Rakuten Trade Activates 11,000 Accounts In March
KUALA LUMPUR, 8 April 2020: At a time when the stock markets are being impacted by the global Covid-19 crisis, Rakuten Trade Sdn Bhd (Rakuten Trade) continues to meet the needs of investors.
Rakuten Trade, the country’s first and only fully digital equities broker, reported a surge in account openings during the Movement Control Order (MCO) period. More than 11,000 new accounts were activated (+100% month-on-month); of which more than 64% were during the first phase of the MCO period alone.
Mr Kaoru Arai, Managing Director, Rakuten Trade, said, “We attribute the high volume of appeal to many now working from home and other brokers still requiring some form of face-to-face contact. In view of this, we see many investors opting for a 'zero contact' equities trading platform like Rakuten Trade. The easy to use, non-face-to-face trading platform, and seamless account activation process that comes with using a digital platform like ours have become key benefits to enabling investors to trade in equities. Seamless, real-time trading coupled with affordability and greater control are an attractive package.”
In tandem with the surge in account activations, Rakuten Trade also recorded a 20% increase in trading value in March 2020, month-on-month.
“Increased market participation bodes well for the equities market as it will contribute towards market liquidity and resilience. Investors see the current equities market climate as an opportunity to “bottom fish” in fundamentally strong small to mid-cap stocks that have dropped in price but will eventually rise again. They are in for the long run and understand the importance of holding these investments in the current climate," said Mr Arai.
Expanding its digital services to cater to more experienced traders, Rakuten Trade recently launched its third product – RakuMargin. RakuMargin offers an automated facility limit approval of up to RM100,000 and carries the same low brokerage fees as its Cash Upfront and Contra Accounts.
More recently, Rakuten Trade launched HIVE, an effort to generate investment and trading ideas for clients from KIBB and Rakuten Trade’s Research and algorithm teams. Using Telegram, HIVE provides avid investors with consensus trading signals, stock picks, counter performance and where applicable "Take Profit" suggestions.
Rakuten Trade will continue to introduce new innovative products and services to its platform. As at 31 March 2020, it generated close to RM11 billion in trading value on Bursa Malaysia and activated almost 70,000 trading accounts in less than three years, further testament to Rakuten Trade’s appeal factor in attracting a new generation of investors who are inclined to trading completely online.
*We achieved 70,000 account opening on 6th April 2020