RHB Securities First Broker in Malaysia to offer Multi-Exchange Trading Platform

KUALA LUMPUR, 30 June 2005: RHB Securities Sdn Bhd, the stockbroking arm of RHB Group, today entered into an agreement with Phillip Securities Pte Ltd to offer its clients the facility of a multi-exchange trading platform.

Signing on behalf of RHB Securities was Dato Sri Sulaiman Abdul Rahman Taib, Chairman of RHB Securities Sdn Bhd, while Phillip Securities was represented by its Executive Chairman, Mr Lim Hua Min. The ceremony was witnessed by Dr Zaha Rina Zahari, Chief Executive Officer of RHB Securities.

The trading platform, which is rendered by Phillip Securities for RHB Securities via their “Phillip Online Electronic Mart” (“POEMS”) system, provides access to exchanges in Singapore, Hong Kong, Thailand, Japan, United States, United Kingdom and Australia, via the internet.

The service empowers RHB Securities’ clients to have a choice in multiple market trading, offering them the opportunity of seeking potentially higher returns in international stock markets as well as widening their risk management options via greater diversification of equity portfolios.

Commenting on the RHB Securities’ move on providing the trading platform, Dr Zaha Rina Zahari, said, “This service is in line with the decision by Bank Negara Malaysia to give greater flexibility for overseas investments. Effective 1 April this year, residents without domestic credit facilities are free to invest abroad, while those with domestic credit facilities may invest abroad up to the equivalent of RM100,000 per annum. For unit trust companies, the threshold of residents’ funds managed by them and investible abroad has been increased to 30% of NAV (net asset value) from 10% previously.”

“The ‘modus operandi’ between us and Phillip Securities is seamless via an internet platform base compared to the broker assisted method. It grants us an edge over other brokers in Malaysia who offer similar services. Speed of execution and confirmation is tremendously improved. It is similar to using our current Bursa Malaysia ‘Broker Front End’ (BFE system) in which a dealer takes an order from a client, executes and confirms electronically. We chose Phillip Securities as our partner due to their strong credentials and credibility and the ease of using their seamless infrastructure”, Dr Zaha Rina added.

Phillip Securities is the first broker in Singapore to go online via its POEMS Internet Trading Platform which was rolled out to allow clients to have direct access to the respective stock exchanges electronically.

Mr Lim Hua Min said, “Technology today has made the world a Global Village. In the securities industry, it has also liberated the customer. It has given the retail customer access to trading services, products, research and information at a much lower cost. For institutional investors, quicker, direct execution can mean a big difference in trading profits. I must commend RHB Securities for responding so rapidly to the relaxation of the foreign exchange regulations announced by Bank Negara Malaysia recently. Within a few short months, it is now able to offer its customers opportunities to invest in shares listed in all the major stock exchanges of the world.”

In its initial stage, RHB Securities will offer foreign share trading services of the exchanges in the Asia Pacific region and eventually to exchanges of different time zones.