Rakuten Trade review 2024
Rakuten Trade review Summary
Rakuten Trade is a simple, straightforward discount brokerage but it is also single-minded. With just one stock market available to trade on, it might not offer the sort of breadth most traders are looking for. Read on to learn more about the platform and decide whether or not to sign up.
What can I do with Rakuten Trade?
With Rakuten Trade you can trade any stocks that are available on the Bursa Malaysia stock exchange. It offers some of the lowest fixed fees of any broker and there are accounts available that let you trade with up to 1:20 leverage.
Rakuten Trade is a relatively new brokerage, having only set up shop in 2017. It’s won awards as a leading fintech platform in Malaysia and you can trade through its online platform or by using a mobile app.
Pros & Cons
Pros:
Cons:
Can I open an account with Rakuten Trade?
Rakuten Trade markets, assets, and options
What assets and products can you trade on Rakuten Trade?
Rakuten Trade enables you to trade any publicly listed company or instrument on the Bursa Malaysia stock exchange, this includes over 900 stocks and just under 20 ETFs.
| Product | Offering |
|---|---|
| Stocks | 932 |
| ETFs | 19 |
| Warrants | Variable |
What leverage trading options are there?
Rakuten Trade offers up to 1:20 leverage with a RakuMargin account. You can also gain access to a pre-approved facility with a limit of up to RM100,000 based on your cash collateral and share value of your portfolio.
Please remember that trading with leverage carries additional risk and should only be done after you have gained some trading experience.
| Product (CFDs) | Maximum leverage | Margin |
|---|---|---|
| Stocks | 1:20 | 5% |
| ETFs | 1:20 | 5% |
| Warrants | None | None |
What are the spreads?
Rakuten Trade charges fixed fees on every trade instead of spreads, which start at RM7.00 per transaction for trades below RM1,000.00 and go up from there. You must also pay a clearing fee of 0.03% on your transaction value (up to a maximum of RM1,000).
Fees, limits, and payment options on Rakuten Trade
What are the deposit and withdrawal fees, limits, and speeds?
Rakuten Trade enables debit/credit card, bank transfers, and even cheque deposits with no minimum deposit amount in order to get started trading.
| Payment method | Deposit | Withdraw |
|---|---|---|
| Debit/Credit card – min/max – fees – speed | Yes None Free 1-2 business days | Yes No limit Free 2-3 business days |
| Bank Transfer – min/max – fees – speed | Yes None Bank charges applicable 2-3 business days | Yes No limit Bank charges applicable 3-4 business days |
| Cheque – min/max – fees – speed | Yes None Free 1-2 business days | No |
How much are Rakuten Trade’s fees and commissions?
Rakuten Trade’s fixed fees range from RM7.00 per transaction for trades below RM1,000.00 to start, all the way up to RM130.00 per transaction for trades above RM100,000.00 in value.
There are also various other small fees, which can add up, such as a clearing fee of 0.03% per transaction and a services tax that amounts to 6% of brokerage fees.
| Fee type | Fee amount | Commission |
|---|---|---|
| Stocks | Starts at RM7.00 to RM130.00 | None |
| ETFs | Starts at RM7.00 to RM130.00 | None |
| Warrants | Starts at RM7.00 to RM130.00 | None |
| Clearing Fee | 0.03% per transaction | None |
| Services Tax | 6% of brokerage fees | None |
Rakuten Trade trade sizes and limits
Rakuten Trade lets you trade as little as 1 share in an odd lot trade, whereas the maximum number of shares you can trade in a normal lot trade is up to 500,000 shares per transaction.
| Product | Minimum trade | Maximum trade |
|---|---|---|
| Stocks | 1 share | 500,000 shares |
| ETFs | 1 unit | 500,000 units |
| Warrants | 1 warrant | 500,000 warrants |
Rakuten Trade trading platform
What devices can I use Rakuten Trade on?
Rakuten Trade’s proprietary trading platform is available either online or via a mobile version available for both iOS and Android mobile devices.
- Web browser
- Tablet
- iOS mobile device
- Android mobile device
Can I use Rakuten Trade in my country?
Rakuten Trade is available worldwide, including in the United States as per its Terms and Conditions, Australia, Japan, and Malaysia. Select your country from the list below to see if it is available where you are.
Is Rakuten Trade available in my language?
Rakuten Trade is currently available in only two languages: English and Malayian.
How easy is it to use Rakuten Trade?
Rakuten Trade’s account registration process is streamlined, all you have to do is fill in some personal details, upload your ID documentation like a ID card, bank statement or utility bill and your account will be ready.
