Sunday, February 18, 2018

Shares with stamp duty exemption for 2018

Bursa has provided stamp duty exemption for small and mid cap stocks for the next 3 years starting from 1 March 2018. For each year they have predefined a list of stocks which will qualify for the exemption. Under the definition, small and mid cap stocks are those that are within RM200 million to RM2 billion market cap and for 2018's stocks, the list are for those that are within the market cap as at 31 December 2017.

Here are the list.

I do not know how to make out of the latest move by Bursa but I guess it will slightly enhance the trading activities for the smaller cap stocks.

On investment, it is still advisable to be careful and diligent as trading activities does not make any changes to the fundamentals of the company. Of course some will say it may enhance the business performance of companies like TA, Affin Hwang, Insas etc. but the impact will be minimal considering that the the stockbroking business is rather competitive and the fees that they earn today is a fraction of what they used to earn prior to 2000.

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