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Share Margin Financing

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Share Margin Financing (SMF)
Share Margin Financing is a credit facility offered for investors to finance the purchase of quoted securities on the Bursa Securities only, by placing acceptable collateral with us. This facility is suitable for active and sophisticated investors who wish to capitalise on market opportunities as well as to increase and diversify their investment portfolio.

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Benefits

  • Competitive margin financing terms

    Granted 2X share margin limit for the cash deposited and 1X for other types of collateral.

  • Simple and informative monthly statement of account

    Get comprehensive updates of your account every month.

  • Increase purchasing power and multiply investments

    An avenue to leverage existing securities to purchase additional securities.

Fees Schedule

Up to SBR+3.50% (as at 9 May 2023, the SBR is 3.00%)

SMF Termsheet

Features SMF
Margin of Financing Up to 45.5% to 50%, subject to approval.
Margin Call From 55.5% to 60%, with 2-day grace period
Interest Rate 5.75% to 6.50% interest per annum on daily rest
Rollover Fee NA
Tenure Up to 12 months, subject to periodic review.
   

Share Margin Financing Product Disclosure Sheet (English)

Share Margin Financing Product Disclosure Sheet (Malay)

 

SMART Margin Financing
This is a secured credit facility granted for individuals and/or investment holdings companies to facilitate investment in shares listed on Bursa Malaysia and/or cash advance for investment/commitment. It enables you to enhance asset holding capability, improve cash flow as well as multiply investment power without liquidating existing shares, and/or premature withdrawal of fixed deposits.

Benefits

  • Facility Limit

    Subject to approval, facility limit varies from case to case.

  • Competitive interest rates

    Interest rates up to SBR+3.50% p.a. and current SBR at 3.00% p.a.

  • Daily rest basis interest calculation

    Interest is calculated on daily rest basis.

  • High margin of financing

    Margin of financing: Up to 50%

  • SMART and convenient trading facilities

    SMART Revolving Facility Trading limit up to:

    > 2.0X of fixed deposit/ cash amount
    > 1.0X of shares /
    > SMART Revolving facility is subject to yearly review

Fees Schedule

Up to BR+2 20% p.a. and current BR at 3.6% p.a.

SMART Termsheet

Features SMART
Margin of Financing Up to 50%
Margin Call >60%/3 days grace period
Interest Rate 6.00% to 6.50% p.a. (subject to approval)
Rollover Fee NA
Tenure Subject to Annual Review at the discretion of the Bank
Others Cash withdrawal
   

SMART Margin Financing Product Disclosure Sheet (English)

SMART Margin Financing Product Disclosure Sheet (Malay)

Discretionary Financing (DF)
What and How DF Works? DF allows a Client to effect settlement of the Client’s outstanding purchase position in relation to a contract between the third (3rd) market day following the contract date (T+3) and seventh (7th) market day following the contract date (T+7), except for Direct Business Transaction (“DBT”) contracts.

Extend Your Settlement Period Up to T+7

Benefits

  • Extension of Holding Power

    Subject to approval, facility limit varies from case to case.Extend your stock holding power up to T+7 with hassle-free settlement for your due purchase transactions.

  • Extra Flexibility

    Enjoy greater flexibility to manage your portfolio. DF allows client to settle the outstanding purchase position in relation to a contract between T+3 till T+7 (no later than 12.30pm on the T+7).

  • Save on Brokerage Fees

    Fees incurred on DF are lower than brokerage fees that is paid to roll over another purchase contract.

DF Fees & Schedule

Fees

0.3% for Purchase Contract < RM100k and min RM10

0.2% for Purchase Contract > RM100k and min RM10

Interest

8% p.a. from T+3* up to the day the DF contract is fully settled 

(interest is calculated based on calendar days including Public Holidays, Sat & Sun)

*Bursa Malaysia revised settlement period from T+3 to T+2 effective 29 April 2019 onward.

 

Example:

DF Fee @ 0.2% (RM100,001 x 0.2%) 

Purchase Value (PV) RM100,001
DF Fee @ 0.2% (RM100,001 x 0.2%) RM200

DF interest @ 8% is calculated based on calendar days and will be charged from T+3 up to the date of payment by client or to the due date of the sale of shares for contra.

  1. If DF contract is settled by T+7 (cross-over weekends)                DF Interest = (RM100,001 x 8% x (7/365 days))
  2. If DF contract is closed by way of contra via sale of shares

    DF Interest = (RM100,001 x 8% x (9/365 days))

 

 

 

RM153.43

 

 

RM197.26

Total DF Cost RM353.43

Note: The figures above are for illustration purposes only

Eligibility

  • DF available to Retail Client only for the purpose of trading on the stock market of Bursa Securities.
  • Client must hold an existing Securities Account maintained with AmInvestment Bank Berhad
  • Client will be required to deposit collateral in the form of cash and/or securities with AmInvestment Bank Berhad

*Terms and condition apply. For more information, please contact your dealer’s representative / remisier or visit our branch.

 

For any enquiries, please do not hesitate to contact us at:

Telephone: 1800-88-8812 (Customer Service)

Email: [email protected]

Intra Day Short Selling (IDSS)
IDSS allows eligible clients to sell securities first and buy the same securities later. All sell positions MUST BE CLOSED OFF with buy positions within the same trading day itself. IDSS can be carried out by way of On-Market Transaction for Main board only.

Benefits

  • Flexibility

    IDSS allows eligible clients to sell securities first and buy the same securities later.

  • Convenience

    IDSS order can be executed online via trading platforms

Eligibility

  • Clients are required to open a designated trading account for IDSS trading in the name of Amsec Nominees (Tempatan/Asing) Sdn Bhd.
  • Clients must have an active Personal Trading Account with AmInvestment Bank Bhd (‘the Bank’).
  • Clients are required to comply with the prescribed terms and conditions and requirements set out by the Bank.

* For more information, kindly contact our Dealer Representative or remisier

Documents Required

All clients will be required to complete the following documentations prior to participating in IDSS:

 

a) Terms and Conditions for Intraday Short Selling that covers:

  • The SBL terms with the Bank to borrow Eligible Securities or purchase ISSBNT Eligible Securities to settle potential failed trades in the event any IDSS executed by the Client are not closed out by the end of the day;
  • The IDSS risk disclosure statement;
  • The written declaration from the Client that he/she/they fully understand the IDSS requirements in accordance with Bursa rules and that the Client is not associated with the body corporate that issued or made available the Approved Securities to which the IDSS is to be entered.
  • Client’s acceptance of the salient terms and conditions set-out by the Bank for trading IDSS with the Bank.

 

b) Account Application Forms and all the required supporting documents (applicable to new clients only). Client may require to submit updating form/ latest information for existing clients

c) Nominees Agreement (where applicable

 

Intra Day Short Selling ( IDSS) Product Disclosure Sheet (English)

Intra Day Short Selling ( IDSS) Product Disclosure Sheet (Malay)

*Once eligibility criteria are met and approved, the Bank will open a designated IDSS trading and a CDS account for the client to trade IDSS.

Fees & Schedule

Fees for cost of borrowing securities for purpose of IDSS settlement

Processing Fee

RM150.00 per matched borrowing

Borrowing Fees

3.00% of the borrowed securities value per matched borrowing / per annum (daily calculated) with minimum of RM50.00

Contact us

Email: [email protected]

(Mon - Fri : 8:30am - 5:30pm)
(Saturdays, Sundays & Public Holidays: Closed)