FAQs
Activation of Dormant Account
- What is a dormant account?
An account is designated as dormant when:
- There is a nil balance of securities in the CDS account; and
- There has not been any debit or credit entry in the depositor's CDS account for at least thirty-six (36) consecutive months after the date of nil balance.
(hereinafter referred to as "Dormant")
- Why does Bursa Depository designate a CDS account as Dormant?
Bursa Depository is continuously striving to enhance the security of your CDS account. Designating relevant CDS accounts as Dormant will restrict unauthorised transactions.
- What is the effect of my CDS account being designated as Dormant?
Once your CDS account is designated as Dormant, you will not be able to use that account to perform any type of transactions under the Rules of Bursa Malaysia Depository. However, you may use your Dormant CDS account in your application for IPO and corporate actions. You will not receive any CDS statement of account until your account is reactivated.
- Can I still use my Dormant CDS account to apply for IPOs or corporate actions?
Yes. You may use your Dormant CDS account to apply for IPOs. The same also applies to corporate actions. However, the status of your CDS account will remain Dormant until you reactivate it.
- Will I be notified before my CDS account is designated as Dormant?
Yes. Bursa Depository will issue you a notice one (1) month prior to the designation of a CDS account to Dormant status.
- When I receive the notice from Bursa Depository, what steps shall I take to prevent my CDS account from being designated as Dormant?
To ensure that your CDS account remains active and is not designated as Dormant, you may perform any CDS transaction which involves debit or credit book entry in your CDS account, prior to the effective date of dormancy.
- Will I be notified again once my CDS account has been designated as Dormant?
No. Bursa Depository will only be sending a one-time notice to you one (1) month prior to the effective date of dormancy.
- If my CDS account is Dormant, can I still update my particulars?
Yes. You may update your particulars in your Dormant CDS account via Bursa Anywhere or by completing the CDS Account Form and submitting it to the ADA/stockbroking company where your CDS account is maintained.
- How do I reactivate my Dormant account?
Individual depositor with Dormant CDS account may use the Bursa Anywhere to reactivate the said CDS account. The reactivation fee shall be paid directly by the individual depositor to Bursa Depository’s bank account through Paynet’s FPX payment gateway.
Both individual and body corporate depositors may complete the Application for Reactivation of CDS Account Form (refer here https://www.bursamalaysia.com/trade/our_products_services/central_depository_system/cds_forms) which is available on our corporate website, or submit a written request to the ADA/stockbroking company where the CDS account is maintained. Reactivation fee is applicable for reactivating Dormant CDS account.
Application for Reactivation of CDS Account Form submitted by body corporate depositors must be signed by its authorised signatory(ies) as prescribed in the Board Resolution to the ADA/stockbroking company where the CDS account is maintained.
- Must I be present before the ADA/stockbroking company to reactivate my Dormant CDS account?
No. This is not mandatory.
- Will I be notified after my Dormant CDS account has been reactivated?
Yes. Bursa Depository will inform you via a notice upon your Dormant CDS account has been successfully reactivated.