Bursa Malaysia Stock Information

Definition

Lot
In general, any group of goods or services making up a transaction. In the financial markets, a lot represents the standardized quantity of a financial instrument as set out by an exchange or similar regulatory body. For exchange-traded securities, a lot may represent the minimum quantity of that security that may be traded.

Source: Investopedia

Board Lot
A standardized number of shares defined by a stock exchange as a trading unit. In most cases, this means 100 shares. The purpose of a board lot is to avoid “odd lots” and to facilitate easier trading. It’s more difficult for a broker to find a buyer for, say, 17 shares, than if everybody agrees to trade in 100 share lots.

Source: Investopedia

Odd Lot
An amount of a security that is less than the normal unit of trading for that particular security.

Source: Investopedia

1 Lot = 1000 unit
1 Board Lot = 100 unit
Unit that smaller than board lot is Odd lot

In Bursa Malaysia, trading in odd lot is not permitted.

Definition

1. An offer made by an investor, a trader or a dealer to buy a security. The bid will stipulate both the price at which the buyer is willing to purchase the security and the quantity to be purchased.
   
2. The price at which a market maker is willing to buy a security. The market maker will also display an ask price, or the amount and price at which it is willing to sell.

Source: Investopedia

Following are the minimum bids for the different price ranges:

From the above bids table, if the share price is at RM4.98, the next minimum bids is RM5.00 but when the price is at RM5.00 the next minimum bid is RM5.05.

1. You need to open a share trading account with any the stockbroking companies and must have Central Depository System (CDS) account with that stock broking companies. The stock broking company will put your account under one of their remiser. Any enquiry of the trading can be made between you and your remiser.
2. To start trading, a trader need to give the stock name or code, stock units and price to their remiser.
3. The remiser will keyed in the requested stock in the system.
4. Once the order matched and confirmed, the remiser will inform their client.
5. Buyer’s account will be credited on T+3. If there is not enough fund available, the stock broking company will force sell the bought share on T4 and the buyer any has to bare any loss being made by that transaction.
6. The broking house will then send out contract notes for every transaction of buying, selling and contra.

All the traders hope that their share trading will give them a good return in future. The income can be in form of dividend and capital gains.

1. Dividend
A good company normally gives dividend every year. Certain company may give more than a time in a year. But beware of the company that not in profit but giving dividend or company that normally giving dividend but suddenly omit it. Something may happen and the investor may not inform.

2. Capital gains
This is the most common objective of the stock trader trading in stock market. Both short term and long term trader are looking for capital gains. Capital gains can be obtained by increasing of the stock price. For example when you purchase a stock at $5.00 per unit and when later the price increases to $6.00, you will get $1.00 per share when you sell it.

The trader must understand that not every time they can gain from their investment. So be sure to pick the right stock and plan your investment.

The Forty-Seven Sides to Every Argument

People that think there are two sides to every argument, two ways to interpret every set of data, haven’t met many stock promoters and haven’t read many corporate press releases. In financial markets there are thousands of different factors at work, hundreds of different interest groups, tens of potential interpretations on the information that actually makes it through the screening, omissions, and exaggerations. And most importantly, there is only one you. It is you who has to filter and summarize the facts and opinions that reach your ears, discard they misleading, ignore the unimportant, isolate the lies…

With success at interpreting all of the overwhelming amounts of information you receive about a stock, you could be very good at picking winning stocks. But who can you trust? What sources of information are honest, and which are blatant lies. And of course, the hardest to spot are those slight exaggerations.

Let’s start with a look at the least dangerous information sources, The Media, and progress towards the most vile, purposeful, and persistent terror in the world of penny stocks, The Promoter.

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