funds.

• Green bond expansion

The issuance of green bonds has reached unprecedented levels. Governments, municipalities, and corporations across the globe are leveraging these instruments to fund clean energy projects, infrastructure upgrades, and climate mitigation strategies.

• Carbon markets and pricing mechanisms

Asia, in particular, has witnessed significant growth in carbon markets. China’s nationwide Emissions Trading Scheme (ETS), launched in 2021, is now a mature and pivotal component of the region’s climate policy framework, setting the stage for greater transparency and efficiency.

• Localised green investments

Localised initiatives, such as community-based renewable energy projects and urban greening in Asian cities like Singapore and Tokyo, are gaining traction, supported by partnerships between public agencies and private investors.

Also Read: How regulation is about to make green finance the new normal

Investment opportunities in renewable energy

Renewable energy remains a cornerstone of green finance. In Asia, the region’s growing energy demand presents an unparalleled opportunity for investments in solar, wind, and hydro projects.

• Solar dominance: India and Vietnam are leading solar energy investments. India’s National Solar Mission has attracted billions of dollars in foreign investment, while Vietnam’s favourable regulatory environment has made it a hub for solar energy development.
• Offshore wind expansion: Countries like Taiwan and Japan are scaling up offshore wind projects, with Taiwan emerging as a leader due to its supportive policies and natural wind resources.
• Energy storage: Advances in battery technology are making energy storage a viable addition to renewable projects, ensuring reliability and grid stability.

The role of technology in advancing green finance

Technology is a key enabler of green finance, providing tools to enhance transparency, efficiency, and impact measurement.

• Blockchain for carbon markets: Blockchain is ensuring transparency in carbon credit trading, as seen in projects like Singapore’s Climate Impact X platform.
• AI for risk analysis: Artificial Intelligence is helping investors assess the long-term environmental and financial risks of their investments.
• Digital platforms for inclusion: Green fintech platforms, such as Indonesia’s Crowde, are democratising access to sustainable investments, enabling smaller players to participate in the green revolution.

Government policies and their impact on sustainable growth

Government policies remain a critical driver of green finance. In Asia, proactive regulations and incentives have created a fertile ground for sustainable growth:

• China’s carbon neutrality commitments: China’s ambitious target of achieving carbon neutrality by 2060 has catalysed a surge in green investments, particularly in renewable energy, electric vehicles, and energy-efficient technologies.
• Japan’s green growth strategy: Japan’s commitment to reaching net-zero emissions by 2050 is backed by comprehensive policies, including subsidies for hydrogen energy projects and stricter emissions standards for corporations.
• ASEAN green frameworks: The ASEAN region is developing unified frameworks to promote green finance, encouraging member states to harmonise policies and attract foreign investment.

Case studies: Successful green finance initiatives in Asia

Singapore’s green bond framework

Singapore launched its inaugural sovereign green bond in 2022, raising US$1.9 billion for sustainable projects. By 2025, this framework has funded significant urban sustainability initiatives, including energy-efficient infrastructure and mass transit systems.

China’s renewable energy investments

China’s wind and solar capacity have grown exponentially, supported by green loans and government subsidies. Projects like the Tengger Desert Solar Park, one of the world’s largest, illustrate the nation’s commitment to clean energy leadership.

Micro-finance for climate resilience in Bangladesh

Bangladesh has pioneered micro-finance initiatives to fund climate-resilient agriculture and infrastructure projects. Organisations like Grameen Bank have demonstrated how small-scale investments can have a large-scale impact on vulnerable communities.

Also Read: Banking on a green future of finance: How to bridge sustainability and profitability

Challenges facing green finance in 2025

• Greenwashing: Instances of companies overstating their sustainability credentials undermine investor confidence. Stricter regulatory oversight and independent ESG audits are essential to address this issue.
• Capital accessibility: Emerging markets, particularly in South and Southeast Asia, often struggle to attract sufficient green finance due to perceived risks. Blended finance models, combining public and private funding, can help bridge this gap.
• Policy fragmentation: Inconsistent regulations across countries complicate cross-border investments. Aligning standards, particularly within regions like ASEAN, remains a critical challenge.

