KUALA LUMPUR (April 25): WeLab Bank in Hong Kong, which is backed by Malaysian sovereign wealth fund Khazanah Nasional Bhd, says it has become the first virtual bank in the city-state to be licensed to offer digital wealth advisory services.
In a statement Monday (April 25), WeLab Bank said it has soft-launched its intelligent wealth solution GoWealth Digital Wealth Advisory (GoWealth) for selected customers, after having obtained the Type 1 (dealing in securities) and Type 4 (advising on securities) licences from the Hong Kong Securities and Futures Commission (HKSFC).
The public launch of GoWealth — which is the bank's wealth management advisory solution that capitalizes on the investment expertise of Allianz Global Investors (AllianzGI), one of the world’s leading asset management firms — has been scheduled for the near future, it said.
The two entities announced a strategic collaboration early last year to combine their expertise in fintech and investment management, as well as their deep understanding about the financial needs and habits of Hong Kong people for the WeLab Bank to create a new seamless intelligent wealth advisory experience for the city.
WeLab Bank is a wholly-owned subsidiary of WeLab Holdings Ltd (WeLab), a leading fintech company that provides a wide range of digital financial services in Hong Kong, China, and Indonesia, with over 50 million individual users and over 700 enterprise customers.
Khazanah first announced in 2016 its investment in WeLab, which it termed as one of China's largest mobile lending and credit analytics platforms, via special purpose vehicle Bukit Galla Investments Ltd in a US$160 million Series B fundraising exercise.
At the time, Khazanah said its participation in the fundraising represented its first investment in China's fintech sector, which the fund said would allow it to gain exposure to the country's growing consumer loan market with tremendous demand that was not met by traditional banking services.
Apart from Khazanah, WeLab Bank — which has a virtual bank licence from the Hong Kong Monetary Authority — is also backed by investors like Allianz, International Finance Corp (a member of the World Bank Group), CK Hutchison’s TOM Group and Sequoia Capital.