The civil servants’ pension fund said it would invest RM250 million in venture capital funds that are focused on Malaysia, according to a statement today.

The rest of the investment would be directed toward promising, early-stage companies via its Dana Perintis fund.

KWAP will also commit its expertise and resources to helping local startups succeed globally, said its chief investment officer Hazman Sallahuddin.

The fund has identified potential startups to invest in, namely those which employ more than 1,000 Malaysians, he added.

An announcement on the matter will be made in the fourth quarter, he said.

“The goal of Dana Perintis is two-fold: to enhance the Malaysian early-stage ecosystem, and to generate attractive and sustainable risk-adjusted returns for KWAP and our stakeholders,” said Hazman.

KWAP is Malaysia’s second-largest pension fund after the Employees Provident Fund, with a total fund size of about RM184.5 billion, according to its website.

Economy minister Rafizi Ramli said today KWAP’s Dana Perintis would draw international investors and venture capitalists to set up offices in Kuala Lumpur, “bringing experienced founders and funders network that would create a chain reaction of innovative ventures.”