THZ Alliance – Diversified Investment Holding Company

WELCOME TO THZ ALLIANCE

With the advent of Information Technology, the banking industry of the 21st century has shifted towards data and network. However, fulfilment of customers’ needs remain constant and it will be prioritised in time to come. Banking customers expect that they can access their money easily, quickly and safely, and at the same time they can establish some form of relationships with their banks. In other words, they need trust and service personalisation.

Undoubtedly, the global pandemic has accelerated digital banking and forced banks to evolve at an exponential speed to create more effective and efficient ways to meet these customers’ needs. For instance, customers will be able to manage their own personal finances at their fingertips.

With optimal utilisation of data and technology, digital banks can now offer more unprecendeted personalized products and services. Furthermore, with a relatively lower expenditure in banking operation, these savings promise better interest rates and lower fees.

1. Enhanced Industry Security

Banks and financial institutions have been facing cyberattacks since the early stage of pandemic. The increased volume of threats has encouraged companies to implement new safeguards to govern cybersecurity.

2. Growth of Digital Transactions in Market

Alongside the World Health Organization encouraging people to go cashless, the pandemic has triggered acceleration to go e-payments.

For instance, amidst the uncertainty, Sweden’s central bank has signed an agreement to gain access to EU TIPS platform, which will act as the basis for the country’s own platform for instant payments.

3. Accelerated Digital Banking Development

As banks have to severely limit working hours and being forced to downsize, digital banking fits in to accommodate the financial needs of people working from home. In the US alone, over 45% of people have changed the way they bank amidst the pandemic.

According to a European customer survey by McKinsey, there has been a 20% increase in digital engagement.

4. Better Customer Experience

People who are highly satisfied with their digital banking experience are 2.5 times more likely to open new accounts with their existing bank.

The aftermath of COVID-19 is expected to result in developing simplified UX to attract and retain customers.

5. A Catalyst for Fintech Companies

The 2008 financial crises gave a boost to the fintech industry, some businesses aimed to present the market with a more technologically sophisticated solutions.

The COVID-19 pandemic greatly impacts the fintechs, and continues to drive the need for innovations.

The three primary digital banking trends in 2021 will be around Automation, Personalization, and Real-Time Payments

Allison Beer, Chief Product Officer and Head of Customer Experience and Digital for Chase

1. Enhanced Industry Security

2. Growth of Digital Transactions in Market

Alongside the World Health Organization encouraging people to go cashless, the pandemic has triggered acceleration to go e-payments.

3. Accelerated Digital Banking Development

According to a European customer survey by McKinsey, there has been a 20% increase in digital engagement.

4. Better Customer Experience

People who are highly satisfied with their digital banking experience are 2.5 times more likely to open new accounts with their existing bank.

The aftermath of COVID-19 is expected to result in developing simplified UX to attract and retain customers.

5. A Catalyst for Fintech Companies

The 2008 financial crises gave a boost to the fintech industry, some businesses aimed to present the market with a more technologically sophisticated solutions.

The COVID-19 pandemic greatly impacts the fintechs, and continues to drive the need for innovations.

The three primary digital banking trends in 2021 will be around Automation, Personalization, and Real-Time Payments

Allison Beer, Chief Product Officer and Head of Customer Experience and Digital for Chase

The Bank Negara Malaysia (BNM) had announced that digital banking business applications were open until 30 June 2021. On June 30, our consortium lead, iFAST Corporation, had announced

that it has submitted an application for a digital bank licence from Bank Negara Malaysia (BNM).

We are committed in driving financial inclusion, including safeguarding quality access to, and responsible usage of financial services, particularly to the underserved and unserved segments.

If successful in its bid, iFAST Corp will own a 40% stake in the digital bank whilst the beneficial equity ownership of the consortium will be approximately 57% Malaysian.

In Malaysia, the central bank requires a digital bank to maintain minimum capital funds of RM100 million, unimpaired by losses, during its foundational phase — meaning, the first three to five years. After the foundational phase, the amount increases to RM300 million.

As a leading wealth management Fintech platform headquartered in Singapore with AUA of S$16.11 Billion (as at Q1 2021), iFAST Corp leads a consortium comprising three Malaysian partners – Koperasi Angkatan Tentera Malaysia, the cooperative organisation for Malaysian military personnel; THZ Alliance, an investment firm founded by Tengku Dato’ Dr Hishammuddin Zaizi; and Lee Thiam Wah, founder and major shareholder of mini-mart chain 99 Speed Mart.

The consortium also includes Yillion Fintech, an arm of Yillion Bank, one of the four digital banks in China founded by Zonfar Financial Holding and Hong Kong-listed Meituan Dianping.

With about 20 years of proven history of profitability supported by a sustainable business model, we rely on in-house technology and IT expertise, instead of outsourcing. Together with efficient implementation, key products and services could be deployed quickly at low cost.

With regional footprints and licences held in Singapore, Malaysia, Hong Kong, China and India, it places us at advantageous position to reach further and potentially create a bigger eco-system and to aim of become a truly global bank, offering opportunity to everyone around the world to open an account.

Interesting and innovative or high-yielding products from other banks and FinTechs are offered on the platform, there will be no value-destroying efforts to offer cut-throat rates just to win customers.

Unlike other banks and financial institutions that largely out-source IT solutions, our Fintech platform has developed internally an impressive range of proprietary technologies over the last 20 years.

All the systems are integrated and functioning efficiently and safely, eliminating the many problems occurred during the integration of many solutions from multiple vendors.

(with focus on B40 and Rural Malaysia)

1. Mass Market

The consortium's digital bank, dubbed iFAST Bank, can create positive change for the unserved and underserved market segments such as the Bottom 40% (B40) population in Malaysia. With the synergistic capabilities within our consortium, the solutions offered for the B40 are ones that will provide immediate benefits and results – such as free life insurance, interest-free loans for daily necessities, and micro investments and insurance. iFAST Bank is ready to serve the B40 segment for these purposes and remain profitable while doing so.