To buy stocks on Bursa Malaysia, you need two accounts: a CDS account (which holds your shares) and a trading account (which lets you place buy and sell orders). The good news — most online brokers open both in a single application, and the entire process takes 1–3 business days online without visiting a branch.
Here's exactly how to do it.
What Is a CDS Account — and Why You Need One
CDS stands for Central Depository System. It is operated by Bursa Malaysia Depository Sdn Bhd, a subsidiary of Bursa Malaysia Berhad (the Malaysian stock exchange). Think of it as the official electronic register of who owns what shares listed on Bursa.
When you buy 500 shares of Maybank, those shares are not stored on your phone or at your broker's server. They are recorded in your CDS account at Bursa Malaysia Depository. Your broker simply has a trading sub-account that is linked to your CDS account and lets you instruct the system to buy or sell.
Three things to keep straight:
| Term | What it is | Who holds it | |------|-----------|-------------| | CDS account | The official ownership record of your shares | Bursa Malaysia Depository | | Trading account | The platform you use to place buy/sell orders | Your broker | | Settlement bank account | Where cash moves in and out for trades | Your bank |
The CDS account and trading account are opened simultaneously through your chosen broker. You do not go to Bursa Malaysia directly — you go through a licensed broker, and they handle CDS registration on your behalf.
One important detail: your CDS account number is yours permanently. When you open a second or third broker, they simply attach a new trading sub-account to the same CDS account. All brokers see the same underlying share holdings.
What You Need Before Applying
Have these ready before you start the application — the process stalls if you need to hunt for documents mid-flow.
Documents:
- Malaysian IC (MyKad) — front and back. If you are a non-citizen, a valid passport is required (see the FAQ section on foreign nationals below).
- Bank account details — account number, bank name, and sometimes a screenshot or bank statement showing your name and account number. This is your settlement account where cash is debited when you buy and credited when you sell.
Eligibility:
- Minimum age: 18 years old
- Malaysian citizen or permanent resident (foreigners can apply — see FAQ)
- No formal minimum capital to open the account
Practical funding reality: There is no regulatory minimum deposit. But to place even one trade, you need to buy at least 1 lot = 100 shares. If you pick a stock priced at RM2.00 per share, the minimum trade value is RM200 — before fees. Budget at least RM200–500 to make your first trade without running into a rejected order due to insufficient funds.
Choosing a Broker
All licensed Malaysian brokers can open a CDS account for you. The choice of broker affects your trading fees, platform experience, and available markets. Here are the main online options:
| Broker | Bursa brokerage fee | Min fee per trade | Mobile app | Best for | |--------|--------------------|--------------------|-----------|----------| | Rakuten Trade | 0% on first RM1k buys/month, then 0.1% | RM8 (above threshold) | Good | Beginners buying small amounts | | moomoo Malaysia | 0.03% (standard) | RM3 | Excellent | Cost-conscious and active traders | | Tiger Brokers | 0.05% | RM3 | Good | Multi-market (Bursa + US + HK) | | Maybank Investment Bank | 0.08% | RM8 | Average | Existing Maybank customers | | CIMB Invest | 0.1% | RM8 | Good | Existing CIMB customers | | M+ Online (Malacca Securities) | 0.08% | RM8 | Good | Research tools and screeners | | Kenanga Trade | 0.1% | RM8 | Average | Established local broker backing |
Fees as stated in April 2026. Broker fee schedules change — always verify on the broker's website before opening an account.
How to pick:
If you are buying less than RM1,000 of shares per month, Rakuten Trade's zero-brokerage buy threshold makes it the cheapest option by a wide margin. If you plan to trade more actively or in larger amounts, moomoo Malaysia at 0.03% with a RM3 minimum is the lowest flat rate available. If you also want to buy US stocks or ETFs on the same platform, moomoo or Tiger Brokers are the only major platforms that offer this alongside Bursa access.
For the step-by-step walkthrough below, Rakuten Trade is used as the example — it has the most streamlined fully-digital onboarding for first-time Bursa investors and is the platform most beginners encounter first.
Step-by-Step: Opening Your Account Online (Rakuten Trade Example)
The steps are similar across all major online brokers. The sequence below applies to Rakuten Trade but is 80% identical to moomoo and Tiger Brokers.
Step 1 — Download the App or Visit the Website
Go to rakutentrade.my or download the Rakuten Trade app from the App Store or Google Play. Click Open Account or Sign Up.
Step 2 — Enter Your Personal Details
You'll fill in:
- Full name (exactly as on your MyKad)
- MyKad number
- Date of birth
- Residential address
- Contact number and email address
- Marital status and number of dependents
Step 3 — Employment and Financial Information
The broker is required by the Securities Commission to collect this:
- Employment status (employed, self-employed, retired, student)
- Employer name and industry
- Monthly income range
- Source of funds (salary, savings, investment returns, etc.)
- Annual trading experience and investment objectives
Answer honestly — this is a regulatory Know Your Customer (KYC) requirement. There is no wrong answer that disqualifies you from opening an account.
