A Guide to Online Stock Trading in Malaysia for Beginners

Want to start trading in Malaysia? Here is a simple guide to online stock trading in Malaysia for beginners. Read this before you start trading.

Malaysia is known for being one of the best places in the world to invest, start a business, or pursue your entrepreneurial goals, so to speak. As such, it goes without saying that the country is also a good place to look into when it comes to stock trading.

A Guide to Online Stock Trading in Malaysia for Beginners

Many of Malaysia’s businesses develop quite fast and exceed expectations. In short, you wouldn’t want to miss an investment that could be a vital opportunity for your portfolio. Therefore, let’s take a look at how beginners can begin trading stocks online in Malaysia!

The Basics Online Stock Trading in Malaysia

The country comes with the main stock exchange, namely Bursa Malaysia. It provides traders with anything they need in order to buy and sell stocks – and not only that. Through the platform, people can also trade ETDs, ETBs, REITs, as well as bonds.

But, naturally, it’s not the only platform available. Malaysia also has platforms such as Forextime that are designed for all types of trades and come with a plethora of instruments. Keep in mind that the most important step to proper stock trading is finding the right broker for you! Don’t settle for the first one you find or on the one other people think is the best!

How to Trade Stocks Online in Malaysia

First, you’ll need an account with a reputable broker. If you plan to trade with Bursa Malaysia, then you’ll also need an additional account with the CDS. Here, things can become a bit complex.

Even if the broker of your choice happens to be a partner with Bursa Malaysia, you still need to open an account with the latter and with the CDS. The registered accounts will then have to be shown to the broker, after which they’ll activate your trading account.

• The broker of your choice should be regulated by the SCM – Securities Commission Malaysia.
• Once you find one, you have to make sure whether or not they require any additional accounts, such as those with Bursa Malaysia and the CDS.
• Then, take a look at the broker’s fees and commissions. For most types of trading, medium to high fees are not feasible at all, as they drastically reduce profit. It’s better to research such things before you start trading.
• Last but not least, make sure that the broker has an active customer service team. If you’re a beginner, you might come across unknown issues that you will want to solve as soon as possible.

As you can see, there are no special rules that have to be followed when trading stocks in Malaysia. The only thing that you have to pay attention to is the one note about involving additional trading accounts with various organizations.

The Bottom Line

If you’re a beginner, make sure to know the basics of stock trading beforehand. The trading scene of Malaysia doesn’t come with any peculiarities that change what you need to know about stocks in general, so to speak. Moreover, even if you decide to simply open an account with a random broker, you’ll be told whether you need any additional ones or not.