Trading In Companies in Malaysia

Trading in companies in Malaysia is governed by the Companies Act 1965. Under the Act, a company may be traded publically or privately. Public companies are required to disclose their financial statements to the public, while private companies are not.

A company may be traded on the stock exchange if it meets the listing requirements of the exchange. The most well-known stock exchange in Malaysia is Bursa Malaysia, which is located in Kuala Lumpur. To be listed on Bursa Malaysia, a company must be profitable and have a minimum market capitalization of RM500 million.

If a company is not listed on the stock exchange, it can still be traded privately. Private companies are not required to disclose their financial statements, so there is less information available to potential investors. This makes private companies more risky to invest in, but also provides the potential for a higher return on investment.