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EPF Investment Scheme in Malaysia

EPF Scheme Malaysia_Smart Wealth

As a Malaysian citizen, everyone should know EPF (employees provident fund) and what is the purpose of this fund. But what about EPF investment scheme? To explain it briefly,  the scheme is an option where you could invest a certain percentage of your EPF funds in EPF-approved unit trust funds. The objective of the scheme is to help grow your money for retirement purpose and members are able to invest a maximum of 30% of their savings or minimum RM1000 of their EPF account 1.  

So which types of investment scheme are available for you to invest? Over 20 fund management institutions have been listed by EPF agency to manage unit trust funds under their investment scheme. The list of approved funds include bonds, equities, money markets, and balanced (mixed) unit trust funds. Each of the approved funds has different earning potential and therefore different risk level. It is always a wise move to consider your risk taking capability before diving in any of the investment schemes so that you would have a peace of mind. You will need to know your investment objective as well either to have a regular income stream, make capital gains or a combination of both.


Here’s some scheme on offer for the public:

  • AFFIN HWANG Aiiman Income Plus Fund- Classed as a low-risk bond fund, this type of investment will provide a steady income and is best for those with mid to long-term investment goals.
  • Hong Leong Money Market Fund- A low-risk option for risk-averse investor, it is designated for people who want to invest for a short period of time while at the same time expecting to receive a regular income stream.
  • RHB Smart Balance Fund- This fund is classified as moderately risky and suitable for investors who might want to participate in a longer time period. This option is advantageous in that it allows investors to earn from current income and capital growth.
  • AmCumulative Growth- A high-risk equity fund to start with, it suits investors who are looking for capital growth over regular income streams. This fund is a long-term investment option for people who would want to accumulate higher returns.


Even though some of the funds are classified as low risk, it does not mean that investor will not be exposed to any loss in their investment. It all boils down to how much risk appetite an investor could withstand. The higher the risk, the higher the returns and so the higher the loss as well.

So you have it the basics of EPF investment scheme in Malaysia where you can decide carefully on whether you want to invest in it or which type of investment option is more suitable for you. There will be pros and cons in any of the investment schemes and you could always engage the services of financial consulting firm like Smart Wealth to guide you on which types of investment pathway is the best for you. The earlier you are informed, the better you are prepared for you retirement period.If not now, then when?

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