The Financial Management Agreement serves as the primary contractual framework for establishing professional financial management relationships in Malaysia. It is essential for financial institutions, asset managers, and investment advisors who provide discretionary or non-discretionary financial management services to clients. The agreement must comply with Malaysian regulatory requirements, particularly the Capital Markets and Services Act 2007 and Financial Services Act 2013, while addressing crucial aspects such as investment mandates, risk management, reporting obligations, and fiduciary responsibilities. This document is typically used when engaging new clients for wealth management, investment advisory, or portfolio management services, and includes comprehensive provisions for regulatory compliance, operational procedures, and risk disclosures.

1. Parties: Identification of the financial manager and the client, including registration/license details

2. Background: Context of the agreement and brief description of the services to be provided

3. Definitions: Key terms used throughout the agreement, including regulatory and technical terms

4. Appointment and Scope of Services: Detailed description of financial management services to be provided and appointment terms

5. Authority and Client Instructions: Extent of manager's authority and procedures for client instructions

6. Compliance with Laws: Obligations to comply with Malaysian financial regulations and relevant laws

7. Fees and Charges: Fee structure, calculation methods, and payment terms

8. Client's Obligations: Client's responsibilities, including information provision and cooperation

9. Representations and Warranties: Standard and specific warranties from both parties

10. Risk Disclosures: Mandatory risk warnings and investment risk disclosures

11. Confidentiality: Confidentiality obligations and permitted disclosures

12. Personal Data Protection: Compliance with PDPA 2010 and data handling procedures

13. Limitation of Liability: Extent and limitations of the manager's liability

14. Termination: Termination rights and procedures

15. General Provisions: Standard boilerplate clauses including notices, amendments, governing law