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Share Margin Financing is a convenient facility offered to traders seeking to expand their trading potential. It is available to all eligible Malaysians, Residents and Non-Residents who are of good financial standing. Clients can use Share Margin Financing as additional funding for the purchase of shares quoted or to be quoted on Bursa Malaysia. Collateral is in the form of quoted shares and/or cash deposits.

• Fast approval
• Simple documentation
• Attractive interest rates
• No rollover fees for Classic and Exclusive
• Wide range of products to meet your investment needs

There are 3 SMF packages to suit your needs and investment objectives:

 

• Exclusive
  For traders who trade Top 100 Index stocks on Bursa Malaysia

• Classic
  For traders who have at least 3 different counters acceptable to the bank

• Strategic
  For traders who prefer to trade single counters or related counters acceptable to the bank

Minimum Facility Limit

 

Pledged And Financed Securities

 

Minimum Number Of Different Securities

 

Counter Concentration

 

Counter Evaluation

 

Loan Stocks And Warrants

 

Rollover Fee

 

For non-customers
Open a trading account here
Sign up now

For customers
Call your dealer’s representative today
Call

1. What is Share Margin Financing (“SMF”)?
   A trading facility that provides financing to clients for the purchase of securities quoted on Bursa Malaysia Securities Berhad ("BMSB"). The facility is subjected to rollover on quarterly basis with rollover fee, if applicable.
   Collateral for SMF
   "Collateral" means any one or more securities and cash as may be acceptable to RHB Investment Bank ("the Bank") at its absolute discretion and deposited with or transferred to or given to or come into possession of the Bank (with an express irrevocable lien in favour of the Bank) as security to secure the SMF.
   
   
2. What are the collaterals acceptable for SMF?
   a) Quoted Shares
   Quoted and listed on BMSB and/or other Recognised Exchanges acceptable to the Bank.
   b) Cash Deposit
   Denominated in Ringgit Malaysia.
   
   
3. What is Margin of Finance ("MOF")?
   The ratio of Outstanding Balance against the Equity. Mathematically, MOF = Outstanding Balance / Equity
   "Outstanding Balance" means the amount owed after deducting any cash deposit available. "Equity" means the sum of the value of securities pledged and purchased or carried in SMF. The value is subject to capped price or market value whichever is lower.
   i.e. 50% of MOF means the client has to maintain an equity value of not less than 2 times of the Outstanding Balance.
   
   
4. What is a margin call?
   A request of the Bank to the client to Top Up the Margin. "Margin" means the aggregate value of collateral deposited (include securities purchased and carried). "Top Up the Margin" means to increase the collateral to ensure the MOF is maintained at all times.
   
   
5. What happens if the client fails to comply with margin call in the manner requested?
   The Bank shall be at liberty to set off any cash and/or sell / realise all or any of the collaterals held by the Bank.
   
   
6. How to avoid a margin call?
   You can substantially reduce the chance of a margin call by effectively managing your margin loan:

• Borrow conservatively
• Monitor your portfolio and loan account details regularly
• Ensure your portfolio is well diversified to reduce volatility
• Pay your monthly interest
• Create a cushion against margin calls
  
• Reinvest your dividends to offset against your loan amount

This is a financing facility designed to help eligible clients subscribe for new share listings on Bursa Malaysia.

 

Other Terms & Conditions may apply

Walk into any of our RHBIB branches or Share Trading Centers that are located at Bank branches

• 2 copies of MyKad or Passport
• Latest 3 months salary slip
• IPO share placement documents

Call your remisier/dealer or contact the nearest RHB Investment Bank branch to you

This is a specific financing ability that is offered to eligible individuals who are offered shares by their employers via ESOS. Using this facility, eligible clients can subscribe for the shares allocated to them via their respective Employee Share Option Schemes.

 

Other Terms & Conditions may apply

Walk into any of our RHBIB branches or Share Trading Centers that are located at Bank branches

• 2 copies of MyKad or Passport
• Latest 3 months salary slip
• Letter of Offer from the company to employee / original ESOS Option certificate
  
• Original ESOS Option Exercise Form

Call your remisier/dealer or contact the nearest RHB Investment Bank branch to you