FAQs
The Inter-Ac Cash from Contra Account to Cash Upfront will be process subject to whether there is/are any outstanding purchases and/or any losses or potential losses that may occur.
Manual pickup request is an exceptional basis and we will not taking any instruction anymore to pick up the shares after T+2, 11:59PM. You may send us an email latest by 11:59PM in order for us to proceed with the pick up request by the next morning.
A Contra Account allows you to buy shares based on available cash and/or collateral shares value after hair cut at a higher multiplier depending on type of counters intended to buy.
Outstanding purchase(s) need to be settled within 2 (two) trading days after the transaction date (T)
You can apply via our website (mat.rakutentrade.my) or via our iSPEED.my app.
IThe registration process that require you to provide the following documents.
· IC front and back
You just need to log in to your account and on your dashboard select Contra Account to complete the additional financial profiling page.
No, only individual Contra Accounts are allowed.
Only cash and /or shares can be used as collateral.
Yes, you can. By paying the CDS share transfer fee of RM10.00 per counter.
No, we only accept cash and/or shares as collateral.
Yes, you can by selecting “MY ACCOUNT” and under "Contra " select “CASH WITHDRAWAL” to proceed with the withdrawal process subject to whether there is/are any outstanding purchases and/or any losses or potential losses that may occur.
- Cash collateral value 100% (no hair cut)
- Main Market collateral value 80% (20% hair cut) **
- ACE Market collateral value 50% (50 % hair cut) **
- Warrants, ICULS, REIT’s collateral zero value (no value)
** subject to internal valuation of the individual stock
For example,
· Cash RM10,000 = RM10,000 in collateral value
· Main Market shares RM10,000 = RM8,000 in collateral value
· As such your collateral value is RM18,000
The trading limit is determined by the multiplier of the intended share purchased, set at 3 times or 5 times on top of the trading limit derived from cash collateral value and/or collateralized securities.
For example,
· Total value of cash + collateralized shares value after price capping = RM18,000
· Intended share purchased provide 5 X multiplier = RM18,000 x 5 = RM90,000
· As such you will be entitled to RM90,000 trading limit.
Only selected shares on Bursa Malaysia FTSE 100 will qualify for a 5X multiplier. You can check the shares multiplier at “STOCK INFO” and in “order pad”.
Rakuten Trade Contra Account clients are unable to trade the following:
· LEAP
· All ETF
· Loan bond
· Warrants (1 Month to expiry)
Contra Account trading limit can be increased by depositing additional cash and/or transferring shares into the account as collateral.
We charge a brokerage fee (plus 6% ST) and standard charges for buy/sell transactions. Please refer to our website on "Fees" section
Outstanding purchase Contract settlement must be made on/before the second market day (T+2) before 5pm.
Your outstanding buy contract will be force sold on the third market day T+3 morning.
Yes via an email to your registered email address.
No. Payment for outstanding buy must be made by the second trading day (T+2) before 5pm, otherwise unsettled outstanding buy will be force sold on the third trading day (T+3) in the morning.
Note: T-day in this context is the day you bought the stock.
Yes. You may pick and choose to settle certain outstanding purchases latest by second trading day (T+2)
Note: T-day in this context is the day you bought the stock. T+2 is two (2) trading days after you have bought the stock.
No. Please log into your dashboard, select “MY ACCOUNT” > “Contra” > “OUTSTANDING” > “PICKUP STOCK” > Select and mark the outstanding purchase(s) you wish to settle > Click “CONFIRM” to complete the settlement process. Please note that Rakuten Trade pickup rules will always be based on “Current Cash Balance” on Member Screen.
Notes:
Current Cash Balance: The latest snapshot of the Cash Balance of a trading account.
Yes on the same day as the sales of the outstanding purchases.
We will force sell your collateralized shares on the sixth trading day (T+6) from the transaction date of the outstanding purchases.
What happens if both the cash and collateralized shares of Contra Account are not sufficient to settle the Contra loss?
We will utilize the available cash and/or force sell the shares in your Cash Upfront Account (if available) on the sixth trading day (T+6) from the transaction date of the outstanding purchases. A Letter of Demand will be issued on the seventh trading day (T+7) if there is/are unsettled outstanding Contra losses.
Note: T-day in this context is the day you bought the stock.
An interest charge of 6% per annum on the outstanding Contra loss will be charged until the amount is fully settled.
You can view your contra gain or contra loss at the end of the trading day by viewing your contra statement, available on our website.
In the event of death, all instructions and other monetary instruments shall continue to be honored until the Company receives notice in writing of the Client’s demise. At this point, the Company shall be entitled to sell-out any outstanding purchases / losses (which have not been paid for). Fees associated with the transferring of shares / trade activities made upon the request by the executor(s) or administrator(s) of the deceased’s estate will be funded by the balance funds available in the account.
For more information, kindly refer to our Terms & Conditions, Clause 15.3
Our T&Cs are at https://mat.rakutentrade.my/fsfiles/tnc.pdf
Please contact our Customer Service at customerservice@rakutentrade.my or via toll free
1-800-88-6001.
Contra gain / loss means when the outstanding buy(s) is/are sell off to the market before settlement date and/or force selling which may result in either gain or loss.
Contra gain or contra loss will increase or decrease the trading limit respectively in real time during the trading hours.
You may view or download "SET-OFF STATEMENT" at the end of the trading day from our web trading platform.
Go to “MY ACCOUNT”
Click on “MY STATEMENT”
Select “Setoff Statement” at Document Type and click the “Show” button
Finally, select “view” or “download” statement.
Contra gain will be credited into your account after 2 (two) trading days upon selling (T+2) the outstanding buy contract(s).
Cash balance will be automatically deducted from your cash balance available when there is/are realized loss occurred after selling the outstanding buy contract(s).
