IDX Increases The Mutual Fund Ecosystem Through Regulation Update

IDX (Photo: Antara)

JAKARTA - PT Bursa Efek Indonesia (IDX) strengthens the mutual fund ecosystem in the Indonesian capital market through more flexible and accommodative regulations for market players, by issuing and imposing an update of Regulation Number I-C.

This regulation is regulated in the IDX's Board of Directors Decree Number Kep-0013/BEI/11-2024 concerning Recording of Mutual Fund Participation Units in the Form of Collective Investment Contracts (KIK) whose Participation Units are Traded on the Exchange.

"Along with market developments, this regulatory update is carried out to strengthen the relevant regulatory framework," said IDX Corporate Secretary Kautsar Primadi Nurahmad quoting Antara.

In the latest regulation Number I-C, Kautsar explains that there are arrangements regarding KIK-shaped Mutual Funds whose Participation Units are traded on the Exchange by applying multi-class features.

"It is hoped that this application can support product development and add options or references for investors in investing," said Kautsar.

Meanwhile, this provision comes into effect on November 15, 2025 or one year since the enactment of the latest I-C Regulation Number. In addition, he continued, in the latest Regulation Number I-C there is also a minimum change in the Initial Clean Activities Value (NAB) of KIK Mutual Funds whose Participation Unit is traded on the Exchange.

The initial NAB, which was originally set at a minimum of IDR 5 billion, is currently reduced to IDR 1 billion.

He hopes that this adjustment can make it easier and encourage Investment Managers (MI) to issue more KIK-shaped Mutual Fund products whose Inclusion Units are traded on the Exchange-Trad Fund (ETF).

"To ensure the smooth implementation of this new, the IDX provides a transition period for Investment Managers (MI) in submitting recording documents," said Kautsar.

During the transition period, the Investment Manager (MI) can still submit documents in electronic form (softcopy) via compact disks, hard disks, or similar electronic media, to circulars related to document submission via electronic systems published by the IDX.

"This transitional period allows market participants to continue to carry out their recording obligations without disrupting operations," said Kautsar.

Previously, the regulation on the listing of mutual fund participation units in the form of KIK was regulated in Regulation Number I-C which was stipulated based on the Decree of the Board of Directors of PT. Jakarta Stock Exchange with Number Kep-310/BEJ/12-2006 on December 22, 2006 concerning Recording and Trading of the Mutual Fund Participation Unit in the Form of KIK on the Exchange.

With the enactment of Regulation Number I-C regulated in the IDX Directors Decree Number Kep-0013/BEI/11-2024, the previous Regulation Number I-C which was stipulated based on the Decree of the Board of Directors of PT Bursa Efek Jakarta Number Kep-310/BEJ/12-2006 on December 22, 2006 was officially revoked and declared invalid.

Through the implementation of the latest I-C Regulation Number, IDX hopes to strengthen the mutual fund ecosystem in the Indonesian capital market through more structured guidance for Investment Managers (MI) and capital market players related to recording the KIK-shaped Mutual Fund Participation Unit on the Exchange, as well as increasing protection for investors.