If you registered an online account, it means you bypassed the remisier services which is normally engaged via phone. Online accounts without broker assisted transactions are normally cheaper in term transaction charges because the commissions are very low due to lack of broker/remisier assistance.

You really need to go through CIMB platform guide to get to know your trading platform.

All transactions have charges no matter how low. Normally there is the minimum charge either in % or RM depending which is higher. On top of that you have the stamping and clearing fees.

Talisworks RM1.30

If you buy only 1 lot or 100 shares;

Share price x 100 = RM130
Stamping (RM1 for every RM1k) = RM1
Brokerage charges = RM130 * % or RMxx (flat rate) whichever is higher


Normally people will advise against buying such a low amount as the brokerage charges are quite high, and because of that to break-even it takes some amount of share price appreciation to make a profit.

For instance if the minimum Brokerage is 0.4% or RM28 which ever is higher.

Share price * 1 lot (100 shares) = RM130
Brokerage = RM28 (which is higher)
Stamping = RM1

Your total cost for buying the share = RM159

Which translates to RM1.59 per share. So in other words, your share price needs to appreciate 29 sens or 22% before you start making a profit. And don't forget when you sell your share, you have to pay the brokerage, stamp and clearing fees as well.


But if you buy 10 lots or 1000 shares

Share price RM1.30 * 10 lots = RM1300
Brokerage = RM28
Stamping = RM2 (RM1 for every RM1k worth of transaction)

Total cost = RM1330 or RM1.33 per share


Another example for 100 lots

Total share price = RM13000
Brokerage = RM52 (0.4% is higher than the minimum RM28)
Stamping = RM 13

Total cost = RM13065 or RM1.31 per share (rounded figure).


So in other words, don't buy such in low volumes where the cost of transaction impedes your ability to make profit.

And remember that when you sell your shares, the same calculation for the charges applies.

This post has been edited by skiddtrader: Sep 11 2010, 01:28 AM

Only place that has all that information since 1999 is KLSE website. Check the announcement pages of listed companies under historical tab. Every quarterly report for every company is there ready to download.

Need some clarification.

If a substantial shareholder of more than 35% recently acquired more than 20% shares, making his holding exceed 50%, will it trigger the mandatory general offer?

Or when he sold his stakes down from 51% to 49%, will it trigger anything?

Ok thanks cheeroy. Understood.

Thanks rosdi1. Yeah I read that before I asked but after reading a couple of times, I still did not know whether the 50% rule applies or not. Haha.

For technical analysis education, one of the best free sites in my opinion with a good beginner tutorial is Babypips. Take their "School" tutorial from beginner all to the end. Although it is a Forex site, the essential basics of technical analysis will be covered fully.

Another great link and considered the dictionary of investing is Investopedia where every article, tutorial and term is explained. You can use their 'search' function as a guide or 'investing' dictionary if you're aren't sure about certain terms when reading financial articles.

And obviously, GOOGLE is always your best friend to search for online material.

That's an in-accurate understanding of how the dividend is calculated.

The par value is only included into the calculation if the announcement of dividend is in '%' terms. If it is already in 'sen' term, then no need to multiply by the par value anymore.

For example;

If company A announces dividend of 5%. (This means it's 5% of the par value and not the share price.) You hold 5000 shares.

Par value of the company A is RM0.50, so to calculate the amount of monies owed to you will be ;

(5% * Par value) * Number of share you hold = Dividend payable

(5% * 0.50) * 5000 = (0.025) * 5000 = RM125


If company A decides to be clearer, they can announce it in actual monetary terms like, declared 2.5 sen dividends. Which is straight forward calculation.

RM0.025 * 5000 = Rm125

The reason why I think most companies rather announce in '%' terms is because it sounds "nicer". When people read 5% dividend is always nicer than RM0.025 dividend. If the stock has a par value of RM0.10, for sure the company will announce in '%' terms. You can imagine the announcement will be something like this.

"The company is proud to declare 25% dividends."

And everyone will go 'ooohhh' and 'ahhh'. But actual fact dividend only RM0.025 and sounds 'small' and un-important.

Normally companies with share options have their list of broking houses which you can use from applying for CDS account to remisier service. They would also have some form of loan financing for exactly what you are planning to do.

But interest rate wise I'm not sure.