KUALA LUMPUR (Aug 26): Anticipating market jitters ahead of the 16th general election (GE16) that must be held by February 2028, former health minister Khairy Jamaluddin has launched Flowstate Advisors to help public and private sector clients navigate political transitions and strategic capital deployment.

Khairy, who serves as the executive chairman of the newly launched boutique corporate advisory firm, said the timing of its launch reflects global geopolitical turbulence and domestic political developments expected between late 2026 and throughout 2027.

“Why we launched it now is because there's a lot of uncertainty in terms of global, both geopolitical and economic environment, as well as the local political environment in which you will inevitably see a [general] election happen within the next 18 months,” Khairy told reporters after the launch ceremony on Wednesday.

He noted that potential political shifts frequently impact how institutions allocate capital and assess long-term investments, especially when projects are tied to state policies, statutory bodies, government-linked companies (GLCs), or public blueprints.

“Going forward, this is longer-term advisory work that we will be able to offer — addressing what happens in case there’s a political transition not just in Malaysia, but in other countries,” he said.

Flowstate could give advice on how such transitions could affect investments and capital allocation, he said.

Flowstate plans to aggressively market its services over the coming quarter as corporations finalise their 2027 business plans. While sector-agnostic with no fixed mandate targets, the firm aims to capitalise on accelerated capital deployment by GLCs and state investment road maps.

"We believe there's a lot of work coming in the next one year," Khairy said.

To maintain agility and manage fixed costs, the firm operates a lean, partner-led model, curating dedicated execution teams per mandate rather than carrying a heavy permanent headcount.

“Being small is not something we apologise for. It is the whole point,” he said, adding that partners will remain hands-on and accountable across every engagement.

Beyond navigating political risks, Khairy pointed out that local organisations often turn to international consultancies when faced with major decisions or restructuring, viewing global brands as a "safe signature".

“Flowstate Advisors was built to change that,” he said, describing the firm as an independent Malaysian advisory firm established to guide clients through consequential decision-making.

The advisory firm operates across four main areas: public-sector advisory, deal advisory, strategy and transformation, and value creation and implementation.

Flowstate is also collaborating with Natural Capital Partners, an impact advisory firm focused on mergers and acquisitions, corporate finance and venture scaling in the natural capital and sustainability sectors across Southeast Asia.

The founding team comprises:

The name of the firm, Flowstate, is a term popularised by Gen Z, meaning to reach a state of mind where ideas flow uninterrupted, and when one is completely immersed in the activity, leading to improved performance. The term can be traced back to 1975, when it was first used by Hungarian-American psychologist Mihály Csíkszentmihályi.

Khairi told The Edge that it is also to harness new ideas in order to "give more value to stakeholders".

As for speculations about his potential return to politics, Khairy merely said: "One, let's not deal with hypotheticals for now. Second — and this is important for not just Flowstate but all my ventures, like KS [Keluar Sekejap] and all the things that I do — I think it's important that business continuity is in place.”

"I think I still have at least a year to build this business, and that's a lot of time to create a pipeline. Whatever happens later, happens later. I don't think they will mind if their ex-partner is in government,” he added, without elaborating.