INTERVIEW: Malaysia, Singapore Stock Exchanges To Be Linked By June - Bursa CEO

Just wondering: any impact on commission?

INTERVIEW: Malaysia, Singapore Stock Exchanges To Be Linked By June - Bursa CEO

-- Bursa Malaysia CEO says Asean Trading Link to be ready by the end of June

-- Malaysia planning for exchange-traded bonds

By Jason Ng and Abhrajit Gangopadhyay
Of DOW JONES NEWSWIRES

KUALA LUMPUR (Dow Jones)--The stock exchanges of Malaysia and Singapore will establish cross-border electronic trading links in June, a step toward a broader plan to link up the exchanges of several Association of Southeast Asian Nations members, the chief executive officer of the Bursa Malaysia Bhd. (1818.KU) said Tuesday.

Thailand will be connected to the proposed network in August, Tajuddin Atan told Dow Jones Newswires in an interview.

The stock exchanges of Malaysia, Indonesia, Singapore, Thailand, the Philippines, and Vietnam signed a preliminary pact in February 2009 to develop cross-border trading links to cut costs and attract investment.

The countries' seven exchanges have a market capitalization of over $2 trillion, with Malaysia, Singapore and Thailand accounting for about nearly two-thirds of the value, Tajuddin said.

Cross-border trading will help local companies access more capital to propel regional growth, he added.

Combined, the economies of Asean have grown by an average of more than 6% a year over the past few years, and the region is home to over 600 million people whose rising income levels make them an attractive pool of investors.

Tajuddin said there is no definite time frame for all the exchanges to be interlinked, as the economies across the region are at different stages of development.

The push for seamless trading is the latest sign of the growing reliance on regional co-operation between Southeast Asia's export-heavy economies, which have traditionally counted the U.S. and the Europe as preferred destinations for their shipments. Slower economic growth and debt troubles in those economies have increased the attractiveness of intra-regional cooperation.

Tajuddin also said Malaysia is planning to introduce exchange-traded bonds for retail investors by September.

"Issuers are lining up but we want to analyze whether the initial offer can come from private debt securities or government guaranteed," he added.

-By Jason Ng and Abhrajit Gangopadhyay, Dow Jones Newswires; +603-2026-1233; jason.ng@dowjones.com

http://online.wsj.com/article/BT-CO-2012...05308.html

I think it will make hot money move faster and market more crazy with more liquidity so maybe that's why earlier they added 1 more decimal place for stock prices to make it more stable.

but I still have 10 lots of clob shares around to remind me once upon a time of the very bad experience.

So let's hope they don't go back on their words this time if relations get strained.

(31-05-2012, 11:22 PM)sgd Wrote: I think it will make hot money move faster and market more crazy with more liquidity so maybe that's why earlier they added 1 more decimal place for stock prices to make it more stable.

but I still have 10 lots of clob shares around to remind me once upon a time of the very bad experience.

So let's hope they don't go back on their words this time if relations get strained.

Sgd,

May I ask: Your shares are held direct with M’sian broker or through local broker?

Me too, still holding some counters and receiving dividends, and still paying the $2 per counter to local broker every month.

Have been thinking of selling off and putting the money into their fd, giving about 3% plus for non-residents…

Yes, for some reasons, we tend to give some discounts to some of their policies after all these years!

Anyway, let’s hope this time, it’s Malaysia boleh!

(01-06-2012, 09:44 AM)etan Wrote: Sgd,

May I ask: Your shares are held direct with M’sian broker or through local broker?

Me too, still holding some counters and receiving dividends, and still paying the $2 per counter to local broker every month.

Have been thinking of selling off and putting the money into their fd, giving about 3% plus for non-residents…

Yes, for some reasons, we tend to give some discounts to some of their policies after all these years!

Anyway, let’s hope this time, it’s Malaysia boleh!

Sorry I don't have that info on how that is being managed, I can see the shares listed in my cdp account but I'm not paying any money every month. During he staggered release of clob shares a few years ago I refused to sell it. The value of these 10 lots is now a small fraction of what it once used to be when I bought it in 1995.

I'm keeping it as my act of defiance and protest to the malaysians officials that the CLOB issue still exists and still has NO SATISFACTORY CLOSURE

(01-06-2012, 11:17 AM)sgd Wrote:

(01-06-2012, 09:44 AM)etan Wrote: Sgd,

May I ask: Your shares are held direct with M’sian broker or through local broker?

