There are numerous online stock trading platforms available in Malaysia. The question is, which one is the best? As an investor, you must choose the right online stock trading platform. In this article, we will go through what is online stock trading, and the best online stock trading platforms in Malaysia.
YOUR CAPITAL IS AT RISK
Online stock trading is the act of buying and selling financial products through an online trading platform. These platforms are typically provided by internet-based brokers and are available to every single person who wishes to try to make money from the market.
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How Online Stock Trading Works in Malaysia
In Malaysia, we have Bursa Malaysia, which is formerly known as Kuala Lumpur Stock Exchange. Bursa Malaysia helps integrate financial marketplace and exchange that offers a comprehensive array of financial products, including stocks, derivatives, options, and futures.
The Bursa Malaysia exchange’s main stock index is the FTSE Bursa Malaysia Kuala Lumpur Composite Index (FBM KLCI). This organization or platform is part of a collaboration among the Association of Southeast Asian Nations (ASEAN) that includes exchanges from Indonesia, the Philippines, Singapore, Thailand, and Vietnam.
Besides Bursa Malaysia, we have numerous other online trading platforms available. Compare and contrast those platforms before you decide to trade with them.
List of Best Online Stock Trading Platforms in Malaysia
As a new trader, you need to choose the right online trading platforms or brokers to work with. Using the wrong broker could make a big dent in your investing returns. Thus, having a good broker will help you in your investment journey. Below is the list of brokerage firms and their fee structures for your online stock trading in Malaysia.
Brokerage Firms and Their Fee Structures
Best Online Stock Trading Platforms in Malaysia:
Tickmill: FCA Regulated
Take a lookIG: Over 16k stocks to trade
Take a lookAs a new trader, you need to choose the right online trading platforms or broker to work with. Using the wrong broker could make a big dent in your investing returns. Thus, having a good broker will help you in your investment journey. Below is the list of brokerage firms and their fee structures for your online stock trading in Malaysia.
Tickmill
Tickmill has regulation with LFSA, and local office to support clients. Costs with Tickmill are good. They provide clients with a low fee structure, allowing you to trade regularly without having to worry about losing too much money to brokerage with this trading platform.
| Fee Structure | Tickmill |
|---|---|
| Withdrawal Fee | $0 |
| Deposit Fee | $0 |
| Inactivity Fee | No |
| Account Fee | No |
IG
The structure of IG fees, on the other hand, reveals that they are mid-tier, which means you should pay close attention to asset classes with high trading fees. As a new trader, it is critical that you review IG fees to determine whether or not this stockbroker is appropriate for your trading journey.
| Fee Structure | IG |
|---|---|
| Withdrawal Fee | $0 |
| Deposit Fee | $0 |
| Inactivity Fee | Yes, $/£12/€14 per month after 2 years of inactivity |
| Account Fee | No |
ONLINE STOCK TRADING REGULATIONS IN MALAYSIA
Founded in 1993 under the authority of the Securities Commission Act of 1993, the regulating agency for the stock market and all brokers doing business in Malaysia is the Securities Commission Malaysia (SC).
The organization answers the Malaysian Minister of Finance and has the responsibility to develop and regulate the capital markets in Malaysia. This includes overseeing people and businesses that hold licenses under Malaysia’s Capital Markets and Services Act of 2007.
Step-By-Step Guide to Open an Online Trading Account
- Determine the type of brokerage account you need
- Compare the costs and incentives.
- Consider the services offered.
- Decide on a brokerage firm.
- Fill out the new account application.
- Fund the account
- Start researching investments
YOUR CAPITAL IS AT RISK
Conclusion
To summarize, there are plenty of right online stock trading platforms for investors in Malaysia to choose from. All you need to do is have in-depth research on which broker will be the best fit for your investment needs. Analyze the features of these platforms, compare the fees structure, and provide the best trading tools possible. Besides that, remember to equip yourself with sufficient investment strategies before you decide to embark on the investment journey.