You can choose between a cash upfront account and a margin account. Once logged into your trading dashboard, it’s easy to top up your account with a cash deposit, find the security you want to trade using the search box at the top, and complete your trade using your trading pin and the “confirm order” button.
Key features
Rakuten Trade offers plenty of features and rewards, here are some of the top ones:
Rakuten Trade Points
Automatically receive RT points whenever you trade and convert these points into real prizes, such as fee rebates and share transfers.
Portfolio Reports
See your portfolio holdings by ticker symbol with a profit/loss balance for each open position, commissions paid for the trade, and a chart of how the holding has performed since your purchase. This top-down view lets you easily keep track of your trading activities.
Social Trading
This service enables you to observe and copy trades put on by professionals or successful peers, giving you greater visibility and awareness of trade setups and strategies.
Security and regulation
Is Rakuten Trade safe?
Rakuten Trade only provides a one-step login. A two-step authentication option would be more secure. However, all trades are encrypted with 128-bit encryption to protect all data and each client receives a unique trading code that must be input prior to trading.
Am I and my funds protected?
All deposits placed with Rakuten Trade are not insured under the Malaysian Deposit Insurance System or Perbadanan Insurans Deposit Malaysia (PIDM). Similarly, the broker is not self-insured, so your funds are not guaranteed in any way.
Is Rakuten Trade regulated?
Yes, Rakuten Trade is regulated by the Securities Commission Malaysia (SCM) and holds the restricted Capital Markets Services Licence (CMSL), which enables the broker to deal with listed securities and at the same time provide investment advice.
Do I have to verify my account with Rakuten Trade?
Yes, Rakuten Trade adheres to Anti-Money Laundering provisions. As such, you will have to provide the broker with relevant information and personal documentation proving your identity, residential address, and that your bank account is your own, before starting to trade.
Extra information
Educational resources
Rakuten Trade offers a full fledged research section, with investment idea videos, research and market reports, as well as a series of proprietary videos explaining the art and craft of trading.
There is also a separate education section, with educational articles on portfolio construction and diversification and the market in general.
Tools and charting
Rakuten Trade provides traders with technical analysis tools, indicators, a news feed, and customisable charts. But these do need to be updated, as they are similar to what other brokers offered years ago.
The jewel in Rakuten Trade’s crown is its original investment ideas provided by an in-house research team, which is more than you will find with other similar brokers.
Customer support
Rakuten Trade offers a client hotline that you can call with your inquiries Monday-Friday, a customer support email, and a live chat feature on their website, which operates 24/5 as well.
Some online reviewers have commented that the client hotline and live chat can be slow in responding.
Our verdict
Rakuten Trade offers access only to the Bursa Malaysia stock exchange and gives you the choice of opening either a regular trading account or a margin account with maximum leverage of up to 1:20.
Account opening and verification is streamlined, with most accounts up within 72 working hours. After which time you can top up your account via online instant bank transfer (Malaysia only) and have access to real time market price feeds and up to the second news. Its trading platform is stable and secure, but the interface is somewhat outdated in style and presentation.
Rakuten Trade offers original investment research from its in-house team as part of its educational materials. Overall, it is a good, regulated broker within its very narrow focus. If access to the Malaysian market is what you’re looking for, it might be the right choice for you.
How to open an account with Rakuten Trade
- Choose your preferred account type
- Add your personal details, like your email address and password
- Complete a survey about your trading experience
- Select your leverage level and the base currency of your account
- Verify your identity and residency by uploading a copy of your primary photo ID, and a secondary piece of ID, such as a bank statement or utility bill with your residential address and name on it.
- Fund your account and start trading!
Who owns Rakuten Trade?
How does Rakuten Trade make money?
Do I have to pay tax on Rakuten Trade profits?
Does Rakuten Trade offer CFD trading?
How do I sell on Rakuten Trade?
How do I delete my Rakuten Trade account?
How can I short on Rakuten Trade?
What if I forget my account password?
Can I transfer from my Rakuten Trade account into my PayPal account?
What if Rakuten Trade closes down while I have open trades?
Can I access my full trading history on Rakuten Trade?
Can I pay in cryptocurrency with Rakuten Trade?
Does Rakuten Trade offer bonuses?
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Sources & references
Risk disclaimer
Invezz is a place where people can find reliable, unbiased information about finance, trading, and investing – but we do not offer financial advice and users should always carry out their own research. The assets covered on this website, including stocks, cryptocurrencies, and commodities can be highly volatile and new investors often lose money. Success in the financial markets is not guaranteed, and users should never invest more than they can afford to lose. You should consider your own personal circumstances and take the time to explore all your options before making any investment. Read our risk disclaimer >
