Cross-currency trading is a feature we offer that allows you to use your cash in multiple currencies to buy securities.
How it works
● When you buy securities that settle in a foreign currency, such as international stocks or certain Malaysian stock ETFs, your available cash for buying is the total cash from ringgit and that foreign currency in your account.
● When you use your ringgit funds to buy securities settled in another currency, the amount spent in ringgit will be shown under 'Exchanging Today' and 'Pending Exchange' in the Accounts tab.
● Once an order in a foreign currency is settled, the ringgit you used will be converted into the necessary foreign currency.
Cross-currency trading on margin is a way to increase your buying power by using borrowed ringgit to trade securities in different currencies. This is possible even with Malaysia's restrictions on foreign currency loans, thanks to Moomoo MY's special feature that combines Ringgit financing with cross-currency trading.
How it works
● When you buy securities that settle in a foreign currency, such as international stocks or certain Malaysian stock ETFs, and the cost exceeds your total cash buying power in all currencies, the additional amount will be covered by cross-currency trading on margin to borrow ringgit currency. After the market closes, the ringgit amount borrowed on margin will be converted into the foreign currency.
● When you place an order, your available ringgit cash is used first. If the cost is more than what you have, the remaining amount will be covered by cross-currency trading on margin.
● Once an order in a foreign currency is settled, your ringgit cash and borrowed ringgit funds will be converted into the necessary foreign currency.
Currency mix appears in the order confirmation where it shows the estimated foreign currency amount and ringgit amount for an order.
Please note that these amounts are for reference only, and the details are subject to the amount shown at order execution.
Cross-currency trading offers Malaysian investors advantages to access and trade on international markets.
I. Seamless order placement
● Margin accounts have direct access to both cross-currency trading and cross-currency trading on margin without any additional steps required.
II. Higher capital utilization rate
● Increase your buying power by adding both foreign currencies and ringgit. Enjoy a higher financing limit for foreign currency transactions.
III. Lower cost
● When placing orders in a foreign currency, your available funds in that currency will be used first. If you have insufficient cash in that currency, your ringgit be converted to cover the remaining amount.
● If the order amount exceeds your total cash buying power across all currencies, the excess amount will be bought on margin using a ringgit currency exchange.
To enable cross-currency trading in the mobile app:
Go to Me > Settings > Trade > Margin Settings
Notes:
● Enabling cross-currency trading in the desktop application is currently not supported.
● When the margin feature is disabled, cross-currency trading and cross-currency trading on margin will not be available.
This service is currently unavailable.
The system will automatically process all currency exchange requests from cross-currency trading or cross-currency trading on margin after the order settlement date.
If your account has insufficient settled cash in a foreign currency to cover the settlement amount, the remaining amount will be exchanged from your ringgit cash.
The exchange rate is determined by a third party currency exchange channel. For details, please refer to your statement.