Announcement For Stock Investors! Starting June 27, Local Or Foreign Investor Domicile Code Will Not Appear On Your Trading Screen

Indonesia Stock Exchange Building. (Photo: Doc. Antara)

JAKARTA - The Indonesia Stock Exchange (IDX) has tightened control over stock transactions by closing several transaction codes. Through this step, IDX hopes to increase investor protection and ensure the fairness of stock trading prices.

One of them is the closing of the broker code which has been implemented since December 6, 2021. "IDX as the organizer of stock trading in the Indonesian capital market always prioritizes orderly, fair and efficient securities trading," said IDX Corporate Secretary Yulianto Aji Sadono in a statement, Thursday, June 23. .

Aji added, as previously socialized, six months after the broker code closing, the Exchange will also implement the investor domicile code closing (domestic/foreign).

"The closing of the investor's domicile code will be effective by the Exchange starting Monday, June 27, 2022," Aji added.

In detail, the purpose of the Exchange in implementing the closing of the investor's domicile code is, among other things, to improve market governance. Namely building market governance by reducing the practice of herding behavior or leading the market to certain stocks.

In addition, the Exchange also wants to protect investors from buying or selling pressure from foreign parties, increasing the fairness of stock prices, directing investors to conduct research before making investment decisions by using the philosophy of fundamental and technical analysis in making stock investment decisions.

"And understand the risk and return of investing in a stock," said Aji. Not only that, closing the investor's domicile code is a best practice in other exchanges.

Aji said, with the implementation of closing the investor domicile code, market participants and investors cannot see the foreign or domestic domicile code in real time through the online trading application screen.

Even so, data and information related to foreign or domestic transactions can still be accessed at the end of the trading day through Exchange transaction end of day (EoD) data, processed data from securities companies, summary of investor types on the IDX Website, statistical data on the IDX Website, and daily trading information.