How corporations are adopting sustainable practices

Asian corporations are increasingly embedding sustainability into their strategies. From decarbonising supply chains to adopting circular economy principles, businesses are recognising the financial and reputational benefits of sustainable practices. Leaders like Toyota have embraced hydrogen fuel technologies, while companies like Alibaba are investing in green logistics.

The future of ESG investing: What to expect

The future of ESG investing will be defined by increased standardisation, enhanced technology integration, and a broader focus on social equity. Investors can expect:

• Global ESG standards: Improved consistency in reporting metrics, enabling better comparisons across regions.
• AI-powered insights: Real-time ESG analytics driven by artificial intelligence.
• Greater social impact: A shift toward addressing inequality and inclusion alongside environmental goals.

Building a sustainable financial ecosystem for tomorrow

Green finance in 2025 offers a transformative opportunity to align capital with global sustainability goals. To build a sustainable financial ecosystem, stakeholders must prioritise collaboration, innovation, and inclusivity.

• Policy support: Governments should provide clear, consistent policies to encourage investment in green projects.
• Private sector leadership: Corporations must lead by example, embedding sustainability into their core strategies.
• Community engagement: Inclusive financing models that address local needs will ensure broad-based benefits.

The financial ecosystem of tomorrow depends on today’s collective commitment to sustainability. By leveraging green finance effectively, we can create a future where economic growth goes hand-in-hand with environmental preservation.

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Key points:

• President Donald Trump announces new tariffs on Canada, Mexico, and China.
• US Dollar Index surges 1.3 per cent, as inflation concerns rise with tariffs acting as indirect taxes.
• Gold peaks at US$2,817.18/oz before settling lower, while WTI crude jumps 1.6 per cent on tariff speculation.
• Bitcoin tumbles over five per cent in a day, with major cryptocurrencies collectively losing US$1 billion in futures liquidations.
• Canada and Mexico retaliate with counter-tariffs, while China prepares to challenge the US at the WTO.

3 February 2025 started with turbulence in the global markets; President Donald Trump’s announcement of new tariffs on Canada, Mexico, and China has sent ripples of concern through markets worldwide. As these measures take effect on Tuesday, February 4th, the economic landscape braces for impact, with Canada and Mexico swiftly responding with counter-tariffs and China preparing to challenge the move at the World Trade Organisation (WTO). This scenario is not just a test of economic resilience; it’s a litmus test for the global community’s ability to navigate through politically charged economic policies.

The immediate aftermath of Trump’s tariff declarations was a clear retreat in global risk sentiment. The MSCI US index saw a 0.5 per cent drop, with the energy sector suffering the most, plummeting by 2.7 per cent. This sector’s sensitivity to trade policies stems from the direct impact tariffs have on oil and gas imports from Canada and Mexico.

Meanwhile, the US Treasury market showed a mixed response; the 10-year yield rose slightly by 2.2 basis points before retracting in Asian sessions, while the 2-year yield fluctuated, reflecting the market’s divided views on the short-term economic implications of these tariffs.

The US Dollar Index surged by 0.5 per cent to close at 108.37 on Friday, with an additional 1.3 per cent increase in early Asian trading. This spike can be attributed to the anticipation of inflationary pressures that could compel the Federal Reserve to maintain, if not increase, interest rates. Inflation fears are not unfounded; tariffs essentially act as taxes on imports, potentially increasing prices for goods both at home and abroad.

Gold, traditionally seen as a safe haven, briefly touched a record high of US$2,817.18 per ounce but settled at US$2,798.41, still reflecting investor anxiety amidst this economic uncertainty. Conversely, oil prices reacted positively late in the trading session after Trump hinted at forthcoming tariffs on crude imports, pushing WTI up by 1.6 per cent to US$73.70 per barrel.