Step 4 — Upload Your IC and Selfie Verification
Take clear photos of:
- MyKad front — ensure all text is legible, no glare
- MyKad back
- Selfie — many platforms use live selfie capture (you hold your IC beside your face, or blink/turn your head to prove it is not a static photo)
The system uses automated OCR and facial matching. If your photo is blurry or overexposed, it will reject immediately and ask you to retake. Good lighting makes this take 30 seconds instead of 10 minutes.
Step 5 — Bank Account Linkage
Enter your Malaysian bank account details for settlement. Rakuten Trade supports most major Malaysian banks (Maybank, CIMB, Public Bank, RHB, Hong Leong, AmBank, etc.) for FPX transfers. Some platforms may ask you to upload a bank statement or screenshot showing your name and account number for verification.
Step 6 — CDS Account Is Registered Automatically
At this point, Rakuten Trade files your CDS account registration with Bursa Malaysia Depository on your behalf. You do not need to do anything — this happens in the background as part of the application.
Step 7 — Wait for Approval
Once submitted, processing takes 1–3 business days. You'll receive an email or in-app notification when your account is activated. The approval message will include:
- Your CDS account number (15 digits — keep this safe)
- Your trading account number
- Instructions to fund the account and start trading
If you apply mid-morning on a Monday and your documents are clean, approval by Wednesday morning is typical.
Step 8 — Fund Your Trading Account
Once approved, transfer money into your trading account via FPX (instant bank transfer). There is no transfer fee from most banks. The funds show up in your trading account within minutes.
You are now ready to trade.
Your First Login — Navigating the Platform
When you log in for the first time after approval, take 10 minutes to orient yourself before placing any order.
Find the stock you want: Use the search bar and enter either the company name (e.g. "Maybank") or its Bursa stock code (e.g. "1155"). Every listed company on Bursa has a four-digit stock code. You can find codes at bursamarketplace.com or on the broker's own search function.
Read the order screen before tapping Buy:
| Field | What it means | |-------|---------------| | Last done price | The price at which the most recent trade occurred | | Bid | The highest price a buyer is currently willing to pay | | Ask | The lowest price a seller is currently willing to accept | | Volume | Number of shares traded today (in lots, where 1 lot = 100 shares) | | Order type | Market order (buy at best available price now) or Limit order (buy only at your specified price or better) |
Start with limit orders, not market orders. A market order executes immediately at whatever price is available. If a stock has low liquidity (thin trading volume), the available price may be significantly worse than the last traded price. A limit order lets you specify the exact maximum price you'll pay — if the market doesn't reach that price, the order stays open until you cancel it or it expires at end of day.
Buying Your First Stock — A Worked Example
Here's what actually happens when you place a buy order.
Scenario: You want to buy 100 shares (1 lot) of a stock currently trading at RM2.50.
Cost breakdown:
| Item | Calculation | Amount | |------|------------|--------| | Share purchase | 100 shares × RM2.50 | RM250.00 | | Brokerage fee | 0.1% × RM250 = RM0.25 (but minimum fee applies) | RM1.00 | | Stamp duty | RM1 per RM1,000 of contract value (minimum RM1) — so RM1 on a RM250 trade | RM1.00 | | Total cash needed | | RM252.00 |
Note: Stamp duty rate as of April 2026 is RM1 per RM1,000 of contract value or part thereof, capped at RM200 per contract. Verify the current rate at stampduty.hasil.gov.my or on your broker's fee schedule.
For a RM250 trade, your brokerage cost is RM1 (the minimum), and stamp duty is RM1. The total you need in your trading account is RM252.
If you placed the same trade using moomoo at 0.03% (min RM3), the brokerage would be RM3, and total cost would be RM254. The difference is RM2 — not significant on a single trade, but worth understanding as your portfolio grows.
After the trade executes:
Your trading account shows the purchase. Two business days later (T+2 — where T is the trade date), the shares are officially credited to your CDS account. You can see this in the portfolio section of your broker's app, and the holding will also be visible if you log into myCDS, Bursa Malaysia's direct investor portal.
Key Concepts New Bursa Investors Often Get Wrong
Lot Size
Bursa Malaysia's standard minimum trade unit is 1 lot = 100 shares. If a stock is priced at RM5.00, you cannot buy 50 shares — you must buy 100 (RM500 minimum). An odd lot market exists on Bursa where you can buy fewer than 100 shares, but liquidity is thin and execution is slower. For beginners, always plan around 100-share multiples.
T+2 Settlement
When your buy order executes on Monday, the shares appear in your CDS account on Wednesday (two business days later). The cash leaves your trading account on the same day your order executes. This is standard across Bursa — you cannot sell shares you just bought today until T+2 clears, unless you use contra (explained below).
Contra Trading — Avoid This as a Beginner
Contra is the practice of buying shares and selling them before the T+2 settlement date to avoid needing the full cash upfront. You profit (or take a loss) on the price difference without the cash ever leaving your account. This is legal on Bursa but is effectively short-term speculation with embedded leverage. Many first-time investors have lost money treating Bursa as a contra playground. Stick to cash-funded trades until you understand the mechanics thoroughly.