Me too, still holding some counters and receiving dividends, and still paying the $2 per counter to local broker every month.
Have been thinking of selling off and putting the money into their fd, giving about 3% plus for non-residents…

Yes, for some reasons, we tend to give some discounts to some of their policies after all these years!

Anyway, let’s hope this time, it’s Malaysia boleh!

Sorry I don't have that info on how that is being managed, I can see the shares listed in my cdp account but I'm not paying any money every month. During he staggered release of clob shares a few years ago I refused to sell it. The value of these 10 lots is now a small fraction of what it once used to be when I bought it in 1995.

I'm keeping it as my act of defiance and protest to the malaysians officials that the CLOB issue still exists and still has NO SATISFACTORY CLOSURE

The $2 / counter charge is imposed by most brokers for holding any foreign stocks. But, if you have minimum 2 (?) transactions per mth (can be local stocks), they'll waive it. Can check with your broker.

In my case, I had a happier closure with my CLOB experience. After they released all my CLOB shares, only one counter was +ve with the rest (MUI, MBf, APLand,...???) having become penny stocks. The exception was PBanF which had not only increased in value but had been paying good dividends.

The lesson learnt for me was picking the right stock matters alot. I subsequently sold all my CLOB pennies at a heavy loss. I opened an RM account with my broker as I didn't want to suffer bid/ask spread on the RM-S$ exchange rate and continued to collect more PBankF + MREITs. During AFC, when Bursa was more resilient than SGX (with their foreign controls in place, the foreign investors didn't 'play' there, I guess) and I cashed out all my Malaysia shares to shift the monies over to SGX stocks.

PBankF continued to grow in strength over the years - a bit regret here. But, I imagined I must have made more by shifting my funds over to SGX as many were badly battered... Perhaps when this new tie-up is clearer, I'll look at Bursa listed stocks again. I imagine we should be able to trade in our local currency and there'll be no extra holding cost, extra brokerage,... etc.

(01-06-2012, 11:48 AM)KopiKat Wrote:

(01-06-2012, 11:17 AM)sgd Wrote:

(01-06-2012, 09:44 AM)etan Wrote: Sgd,

May I ask: Your shares are held direct with M’sian broker or through local broker?

Me too, still holding some counters and receiving dividends, and still paying the $2 per counter to local broker every month.
Have been thinking of selling off and putting the money into their fd, giving about 3% plus for non-residents…

Yes, for some reasons, we tend to give some discounts to some of their policies after all these years!

Anyway, let’s hope this time, it’s Malaysia boleh!

Sorry I don't have that info on how that is being managed, I can see the shares listed in my cdp account but I'm not paying any money every month. During he staggered release of clob shares a few years ago I refused to sell it. The value of these 10 lots is now a small fraction of what it once used to be when I bought it in 1995.

I'm keeping it as my act of defiance and protest to the malaysians officials that the CLOB issue still exists and still has NO SATISFACTORY CLOSURE

The $2 / counter charge is imposed by most brokers for holding any foreign stocks. But, if you have minimum 2 (?) transactions per mth (can be local stocks), they'll waive it. Can check with your broker.

In my case, I had a happier closure with my CLOB experience. After they released all my CLOB shares, only one counter was +ve with the rest (MUI, MBf, APLand,...???) having become penny stocks. The exception was PBanF which had not only increased in value but had been paying good dividends.

The lesson learnt for me was picking the right stock matters alot. I subsequently sold all my CLOB pennies at a heavy loss. I opened an RM account with my broker as I didn't want to suffer bid/ask spread on the RM-S$ exchange rate and continued to collect more PBankF + MREITs. During AFC, when Bursa was more resilient than SGX (with their foreign controls in place, the foreign investors didn't 'play' there, I guess) and I cashed out all my Malaysia shares to shift the monies over to SGX stocks.

PBankF continued to grow in strength over the years - a bit regret here. But, I imagined I must have made more by shifting my funds over to SGX as many were badly battered... Perhaps when this new tie-up is clearer, I'll look at Bursa listed stocks again. I imagine we should be able to trade in our local currency and there'll be no extra holding cost, extra brokerage,... etc.

I guess the 3 of us could be from the same era, that’s why we are in sync, and all of us have the same sad story, and we live to tell…

Sgd,

Not so sure abt yr case, but for my case, my shares are along kept by my broker company. They will send me the invoice quarterly, and also the statement. The $2 per counter is considered custody fee charged by broker company for active shares. They do not impose any fee for shares that have been suspended. The statement does show the names of those stocks held in suspension. Most likely these stocks are gone for good!

I think CDP washed their hands off completely. My CDP a/c does not reflect any CLOB shares. You may like to check with your broker again.


