Bursa Malaysia Annual Report 2015

FINANCIAL REPORTS

127

Bursa Malaysia •

Annual Report 2015

NOTES TO THE

FINANCIAL STATEMENTS

31 DECEMBER 2015

2. Significant accounting policies (cont’d.)

2.4 Summary of significant accounting policies (cont’d.)

(m) Revenue recognition (cont’d.)

(i) Trade fees

Trade fees on securities traded on the securities exchange are recognised on a trade date basis. Trade fees on derivatives contracts

are recognised net of rebates on a trade date basis. Trade fees on commodities are recognised on a trade date basis net of amount

payable to commodities suppliers and brokers, whenever applicable.

(ii) Clearing fees

Fees for clearing and settlement between clearing participants for trades in securities transacted on the securities exchange are

recognised net of the Securities Commission levy when services are rendered. Clearing fees on derivative contracts are recognised net

of rebates on the clearing date.

(iii) Other securities trading revenue

Other securities trading revenue mainly comprises Institutional Settlement Services (“ISS”) fees. ISS fees from the securities exchange

are recognised in full when services are rendered.

(iv) Other derivatives trading revenue

Other derivatives trading revenue mainly comprises collateral management services fee, guarantee and tender fees. Collateral

management services fee is recognised on an accrual basis. Guarantee fees are recognised on a daily basis on day end margin

requirements for open contracts. Tender fees are recognised on per contract tendered.

(v) Listing and issuer services

Listing and issuer services revenue comprises:

(a) Listing fees

Initial listing fees for Initial Public Offering (“IPO”) exercises are recognised upon the listing of an applicant. Annual listing fees are

recognised on an accrual basis. Additional listing fees are recognised upon the listing of new securities issued by applicants.

(b) Perusal and processing fees

Perusal fees for circulars or notices issued are recognised when the services are rendered. Processing fees for corporate related

exercises on securities traded on the securities exchange are recognised when the related services are rendered.

(vi) Depository services

Fees from depository services are recognised when the services are rendered.

(vii) Market data

Fees from sale of information are recognised when the services are rendered.