Best CDS Accounts in Malaysia

Updated: 15 Jun 2022

Let us walk you through the different types of CDS accounts in Malaysia once you understand how a CDS account works and its importance before you venture into the stock market. As you are probably aware, trading in the stock market necessitates the opening of a CDS account as well as a trading account. You won’t be able to trade on the Malaysian stock exchange unless you have these two.

Let us now look at each of the trading and CDS accounts available in the Malaysian stock market, how they work, the steps and requirements to open them, their pros and cons, as well as a list of stock brokers offering the CDS account, the brokerage fees, and why it is the best for you to trade with.

1. Rakuten Trade Account

Rakuten Trade is known for its lowest brokerage fees, which is at a minimum of RM7. Additionally, corporate action fees under Nominee CDS account for this broker is also free. A collaboration with Kenanga Investment Bank in Malaysia, and Kenanga Securities from Japan, Rakuten Trade is regulated by the Malaysia's Security Commission (SC).

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How to Open Rakuten Trading Account

Before registering, you need to prepare two documents:

  1. Front and back of identity card
  2. Proof of your address (can use utility bills, electricity bills, etc.)

To register with Rakuten Trade , you are advised to use the Rakuten Trade website

  1. On the rakuten trade website, click Open An Account located at the top. There are 3 types of accounts to buy stocks with Rakuten Trade namely Cash Upfront, Dual and Combo, for Dual and Combo accounts, it has a counter or margin. The concept of counter or margin is like borrowing money to buy stocks. You are recommended to open a Cash Upfront account and you can buy shares using the money available in the Rakuten Trade account.
  2. Click the Sign Up button to continue the account opening process
  3. Enter relevant personal information such as full name, identity card number, citizenship, citizenship status.
  4. Upload the front and back of the identity card
  5. Then, enter other details as needed
  6. Once you have completed the form, click on the applicant's acknowledgment and click the I Agree button
  7. Click the Proceed To Next Step button
  8. Enter your trading pin number, write it down in a safe place or memorise the pin number because the pin number will be used every time you make a stock transaction
  9. Complete other required information. For the mailing address evidence section, you need to upload proof of address verification using billing and so on
  10. Click the Proceed To Next Step button

After entering the required information, enter the IRB tax account number, if applicable. If you don't have an LHDN tax account number, click the I don't have any TIN numbers button. Then, to submit the application form, click the Submit Application button. Rakuten Trade will send you an email requesting confirmation via the link provided. You will receive the results of your application to open a Rakuten Trade account within a few hours.

If you pass, you will be emailed the password in pdf format. You can now access the account by entering a valid username and password.

Pros and Cons of Rakuten Trade CDS Account

Pros of Rakuten Trade CDS Account Cons of Rakuten Trade CDS Account
Zero inactivity fee Limited product and services available
Fast and easy account opening process Unavailability of web trading platform
Interactive mobile trading platform Poor customer services

2. Hong Leong Bank Trading Account

In addition to Rakuten Trade, Hong Leong Bank Trading has one of the lowest brokerage fees, with a minimum of RM8 and offering investors with Direct CDS account and Nominee Account for trading. Hong Leong Bank is a well-known Malaysian bank that provides investors with flexibility. Hong Leong Bank, also known as HLeBroking, allows you to buy or sell trades with a single phone call.

Let's go over how to open a trading and CDS account with HLeBroking, the benefits and drawbacks of stock investing in local markets, and everything else you need to know about this brokerage firm.

register for the best cds account malaysia

How to Open HLeBroking Trading Account

  1. To open a CDS account with HLeBroking, you may need to visit one of the following locations: Kuala Lumpur: HLA Tower, Jalan Kia Peng, LGB Tower, Taman Tun Dr. Ismail, or Ipoh: Persiaran Greenhill. Please bring the Application Form for Opening of an HLeBroking Trading Account, the CDS Account Form Bursa Malaysia (yellow form), 7 copies of ID CARD, and 3 copies of Bank Statement (last 3 months).
  2. The next step is to fill out the forms with all of the necessary information before returning them to the HLeBroking branch.
  3. Check your email inbox to activate the Trading Platform once the CDS account is ready (30 working days).

Pros and Cons of HLeBroking Brokerage Account

Pros of HLeBroking Brokerage Account Cons of HLeBroking Brokerage Account
Competitive brokerage fee Different brokerage rate for different order types
Interactive online trading tools Unavailability of biometrics login on mobile platform
Availability of mobile trading platform

3. Public Invest Bank Trading Account

Another well-known name in the Malaysian market. Teh Hong Piow founded Public Bank in 1966, and it now provides a variety of accounts, credit cards, loans, deposits, and other financial aid. Furthermore, the bank allows investors to open a non-margin/margin CDS account as well as a Nominee account to trade with.

Let's walk through the steps to open a CDS account with Public Invest Bank, which charges a minimum brokerage fee of RM12, or 0.42 percent for investments of RM100,000 or less.