Kopikat,

You are quick to respond. TQ!

I guess you have a clear head on how to react to the CLOB shares.

At that time, I was at a complete loss of what to do. This thing kept dragging on and on because nobody knew what will happen next. So in the end I suffered more losses.

Thinking back, I think it was a real tsunami to me!

Anyway, happy to be still alive today, and in 1 complete piece! Hahaha!

Whatever shares you mentioned, I have them all. At that time I really die until jialat jialat, and yes, on the good side, I am still holding on to PBank and PBankF, UEM. But no amount of profit can make up for the losses!

I haven’t done any trade on Bursa for quite many years. But I think per trade commission through local broker is something like about S$60, so it’s pretty high.

Yes, looking forward to lower fee structure with the new link!

i started to invest in stocks in 1988. i was very fortunate (Lucky or GOD's Blessings depends on what you believe). Somehow, i did not buy any CLOB's shares.
Anyway, i had read an investment book that declares from the beginning that the best three things to have for investing in the stock market are:
(1) LUCK (God's Blessings depends on what you believe), besides due deligence, of course.
(2) Deep Pockets.
(3) Longevity.
i think he had said it all.
Shalom.

(01-06-2012, 03:40 PM)etan Wrote: I haven’t done any trade on Bursa for quite many years. But I think per trade commission through local broker is something like about S$60, so it’s pretty high.

The fee structure by UOBKH (Click on 1)

It's min. RM60 (~S$24+) or 0.5%, not S$60.

(01-06-2012, 04:19 PM)Temperament Wrote: i started to invest in stocks in 1988. i was very fortunate (Lucky or GOD's Blessings depends on what you believe). Somehow, i did not buy any CLOB's shares.
Anyway, i had read an investment book that declares from the beginning that the best three things to have for investing in the stock market are:
(1) LUCK (God's Blessings depends on what you believe), besides due deligence, of course.
(2) Deep Pockets.
(3) Longevity.
i think he had said it all.
Shalom.

Temperament,

Lucky you! I guess you were really blessed during the CLOB era; could be some God or Nobleman shielding you from danger, whichever way you believe it. Hahaha!

Hope luck will be with you again when the next catastrophic event comes, in any. Such events can really sweep us off our feet!

---

(01-06-2012, 05:26 PM)KopiKat Wrote:

(01-06-2012, 03:40 PM)etan Wrote: I haven’t done any trade on Bursa for quite many years. But I think per trade commission through local broker is something like about S$60, so it’s pretty high.

The fee structure by UOBKH (Click on 1)

It's min. RM60 (~S$24+) or 0.5%, not S$60.

KopiKat,

TQ for pointing out the error. If not for you, I may have misled our fellow forumers unintentionally. Alright, it’s an honest mistake! Thanks again for providing the link. I should have checked it out first before posting.

(02-06-2012, 10:37 PM)etan Wrote:

(01-06-2012, 04:19 PM)Temperament Wrote: i started to invest in stocks in 1988. i was very fortunate (Lucky or GOD's Blessings depends on what you believe). Somehow, i did not buy any CLOB's shares.
Anyway, i had read an investment book that declares from the beginning that the best three things to have for investing in the stock market are:
(1) LUCK (God's Blessings depends on what you believe), besides due deligence, of course.
(2) Deep Pockets.
(3) Longevity.
i think he had said it all.
Shalom.

Temperament,

Lucky you! I guess you were really blessed during the CLOB era; could be some God or Nobleman shielding you from danger, whichever way you believe it. Hahaha!

Hope luck will be with you again when the next catastrophic event comes, in any. Such events can really sweep us off our feet!

---

(01-06-2012, 05:26 PM)KopiKat Wrote:

(01-06-2012, 03:40 PM)etan Wrote: I haven’t done any trade on Bursa for quite many years. But I think per trade commission through local broker is something like about S$60, so it’s pretty high.

The fee structure by UOBKH (Click on 1)

It's min. RM60 (~S$24+) or 0.5%, not S$60.

KopiKat,

TQ for pointing out the error. If not for you, I may have misled our fellow forumers unintentionally. Alright, it’s an honest mistake! Thanks again for providing the link. I should have checked it out first before posting.

Yes thank you. But i had my share of losing "quite substantial share" of my profited money to the tune of almost 30K at one "go" due to my greed and foolishness. Not once but twice in my investment history. But i know till this day it's my own fault or stupidity. So that's why i have my signature to remind myself of my past foolishness. Thanks & praises to God, i am doing okay, overall. Amen.