Bursa Malaysia Berhad Account Type

Bursa Malaysia Berhad offers various types of accounts for investors looking to trade on its platform. The primary account types include:

• Central Depository System (CDS) Account: This account is essential for all investors as it holds the securities purchased in the stock market. It is managed by Bursa Malaysia Depository Sdn Bhd and is required to facilitate the buying and selling of shares listed on Bursa Malaysia.

• Brokerage Account: This is where investors can deposit funds and execute trades. Investors can choose between a Direct Account, which links directly to their CDS account, and a Nominee Account, where the broker holds shares on behalf of the investor.

• Cash Upfront Account: This account requires the investor to have sufficient cash in their trust account to trade. The trading limit is equal to the cash balance.

• Collateralised Account: This account allows investors to trade beyond their cash balance, using shares in their CDS account as collateral.

Bursa Malaysia Berhad Broker Account Opening Process

The process to open a brokerage account with Bursa Malaysia Berhad is straightforward and can be completed online or in-person. Heres a step-by-step guide:

• Choose a Broker: Select an Authorised Depository Agent (ADA) from the list available on the Bursa Malaysia website. Some popular options include Affin Hwang Investment Bank Berhad and Maybank Investment Bank Berhad.

• Prepare Required Documents: Gather necessary documents, including:

• A valid identity card (NRIC) or passport.
• A bank statement with your name and account number.
• Completed CDS account opening form (FMN 01).

• Open a CDS Account: This can be done via the Bursa Anywhere app or in-person at the broker's office. The opening fee is RM10.

• Complete the Application: Fill in personal details, including your investment risk profile and employment information. Ensure all details are accurate.

• Upload Documents: Submit scanned copies of your ID and bank statement as part of the application process.

• Payment: Pay the required fees, typically RM10 for the CDS account and any additional fees for the brokerage account.

• Await Approval: After submission, your application will be processed. The approval may take a few days to weeks, during which you will receive notifications via email.

By following these steps, investors can successfully set up their trading accounts to begin investing in the Malaysian stock market.