Share Margin Financing (PacMargin) is a credit facility offered by Inter-Pacific Securities Sdn Bhd for investors to finance the purchase of quoted securities on the Bursa Securities only, by pledging acceptable collateral with us.
This facility is suitable for active and sophisticated investors who intend to capitalise on market opportunities and to increase and diversify their investment portfolio.
PacMargin is a share margin financing facility granted to IPS clients for the purpose of financing purchase of shares or securities listed on the Bursa Malaysia Berhad against a portfolio of collaterals.
PacMargin allows clients to leverage on shares or securities deposited and purchased in margin account to maximise and increase the level of investment opportunities.
PacMargin finances up to 60% of the value of the and purchased securities listed on the Bursa Malaysia Berhad.
Competitive interest rate at * 10.5% p.a.
* The Company reserves the right to vary the interest rate at its sole and absolute discretion from time to time.
PacMargin pays interest for excess funds or credit balances exceeding RM5,000 placed under trust account for more than 30 days.
You may monitor your portfolio and invest online with PacOnline, an internet-based online shares trading services at www.paconline.com.my that provide quality corporate financial information and research news that will enable investors to make better investment decisions at anytime and anywhere.
You may log on to PacOnline, our online trading services at www.paconline.com.my to inquire your daily position showing your trade transactions, collateral, outstanding balances, financed contracts, available credit limit, equity ratios and other essential information.
A daily Client Statement of Account would be given to your Dealer’s Representative/ Remisier to monitor your account position. In addition, a comprehensive monthly Margin Statement of Account will be sent to you to provide you with detailed information on the monthly financial transactions and account balances.
We provide custodian and nominees services and you will be informed on any developments with respect to the entitlements and corporate actions i.e. bonus, dividend payment, rights issue, general offer, warrants conversion etc.
PacMargin finances up to 60% of the value of the purchased shares or securities listed on the Bursa Malaysia Berhad. Nonetheless, the company reserve the right to vary the margin of finance at its sole and absolute discretion from time to time.
To secure a share margin financing facility, a client is required to deposit collateral in the form of cash or shares or securities listed on the Bursa Malaysia Berhad or such other form of collateral that may be determined by the Company from time to time.
PacMargin allows you to leverage up to 150% against pledged shares or securities listed on the Bursa Malaysia Berhad or 250% against cash collateral.
A client’s margin account or credit position is subject to share margin Equity Ratio or Equity/ Outstanding Ratio (ER). ER is derived from the total share value of the collateral pledged or shares purchased against the outstanding amount as stated: –
The ER shall not at any time be lower than the Approved Equity Ratio as set out in the Agreement.
When there is a sudden fall in the value of the shares or securities and the ER falls below the Approved Equity Ratio, margin call will be instituted. You are required to regularise the shortfall by depositing additional securities or alternatively, reduce the outstanding loan within (3) market days following the date of notice by the Company. Failing which, the Company shall have the right to liquidate any or all of the securities in the margin account.
Conversely, when the investor’s ER exceeds the Approved Ratio, the excess cash / shares can be withdrawn from the account, or more stock can be purchased without additional cash.
To apply for PacMargin, you need to complete and return the following forms to us: –
You may obtain the above forms as follow: –
For new clients, you are requested to appoint a Dealer’s Representative/ Remisier.
You are required to submit the following documents:For individual client
Stamp duty payable for Margin Financing Agreement executed is 0.5% of the facility limit. However, we will subsidise your stamp duty for facility limit application of not more than RM 450,000 as follows:
Other fees payable are:
The Margin Financing Rate * are as follows: –
|Effective Margin Rate||Shedding||Max Capping|
|Main Board Counters
(Previously known as Second Board Counters)
|TSRs / Warrants / Loan Stocks||50%||50%||RM 2.00|
|Mesdaq Counters||50%||50%||RM 0.30|
A rollover fee of 1.0%* flat will be charged on outstanding purchases on every 90 days.
All applications would be approved within 3 market days if criteria were met.
There is no fixed repayment as long as your account position meets our margin requirements.
A CDS Nominees account will be opened. All the shares pledged and financed will be registered under the name of Inter-Pacific Equity Nominees (Tempatan / Asing) Sdn Bhd with you as registered beneficial owner.
|Trading Account/ Margin Facility Application Form (Individual)||Download|
|Margin Facility Application Form (Corporate)||Download|
|Trading Account Application Form (Corporate)||Download|
|FATCA & CRS Self Certification Form (Corporate)||Download|
|FATCA & CRS Self Certification Form (Controlling Person)||Download|
|List of Shares To be Pledged As Collateral||Download|
|Online Trading Application Form (Optional)||Download|
|Application for Direct Crediting Client Monies into Bank Account (Optional)||Download|
|eStatement – Request for Electronic Statements (Optional)||Download|
|Declaration BNM Exchange Administration Policy Form||Download|
|Bursa CDS Form||Download|