Bursa Malaysia Securities Enhances Discretionary Trading Framework

On 15 June 2021, Bursa Malaysia Securities Berhad ("Bursa Malaysia") announced amendments to the Rules of Bursa Malaysia Securities ("Rules") and the Directives of Bursa Malaysia Securities ("Directives") to enhance the discretionary trading framework for securities traded on its securities exchange. These amendments will take effect from 30 June 2021.

The following are the main changes to the discretionary trading framework under the amendments to the Rules and the Directives:

New definition of Discretionary Account

The Rules are amended to introduce a new definition of "Discretionary Account", that is, "An account for trades executed by a Participating Organisation on behalf of a Client pursuant to an arrangement where the Client authorises the Participating Organisation to trade on the Client's behalf on a discretionary basis".