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Bursa Malaysia – Introduction
Based in Kuala Lumpur, Bursa Malaysia is the country’s stock exchange and operates as a platform which offers a range of exchange-related products and services for companies, groups and governments to sell securities to the public.
The range of products offered by Bursa Malaysia include bonds, derivatives, equities, trading, settle, clearing and depository services. It also offers Shariah-compliant securities which are in accordance with the Shariah investment guidelines. The stock exchange is among the one of the largest in the Asian region, and part of its central function includes ensuring that the price information for the trading of securities is disseminated in an efficient manner to ensure that trading is carried out in a fair and orderly manner.
Bursa Malaysia and Its Functions
Among the other functions that fall under Bursa Malaysia’s jurisdiction include enforcing regulations. Its principal activities include treasury management, along with the provision of management and administrative services for its subsidiaries. The stock exchange is within its rights to carry out the following actions:
- Impose reprimands and fines
- Approve listings
- Approve security quotations
- Supervise listed companies
- Supervise stock broking activities
- Oversee the admission to the exchange’s membership
- Regulate disclosures which are listed by companies.
- Provides facilities and infrastructure for capital raising
Bursa Malaysia also fulfils its responsibility of encouraging investor confidence by ensuring efficient, cost-effective, fair and orderly market operations are carried out.
There are 4 main segments in which Bursa Malaysia Operates:
- Securities Market
- Trading
- Listing
- Clearing
- Depository services
- Provision and dissemination of information which relates to equity securities quoted on the securities exchange
- Derivatives Market
- Trading
- Listing
- Clearing
- Depository services
- Provision and dissemination of information which relates to derivative products quoted on the derivatives exchange
- Exchange Holding Company
- Refers the company’s operations and function as an investment holding company
- Others
- Shariah compliant commodity trading platform
- Reporting platform for bond traders
- Provision of exchange for offshore markets
Bursa Malaysia’s Website
Bursa Malaysia’s website contains all the necessary and pertinent information regarding the Malaysian capital markets. The website serves as the first point of contact for information regarding the profiles of the companies listed on the stock exchange, online stock prices, latest announcements, details of participating companies as well as procedures relating to trade and settlement. Additionally, there are publications, initial public offerings, media releases and other investor education programs available on the website.
For more information about Bursa Malaysia, click here to view their website.