CGS-CIMB Securities International, a joint venture securities firm between China Galaxy International Financial Holdings and CIMB Group, has launched a digital investment service targeting Singapore’s millennial market.
The firm already has a digital trading platform, iTrade, in place for years. But the latest offering is CGS-CIMB’s first multi-asset platform, according to Saw Ping May, founder of ProsperUs and group head of strategy and analytics at CGS-CIMB.
Besides stocks, Prosper Us allows investors to invest in other investment products, including mutual funds and ETFs, Saw told FSA, adding that the platform has already onboarded mutual funds managed by the “big names”.
“We have all the big names, such as Fidelity and Franklin Templeton. Quite a lot of the big fund managers,” Saw said.
NOT A ROBO-ADVISORY PLATFORM
Saw explained that within the platform, users will have access to two applications, which are “Build” and “Boost”.
Build assists investors in creating customised portfolios that may include fund products, stocks and bonds, based on their financial status and risk appetite, while Boost functions as a trading application where investors can actively buy and sell stocks, futures, options and contracts.
While Prosper Us provides investment insights, it is not an algorithm-based robo-advisory platform that offers asset allocation recommendations.
“What we want is to allow our clients to be in control of their own portfolios,” he said.
Other securities firms have also diversified their trading platforms to include investment products other than stocks. For example, Futu Securities in Hong Kong made its foray into wealth management in 2019 with the launch of the “Money Plus” fund platform on its stock trading app. Money Plus is a collection of equity, fixed income and multi-asset portfolios that invest in various mutual fund products. Users of the app also have the option to select individual mutual funds.
Meanwhile, other algorithm-based robo-advisory platforms have acknowledged investors’ preference for having complete control over their investments. For example, Singapore-based robo-advisory firm Kristal AI, which also operates in Hong Kong, allows its users to invest in individual ETFs that are available on the platform.
CGS-CIMB’s Prosper Us will officially launch on 1 April. The firm aims to attract 10,000 investors in the next 12 months, with plans of rolling out the platform in other Asian markets it operates in.
“Singapore is the regional financial hub, and regulation-wise, it allows the widest range of products,” Saw said. “It is always the best place to try out any new platform or new products.”
In Asia, the firm has a presence in Singapore, Malaysia, Indonesia, Thailand and India, according to the firm’s website.