Capital Market Investors Increase 96 Percent In Semester I 2021, OJK: They Still Need To Be Educated

Illustration. (Photo: Doc. Antara)

JAKARTA - Member of the Board of Commissioners for Education and Consumer Protection of the Financial Services Authority (OJK) Tirta Segara said he would continue to maintain the confidence of retail investors in the Indonesian capital market, which in the first semester of 2021 increased by 96 percent year on year.

According to him, the increase was driven by the entry of millennial and generation Z investors.

"This increase in the number of investors must also be accompanied by the implementation of the main program in maintaining investor confidence in the Indonesian capital market," Tirta said in the webinar "Indonesia's Leading Financial Literacy", quoted from Antara, Thursday, August 5.

Tirta continued that the first program that will continue to be carried out is the financial literacy improvement program for the capital market. According to him, only 5 percent of the total Indonesian people understand capital market products or far from the literacy level for other financial products which is on average 38 percent.

"I have confidence that financially literate retail investors will be able to protect themselves from fraudulent practices and illegal investments. They can also choose investment products that suit their needs and abilities by considering risk aspects, product legality, and the fairness of product offerings," added Tirta.

Furthermore, OJK will also expand access to the capital market to make it more equitable. In the current situation of the COVID-19 pandemic, Tirta said the availability of accessible, flexible and affordable investment products is crucial.

In addition, in the midst of more and more hybrid investment products, OJK will synergize other ministries and institutions as well as industry players to make relevant regulations. Through this, each party will monitor and respond to consumer complaints properly and in a timely manner.

Through investment, OJK will also synergize with other stakeholders to eradicate unlawful acts in the field of fund raising and investment management.

"In carrying out consumer education and protection, OJK cannot act alone. OJK needs the support of all stakeholders including Bank Indonesia, the Ministry of Finance, the Deposit Insurance Corporation, the deposit service industry, and other stakeholders," he said.