THE Federation of Investment Managers Malaysia (FIMM) has reprimanded a Unit Trust Schemes (UTS) and Private Retirement Schemes (PRS) consultant for his misconduct and breach of FIMM’s Code of Ethics and Rules of Professional Conduct (Unit Trust Funds), second edition dated Jan 22, 2013.
Yap Chen Heng from Affin Hwang Asset Management Bhd (AHAM) was found to be in breach of Clause 3.13(a) of FIMM’s Code for allowing a former UTS consultant of AHAM who was not registered as a PRS consultant to park her sales of AHAM’s PRS to investors under his name without the consent of the investors.
Yap also did not conduct due diligence on the said investors prior to designating himself as their servicing consultant at AHAM, FIMM said in a statement.
Clause 3.1.3(a) of FIMM’s Code requires UTS/PRS consultants to act with honesty, dignity and integrity at all times.
Additionally Yap is required to attend training, alongside course relating to “Know Your Customer (KYC) and the Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLA)” as well as “Roles and Responsibilities of an Upline” pursuant to Rule 6.6.1(b)(v) of FIMM’s Consolidated Rules.
“This public reprimand is imposed to send a strong message that FIMM will take action against those who fail to comply with any rules issued by FIMM,” the statement continued.
“This is to deter UTS and PRS Consultants from committing any misconducts and reminding them that it is crucial to observe FIMM’s rules when marketing and distributing UTS and PRS in Malaysia to protect the interests of the investing public.” – Nov 5, 2021
