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Questions That Investors Should Ask...      (cont...)

4. Explain how to trade in shares?

Hint: Learn, among others, how to purchase and sell shares, how T+3 works, what forms you need to fill and when is the date you must make payment for share purchases. This could prevent you from being confused and incurring unnecessary payments or losses.
Useful link:
When to make payment for your shares

5. What are the risks of stock market investing? What is the maximum amount that I could lose?

Hint: Investors must be aware that share prices on the stock market are volatile (they can go up and down without much warning). This is part of the risk of investing in stock market. This question will ensure that you understand the risks and would know what to do in the face of such risks.

6. Will I be getting statements or reports regarding my investment status? If yes, how frequent?

Hint: The investment statement is important, as it will make your monitoring process easier. Example of investment statements: CDS account statement, trading account statements, contract notes or any other relevant statements. Always read your investment statement and if you think there is any inaccuracy, instead of waiting, contact your stockbroker to rectify it immediately. Don't throw them away after you have read it. File it properly.

7. Does this stock have an expiry date?

Hint: Securities such as warrants, loan stocks and call-warrants have expiry dates. Before investing in such securities, check with your remisier regarding their expiry dates. Alternatively, you can check the local dailies' stock tables for the expiry dates.

8. How can I check my share balance?

Hint: You can check your securities balance with your remisier or contact Bursa Malaysia Central Depository Sdn Bhd at 603–2026 2099. Checking your securities balance on regular basis is important. You do not want to accidentally sell shares that you do not own, as it is an offence under the Securities Industry Act 1983.

 
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