Procedure to Open Trading Account

Yesterday I have a foreign client open account with me. He faces lot of problems when come to the procedure. The procedure to invest in Kuala Lumpur Stock Exchange of a retail foreign investor is different with local investor. The application form is same but the documents and the money transfer is different. Here is the procedure to open an account in my securities firm.

For local investor, the documents need to be ready to submit are:

• 3 photocopy identity card (I/C),
• fill in 1 copy of “Application for Opening of Trading Account” form (3 signatures),
• fill in 1 copy of three ply yellow form, from Bursa Malaysia Depository Sdn. Bhd. “Application for Opening Account” (1 signature)
• fill in 2 small white card from, from Bursa Malaysia Depository Sdn. Bhd. to get sample signature (total 2 cards × 1 signature)
• fill in 1 online trading application form (1 signature)
• RM10 for Bursa Malaysia Account Opening fee

For foreign investor, the documents need to be ready to submit are:

• 3 photocopy passport particular,
• fill in 1 copy of “Application for Opening of Trading Account” form (3 signatures),
• fill in 1 copy of three ply yellow form, from Bursa Malaysia Depository Sdn. Bhd. “Application for Opening Account” (1 signature)
• fill in 2 small white card from, from Bursa Malaysia Depository Sdn. Bhd. to get sample signature (total 2 cards × 1 signature)
• fill in 1 online trading application form (1 signature)
• RM10 for Bursa Malaysia Account Opening fee

Submit these documents to Remisier to get witness and continue the remaining procedure.

When the account ready, you will get a Client Code and a CDS account number. Client Code is for trading purposes while CDS account is for share transfer purposes. When you want to buy or sell shares or securities through the securities firm, you need the client code. If you want to apply Initial Public Offering (IPO) share, you need the CDS account number.

Once the account ready, you can invest any amount into your trading account and start to buy share or securities according to the money you invested. You can easily top up the trading account money or withdraw the excess money from the trading account.

Optional for open trading account, buy a drink for your Remisier. High budget can go to Starbucks, low budget can go to Mamak stall. Thanks. ☺