CGS iTrade

Environmental, Social and Governance (ESG) Margin Financing/ ESG Margin Financing-i

ESG Margin Financing and ESG Margin Financing-i are facilities that provide flexibility to maximise your investment capability in both conventional or Shariah-compliant facilities that exhibit robust ESG practices.

Benefit

Attractive interest/ profit rate
High Margin of Financing (MOF) up to 65%
High leverage of collateral up to 2.8 times. Unlock value of your existing share
Hassle free settlement with repayment/payment flexibility
Interest/ Hibah payable on credit balance
Opportunity to integrate ESG principles in your trades, investments and portfolio

Why Environmental, Social and Governance (ESG) Margin Financing/ ESG Margin Financing-i?

1. Better Investment Return

To lead investor to have better investment returns. The companies with strong ESG practices often outperform their financial over the long term.

2. Portfolio Diversification

To lead investor to diversify their investment portfolio and discover more opportunities in sector and companies.

3. Long Term Investment

Sustainability growth and risk management are the factors for companies to practice on ESG. These companies often maintain good reputation and strong brand loyalty.

Features

Account Type

Conventional

Islamic

Facility Limit

Minimum RM50,000 and maximum of up to RM 5 Million

Acceptable Collateral

i) Cash (MYR & Foreign Currency)

ii) Acceptable shares listed in CGS MY Marginable ESG shares list

i) Cash (MYR & Foreign Currency)

ii) Acceptable Shariah-compliant shares listed in CGS MY Marginable ESG shares list

Margin of Finance % (MOF)

Up to 65%

Fees & Charges

Documentation Fee	RM70
CDS Opening Fee	RM10
Rollover Fee	Waived
CDS Transfer Fee (Redemption case only)	Waived up to 20 Marginable Bursa Malaysia counters
Stamp Duty Principal Agreement Subsidiary Agreement	Ad Valorem 0.5% of Facility Limit RM10 each

ESG Margin Financing/ ESG Margin Financing-i

Eligibility

§ Individual aged 21 to 70 years

Malaysian
Permanent resident of Malaysia
Foreigner

§ Corporates

Documents Required

Individual

Account application form
Photocopy of NRIC (front & back)
Income document:
- EA Form / Form B / Form BE; or
- Latest EPF statement; or
- Latest one (1) month salary slip
- Latest three (3) months savings account / latest three (3) months current account statement;
- Latest margin account statement from your existing financier (Applicable for redemption case)

Corporate

Account Application Form
Certified True Copy (“CTC”) of Memorandum and Articles of Associate or constitution documents (if applicable)
CTC of audited accounts for past 2 years
CTC of Form 9 (Certificate of Incorporation) for Companies Incorporated under Companies Act 1965), or Notice of Registration for companies incorporated under Companies Act 2016 (whichever is applicable)
CTC of Latest Form 24 of the Companies Act 1965 and/or the form on Return for Allotment of shares (whichever is applicable)
CTC of Latest Form 44 of the Companies Act 1965 or the Application of Registration and Notification of Change in the Registered Address Form (if applicable)
CTC of Latest Form 49 or the Notification of change in the Register of Directors, Managers and Secretaries Form (whichever applicable)
Form 13 Certificate of incorporation on change of name of company (if applicable)
Form 20 Certificate of incorporation on conversion to a public company (if applicable)
Board Resolution
CTC of Company bank statement (3 months)
CTC of Directors and Guarantors’ NRIC (Front & back)
CTC of Guarantors’ latest payslip/ Form B/ Form BE/ EA Form/ EPF statement and bank statement.
Latest margin account statement from your existing financier (Applicable for redemption case)

Individual	Account Application Form (Individual)Corporate
Corporate	Account Application Form (Corporate)

1. Complete and sign the application form

2. Visit any of our CGS International Securities Malaysia Sdn Bhd Branches. Click Contact Us here; or

3. Contact us at +603 2635 8686 or email us at [email protected]

1)	What is Environmental, Social and Governance (ESG) Margin Financing/ ESG Margin Financing-i?
	This facility provides investor with leverage to maximize their financial needs while aligning ESG principles and practices. For ESG Margin Financing-i, the objective remains the same, with the addition of an existing Shariah-compliant filter.

2)	What type of collateral is acceptable?
	Cash (MYR/ Foreign Currency) Acceptable shares listed in CGS MY Marginable ESG shares list

3)	What is the minimum and maximum facility limit for ESG Margin Financing/ ESG Margin Financing-i?
	There is minimum facility limit RM50k and maximum up to RM5mil.

4)	Does interest rate/ profit rate is fixed and how is the interest rate/ profit rate calculated?
	For ESG Margin Financing, the interest rate is fluctuates based on the loan duration which derived from cost of fund (COF) and spread rate. Interest rate is daily calculated by utilisation on the outstanding of loan amount and capitalised on monthly basis. For ESG Margin Financing-i, the effective profit rate may vary based on changes in CGS MY’s cost of funds but will not exceed the agreed-upon ceiling profit rate. The profit rate will be applied to the unsettled contract in accordance with Shariah requirements.

5)	What should I do when I received a margin call?
	You have 48 hours/ 3 business day to rectify the account position by action below: Cash top up; Transfer additional ESG shares acceptable to CGS MY; and/ or Sale proceeds from disposal of the relevant shares.

6)	How I apply ESG Margin Financing/ ESG Margin Financing-i?
	Please contact us at +603 2635 8686 or email us at [email protected]

Does interest rate/ profit rate is fixed and how is the interest rate/ profit rate calculated?