KUALA LUMPUR: Malaysia Airports Holdings Bhd (MAHB) shares were sold at between RM6.80 to RM7.70 per unit, generating RM102 million for the Employees Provident Fund (EPF) 2023 dividend distribution, said Finance Minister II Amir Hamzah Azizan.
He said MAHB shares outperformed the Kuala Lumpur Composite Index by 11.47 per cent in 2023, a key factor in the share sale strategy.
“The claim that the EPF suffered losses from this sale is unfounded, as the EPF clearly denied in its press statement on Feb 12, 2025.
“Based on this statement, the EPF recorded a profit from the sale and purchase of MAHB shares, contributing to total investment income of RM63.48 billion for the financial year ended Dec 31, 2023,” he said during the Ministerial Question Time in the Dewan Rakyat.
He was responding to Chong Zhemin (PH-Kampar), who asked about the total profit or loss from the EPF’s MAHB share transactions and how it was reflected in the EPF’s financial statements.
Amir Hamzah said the EPF declared a dividend of 5.50 per cent for conventional savings and 5.40 per cent for shariah savings in 2023.
“Since 2014, total income from active trading and dividends from MAHB shares has reached RM650 million,” he said.
He explained that MAHB share trading and the company’s recent privatisation were separate investments, differing in objectives and management responsibility.
Until the Voluntary General Offer (VGO) was announced on May 15, 2024, on Bursa Malaysia, fund managers continued trading MAHB shares under their mandate to generate returns for EPF members, he said.
The EPF enforces strict governance through an information barrier protocol, known as the “Chinese wall”, a standard practice among government-linked investment companies and financial institutions, he added.
“Under this protocol, the Strategic Investment Department, which handled MAHB’s VGO, is strictly prohibited from sharing sensitive, non-public information with the Equity Department.
“This ensures information is kept separate, preventing conflicts of interest that could lead to insider trading, which is a criminal offence under the Capital Markets and Services Act 2007 (CMSA),” he said.
He stressed that the whistleblower protocol was a key safeguard against insider trading, as outlined in Section 190 of the CMSA.
Insider trading is a criminal offence punishable by a mandatory prison term of up to 10 years and a fine of at least RM1.0 million, he said.
“If the EPF used inside information for share trading, it would compromise the integrity and fairness of Malaysia’s stock market, given the EPF accounts for 38 per cent of the domestic listed equity market,” Amir Hamzah said.
He added that the EPF’s strict internal controls, upheld with full integrity, had reinforced its standing as a respected investment institution over its nearly 75-year history.
“As Malaysia’s largest investment institution, the EPF takes its role in financial market stability seriously.
“Any improper action could not only damage the EPF’s reputation and standing but also impact the country’s financial market performance,” he said.
