Halogen Capital: Pioneering Digital Asset Fund Management in Malaysia

06 Dec 2024 by Sharlife

 

Halogen Capital has marked a significant milestone in Malaysia's financial landscape by becoming the country's first licensed digital asset fund manager. Officially launched in July 2023, Halogen Capital is dedicated to providing innovative investment solutions in the realm of digital assets, catering to both institutional and private investors.

Regulatory Compliance and Offerings

Licensed by the Securities Commission of Malaysia (SC), Halogen Capital adheres to stringent regulatory standards that ensure investor protection. This includes the use of SC-registered trustees and custodians, as well as compliance with Malaysian Financial Reporting Standards (MFRS). Notably, all funds offered are also Shariah-compliant, appealing to a broad spectrum of investors seeking ethical investment options.
 

Halogen Capital's product suite includes:

1. Halogen Shariah Bitcoin Fund (HSBTCF)

  • Launch Date: 23rd August 2023
  • Objective: Provides exposure to physical spot Bitcoin, allowing investors to participate in the cryptocurrency market without managing private keys.
  • Investment Structure: The fund operates as a segregated unit trust, investing at least 70% of its Net Asset Value (NAV) in Bitcoin, while the remainder is allocated to Shariah-compliant instruments like sukuk and Islamic deposits.
  • Minimum Investment: RM10,000 (approximately USD2,200).
  • Management Fee: Up to 1.00% per annum of the NAV.
  • Target Audience: Aimed at sophisticated investors seeking Shariah-compliant investment options in digital assets.

2. Halogen Shariah Ethereum Fund (HSETHF)

  • Launch Date: 4th January 2024
  • Objective: Offers exposure to physical spot Ethereum along with potential staking rewards, providing a dual benefit of capital appreciation and income generation from staking activities.
  • Investment Structure: Similar to the Bitcoin fund, it allows investors to gain exposure without the complexities of private key management.
  • Minimum Investment: RM10,000.
  • Management Fee: Up to 1.00% per annum of the NAV.
  • Key Feature: Up to 70% of the fund’s holdings in Ethereum may be utilized for staking on the Ethereum network, generating additional returns for investors.

3. Halogen Shariah Crypto Titans Fund (HSCTF)

  • Launch Date: 30th May 2024
  • Objective: Actively managed fund investing in a diversified basket of large-cap Shariah-compliant digital assets such as Bitcoin, Ethereum, Solana, and Ripple.
  • Investment Strategy: The fund aims for long-term capital appreciation through an active rebalancing strategy, maintaining a minimum investment in at least four different digital assets.
  • Minimum Investment: RM10,000.
  • Management Fee: Up to 1.50% per annum of the NAV.
  • Target Audience: Designed for sophisticated investors with a high-risk tolerance and a long-term investment horizon.

4. Halogen Shariah Ringgit Income Fund (HSRIF)

  • Launch Date: 19th July 2023
  • Objective: A fixed-income fund that aims to outperform traditional fixed deposit returns by investing in Islamic deposits and short-term sukuk.
  • Investment Structure: Provides liquidity with T+1 settlement and is denominated in Malaysian Ringgit (MYR).
  • Minimum Investment: RM10,000.
  • Management Fee: Up to 0.40% per annum of the NAV.
  • Key Feature: Designed as an alternative to fixed deposits while ensuring compliance with Islamic finance principles.

5. Halogen Shariah Enhanced Income Fund

  • Launch Date: 3rd September 2024
  • Objective: Focuses on income-generating assets while strategically allocating up to 3% of its portfolio into cryptocurrencies for enhanced returns.
  • Investment Structure: Primarily invests in Islamic liquid assets and sukuk, with a minor allocation towards digital assets.
  • Minimum Investment: RM10,000.
  • Management Fee: Up to 0.80% per annum of the NAV.
  • Target Audience: Suitable for investors looking for a balanced approach between traditional income-generating investments and exposure to digital assets
  • Shariah Adviser: Sharlife

Conclusion

Halogen Capital stands at the forefront of Malaysia's digital asset investment landscape. By combining regulatory compliance with innovative product offerings and a commitment to ethical investing principles, it is poised to reshape how Malaysians engage with cryptocurrencies and other digital assets. As the firm continues to expand its portfolio and reach, it represents a significant step forward in making digital asset investments more accessible and secure for a wider audience.