AmBank targets to be top online broker, eyes millennial traders

This will be achieved via new AmEquities share trading platform, available on desktop and mobile devices


AMMB Holdings Bhd (AmBank) aims to be among the top three online brokers in the country within five years, by growing its millennial and retail investor base with the launch of its new AmEquities share trading platform.

AmBank group CEO Datuk Sulaiman Mohd Tahir said the platform, which is available on desktop and mobile devices, is a revamped version of an older, less interactive system known as AmE Securities.

“Now it has been redesigned to what we feel is relevant to our customers. This further complements the group’s digital offerings and we hope to attract the millennials who are fast emerging as a new generation of investors.

“We also see growing demand for online stockbroking,” he said at the launching ceremony in Kuala Lumpur yesterday.

According to Bursa Malaysia statistics, a large portion of the growth in new Central Depository System (CDS) accounts — the account used to keep track of one’s stocks — comes from traders aged between 18 to 25 years old.

“From 2015 to 2017, the number of CDS accounts opened by this group rose 50.9%, while CDS accounts opened by those aged 26 to 35 years old climbed 9.6%.

“We’re seeing new millennials coming on board to trade, while older generations may not want to invest in equities over time as it’s more risky,” Sulaiman explained.

AmInvestment Bank Bhd CEO Soo Seohan said Bursa Malaysia research has indicated that around 21,000 CDS accounts belong to traders aged between 25 to 35 years old, yet in reality there are six million Malaysians who fall into this age category and five million in the 18 to 25 years segment.

“To make investing accessible for the millennial generation of traders, it is important to design for a less intimidating trading experience for them,” Soo added.

Millennials currently constitute close to 20% of the banking group’s customer base, largely due to its traditional focus on the institutional stockbroking segment.

“We’ve always been known as a very institutional stockbroking house. Cross-border transactions in and out of Malaysia by foreign houses trade through us, so that’s where our focus and strength has always been.

“We’re also strong in local pension funds and institutional investors. Now, we need to drive the group to a more retail-based and holistic direction,” Soo said.

He said the group has an overall market share of 4% to 5%, as its focus was mostly on institutional transactions.

“If we already have 4% to 5% of market share in Bursa Malaysia’s institutional trade, we can then grow our retail trade by another 3% to 4%, which makes it about 8% to 10% of Bursa Malaysia trade flows,” Soo stated, adding that AmInvest also targets to be among the top three players in investment banking within the next three to five years.

AmEquities offers functions such as push notifications for matched orders, stock alerts, multi-dimensional views and multi-tabs for stock monitoring, real-time streaming and market data.

It is accessible via, as well as a mobile app for both iOS and Android users and will be further developed in the second phase with a built-in live chat feature.