Kenanga Investment Bank JV gets licence for online brokerage

Kenanga Investment Bank Bhd (KIBB) signs joint venture agreement with Rakuten Securities Inc.(From left) KIBB executive director & head of equity broking Lee Kok Khee, K & N Kenanga Holdings Bhd group managing director Datuk Chay Wai Leong, Rakuten Securities president Yuji Kusunoki, and Rakuten Securities executive officer (corporate division) Hidekazu Yui.

KUALA LUMPUR: The path is now clear for the joint-venture company of Kenanga Investment Bank Bhd (KIBB) and Rakuten Securities Inc. to provide online brokerage services in Malaysia.

KIBB said on Thursday the Securities Commission (SC) had given a capital markets services licence to Rakuten Trade Sdn Bhd (formerly EB Global JV Sdn Bhd) for the regulated activities of dealing in securities restricted to listed securities and investment advice.

The licence is pursuant to section 61 of the Capital Markets and Services Act 2007. 

As a result of the JV and the approval of the licence, Malaysian will soon be able to enjoy fully online broking services.

The 50:50 joint-venture company is between KIBB and Tokyo-based online securities brokerage firm Rakuten Securities Inc.

The JV company had in November last year received an approval-in-principle for a capital markets services licence from the SC.

“The proposed JV with Rakuten, a global e-commerce leader, is strategic as Rakuten will bring to Malaysian shores, its advance technology and robust marketing skills for online broking,” according to the company.