Market Order vs Limit Order
A market order says "buy this stock now at whatever the market price is." A limit order says "buy this stock only if the price reaches RM2.50 or lower." For beginners:
- Always use limit orders. Set your limit price at or just slightly above the current ask price if you want near-immediate execution.
- Never use market orders on low-volume stocks. The spread between bid and ask on thinly traded counters can be 3–5%, meaning a market order could execute at a significantly worse price than you expected.
The Difference Between Share Price and Company Value
A RM0.50 stock is not "cheap" and a RM50.00 stock is not "expensive." Share price alone means nothing without knowing the number of shares outstanding. A RM0.50 stock with 10 billion shares has a larger market capitalisation than a RM50.00 stock with 1 million shares. Focus on market cap, earnings, and business fundamentals — not the nominal share price.
5 Mistakes New Bursa Investors Commonly Make
1. Buying a stock because the price is "low" A RM0.20 share price does not mean the stock is undervalued or has more room to grow than a RM10.00 stock. Research the business, not the price label.
2. Placing market orders on illiquid stocks Stocks with daily trading volumes below 100,000 shares have wide bid-ask spreads. A market order on these can cost you 2–5% before the stock even moves. Use limit orders and be patient.
3. Checking the portfolio every hour Short-term price fluctuations on Bursa are normal. Refreshing your portfolio app hourly does not improve returns — it trains you to make emotional decisions. Review weekly or monthly unless you are an active trader by design.
4. Over-concentrating in one stock or one sector Putting all your initial capital into one counter amplifies both upside and downside. A basic diversified starting point for Bursa beginners: spread across at least 3–5 different companies in different sectors.
5. Ignoring dividend payment dates If dividend investing is your goal, the ex-date (ex-dividend date) is the key date — you must hold the shares before ex-date to qualify for that dividend. Buying on or after ex-date means you will not receive the upcoming payment. The ex-date is listed in Bursa's announcements and on your broker's platform.
What About EPF i-Invest?
EPF i-Invest is a different product from direct stock investing via a CDS account — do not confuse them.
Through EPF i-Invest, you can redirect up to 30% of your EPF Account 1 savings above the basic savings threshold into approved unit trusts (not individual stocks). The investment is managed by approved fund managers — you pick a fund, not a specific company.
CDS account investing gives you direct ownership of individual listed companies on Bursa Malaysia. You decide exactly which stock to buy and when to sell.
Both have a place in a Malaysian investor's toolkit. EPF i-Invest is passive and managed; direct Bursa investing requires your own research and decision-making. If you are just starting out, understanding the distinction saves confusion.
For the full EPF i-Invest walkthrough, see our EPF i-Invest Guide.
Frequently Asked Questions
How long does it take to open a CDS account in Malaysia? Most online brokers complete CDS account opening in 1–3 business days after you submit your application and documents. Some platforms like moomoo and Rakuten Trade have expedited digital onboarding where approval can arrive within 24 hours if you apply on a business day and your documents are clear.
Can foreigners open a CDS account in Malaysia? Yes. Foreign nationals can open a CDS account through a licensed Malaysian broker. You'll need a valid passport, proof of address (utility bill or bank statement from your home country, often translated if not in English or Bahasa Malaysia), and in some cases a local Malaysian bank account. The process takes slightly longer than for MyKad holders — typically 3–5 business days. Contact your chosen broker directly for their specific foreign national requirements, as these differ between platforms.
Is there a minimum amount needed to open a CDS account? No formal minimum deposit is required to open the account itself. To execute a trade, you need enough to buy at least 1 lot (100 shares) of your target stock plus brokerage fees and stamp duty. For a RM1.00 stock, that is RM100 plus roughly RM1–2 in fees. For most realistically priced stocks, budget RM200–500 for your first trade.
Do I need a separate CDS account for each broker? No. You have one CDS account number (a 15-digit identifier issued by Bursa Malaysia Depository). When you add a second broker, they open a trading sub-account linked to the same CDS account. Your shares are held at the CDS level, not the broker level.
What happens to my shares if my broker shuts down? Your shares are safe. CDS accounts are held at Bursa Malaysia Depository — independent from your broker. If a broker ceases operations, your shares remain in the CDS record under your name and Bursa Malaysia would facilitate transfer to another participating broker. This protection is a core reason the CDS system exists.
Can I have two CDS accounts? No. Each Malaysian IC holder is entitled to one CDS account. This is a Bursa Malaysia rule. You can link multiple brokers to a single CDS account (each broker gets a trading sub-account), but you cannot open a second, separate CDS account.
Every guide on money.com.my is fact-checked against primary sources (Bank Negara Malaysia, Bursa Malaysia, Securities Commission Malaysia, KWSP/EPF, LHDN) before publication. If you find an error or an outdated figure, email us — corrections are published with a dated amendment note.
Related Guides
- Best Online Brokers in Malaysia 2026 — Fees, Platforms and Markets Compared
- How to Invest in Bursa Malaysia Stocks — A Practical Starter Guide
- How to Start Investing in Malaysia — The Complete Beginner Roadmap
- EPF i-Invest Guide — How to Use Your EPF Savings for Unit Trusts
- Dividend Investing in Malaysia — How to Build a Passive Income Portfolio on Bursa