How to Buy Shares on Bursa Malaysia: Brokers, Accounts, and Fees

Buying shares on Bursa Malaysia requires two accounts: a CDS account that holds your shares, and a trading account with a licensed broker that lets you place orders. Once both are open, you can trade any of the roughly 1,000 companies listed on the exchange.

This guide walks you through every step, from paperwork to your first executed trade, and breaks down exactly what each transaction costs.

What you need before you start

You must be at least 18 years old to open a CDS account in Malaysia. Malaysian citizens need a valid MyKad (NRIC). Foreign nationals need a valid passport and, ideally, a Malaysian bank account, which simplifies dividend payments and fund transfers.

There is no minimum portfolio size required by Bursa Malaysia itself. In practice, most experienced investors recommend starting with at least RM1,500 to RM2,000 per stock so that brokerage fees do not eat a disproportionate share of your returns.

Step 1: Open a CDS account

The Central Depository System (CDS) is the electronic registry where share ownership is recorded. Every share you buy on Bursa Malaysia is registered under your CDS account number. Without one, you cannot legally hold Bursa-listed shares in your own name.

You can open a CDS account in two ways:

Online via Bursa Anywhere (recommended for Malaysians with MyKad)

1. Download the Bursa Anywhere app (Android or iOS).
2. Register with your name, IC number, email, and mobile number. Verify via OTP.
3. Complete the CDS application form: IC address, phone number, and bank account number for dividends.
4. Upload a photo of your IC (front and back) and a photo of your bank statement showing your name and account number. Upload as an image file, not a PDF.
5. Select up to two Authorised Depository Agents (ADAs), which are licensed brokers.
6. Pay the RM10 registration fee via FPX.
7. Account approval typically takes one to three business days. Bursa Depository then mails a confirmation notice.

In person at an ADA/broker branch

Submit a CDS Account Form together with two certified true copies of your NRIC. Foreigners submit two certified copies of their passport. The RM10 fee applies here too.

Note: Bursa Anywhere only integrates CDS account creation. You still need to contact your chosen broker separately to activate a trading account linked to your CDS number.

Step 2: Open a trading account with a broker

A trading account is the brokerage platform through which you submit buy and sell orders to the exchange. Most Malaysian brokers allow online applications; some require a brief video call or branch visit for identity verification.

Documents typically required:

• NRIC (or passport for foreigners)
• Bank account details
• Employment or income information
• Some brokers require a signed terms and conditions form

Most digital-first brokers (Rakuten Trade, Moomoo Malaysia, Kenanga Trade) approve accounts within one to two business days. Traditional full-service houses may take longer.

Choosing your broker: online vs. full-service

Malaysian brokers fall into two broad categories.

Online/discount brokers charge lower commissions and are designed for self-directed investors who research and decide on their own. They offer mobile apps and web platforms but limited personalized advice.

Full-service brokers provide dedicated dealers, research reports, and tailored advice. They charge higher commissions in return.

For most first-time retail investors, an online broker is the more cost-effective starting point.

Brokerage fee comparison (2025-2026)

The table below shows indicative rates for Bursa Malaysia equity trades. Rates are subject to change; verify directly with each broker before opening an account.

Broker	Brokerage fee structure	Min. fee
Moomoo Malaysia	RM3 flat per order (commission-free for 180 days new users)	RM3
Rakuten Trade	RM1 (below RM100) / RM2.88 (RM100-RM9,999) / 0.10% (RM10k-RM100k) / RM100 flat (above RM100k)	RM1
M+ Online (Malacca Securities)	0.08% (below RM50k) / 0.05% (above RM50k)	RM8
TA Securities	0.12% flat	RM10
Kenanga Trade	0.42% (below RM100k) / 0.21% (above RM100k)	RM28
Affin Hwang Capital	0.08% (below RM100k) / 0.05% (above RM100k)	RM5
Maybank Investment Bank	0.10% flat	RM8
CIMB Securities	0.0388% flat	RM8.88
FSMOne	0.05% flat	RM8.80

Source: broker websites and i3investor comparison, updated 2026. Always confirm current rates on the broker’s official site.

For the smallest trades (under RM10,000), Rakuten Trade and Moomoo currently offer the most competitive rates among mainstream online brokers in Malaysia.

Step 3: Fund your trading account

Once your trading account is approved, transfer funds from your bank account. Most brokers accept FPX instant transfer, IBG, or RENTAS. There is no universal minimum deposit imposed by Bursa Malaysia; individual broker minimums range from zero to RM1,000.

Your cash balance will appear in your trading dashboard, typically within one business day.

Step 4: Place your first trade

Bursa Malaysia runs two continuous trading sessions on weekdays:

• Morning session: 8:30 am to 12:30 pm
• Afternoon session: 2:00 pm to 5:00 pm

The exchange is closed on public holidays and weekends.

To place a trade:

1. Search for the company by name or stock code (e.g., MAYBANK is 1155, CIMB is 1023).
2. Check the current bid and ask price.
3. Choose order type: a market order executes at the best available price immediately; a limit order lets you specify the maximum price you will pay.
4. Enter the number of shares (Bursa lots are 100 shares each).
5. Review the estimated total cost including fees, then confirm.

Your broker routes the order to Bursa Trade, the exchange’s matching engine. Once matched, you receive an order confirmation.

