Previously, you may have read hundreds of articles about investments such as low-risk investments or stocks investment and are interested in starting to invest in Bursa Malaysia. To begin stock investing in Bursa Malaysia, you need to open a CDS account first. Now, you can open a CDS account online through the Bursa Anywhere app launched by Bursa Malaysia. Follow this article to learn about the four easy steps to open a CDS account online.
Investing in Bursa Malaysia, What is a CDS Account?
The CDS (Central Depository System) is an account managed by Bursa Malaysia. The function of this account is to store and update your stock trading activities in Bursa Malaysia. Your shares will be stored electronically in the system provided by Bursa Malaysia.
If you are interested in investing through Bursa Malaysia, you can do so by registering for a Central Depository System (CDS) account through any investment bank and broker company registered with Bursa Malaysia.
How many accounts can you register? Like savings accounts, you can open more than one CDS and trading account. For example, if you have a CDS and trading account with Maybank Investment Bank, you can also open another account with CIMB Investment Bank, RHB Investment Bank, Public Investment Bank, or any registered investment bank.
Requirements to Open a CDS Account
Before you can open a CDS account, there are several requirements that you must fulfill:
- Individuals must be at least 18 years old when applying;
- A corporation within the context of Section 4 of the Companies Act 1965;
- Any corporate body incorporated in Malaysia and, by notice, issued through the Gazette, declared to be a public authority or an instrument or agency of the Government of Malaysia or of any State in Malaysia;
- An association under any written law relating to co-operative societies;
- A trust or trust corporation established under any written law;
- Any organization registered under the Societies Act 1966;
- A statutory body established under an Act of Parliament
Now Buying and Selling Stocks is Easier, Follow These Steps to Open an Investment Account
The Bursa Anywhere application makes it easier for investors to access all information related to their CDS account in one place. Registered investors can also access all Bursa Malaysia stocks and update their account information easily and quickly. The Bursa Anywhere application features include the ability to download CDS account statements and check the value of each account portfolio online.
How to Open a CDS Account Online via Bursa Anywhere
Through the Bursa Anywhere app, you can now open a CDS account 100% online. Here are the steps to open an account that you can follow:
1. Download the Bursa Anywhere App
You can download the Bursa Anywhere app from either the Play Store or App Store. Once the app is downloaded, you can start using it. For first-time users, click Register and enter your IC number.
2. Register for a Bursa Malaysia Account
Before you register for a CDS account, you need to have a Bursa Malaysia account first. In this section, fill in details such as your name, date of birth, gender, email address, and phone number. Then, you need to enter the OTP sent to your email address. After that, you can create a username and password for Bursa Anywhere. Then, you need to enter another OTP sent to your phone number.
3. Register for a CDS Account
After completing the registration for a Bursa Malaysia account, you need to provide your account information. Here are the steps to register for your CDS account on Bursa Anywhere:
- All your information will be taken from the Bursa Malaysia account that you have entered in step two;
- You need to enter your personal or office phone number;
- Then, you need to enter the address listed on your IC;
- Fill in your bank account information. All forms of dividends or account profits will be credited to this account. In this section, you also need to upload images of the front and back of your IC for verification purposes;
- When you’re done, click Next and wait for IC verification.
4. Choose an Authorised Depository Agent (ADA) Brokerage Bank or Company
The final step is to choose your preferred brokerage account, either a bank or a brokerage company. Besides choosing an agent that offers the cheapest brokerage fees, you should also consider choosing an agent or broker that can buy global stocks if you are interested in investing outside the country. Then, click Next.
Your chosen broker will appoint a remisier or dealer to follow up on your application. Approval of your account opening application will be notified within two days. Meanwhile, you will see your status as Pending when you log in to your Bursa Anywhere account. Here is a list of investment banks and brokerage companies that you can choose from:
- Affin Hwang Investment Bank Berhad;
- AmInvestment Bank Berhad;
- Hong Leong Investment Bank;
- Public Investment Bank Berhad;
- RHB Investment Bank Berhad;
- AmInvestment Bank Berhad;
- Maybank Investment Bank Berhad;
- BIMB Securities Sdn Bhd;
- UOB Kay Hian Securities Sdn Bhd;
- CGS-CIMB Securities Sdn Bhd;
- KAF Equities Sdn Bhd;
- Malacca Securities Sdn Bhd;
- Inter-Pacific Securities Sdn Bhd;
- Kenanga Investment Bank Berhad;
- UOB Kay Hian Securities Sdn Bhd;
What Else Do You Need to Know Before Registering for a CDS Stock Account?
This CDS account is usually opened together with a trading account with your chosen stockbroker. Unlike the CDS account, you cannot open this account online. For the account opening process, you need to contact your remisier. You can only start buying and selling stocks through the Online Trading Platform after you have opened both accounts. The proceeds from the sale will be deposited into the trading account when the stocks you have successfully sold. Transactions can only be made online through the Bursa Anywhere application.
It is hoped that this article sharing can help you to open a CDS account online and start investing in the Malaysian stock market. The process of opening this account through Bursa Anywhere is very easy and can be done in five minutes, and registration is free.
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