Also Read: Gold rises and tech falls: A tale of two markets

In Asia, the economic narrative was not much brighter. China’s manufacturing PMI, a key indicator of industrial activity, continued its downward trend for the second month, highlighting the vulnerability of the world’s second-largest economy to external trade pressures. This, coupled with the looming tariffs, has cast a shadow over Asian equity markets, which opened lower in response.

The cryptocurrency market, often seen as a barometer for speculative risk, has not been spared from this wave of economic caution. Bitcoin, the flagship cryptocurrency, took a significant hit, dropping over five per cent in a single day and shedding eight per cent over the week to hover around US$96,879.

This decline was echoed across other major cryptocurrencies like Ethereum, XRP, and Solana, with the market witnessing US$1 billion in futures liquidations within 24 hours. The fear here is not just the immediate impact of tariffs but also the broader economic uncertainty they herald, potentially affecting consumer spending and, by extension, investment in high-risk assets like cryptocurrencies.

From my perspective, these developments underscore a critical moment for global trade dynamics. The imposition of these tariffs, while aimed at addressing issues like the flow of fentanyl and illegal immigration, might inadvertently lead to a broader economic confrontation. The retaliatory measures by Canada and Mexico, combined with China’s legal challenge at the WTO, could morph this into a full-blown trade war, the likes of which we’ve seen in recent years but with potentially more severe implications.

The immediate advice for investors would be to adopt a cautious stance, focusing on diversification and perhaps moving towards more stable, less tariff-sensitive assets. However, this situation also presents an opportunity for strategic investments in sectors that might benefit from domestic manufacturing incentives or those that are less exposed to international trade frictions.

Ultimately, the global economy is at a crossroads where political decisions are increasingly dictating economic outcomes. The true cost of these tariffs might not just be in the immediate market reactions but in the long-term damage to international trade relations and global economic stability. As we navigate these stormy seas, the call for dialogue and cooperation between nations has never been more urgent, lest we all sink into the depths of protectionism and economic isolation.

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As I sit at the intersection of technology and leadership, the glaring gender gap in executive roles across industries comes as no surprise. Yet, LinkedIn’s latest workforce report serves as a stark reminder of the persistent inequality that permeates boardrooms worldwide.

Even in sectors where women form the majority of the workforce, such as Education and Wellness, leadership roles remain male-dominated. Industries like Construction and Manufacturing exhibit an even wider gender gap in leadership positions.

That is why, in my current role as the Co-Chair of the Digital Trust Chapter at SGTech and CIO at Thoughtworks, I uphold diversity and inclusion as core principles that define our organisational ethos and contribute to our success. I am dedicated to nurturing an environment where every individual feels valued, respected, and empowered to share their unique perspectives. Our company’s stance on D&I is resolute: We strive to cultivate a workplace that celebrates diversity, advocates for equity, and fosters inclusivity across all levels.

To realise these objectives, we have instituted a variety of initiatives designed to promote DEI within Thoughtworks.

Our primary objectives include integrating DEI guidelines into our operations and championing equality in our talent strategy. From recruiting to growth and retention, our commitment manifests through defining measurable DEI metrics to track and assess our performance throughout the talent journey and setting up a governance structure called the DEI Council.

We also aim to achieve and maintain a 40 per cent representation of women and underrepresented gender minorities in leadership roles, ensuring that our leadership reflects the diversity of our workforce. We also prioritise crafting employee engagement surveys to accurately reflect our team members’ sentiments and concerns, as well as setting DEI goals with functions and leadership to ensure alignment with departmental objectives.

Additionally, we establish and support Employee Resource Groups such as the LGBTQIA+ community and Disability Inclusion Group to foster a sense of belonging and advocacy among diverse identities within our workforce.

