Written by Financial Daily
Tuesday, 27 October 2009 11:53
KUALA LUMPUR: The full liberalisation of commission-sharing arrangements between stockbroking firms and their remisiers will take effect on Jan 1, 2011, said the Securities Commission (SC) yesterday.
In a statement yesterday, the SC said the first stage, which takes effect immediately, allowed a flexible arrangement with a minimum 40% sharing rate for remisiers, as stated under Budget 2010.
It said the process was undertaken in two phases following industry feedback and to give time for industry participants to adjust to a fully deregulated commission-sharing environment. “In line with this development, the current transfer fee structure will also be reviewed,” it said.
The SC also said the requirement for PLCs to provide e-Dividends was expected to be implemented by the third quarter of 2010.
It said investors would be given a one-year grace period to provide their bank account number to Bursa Malaysia Depository.
It said stockbroking companies would also be required to provide e-Share Payment, instead of using cheques, as an option for the investing public to receive and make payments on their share transactions.
The measure is expected to be implemented by mid-2010.
This article appeared in The Edge Financial Daily, October 27, 2009.