How to Open Public Invest Trading Account

  1. To open a CDS account with Public Invest, go to their website and select ‘New User Registration.'
  2. Click ‘Trial Member' of ‘Public Investment Bank Berhad client' and read the internet trading Terms and Conditions.
  3. Following that, you may be required to complete all of the application forms as well as submit all of the required documents.
  4. When finished, click ‘Submit' and wait for an activation code to be sent to your email address the same day. Log in to our Public Invest eTrade for a 14-day trial period to view stock ‘Live Quotes' and ‘News.'
  5. Next, you may be required to visit the bank's office to sign all necessary documents, which must be witnessed by our authorised Dealer's Representative at the following address:

Public Investment Bank Berhad

Level 11, Bangunan Public Bank,

No. 6 Jalan Sultan Sulaiman,

50000 Kuala Lumpur.

Pros and Cons of Public Invest CDS Account

Pros of Public Invest CDS Account Cons of Public Invest CDS Account
Competitive brokerage fee Unavailability of online payment
Availability of market news on platform Only allows to trade in shares listed on the Bursa Malaysia
Availability of eTrade platform

4. Mercury Securities

Mercury Securities, like Public Invest, charges a minimum brokerage fee of RM12, or 0.42 percent per RM100,000 invested. As a result, this online broker has been named one of the best brokerage firms in our opinion. Margin financing, nominees and custodian services, and electronic trading services are among the services available once you have successfully opened a stock brokerage account with this broker.

Let's take a look at the steps involved in opening a stock trading account and a CDS account with Mercury Securities.

How to Open Mercury Trading Account

To be able to trade online through Mercury Online Services, traders must first have the following:

  1.       Trading account and Online Agreement
  2.       Central Depository System (CDS) Account

Alternatively, you can also visit any of Mercury Securities' offices below to open the accounts:

PRINCIPAL OFFICE (HQ)

Ground, 1st, 2nd and 3rd Floor, Wisma UMNO

Lorong Bagan Luar Dua

12000 Butterworth, Seberang Perai

Tel: 604 – 3322123 Fax: 604- 3231813/3312195

e-mail : [email protected]

 

KUALA LUMPUR BRANCH

L-7-2, No 2, Jalan Solaris,

Solarix Mont' Kiara

50480 Kuala Lumpur

Tel: 603- 6203 7227 Fax: 603 – 6203 7117

e-mail : [email protected]

MELAKA BRANCH

81B & 83B

Jalan Merdeka

Taman Melaka Raya

75000 Melaka

Tel: 606 – 292 1898 Fax: 606 – 292 6898

 

JOHOR BAHRU BRANCH

Menara Pelangi,

Suite 17.1, Level 17,

Jalan Kuning, Taman Pelangi,

80400 Johor Bahru.

Tel:607 – 331 6992 Fax: 607 – 332 2693

Email: [email protected]m.my

 

PENANG BRANCH

2nd Floor, Standard Chartered Bank Chambers,

2 Lebuh Pantai,

10300 Penang.

Tel:604-263 9118 Fax:604-261 2118

 

SARAWAK BRANCH

1st Floor, 16 Jalan Getah,

96100 Sarikei,

Sarawak.

Tel/Fax:084-659019

BAYAN BARU BRANCH

D’Piazza Mall

70-1-22, Jalan Mahsuri

Bandar Bayan Baru

11900 Penang

Tel:604-640 0822 Fax:604-640 0823

  1. To open a trading account and a CDS account with Mercury Securities, you may first need to fill out the application form on their website.
  2. Following that, their dealer will contact you to schedule an appointment to complete the opening trading account documents, which must be witnessed by the dealer's representatives or approved by an officer of Mercury Securities Sdn. Bhd.
  3. If your documents are in order, it will take about 2-3 working days to process your account.

Pros and Cons of Mercury Security CDS Account

Pros of Mercury Security CDS Account Cons of Mercury Security CDS Account
Availability of mobile trading platforms Limited stock exchange market
Availability of online application for account opening Trading is only allowed during business hours
Availability of economic market research

5. Kenanga Investment Bank Berhad

Kenanga Investment, also known as KenTrade, the name of their online trading platform, is the last but not least on our list of the best online brokers. Kenanga, with a slightly higher brokerage fee, offers clients a minimum of RM28 brokerage fee or 0.42 percent for investments of RM100,000 or less. Online share trading, share margin, global trading, futures trading, and Islamic stockbroking are among the products or services offered by KenTrade.

Let us go over how to open a Kenanga stock trading account.

signup for the best cds account malaysia

How to Open Kenanga Trading Account

Just like any other online brokerage firm, KenTrade enables new investors to open a stock trading account with them in such easy ways.

  1. Go to KenTrade.com.my and click on Open An Account
  2. Click on E- Form and complete E-form online
  3. Scan your form and supporting documents to [email protected]
  4. Dealer representative will contact you to assist you on account opening

Pros and Cons of Kenanga Trading

Pros of Kenanga Trading Cons of Kenanga Trading
Availability of Islamic stockbroking Slightly higher brokerage fee
Availability of e-learning Unavailability of online payment
Availability of mobile trading platform

Trade with Your Favourite Brokers Today

get the best cds account malaysia

Finding the best stock broker with whom to trade is critical. There are numerous stock brokers, or online brokers, who offer interactive trading platforms that allow you to participate in the stock market. With the right online broker, you can start trading stocks and leveraging their trading tools quickly and easily! Choosing the wrong online brokerage, on the other hand, may increase your chances of losing money rapidly.

As a result, it is best for you to conduct research before investing in stock markets, particularly Malaysian stocks. The best broker will provide you with not only a platform to invest in, but also other stock brokerage services such as stock trend, technical analysis, mobile trading platform, educational tips and tricks, other financial instruments, and a trading demo account.

We hope that this guide will be useful for your investment journey by assisting you in locating the best stock broker with the most competitive fees for your online trading.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage . 68 % of retail investor accounts lose money when trading CFDs with this provider . You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money .