For Investors

About pitchIN Secondary Trading Market

Note: The Secondary Market will launch soon. We appreciate your patience as we prepare issuers to list on the PSTX.

What is the PSTX?

pitchIN Secondary Trading Market (PSTX) allows you, as an investor, to buy and sell shares of selected Equity Crowdfunded companies that raised funds on pitchIN. It provides liquidity for investors in ECF funded companies while enabling new investors to acquire stakes in these companies.

PSTX is the first Secondary Trading Market in Malaysia for ECF shares. It is operated by pitchIN and recognised by the Securities Commission Malaysia (SC). PSTX is the natural evolution for Equity Crowdfunding.

What is a Secondary Trading Market?

A Secondary Trading Market is where shares of publicly or privately traded companies are bought and sold after their initial issuance by the company.

In the PSTX, investors engage in trading shares amongst themselves, affording them the flexibility to enter or exit investments. pitchIN provides a platform to facilitate these transactions, in a transparent and safe manner.

Why trade on the PSTX?

Access to Liquidity: The Secondary Trading Market increases liquidity in ECF funded companies by providing an avenue for existing shareholders (primarily ECF shareholders) to find buyers for their shares.

Diversification & Risk Management: For early investors in startups, having the ability to sell shares on a Secondary Trading Market can provide diversification opportunities. Investors can sell a portion of their holdings to manage risk, recover initial investment, or allocate funds to other investments.

Access to Private Companies: Identify and invest in startups, SMEs and pre-IPO companies when they are not fundraising. Such access would previously be available to a select group of investors only.

Transparency: Prices on the Secondary Market reflect supply and demand dynamics, investor sentiment, and company performance.

What if I have traded ECF shares off of the PSTX?

In the event that you have traded the shares outside of PSTX, you will need to inform us immediately at [email protected] and provide us with the following details:

  1. The name of the Buyer & Seller
  2. The number of shares traded
  3. The price per share of the shares traded
  4. The total consideration in RM
  5. The bank account details of the Buyer and Seller
  6. The contact details of Buyer and Seller for our immediate communication (e.g. active email, phone number, etc.)

Upon receiving the above info, we will proceed to effect the transfer via manual process and we will update our Digital Registry after the fees for trading outside of PSTX are paid and received by pitchIN.

Please note that we will only recognize the transfer of such shares if such shares are not traded simultaneously in PSTX.

If such shares are traded simultaneously in PSTX and the PSTX trade is successful, the said trade in PSTX will prevail and we will not recognize the trade outside of PSTX in which the Digital Share Certificate indicating the beneficial ownership of purchased shares will be issued to the Buyer that traded in PSTX instead of the Buyer that traded outside of PSTX.

Can pitchIN advise which Issuers I can invest in?

As a recognised Secondary Market Operator, we (pitchIN) act as a facilitator and coordinator for trades between eligible Buyer(s) and eligible Seller(s). Therefore, we do not dispense any advice (including but not limited to investment, legal, taxation, or other advice) with respect to any aspect of the transactions conducted through PSTX.

Apart from pre-screening our Issuers, as well as executing market surveillance and due diligence, we neither represent nor guarantee the creditworthiness of the Issuers and viability of any business whose shares are traded on PSTX. Buyers and Sellers should consult with their own professional tax, legal, and financial advisors before making any transactions on the Platform as investing in this asset class involves a deal of risk.

Equity Crowdfunding is risky. You are investing in early stage companies which may not do well and could even fail. You could lose part or all of your investment. You may not be able to sell your shares easily. Learn more