Also Read: Invest in women, accelerate progress: Why gender equality matters now more than ever

Among our many initiatives, several standout examples include the Women in Leadership Development Program, which serves as a community-building and support structure for women and underrepresented gender minorities, significantly contributing to mental well-being and retention.

Personally, as a workshop facilitator, mentor, and sponsor for this program, I’ve witnessed its profound impact firsthand. We prioritise leadership promotion transparency to cultivate a culture of openness within our organisation, holding leaders accountable for their actions and decisions.

Setting relevant DEI goals with functions and leadership is crucial for fostering an inclusive culture where considerations of diversity, equity, and inclusion are integral to leadership roles. It emphasises that success goes beyond financial objectives, encompassing broader societal values.

Our commitment to diversity extends beyond gender to initiatives like Disability Inclusion and E-Accessibility Training, impacting not only our internal community but also our clients and partners, fostering holistic values and driving engagement and community involvement.

The positive impact of these initiatives on our organisation has been profound. We have seen increased employee engagement, improved morale, and greater innovation as a result of our commitment to DEI. Real-life examples abound of employees who have felt empowered to bring their authentic selves to work and contribute to our collective success.

Looking ahead, our plans to maintain and grow this initiative are multifaceted. We will continue to invest in DEI training and education, ensuring that all employees have access to resources that promote understanding and empathy.

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This article was first published on April 3, 2024

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In recent weeks, I have observed an ongoing debate about Malaysia’s startup ecosystem, particularly among tech venture capitalists (VCs). The common feedback includes concerns over a lack of high-quality deals, weak technological intellectual property (IP), a small consumer market, and an underdeveloped growth ecosystem. These factors have led many VCs and investors to focus on larger markets such as Thailand, Indonesia, the Philippines, and Vietnam.

As someone who started my first startup in Malaysia in 2004, I have had the privilege of witnessing the evolution of Malaysia’s business ecosystem over the past two decades. Ironically, while some may argue that Malaysia has not changed much, its entrepreneurial resilience and strengths have remained constant.

In this article, I aim to present an evergreen perspective on Malaysia’s business ecosystem and why it deserves a closer look.

Malaysia’s macro advantage: Cost-effective outsourcing and talent

Malaysia’s unique advantages lie in its diversity. With a multicultural population proficient in multiple languages, including English, Malaysia serves as an excellent partner for regional and international businesses. I have noticed an increasing willingness among younger Malaysians to engage in English in the past five years, whether in hospitality or business, making communication seamless for foreign investors and partners.

Malaysia also complements Singapore, as evidenced by the Johor-Singapore Economic Zone initiative recently endorsed by the two countries’ leaders. Malaysia benefits from Singapore’s economic spillover due to its larger workforce and natural resources. For example, a co-working space operator in Kuala Lumpur shared with me that many tenants are Singaporean companies expanding their operations into Malaysia. 

Heightened geopolitical tensions have further amplified Malaysia’s appeal. As businesses diversify their manufacturing operations beyond China, Malaysia is becoming a preferred destination for business process outsourcing and manufacturing activities. These trends are likely to drive growth in the coming years.

Embedded multi-generational family businesses: A hidden strength

Small and medium enterprises (SMEs) form nearly 97 per cent of Malaysia’s 1.1 million corporations and contributed 39.1 per cent to GDP in 2023. This signifies an abundance of entrepreneurial activity in the country.

At TRIVE, we’ve delved into the ecosystem over the past two years and discovered a wealth of successful, cash-generating family legacy businesses led by first- and second-generation entrepreneurs. These families have spent decades building their industries and expanding their footprints across the nation.

Also Read: Navigating the AI maze in Malaysia’s martech: Striking a balance between efficiency and ethics

On average, these family-run businesses generate revenues ranging from RM30 million (US$6.7m) to RM200 million (US$44.4m), often with robust margins and significant cash flow. Many of them operate in traditional sectors tied to Malaysia’s core commodities, such as palm oil, rubber, timber, and agricultural products. Others are capitalising on the business processing outsourcing boom, leveraging Malaysia’s cost-effectiveness and skilled workforce.

