Let $G$ be a finite group, and consider the composition $X * Y$ on $\mathbb{C}G$ defined by $$(\sum_g \alpha_g u_g) * (\sum_g \beta_g u_g) = \sum_g \alpha_g \beta_g u_g.$$ This composition can be reformulated as a convolution using the Fourier transform.
Question: Let $X,Y \in \mathbb{C}G$ be positive elements. Is $X * Y$ also positive?
Remark: It is an application of Theorem 4.1 in http://dx.doi.org/10.1090/tran/6582 to finite groups theory, but we are here interested in a purely group-theoretic reference or proof.
It is like to Schur product Theorem because $X * Y$ is an entrywise product like the Schur product.
Bonus question: Can we extend to any locally compact group?