Settlement is T+2: if your trade executes on Monday, your CDS account is credited with shares (on a buy) or debited (on a sell) by Wednesday. Payment is also settled on T+2. Your broker will debit your trading account for the full cost including fees on the settlement date.

What every trade actually costs

Every Bursa Malaysia equity transaction carries three mandatory charges on top of brokerage.

Cost	Rate	Cap
Stamp duty (contract note)	0.10% of transaction value	RM1,000 per contract note
Clearing fee (Bursa)	0.03% of transaction value	RM1,000 per transaction
SST on brokerage	6% of brokerage fee (8% for REITs, ETFs, warrants from Oct 2025)	None

Stamp duty details: The rate was reduced from 0.15% to 0.10% in July 2023 to encourage market participation (Source: ASEAN Briefing, citing Ministry of Finance). The RM1,000 cap applies per contract note and is confirmed through December 31, 2026 (Source: Ministry of Finance Malaysia). Stamp duty applies to both buys and sells.

Worked example: You buy 1,000 shares of a company at RM5.00 each. Total transaction value: RM5,000.

Item	Calculation	Amount
Brokerage (Rakuten Trade, RM10k tier)	RM2.88 flat	RM2.88
SST on brokerage (6%)	RM2.88 x 6%	RM0.17
Stamp duty	RM5,000 x 0.10%	RM5.00
Clearing fee	RM5,000 x 0.03%	RM1.50
Total cost		RM5,009.55

At RM5,000, the total fee burden is roughly 0.19% of the transaction, which compares favourably with many other markets globally.

Taxes on your investments

Capital gains: Individual retail investors pay no capital gains tax on shares listed on Bursa Malaysia. This exemption applies as long as LHDN classifies you as an investor rather than a trader. If you trade very frequently (some tax practitioners use 50 or more trades per month as a rough indicator), LHDN may treat your gains as trading income, which is subject to personal income tax at marginal rates of 0% to 30%.

Dividends: Malaysian companies pay dividends under a single-tier system, meaning tax has already been deducted at the corporate level and the dividend in your account is tax-free for most retail investors. From YA 2025, a 2% dividend tax applies only to the portion of annual dividend income exceeding RM100,000 (Source: LHDN Malaysia 2025). Unit trust and ASB/PNB fund distributions remain fully exempt.

No withholding tax on dividends from Bursa-listed companies applies to resident Malaysian individuals receiving single-tier dividends.

Common mistakes to avoid

Trading in lots of fewer than 100 shares (odd lots): Bursa Malaysia trades in board lots of 100 shares. You can hold odd lots resulting from corporate actions but placing odd-lot buy orders may result in different pricing or limited liquidity.

Confusing CDS account with trading account: Your CDS number and your trading account number are different. You need both. If your broker closes or you switch, your shares remain in your CDS account.

Ignoring settlement dates: Selling shares you have not yet received (because T+2 has not passed on your buy) can trigger a forced buy-in by the broker, which carries penalties.

Choosing a broker based only on brokerage rate: Consider platform stability, customer service quality, research tools, and whether the broker offers direct CDS or nominee accounts. A direct CDS account gives you full shareholder rights; a nominee account means the broker technically holds the shares on your behalf.

Key takeaways

• You need two accounts to trade on Bursa Malaysia: a CDS account (holds shares) and a trading account (places orders). Both can be opened online.
• The CDS account costs RM10 to open. Most brokers no longer charge account opening fees.
• Stamp duty is 0.10% per transaction, capped at RM1,000, and applies to both buys and sells (confirmed through Dec 2026).
• Online brokers such as Rakuten Trade and Moomoo offer significantly lower brokerage rates than full-service houses, making them suitable for self-directed beginners.
• Bursa trades in 100-share lots. Settlement takes two business days (T+2).
• There is no capital gains tax for individual retail investors on Bursa-listed shares.
• Trading hours are 8:30 am to 12:30 pm and 2:00 pm to 5:00 pm on weekdays.

Frequently asked questions

How long does it take to open a CDS and trading account? Via Bursa Anywhere and an online broker, most Malaysian citizens complete both in one sitting and receive full account approval within one to three business days. In-person applications at a broker branch can take the same day if all documents are in order.

Is there a minimum amount to start investing on Bursa Malaysia? Bursa Malaysia imposes no official minimum. In practice, one board lot (100 shares) of many blue-chip stocks costs RM300 to RM800. To keep fees below 1% of your investment, aim for at least RM1,500 to RM2,000 per trade.

Can foreigners buy shares on Bursa Malaysia? Yes. Foreigners can open a CDS account using a valid passport. Having a Malaysian bank account simplifies the process significantly. Without a local bank account, you will likely use a nominee account, which limits your voting rights.

Do I pay tax when I sell shares at a profit? Individual retail investors pay no capital gains tax on Bursa-listed shares. You do pay stamp duty (0.10%, capped RM1,000) and brokerage on every sale, the same as on a buy.

What happens to my shares if my broker goes under? Because shares are held in your own CDS account (not inside the brokerage firm’s balance sheet), they remain yours if the broker becomes insolvent. Your cash balance in the trading account is a separate matter and may be subject to the broker’s insolvency process. For this reason, avoid keeping large idle cash balances in a trading account.

---

Related guides: Understanding investing basics and How EPF accounts work are useful companions to this article.