FAMILIARISATION PROGRAMME FOR TRADING REPRESENTATIVES (FPTR)
ASSESSMENT OUTLINE
For July to December 2020 FPTR I Assessments
Module 1
Introduction to the Securities Markets
- Overview of the Securities Markets
- The Stock Market and Stock Exchange
- The Stock Indices
- Primary and Secondary Market
- Main Market, ACE Market and LEAP Market
- Introduction to the Islamic Capital Market (ICM)
Module 2
Regulatory Framework of the Securities Market
- Securities Industry Laws
- Regulatory Bodies in the Securities Market
- Regulated Activities
Module 3
Relationship between Participating Organisations (POs), CMSRLs, Trading Participants and Clients
- Rules Governing the Relationship between POs, CMSRLs, Trading Participants and Clients
- POs’ Duties to Clients and obligations of TRs
Module 4
Anti-Money Laundering and Protection of Clients’ Information
- Guidelines on Prevention of Money Laundering and Terrorism Financing for Capital Market Intermediaries
- Protection of Client’s Information
Module 5
Negligent Misstatement
- Negligence and statement
- Precondition for liability
- Statutory liability
- Reasonable basis and the “Know Your Client” rule
Module 6
Licensing Handbook
- Licensing Framework
- Licencing Requirements
- Obligations of the Licensed Person
- Dealer’s Representative (DRs)
- Trading Representatives (TRs)
Module 7
Types of Securities Offences
- Short Selling
- Market Misconduct and Other Prohibited Conduct
- Short Selling
- False Trading and Market-rigging Transactions
- Stock Market Manipulations
- 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
- Person in Possession of Inside Information
- Market Abuses and Unethical Business Conduct
- Clients’ Rights and Penalties for Contravention
Module 8
Trading on Bursa Malaysia
- Central Depository System (CDS)
- Automated Trading System (ATS)
- Delivery and Settlement
- Trading Phases and Market Timing
- Order Types and Validity Types
- Margin Account and 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
Module 9
Introduction to Financial Statement Analysis
- Importance of Financial Statement Analysis
- Relationship between Share Price and Company Profits
- Introduction to Financial Statements
Module 10
Elements of Financial Statements
- Introduction to the Balance Sheet/Statement of Financial Position
- Items in the Balance Sheet/Statement of Financial Position
- Introduction to Income Statement/Statement of Comprehensive Income
- Introduction to Statement of Changes in Equity or Comprehensive Income/Statement of Changes in Equity
- Introduction to Cash Flow Statements/Statement of Cash Flows
Module 11
Introduction to Capital Market Products and Services (Features, Characteristics and Risks)
- Equity – Ordinary Shares, Warrants
- Fixed Income – Government Bonds, Private Debt Securities
- Hybrid Securities – Preference shares, Convertible bonds, Structured Products
- Money Market Instrument – Treasury Bills, Negotiable Instruments of Deposit (NIDs), Bank Negara Monetary Notes
- Investment Products – Private Retirement Scheme, Unit trust, Real Estate Investment Trust