Keynote Speech at #ISaveinPRS Kickstart Campaign Launch

Speaker: Shahrul Amry, Director, Market Development, Securities Commission Malaysia

Location: Kuala Lumpur
Delivered: 6 February 2026

YM Dato’ Dr.Tengku Aizan, Chairman of PPA,
Members of the PPA Board, and
En. Taufik Iskandar, Chief Executive Officer of PPA,
Distinguished guests, ladies and gentlemen,

Introduction

Good morning.
Firstly, I would like to express my appreciation to the Private Pension Administrator Malaysia for inviting the Securities Commission Malaysia to deliver the keynote address at the launch of the I Save in PRS Kickstart 2026 Campaign.
This occasion is significant as it brings together the PRS industry with a shared objective of strengthening Malaysia’s retirement savings ecosystem by encouraging younger Malaysians to start saving early, and to keep saving consistently, through the PRS.

Evolution of Malaysia’s Retirement Ecosystem
Ladies and gentlemen,

Malaysia’s private retirement ecosystem has demonstrated strong growth in recent years, reflecting both rising public awareness and steady industry effort to strengthen long-term savings outcomes. As at year-to-date 2025, PRS AUM grew by 16% to RM8.8 billion, up from RM7.6 billion in 2024. This expansion is supported by a widening base of members, with total PRS membership continuing to trend upwards reaching over 671,000 members in 2025 representing 9% year-on-year growth. These figures are more than just milestones; they signal increasing confidence in PRS as a complementary retirement savings channel and underscore the industry’s role in broadening retirement readiness beyond traditional pillars.
AUM growth has also been broad-based and consistent, with improvements compounded at an annual growth rate of 18% between 2018 and 2025. This signals a maturing PRS landscape one that is steadily expanding access, deepening participation, and strengthening the foundation for long-term retirement adequacy.
Additionally, contributions into PRS have also been strong and steady with RM 1.12 billion invested in 2025, marginally higher than the RM 1.09 billion in 2024.
Taken together, these trends show a PRS ecosystem that is gaining momentum, with stronger AUM growth and broader participation. The focus now is to convert this momentum into earlier and more consistent saving habits, which is what iSaveinPRS kickstart aims to drive.

Elevating Industry Responsibility Beyond Product Distribution,
Ladies and gentlemen,

As many of us are aware, PRS contributions represent long-term, sticky retirement savings, not transactional or short-term investment flows. As such, PRS warrants a high standard of stewardship. We must view PRS not simply as a product to be distributed, but as a long-term trust built on members’ contributions for their future retirement security. That trust must be earned through strong outcomes, including clear value for money.
Equally important is the issue of value for money in the context of fees and charges. As long-term retirement savings vehicles, PRS funds must deliver outcomes that are commensurate with the costs borne by members. Where performance outcomes vary across periods and strategies, it is important that fees remain appropriate to the strategy delivered and clearly understood by members
Moreover, ladies and gentlemen, there remains a clear need to strengthen member understanding of PRS. Many are still unaware of PRS, with misconceptions and limited visibility around returns and how their funds are performing. This highlights the need for more consistent outreach and clearer, simpler communication on PRS purpose, performance and long-term outcomes so saving becomes easier to start, easier to track, and easier to sustain.
Ultimately, stronger awareness is a critical enabler of sustainable PRS growth, particularly if we want younger Malaysians to start early and remain committed. By putting member understanding at the centre through clear communication, simple comparisons, and regular touchpoints on value, risk and progress, the industry can deepen trust and encourage more informed, consistent participation. With continued education and transparent engagement, PRS can be positioned as an accessible and meaningful complement to Malaysia’s long-term retirement planning.
These efforts also support inclusivity, ensuring PRS is accessible and relevant to a wider range of Malaysians, including younger and lower-income savers, so that retirement readiness is strengthened across the board.”

#ISaveInPRS Kickstart 2026 Campaign
Ladies and gentlemen,

It is important to acknowledge the collective efforts of the industry in sustaining engagement and participation in PRS. Initiatives such as the I Save in PRS Treats 2025 Campaign have played a meaningful role in encouraging contributions and maintaining visibility of PRS, reflecting the commitment and hard work of PPA and PRS Providers in keeping voluntary retirement savings relevant to Malaysians.
Against this broader context, the I Save in PRS Kickstart 2026 Campaign is a targeted, outcome-oriented initiative to encourage earlier participation in private retirement savings. It sets a clear objective: to onboard new PRS members and prompt an initial contribution, turning awareness into action and laying the groundwork for more consistent saving over time.
The campaign also adopts a phased approach aligned with observed contribution behaviour across the year by driving new account enrolment early on, when individuals are more receptive to starting financial commitments and supported by seasonal cash flows such as bonuses and festive periods, while maintaining engagement later in the year as tax considerations become more salient.
Youth engagement forms a central pillar of the campaign’s design. Younger Malaysians represent not only future retirees, but also a demographic that is more receptive to habit formation, digital engagement, and peer-driven influence. Early participation allows contributors to benefit from the power of compounding, while normalising retirement saving as a core part of early adulthood.
To reinforce early action, the campaign also includes a targeted matching contribution on a one-to-one basis, to reduce friction at the point of entry and encourage first-time participation. Importantly, this is designed as a nudge to kickstart saving habits anchoring the message that the real long-term value of PRS comes from consistent contributions and disciplined accumulation.
The focus on youth focus is deliberate because small, early contributions can compound meaningfully over time, and the campaign is designed to help younger Malaysians build a saving habit before competing priorities set in. Taken together, the campaign is a practical push to convert awareness into participation and to strengthen sustained saving habits, supporting better long-term retirement outcomes for Malaysians.

Way forward
Ladies and gentlemen,

The continued relevance of PRS will depend on its ability to adapt to evolving investor needs and behavioural realities. As Malaysia’s retirement landscape becomes more diverse, the PRS framework must continue to evolve to remain relevant, meaningful, and effective for a broad spectrum of contributors.
In this regard, the SC together with PPA will continue to focus on strengthening the value proposition for PRS members. This includes reviewing fees and charges to ensure they remain proportionate and aligned with value delivered, while engaging industry stakeholders to identify areas for greater efficiency. The objective is clear: a more competitive and member-centric PRS ecosystem that supports better long-term outcomes.

Conclusion
In conclusion,

I would like to commend PPA and the PRS industry for your continued commitment to strengthening Malaysia’s retirement ecosystem and improving long-term outcomes for Malaysians. The progress achieved to date reflects dedication, collaboration, and a shared sense of responsibility towards improving long-term retirement outcomes for Malaysians.
Looking ahead, the focus must be on sustaining momentum and encouraging higher, more consistent contributions to support retirement adequacy, and this is where initiatives like I Save in PRS Kickstart 2026 play an important role in catalysing early participation and reinforcing long-term saving habits.
Improving retirement outcomes will require a collective effort across the ecosystem. Regulators, administrators and industry participants must work together to deepen engagement, strengthen stewardship, and support members to progress towards sustained accumulation over time so PRS continues to strengthen its role in supporting Malaysians’ retirement security.
Thank you.