RM6 Lowest Brokerage Rates for Online Trading |MPLUS Online by Malacca Securities
The low brokerage rates is important to all investors or traders as it allows them to profit with just one tick of movement.
One tick of movement means the stock price moves up by one price bid.
For example if Mr.John buy a stock called Perisai with the price RM1.07 and the price move up by one bid(RM0.01) to RM1.08, he will make some gain. Therefore, John don’t have to wait the price to move up a lot of ticks before making any profit.
I found out that Malacca Securities offers a minimum brokerage rate at RM6 per contract and lower brokerage at 0.035% flat for all online transactions.
It’s a cash upfront system where you must deposit cash before trading limit is granted.
This brokerage rate are among the lowest in the country that you can find.
Their fundamental analyst tool which was provided by Insage (MSC) Sdn Bhd and quite a useful with many fundamental information. Their online portal also provides Dow Jones Newswires that provide the latest market news.
Your cash balance in the trust account enjoy some interest.
The interest rate here is much more higher than putting money in saving account. The saving is range from 0.30% per annum to 1.66% per annum
|
Deposit Amount |
Interest Rates |
|
Above RM500k |
2.70% per annum |
|
Above RM100k |
2.50% per annum |
|
RM100k & Below |
2.30% per annum |
Relatively the local bank such Maybank gave 3% per annum for one month fixed deposit.
Your trading limit is 0.96X on the cash deposit and trade will be auto settle on T+3.
According to Mr.Tan Chee Siong, Malacca Securities senior executive vice-president, Malacca Securities plans to set up outlets in Johor, Sabah and Sarawak very soon. The trading outlet in Johor would be set up by the end of 2012, while the two branches in Sabah and Sarawak next year.
About 30% of the Malacca Securities’s revenue are from On-line traders. At this moment, the company has 20,000 customers, of which 2,000 are engaged in on-line trading.
The promotional brokerage fee of 0.035% or RM6 per contractual transaction is only valid until the end of December 2012. After that, the fee will revert to 0.05% per contractual transaction.
How To Make Money Online even with One tick up Movement?
For example, Mr.John buy a stock called Perisai with the price RM1.07 and sell at RM1.08, he will make some gain of RM59.61(0.56% gain).
Total buy and sell volume for both transaction is 100 lots each.
Total cost for buying Perisai with the price RM1.06 with 100 lots volume:
Total cost for selling Perisai with the price RM1.07 with 100 lots volume:
