Empowering Malaysia’s SME Backbone Through Private Credit
Tradeview Capital, a boutique fund management firm licensed by the Securities Commission Malaysia (SC), has partnered with Funding Societies Malaysia, Southeast Asia’s largest SME digital financing platform, to launch the Tradeview Funding Societies Income Fund (TFSIF).
The fund aims to strengthen Malaysia’s economy by directing private capital to creditworthy small and medium enterprises (SMEs) – the country’s economic backbone. At the same time, it provides investors with stable, low-volatility monthly income.
Structured as an open-ended wholesale private credit fund, TFSIF combines Tradeview Capital’s disciplined fund management with Funding Societies’ advanced SME risk analytics. This partnership ensures a diversified portfolio that balances steady income with long-term capital protection.
Targeting Predictable, Risk-Adjusted Returns
The fund targets an absolute return of 6% per annum, paid out monthly. It invests primarily in short-term notes issued by Malaysian SMEs on the Funding Societies platform. These notes support established and creditworthy businesses that often struggle to access traditional financing.
To safeguard investor interests, TFSIF includes a Credit Enhancement Reserve of up to 10% of net investments to absorb potential credit losses. Additionally, part of the portfolio is secured by collateral or third-party guarantees from CGC Digital Malaysia, a subsidiary of the Credit Guarantee Corporation (CGC).
The minimum investment starts at RM10,000, with additional top-ups in the same amount, and an initial unit price of RM1.00.
Backing Businesses, Building Futures
“We have always believed that SMEs are the greatest economic asset of the country,” said Nixon Wong, Chief Investment Officer at Tradeview Capital.
“This initiative seeks to strengthen the role of SMEs as the pillar of Malaysia’s economy, accounting for 39.5% of GDP and employing 8.1 million people, according to the Department of Statistics Malaysia (DOSM). By facilitating access to growth capital, the fund aims to enhance SME resilience, while offering investors stable and sustainable returns,” he said.
Chai Kien Poon, Country Head of Funding Societies Malaysia, added:
“Both Funding Societies and Tradeview started as SMEs ourselves so we understand their challenges first-hand and share a deep commitment to empowering the growth of Malaysian businesses.”
A Partnership Built on Proven Performance
Tradeview Capital’s assets under management (AUM) have exceeded RM100 million, with its flagship Sustainable & Responsible Investment (SRI) equity fund delivering average annual returns of 11.2% since 2022.
Meanwhile, Funding Societies has disbursed over RM20 billion to more than 100,000 SMEs across Malaysia, Singapore, Indonesia, Thailand and Vietnam. Supported by five million financing notes, its shareholders include SoftBank Vision Fund 2, Maybank, Khazanah Nasional Berhad and CGC Digital Malaysia.
This collaboration reinforces both organisations’ shared vision “Backing Businesses, Building Futures.” Together, they aim to empower entrepreneurs, strengthen Malaysia’s economic foundation, and generate lasting value for investors and communities alike.
