FPTR II Assessment Syllabus

FPTR II Assessment Syllabus



For July to December 2020 FPTR II Assessments 

Module 1

The Malaysian Stock Market

  • The Capital Market and the Banking System Form the Financial System
  • Capital Market Functions
  • Malaysian Capital Market Framework
  • Capital Markets & Services Act 2007 (CMSA)
  • Bursa Malaysia Berhad (BMB) and Bursa Malaysia Securities Berhad (BMSB)
  • Participants and Intermediaries in The Malaysian Stock Market
  • Overview of The Islamic Capital Market

Module 2

Business Structure

  • Range of business
  • Classification of Companies
  • General Management and Administration
  • Administration and Management of a Participating Organisation

Module 3

Relationship between Participating Organisations (POs) and Clients

  • Rules Governing Participating Organisation and Client Relationship
  • Participating Organisations’ Duties to Clients
  • Participating Organisations’ Rights
  • Keeping of Records
  • Obligations of CMSRL

Module 04

Types of Securities Offences

  • Short Selling
  • False Trading and Market-Rigging Transactions
  • Stock Market Manipulation
  • False or Misleading Statements in Relation to Securities
  • Fraudulently Inducing Persons to Deal in Securities
  • Use of Manipulative and Deceptive Devices
  • Dissemination of Information about Illegal Transactions
  • Insider Trading

Penalties for Contravention

Module 5

Anti-Money Laundering and Protection of Clients’ Information

  • Guidelines on Prevention of Money Laundering and Terrorism Financing for Capital Market Intermediaries
  • Obligation on Protection of Clients’ Information and Common Abuses on Confidentiality

Module 6

Capital Raising on the Primary Market

  • Equity guidelines
  • Bursa Malaysia Securities Berhad Main Market listing requirements
  • Bursa Malaysia Securities Berhad ACE Market listing requirements
  • Bursa Malaysia Securities Berhad LEAP Market listing requirements
  • Post-Listing Requirements
  • Capital Raising Securities in The Secondary Market

Module 7

Law of Contract

  • What is Law of Contract?
  • Essential Elements of a Contract
  • Remedies for Breach of Contract

Module 8


  • Licensing Framework
  • Fit and Proper Criteria
  • Regulated Activities
  • Licensing Requirements for CMSL and CMSRL
  • Obligations of the Licensed Person
  • Licence Conditions and Variation
  • Revocation or Suspension
  • Effect of Revocation and Suspension
  • Obligations of Dealer’s Representatives

Module 9

Trading on Bursa Malaysia Securities Berhad

  • Central Depository System (CDS)
  • Automated Trading System (ATS)
  • Bursa Trade Securities (BTS)
  • Fees and Charges
  • Delivery and Settlement
  • Corporate Actions
  • Modification and Cancellation
  • Margin Financing
  • The Fixed Delivery & Settlement System (FDSS)
  • Delivery and Settlement Time for On-Market Transactions and Direct Business Transactions
  • Circuit Breaker and Trading Halts
  • Clients’ Rights
  • Market Makers
  • Conduct of Business (by a Participating Organisations)
  • Dealing in Securities
  • Direct Business Transactions
  • Accounting, Audit and Financial Reporting Requirement
  • Capital Requirement (of a Participating Organisations)
  • Inspection and Investigation
  • Disciplinary Actions

Module 10


  • What are Take-Overs?
  • Legal Framework
  • Penalties for Contravention of the Code

Module 11

Overview of Fundamental Analysis

  • Importance of Fundamental Analysis
  • Economic, Industry and Company Analysis (EIC)
  • Fundamental Analysis vs. Technical Analysis

Module 12

Financial Statement Analysis

  • Component of Financial Statements
  • Using Financial Statement Analysis to Assess Performance
  • Various Techniques of Analysis
  • Financial Ratios
  • Advantages & Limitation of Ratio Analysis

Module 13


  • Rights and Bonus Issues
  • Equity Hybrids
  • Convertible Unsecured Loan Stock (CULS)
  • Warrants
  • Equity Valuation

Module 14

Fixed Income and Money Market 

  • Fixed Income Valuation:
    • Time value of money (Simple interest, Compound interest, Compounding and discounting techniques)
    • Valuation of fixed income securities
  • Bond Valuation
    • Bond Pricing: Pricing of a Straight Bond, Zero Coupon Bond
    • Factors Affecting Bond Price, Zero Coupon Bond
    • Bond Yield: Current yield, Yield to Maturity, Yield to Call, Realised yield
    • Relationship Between Price, Required Yield and Coupon Rate
    • Term Structure of Interest Rates and Yield Curves

Module 15

Exchanged-Traded Funds (ETFs)

  • What are ETFs?
  • Structures and Types of ETFs
  • Advantages and Risks of ETFs

Module 16

Technical Analysis

  • What is Technical Analysis?
  • Forecasting the Direction or Trend: Demand & Supply
  • Bloomberg, Reuters, Trading Platform, Technical Analysis Software
  • The Use of Trend:
    • Types of Trends (Uptrends, Downtrends & Sideways/ Horizontal Trends)
    • Trend Lengths
    • Trendlines
    • Channels
  • Support and Resistance: Round Numbers; Role Reversal
  • Chart Types
    • Chart properties: time scale, price scale & price point properties
    • Chart types: line (closing prices), bar (high, low, opening & closing price), candlestick (trading range & difference b/w open & close), point & figure (reflects price movements, not concerned with time & volume)
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