Despite their proven track records, these traditional businesses are often overlooked by VCs. The perception is that they lack scalability and, consequently, the potential for high returns. Ironically, some of these same companies have gone public on Bursa Malaysia, achieving significant growth and recognition.

Bursa Malaysia: A thriving stock exchange

The resilience of Malaysia’s entrepreneurial ecosystem is perhaps best reflected in the performance of Bursa Malaysia. In 2024, the stock exchange recorded 55 IPOs, raising RM7.42 billion (US$1.65b) in proceeds—its best performance in 19 years. By comparison, Singapore’s stock exchange had only four IPOs during the same period.

An IPO advisor I spoke with explained that nine government and quasi-government funds actively support the local stock market, driving liquidity and enthusiasm among participants. This support, combined with strong retail investor participation, has bolstered the IPO market.

Among the notable IPOs in 2024 was 99 Speed Mart, a household name in Malaysia with thousands of retail outlets nationwide. The company debuted with a market capitalisation of RM13.86 billion (US$3.17 billion), underscoring the potential of Malaysia’s consumer-driven businesses to attract investor interest.

Growing M&A interest in legacy businesses

In addition to IPO activity, there is growing interest in mergers and acquisitions (M&A) involving established Malaysian legacy businesses, particularly from international investors in China, Singapore, and North Asia. This trend is driven by geopolitical factors, as companies seek to diversify their supply chains and manufacturing bases into Southeast Asia.

Another factor contributing to M&A activity is the perceived reduction in political risk under the two-year-old Anwar Ibrahim-led government. The administration’s relative stability has increased investor confidence in Malaysia.

Although the M&A deals are not yet at large-ticket sizes, transactions in the range of US$5 million to US$20 million are becoming more common, as shared by a friend in the M&A space. This demonstrates a steady appetite for established, profitable businesses in traditional industries.

Navigating Malaysia’s investment landscape

Investing in Malaysia requires a different approach than in other markets. While many fund managers rely on transactional methods—evaluating pitches, conducting analyses, and seeking investment committee approvals—this method alone often fails to capture the nuances of Malaysia’s business culture.

Also Read: Clean energy in Malaysia: Opportunity amidst uncertainty

Malaysia operates on relationships, not transactions. Building trust takes time, often months, and investors must be prepared to engage deeply with local entrepreneurs. At TRIVE, our approach involves engaging with the next generation of family business leaders before meeting the patriarch. Understanding family dynamics is crucial to unlocking investment opportunities. And these takes a few months to years, something which international VCs are unwilling to spend time on.

It’s also important to note that the best deals in Malaysia are rarely found at conferences or public forums. Instead, they emerge through trusted networks of next-generation business owners. Malaysians place immense value on personal introductions and relationships, and being introduced through a mutual connection can open doors that would otherwise remain closed.

Investors must also operate locally. This means having a well-networked Malaysian team and consistently demonstrating a helpful, value-driven approach rather than focusing solely on financial returns. Establishing a reputation for reliability and partnership is key to accessing Malaysia’s best investment opportunities.

A market worth revisiting

Malaysia’s startup ecosystem may not have the scale or technological edge of some of its neighbours, but its strengths lie in its resilience, diversity, and deeply rooted entrepreneurial culture. From its multilingual talent pool and cost-effective outsourcing opportunities to its thriving family businesses and vibrant stock exchange, Malaysia offers unique opportunities for investors willing to adapt their approach.

As the world continues to navigate geopolitical shifts and supply chain diversification, Malaysia is well-positioned to benefit from these trends. For those who take the time to understand its market dynamics, Malaysia remains a steadfast and rewarding place for entrepreneurial success.

Reach out to me if you are keen to invest into TRIVE’s Private Equity fund that focuses on Malaysian family businesses.

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