KUALA LUMPUR: Rakuten Trade Sdn Bhd is seeing robust response with close to RM40mil in trading value on the New York Stock Exchange (NYSE) and the National Association of Securities Dealers (NASDAQ), a month after launching its equity trading in the US.
“More than 16,000 U.S. accounts have been activated with more than 88% trading first on Bursa Malaysia prior to trading U.S. stocks.
This reflects a growing acceptance by Malaysian investors to have a balanced yet diversified investment portfolio of stocks not just by sector but by market,” chief executive officer Kazumasa Mise said in a statement.
“The equity trading landscape is changing with a surge in retail investors in recent years supported by digitalisation granting greater access to foreign markets. More Malaysians with an aptitude for self-directed trading can take the next step towards becoming ‘global investors’ without high transaction fees and obstacles that were more prevalent even five years ago,” he added.
Rakuten Trade’s U.S. trading account is available via its cash upfront account and offers trading in both Malaysia and the US at the low brokerage of RM7 to RM100.
In response to the keen interest in U.S. stocks from its clients, Rakuten Trade launched its RakuTrade & Win contest that will run from March 7 to May 28 this year.
It sees the digital broker giving away 50 U.S. stocks weekly comprising well-known blue chips (Apple, Microsoft), technology (Meta, NVIDIA, Paypal), as well as consumer staples and discretionary sectors (Colgate, Ford Motors, Levi Strauss, Starbucks).
“Each trade successfully performed will bring them closer to winning a U.S. stock,” it said.
Rakuten Trade said participants would also be in the running to win in the grand finale where a total of 1,000 prizes await, of which 111 will comprise U.S. stocks from Alphabet, Tesla, Meta (Facebook), Advance Micro Device and Vanguard S&P 500 ETF.
The campaign is open to those with an activated foreign trading service via the cash upfront account.
As at Feb 28, Rakuten Trade had activated more than 240,000 trading accounts and handled almost RM100bil in total combined trading value in Malaysia and US since business day one in 2017.